Determination of Nonresponsibility Is Discretionary Judgment of Agency

In reply to a question arising as a result of a protest that was dismissed, GAO stressed that few protests involving a procuring agency's determination of a firm's responsibility will be reviewed by GAO. In addition, GAO disagreed with the suggestion that it is easier for an agency to make affirmative determinations of responsibility, award on the basis of low price, and then bail out contractors rather than for an agency to make an initial determination of nonresponsibility. A bailout creates more difficulties and delays than an initial nonresponsibility determination. It is also true that a party alleging an agency's abuse of discretion through arbitrary determinations must meet a high standard of proof by showing that the alleged arbitrary action did in fact exist.