B-175721(2), MAR 19, 1973

B-175721(2): Mar 19, 1973

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ALTHOUGH THIS PROTEST WAS DENIED. ENCLOSED IS A COPY OF OUR DECISION OF TODAY DENYING THE PROTEST. THE FOLLOWING DEVIATIONS FROM REGULATORY REQUIREMENTS WERE FOUND. THE DETERMINATIONS AND FINDINGS WAS PREPARED THE DAY AFTER NEGOTIATIONS WITH UNIVAC COMMENCED. THE JUSTIFICATION FOR NONCOMPETITIVE PROCUREMENT WAS NOT EXECUTED UNTIL 2 DAYS AFTER THE NEGOTIATIONS COMMENCED. SUCH JUSTIFICATION IS REQUIRED "WHEN ONLY ONE SOURCE IS TO BE SOLICITED.".

B-175721(2), MAR 19, 1973

BID PROTEST - VIOLATION OF PROCUREMENT REGULATION CONCERNING THE PROTEST OF UNIVERSITY COMPUTING COMPANY AGAINST THE SOLE SOURCE AWARD OF A CONTRACT TO THE UNIVAC DIVISION, SPERRY RAND CORPORATION BY NASA. ALTHOUGH THIS PROTEST WAS DENIED, APPROPRIATE STEPS SHOULD BE TAKEN TO ASSURE COMPLIANCE WITH NASA PR 3.306 AND 1.309, AND NASA PR DIRECTIVE NO. 71-2, IN THE FUTURE.

TO MR. JAMES C. FLETCHER:

WE REFER TO THE REPORT OF THE DIRECTOR OF PROCUREMENT, KDP-3, DATED JULY 17, 1972, IN RESPONSE TO OUR LETTER OF APRIL 18, 1972, CONCERNING THE PROTEST OF UNIVERSITY COMPUTING COMPANY, AGAINST THE SOLE SOURCE AWARD OF CONTRACT NAS8-21946 TO THE UNIVAC DIVISION, SPERRY RAND CORPORATION.

ENCLOSED IS A COPY OF OUR DECISION OF TODAY DENYING THE PROTEST. HOWEVER, THE FOLLOWING DEVIATIONS FROM REGULATORY REQUIREMENTS WERE FOUND. THE DETERMINATIONS AND FINDINGS WAS PREPARED THE DAY AFTER NEGOTIATIONS WITH UNIVAC COMMENCED. IN THIS REGARD, PARAGRAPH 3.306 OF NASA PROCUREMENT REGULATIONS (NASA PR) PROVIDES FOR THE PREPARATION OF THE DETERMINATION AND FINDINGS PRIOR TO THE ISSUANCE OF A REQUEST FOR PROPOSALS OR QUOTATIONS. FURTHER, THE JUSTIFICATION FOR NONCOMPETITIVE PROCUREMENT WAS NOT EXECUTED UNTIL 2 DAYS AFTER THE NEGOTIATIONS COMMENCED. PURSUANT TO NASA PR DIRECTIVE NO. 71-2, DATED MARCH 17, 1971, AMENDING PARAGRAPH 3.306-1 OF NASA PR, SUCH JUSTIFICATION IS REQUIRED "WHEN ONLY ONE SOURCE IS TO BE SOLICITED." FINALLY, THE SOLICITATION "FOR PLANNING PURPOSES ONLY" DID NOT CONTAIN A NOTICE, AS REQUIRED BY NASA PR 1.309, STATING THAT THE GOVERNMENT DOES NOT INTEND TO AWARD A CONTRACT ON THE BASIS OF THE SOLICITATION. WE SUGGEST THAT APPROPRIATE STEPS BE TAKEN TO ASSURE COMPLIANCE WITH THESE REGULATORY REQUIREMENTS IN FUTURE PROCUREMENTS.

WE RETURN HEREWITH THE ATTACHMENTS TO THE ADMINISTRATIVE REPORT AS REQUESTED.