DISMISSED:  May 21, 1997
                                                   


                         GSBCA 13498-TD, 13589-TD


                    SYSOREX INFORMATION SYSTEMS, INC.,

                                             Appellant,

                                    v.

                        DEPARTMENT OF THE TREASURY,

                                             Respondent.

     E. Sanderson Hoe and Philip H.M. Beauregard of McKenna &
Cuneo, L.L.P., Washington, DC, counsel for Appellant.

     James L. Adler, Office of Chief Counsel, United States Mint,
Washington, DC, counsel for Respondent.

GOODMAN, Board Judge.

                                   ORDER

     On February 20, 1990, Sysorex Information Systems, Inc.
(appellant) was awarded a contract by the Department of the
Treasury, United States Mint (respondent), for hardware and
software enhancements, telecommunications services, capacity
planning, automated data processing personnel, and other services
required for the support and operation of respondent's information
systems network.  The contract at issue was modified on several
occasions.  On April 28, 1995, respondent unilaterally reduced the
value of the contract by $66,398, alleging that appellant
incorrectly billed respondent this amount by calculating labor at
fixed, negotiated rates rather than lower, actual rates for work
performed under three modifications.

     On August 1, 1995, appellant filed a claim with the
contracting officer seeking a credit of $38,098 for application of
actual burdened rates to actual labor rates.  The claim was denied
on September 22 on the basis that all rates negotiated were fixed
throughout the performance period.  Appellant filed an appeal with
the Board on December 19.  That appeal was docketed as GSBCA 13498-
TD.  Appellant then filed a second claim with the contracting
officer on December 18, 1995, seeking reimbursement of $66,398, the
value of work at the fixed, negotiated labor rates.  This claim was
also denied and appellant filed an appeal of that decision on
May 6, 1996.  That appeal was docketed as GSBCA 13589-TD.  The
appeals were consolidated.

     On September 27, 1996, the panel chair convened an alternative
dispute resolution proceeding which resulted in an agreement
between the parties to settle the dispute.  On May 14, 1997, the
parties filed a joint motion requesting dismissal of the appeals
with prejudice.  Accordingly, the above consolidated appeals are
DISMISSED pursuant to Rule 128(a).




                                   ___________________
                                   ALLAN H. GOODMAN
                                   Board Judge