DynCorp Technical Services LLC

A firm protested the Department of the Air Force's decision to retain in-house (rather than contract out) performance of base operation services at Maxwell Air Force Base and Gunter Annex in Alabama, contending that the Air Force did not consider the cost of government-furnished material as a common cost item in its cost comparison. GAO held that (1) the Air Force did not consider the cost of government-furnished material as a common cost item, as it should have, but accepted the in-house cost estimate, which deducted the value of government-furnished material to be supplied to the winner of the competition, and did not adjust the protester's proposal for a cost-reimbursement contract, which did not deduct the value of the government-furnished material; and (2) the Air Force improperly failed to ensure that the in-house cost estimate and the protester's offer were based upon the same scope of work and performance standards. Accordingly, the protest was sustained, and GAO recommended that the Air Force award a contract to the protester. Further, the protester should be reimbursed the reasonable costs of filing and pursuing the protest, including reasonable attorneys' fees.