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Effect of Federal Employee's Potential Conflict of Interest on Contract Award

B-182694 Jul 30, 1975
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Highlights

A firm objected to the rejection of its low offer because of a potential conflict of interest created by a government employee's ability to direct contract work to her sons who were officers in the protesting firm. Although the award was not disturbed, it would have been more consistent with the concept of obtaining maximum competition if the agency had first explored the possibility of changing the employee's duties so as to eliminate the potential for conflict. Although the contracting officer was required by federal regulations to advise the unsuccessful bidders of the fact that the award was made elsewhere, the failure to do so was a procedural matter which did not justify disturbing the award.

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