Request for Reconsideration

The Defense Logistics Agency (DLA) and an awardee requested reconsideration of a GAO decision which sustained another firm's protest against the rejection of its bid. In that decision, GAO recommended the reinstatement of the canceled invitation for bids (IFB), contract award to the protester, and termination of a contract that had been awarded under a resolicitation. DLA disagreed with the GAO recommendation that the award be terminated and the higher cost award be made to the protester under the reinstated IFB. GAO believed that it would be unfair to sanction the award under the resolicitation because bid prices had been exposed, creating an auction situation which could undermine the integrity of the competitive bidding system. Thus, any DLA determination that the protester's bid under the initial IFB was unreasonably high would be inappropriate under the circumstances. It was irrelevant that the protester's bid was less under the resolicitation, since the protester was entitled to the contract at the price bid initially. The awardee alleged that the protester's bid understated the reinstated IFB and was nonresponsive because it offered less than a 60-day acceptance period. However, the IFB did not mandate a minimum acceptance period. GAO has held that a bidder can offer a shorter acceptance period than the one requested and still be responsive to an IFB which does not mandate a minimum acceptance period. Accordingly, the prior GAO decision was affirmed.