November 16, 1992

Appeal of

PAUL C. POPIEL

 

Under Contract No. HCR 48676

PSBCA No. 3150

 

APPEARANCE FOR APPELLANT

Paul C. Popiel

 

APPEARANCE FOR RESPONDENT

Maria T. Robinson, Esq.

 

OPINION OF THE BOARD

Appellant, Paul C. Popiel, has appealed the default termination of his contract for the delivery of mail on a route in the vicinity of Sentinel Butte, North Dakota.  The appeal is being decided on the record in accordance with 39 C.F.R. 955.12.

FINDINGS OF FACT

1.  On May 29, 1991, Appellant was awarded a contract for the delivery of mail along a route beginning and ending at the Sentinel Butte, North Dakota, Post office.  The term of the contract was June 8, 1991, through June 30, 1992.  (Appeal File Tab (AF) A).

2.  The contract schedule required Appellant to report to the post office at 8:15 a.m.  and depart on the delivery route at 9:00 a.m.   Appellant was scheduled to return to the post office at 12:10 p.m. on Mondays, Wednesdays, and Fridays and at 12:30 p.m. on Tuesdays, Thursdays, and Saturdays (id.).  The record contains no evidence of any changes to the original schedule.

3.  Contract general provision 16, "Termination by the Postal Service for Default," provided that the Contracting Officer could terminate the contract for default:

            "(1) For Contractor's failure to perform service according to the terms of         the contract;…." (id.)

 

4.  The contract required Appellant to undergo a screening process and to provide a full-face, color photograph for Respondent's use in preparing a permanent identification badge (id.).

5.  The contract also required Appellant to provide, as a minimum, a passenger car with a 75 cubic foot capacity and to present the vehicle for inspection at a place and time designated by the Contracting Officer or his representative (id.).

6.  On June 28, 1992, the first day of performance, the Sentinel Butte Postmaster inspected Appellant's vehicle.  He concluded that the vehicle did not meet the 75-cubic-foot capacity requirement and that certain safety items (fire extinguisher, tire chains, and warning devices (flares, lights, or flags)) were inadequate or missing.  He found the vehicle's operational equipment to be acceptable.  No objection was raised to the fact that the vehicle was a pickup truck rather than a passenger car.  (AF D(62)).

7.  Between June 8 and September 10, 1991, a number of PS Forms 5500, "Contract Route Irregularity Report," were issued to Appellant by the Sentinel Butte Postmaster.  They alleged irregularities such as late arrival, refusal to allow inspection of Appellant's vehicle, failure of the vehicle to meet the 75 cubic-foot requirement, harassment of the postmaster, and being disruptive.  (AF D (61-70, 74)).

8.  In a letter to Appellant dated September 12, 1991, the Contracting Officer, referring to reports by the postmaster of disturbances created by Appellant, directed Appellant to attend a conference at the Sentinel Butte Post Office on October 3, 1991, to discuss the matter (AF D (71)).

9.  On October 3, 1991, the conference was held with Appellant at which several of Respondent's personnel were in attendance.  Topics of discussion included harassment of postal personnel, failure to adhere to the contract schedule and to comply with requirements such as using timecards, providing a photograph for his identification badge, and failing to allow vehicle inspection.  Appellant was advised that if he failed to take corrective action "within days" and maintain satisfactory service, the case would be forwarded to the Contracting Officer for action, including an assessment of damages and/or contract termination.  (AF D (75)).

10. On October 21, 1991, the Sentinel Butte Postmaster issued another Form 5500 to Appellant, stating that Appellant had arrived at 12:09 rather than 11:45 and that he had failed to provide the photograph required for his identification badge (AF D (77)).

11. In a letter to Appellant dated October 25, 1991, the postmaster warned Appellant that service had not improved since the October 3, 1991, conference.  The postmaster referred to a list of Forms 5500 issued since that date.  However, neither the list nor the 5500's are in the record.  The postmaster warned Appellant that if service did not improve within three days, the matter would be referred to the Contracting Officer for action.  (AF D (79)).

12. On October 25, 1991, the postmaster also issued another Form 5500 to Appellant, stating that Appellant still had failed to provide a photograph meeting the requirements for a permanent identification badge.  Appellant was also cited for harassing the postmaster.  (AF D (79)).

