B-227965.2, B-227965.4, Aug 20, 1987, 87-2 CPD 190

B-227965.2, B-227965.4, Aug 20, 1987, 87-2 CPD 190

PROCUREMENT - Bid Protests - GAO procedures - Interested parties - Direct interest standards DIGEST: Protesters are not interested parties to protest an agency's estimate of the cost of in-house performance, for comparison with the costs of contracting out, where they would not be in line for award if the protest was sustained.

American Overseas Marine Corporation; Sea Mobility, Inc.:

American Overseas Marine Corporation and Sea Mobility, Inc. protest the Department of the Navy's estimate of its costs to operate and maintain two auxiliary hospital ships, where the Navy determined that in-house performance would be less costly than awarding a contract under request for proposals (RFP) No. N00033-86-R-4004. The RFP provided for such a cost comparison pursuant to Office of Management and Budget Circular A- 76. Another offer priced lower than either of the protesters' offers is in line for award. We dismiss the protests.

Our Bid Protest Regulations, 4 C.F.R. Secs. 21.0(a) and 21.1(a) (1987), provide that we will only consider protests filed by interested parties, defined as actual or prospective offerors whose direct economic interest would be affected by the award of (or failure to award) a contact. Since neither American Overseas nor Sea Mobility would be in line for award if we sustained their protests, they are not interested parties. See CC Distributors, Inc., B-225603, Mar. 19, 1987, 66 Comp.Gen. ***, 87-1 CPD Para. 312.

The protests are dismissed.