B-175016, AUG 22, 1972

B-175016: Aug 22, 1972

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WHILE IT WAS UNFORTUNATE THAT PROTESTANT WAS DENIED AN SBA REVIEW OF THE ADMINISTRATIVE DETERMINATION OF NONRESPONSIBILITY UNDER ITS COC PROCEDURES. YOUR LOW BID WAS REJECTED BECAUSE THE CONTRACTING OFFICER DETERMINED. THAT KLYSTRONICS WAS NOT A RESPONSIBLE BIDDER FOR THE PURPOSE OF THE PROCUREMENT DUE TO AN UNSATISFACTORY PERFORMANCE RECORD STEMMING FROM AN INABILITY TO MEET REQUIRED DELIVERY SCHEDULES ON PAST CONTRACTS. THE FOREGOING SUBSECTION PROVIDES IN PERTINENT PART: "THE AWARD SHALL BE WITHHELD UNTIL SBA ACTION CONCERNING ISSUANCE OF A COC OR UNTIL 15 WORKING DAYS AFTER THE SBA IS SO NOTIFIED. WHICHEVER IS EARLIER ***.". WHILE IT WAS UNFORTUNATE THAT YOUR FIRM WAS DENIED AN SBA REVIEW OF THE ADMINISTRATIVE DETERMINATION OF NONRESPONSIBILITY UNDER ITS COC PROCEDURES.

B-175016, AUG 22, 1972

BID PROTEST - TENACITY APPEALS - SBA DENIAL OF PROTEST BY KLYSTRONICS, INC., AGAINST THE AWARD OF A CONTRACT TO THE RAYTHEON COMPANY UNDER AN IFB ISSUED BY THE DEFENSE ELECTRONICS SUPPLY CENTER, DAYTON, OHIO. WHILE IT WAS UNFORTUNATE THAT PROTESTANT WAS DENIED AN SBA REVIEW OF THE ADMINISTRATIVE DETERMINATION OF NONRESPONSIBILITY UNDER ITS COC PROCEDURES, THE CONTRACTING OFFICER ACTED IN ACCORDANCE WITH ASPR 1 705.4(C) WHEN HE MADE THE AWARD TO RAYTHEON AFTER EXPIRATION OF THE 15 DAY WAITING PERIOD. UNDER THESE CIRCUMSTANCES, NO BASIS EXISTS TO QUESTION THE AWARD.

TO KLYSTRONICS, INCORPORATED:

WE REFER TO YOUR LETTER DATED FEBRUARY 4, 1972, AND SUBSEQUENT CORRESPONDENCE, PROTESTING THE AWARD OF A CONTRACT TO THE RAYTHEON COMPANY UNDER INVITATION FOR BIDS DSA900-72-B-1805, ISSUED BY THE DEFENSE ELECTRONICS SUPPLY CENTER, DAYTON, OHIO.

YOUR LOW BID WAS REJECTED BECAUSE THE CONTRACTING OFFICER DETERMINED, BASED UPON A NEGATIVE PREAWARD SURVEY CONDUCTED ON YOUR FIRM BY THE DEFENSE CONTRACT ADMINISTRATION SERVICES DISTRICT, SPRINGFIELD, NEW JERSEY, THAT KLYSTRONICS WAS NOT A RESPONSIBLE BIDDER FOR THE PURPOSE OF THE PROCUREMENT DUE TO AN UNSATISFACTORY PERFORMANCE RECORD STEMMING FROM AN INABILITY TO MEET REQUIRED DELIVERY SCHEDULES ON PAST CONTRACTS. THE CONTRACTING OFFICER REFERRED THE MATTER TO THE SMALL BUSINESS ADMINISTRATION (SBA) REGIONAL OFFICE PURSUANT TO ARMED SERVICES PROCUREMENT REGULATION (ASPR) 1-705.4(C) FOR CERTIFICATE OF COMPETENCY (COC) ACTION. SBA SUBSEQUENTLY ADVISED THE CONTRACTING AGENCY THAT IT WOULD NOT ACCEPT TENACITY AND PERSEVERANCE APPEALS OR COC APPLICATIONS ON YOUR FIRM. THE FOREGOING SUBSECTION PROVIDES IN PERTINENT PART:

"THE AWARD SHALL BE WITHHELD UNTIL SBA ACTION CONCERNING ISSUANCE OF A COC OR UNTIL 15 WORKING DAYS AFTER THE SBA IS SO NOTIFIED, WHICHEVER IS EARLIER ***."

ON JANUARY 20, 1972, THE 15-DAY PERIOD HAVING ELAPSED WITHOUT FURTHER ACTION BY SBA, THE CONTRACTING OFFICER AWARDED THE CONTRACT TO THE RAYTHEON COMPANY. THEREAFTER, YOU PROTESTED THE REJECTION OF YOUR BID TO OUR OFFICE.

WHILE IT WAS UNFORTUNATE THAT YOUR FIRM WAS DENIED AN SBA REVIEW OF THE ADMINISTRATIVE DETERMINATION OF NONRESPONSIBILITY UNDER ITS COC PROCEDURES, THE CONTRACTING OFFICER ACTED IN ACCORDANCE WITH ASPR 1 705.4(C) WHEN HE MADE THE AWARD TO RAYTHEON AFTER EXPIRATION OF THE 15 DAY WAITING PERIOD. UNDER THESE CIRCUMSTANCES, NO BASIS EXISTS FOR OUR OFFICE TO QUESTION THE AWARD. HOWEVER, WE UNDERSTAND THAT SBA HAS SINCE CHANGED ITS POSITION AND HAS CONSIDERED COC APPLICATIONS CONCERNING KLYSTRONICS IN CONNECTION WITH OTHER PROCUREMENTS.

ACCORDINGLY, YOUR PROTEST IS DENIED.