Board of Contract Appeals
                 General Services Administration
                      Washington, D.C. 20405



                                               

                          July 28, 1998
                                               


                         GSBCA 14561-RATE


           In the Matter of TRI-STATE MOTOR TRANSIT CO.


     Robert D. Norcom, Auditor, Tri-State Motor Transit Co., Joplin, MO, appearing for
Claimant.

     Jeffrey J. Thurston, Director, Office of Transportation Audits, General Services
Administration, Washington, DC, appearing for General Services Administration.

     Colonel James F. Quinn, Staff Judge Advocate, Headquarters, Military Traffic
Management Command, Department of the Army, Falls Church, VA, appearing for
Department of Defense.

DANIELS, Board Judge (Chairman).

     Tri-State Motor Transit Co. asked us to review the denial by the General Services
Administration's Office of Transportation Audits (OTA) of that carrier's claim for additional
payment for transporting a shipment of rockets for the Department of the Army in October
1994.  According to Tri-State, the items shipped were for a foreign military sale, and the
charges should consequently have been calculated under a different authority than was
initially thought to have controlled.

     In response to the filing of this case, OTA reexamined the matter and agreed with the
carrier.  It consequently issued a settlement certificate granting payment.  Tri-State then
agreed that the case may be dismissed.

     Accordingly, we dismiss the case.





                                   __________________________
                                   STEPHEN M. DANIELS
                                   Board Judge