13. On October 28, 1991, Appellant contacted the Contracting Officer by telephone.  The Contracting Officer reported, in a contemporaneous "memo for the record," that Appellant stated the requirement for him to provide a photograph was being used as a form of petty harassment.  According to the Contracting Officer, Appellant stated the Contracting Officer could "take the route" and find somebody else with a "picture" for the badge and, when asked if he would no longer operate the route, Appellant replied yes, "find somebody else."  The Contracting Officer stated he asked Appellant to put this in writing and that Appellant stated he would.  No such document appears in the record.  In an unsworn statement filed with the Board on July 10, 1992, Appellant argued that the Contracting Officer ordered him not to return unless he provided a picture of himself which met management approval, notwithstanding the fact that, according to Appellant, he had previously provided suitable photographs.  (AF D (80); Declaration of Jim Lillie, dated July 9, 1992; Statement of Paul Popiel, dated July 2, 1992).

14. In a final decision dated October 29, 1991, the Contracting Officer terminated the contract for default, based on his conversation with Appellant on October 28, 1991 (AF B, C).  In January 1992 Appellant filed an appeal with this Board.

DECISION

Respondent argues that there are two bases which support the termination of Appellant's contract for default.  Respondent argues that Appellant's contract performance was unsatisfactory, as evidenced by the Forms 5500 (Contract Route Irregularity Report) issued for late arrivals, failure to have his vehicle inspected, failure to provide a suitable vehicle, harassment of Postal Service personnel, and failure to provide a suitable photograph for his identification badge.  Respondent also contends that during the October 28, 1991, conversation with the Contracting Officer, Appellant stated that he would no longer operate the route, thereby justifying the termination on the basis of anticipatory repudiation of the contract.

With respect to the suitability of his vehicle, Appellant, who used a pickup truck, argues that he previously used the same type of vehicle with no objections when he was a rural carrier on the same route.  Appellant states that the present carrier also uses the same make and model.  As to failing to meet the schedule, Appellant argues that the schedule required him to drive too fast over poor roads and that, in any event, the mail was not scheduled for dispatch from the post office for over four hours after his scheduled return time.  Appellant also denies that he harassed the Sentinel Butte Postmaster, alleging instead that he was the subject of harassment by the postmaster, including the solicitation of letters of complaint from people not even served by Appellant's route.

Disputing the alleged abandonment of the contract, Appellant contends that he was ordered not to return to operate the route.  Specifically, Appellant contends that he was ordered not to return unless he provided a photograph which met management approval.  Appellant also contends that the requirement for a photograph was used by Respondent's personnel as a form of petty harassment.

We are persuaded that Appellant repudiated the contract and, therefore, that the termination for default was proper.  This Board has held that a statement by a contractor indicating intent to halt service on a contract route is sufficient to warrant a default termination of the contract, unless there is a justifiable reason for halting service.  Lawrence D. Bane, PSBCA Nos. 1440, 1441, 86-2 BCA ¶ 18,997; B & E Mail Transport, Inc., PSBCA Nos. 971, 973, 974, 82-2 BCA ¶ 15,965.  See also James E. White, PSBCA No. 1022, 82-2 BCA 15,986; Hoyt Brothers Trucking, Inc., PSBCA No. 931, 1981 WL 7674 (June 24, 1981).  In this instance, providing a photograph for a permanent ID card, which apparently precipitated Appellant's conversation with the Contracting Officer, was an unambiguous contract requirement.  The Contracting Officer reported that his conversation with Appellant included a discussion of the requirement for a photograph but that Appellant then stated that he would not operate the route and that the Contracting Officer should "find someone else."  Based on the Contracting Officer's contemporaneous memorandum and Appellant's failure to deny that portion of the conversation, we conclude that the Contracting Officer accurately reported the conversation.  Even if, as argued by Appellant, the Contracting Officer ordered Appellant not to return without the photograph, Appellant's statement that he would not operate the route was not justifiable.  The topic of the ID photograph had been covered in the conference held more than three weeks earlier.  Based on that conference and on the issuance of at least two additional Forms 5500 referring to the missing photograph, Appellant was well aware that the photograph was required.  Appellant has provided no persuasive evidence that the requirement was being unreasonably applied to him or that he was being singled out for enforcement.  He has also provided no persuasive evidence to support his allegation that he had submitted suitable photographs.  We conclude that the record does not provide any justification for Appellant's statement that he would not operate the route and, therefore, the Contracting Officer properly exercised his discretion to terminate the contract for default.

Since we have concluded that the termination for default was proper, we need not consider the allegations of unsatisfactory performance which Respondent argues also support its decision to terminate the contract.  Accordingly, the appeal is denied.

 

David I. Brochstein

Administrative Judge

Board Member

 

I concur

James A. Cohen

Administrative Judge

Chairman

 

James D. Finn, Jr.

Administrative Judge

Vice Chairman