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Request for Reconsideration of Decision That Sole Source Procurement Was Not Justified

B-184627 Sep 14, 1976
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Highlights

The contractor under a sole source procurement requested reconsideration of a decision which held that the contracting officer's findings did not support the determination to procure the requirements on a sole-source basis. The prior decision was affirmed since no evidence was produced to show a proper basis for the contracting officer's decision to proceed with a sole source procurement.

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B-184627, SEPTEMBER 14, 1976

PRIOR DECISION HOLDING THAT CONTRACTING OFFICER'S FINDINGS DID NOT SUPPORT SOLE-SOURCE PROCUREMENT IS AFFIRMED WHERE NO EVIDENCE IS PRODUCED TO SHOW PROPER BASIS IN RECORD FOR CONTRACTING OFFICER'S SOLE SOURCE DETERMINATION.

G. A. BRAUN, INCORPORATED (REQUEST FOR RECONSIDERATION BY PELLERIN MILNOR CORPORATION):

PELLERIN MILNOR CORPORATION (PELLERIN) REQUESTS RECONSIDERATION OF OUR DECISION IN G. A. BRAUN, INCORPORATED, B-184627, AUGUST 6, 1976, IN WHICH WE HELD THAT THE VETERANS ADMINISTRATION ERRED IN PURCHASING LAUNDRY EQUIPMENT FROM PELLERIN UNDER CONTRACT V797P-2123A ON A SOLE SOURCE BASIS WHERE THE CONTRACTING OFFICER'S FINDINGS INDICATED THAT SEVERAL MANUFACTURERS COULD SATISFY THE GOVERNMENT'S NEEDS AND THE RECORD DID NOT SUPPORT NEGOTIATION FOR RESEARCH AND DEVELOPMENT PURPOSES UNDER 41 U.S.C. 252(C)(11) (1970). THE INSTANT REQUEST FOR RECONSIDERATION IS BASED ON PELLERIN'S CONTENTION THAT THE ORIGINAL PROTESTING CONCERN, G. A. BRAUN, INC., COULD NOT HAVE COMPETED BECAUSE IT DOES NOT MANUFACTURE A SYSTEM MEETING THE GOVERNMENT'S SPECIFICATIONS.

OUR EARLIER DECISION HELD THAT THE CONTRACTING OFFICER'S FINDINGS DID NOT SUPPORT HIS DECISION TO PROCEED ON A SOLE-SOURCE BASIS. SECTION 2.B. OF HIS FINDINGS REFERRED TO THE FACT THAT THERE ARE THREE MANUFACTURERS OF "SHELLESS" LAUNDRY SYSTEMS CAPABLE OF SATISFYING THE GOVERNMENT'S NEEDS. PELLERIN HAS PRODUCED NO EVIDENCE TO REBUT THIS FINDING. IN FACT, IN ITS REQUEST FOR RECONSIDERATION, PELLERIN ACKNOWLEDGES THE EXISTENCE OF COMPETITION:

"NONE OF THE THREE USA MANUFACTURERS WHO DO OFFER 'SHELLESS' MACHINES (ONLY TWO OF WHOM ACTIVELY PARTICIPATE IN VA BIDS) HAVE UTTERED ANY PROTEST WHATSOEVER AGAINST THE AWARD OF THE CONTRACT TO US."

BOTH THE VETERANS ADMINISTRATION AND PELLERIN RECOGNIZE THE EXISTENCE OF ALTERNATIVE SOURCES OF ACCEPTABLE MACHINERY WHICH, UNDER THE GOVERNMENT'S OWN FINDINGS, SHOULD HAVE REQUIRED PROCUREMENT ON A COMPETITIVE BASIS. THUS, THE ISSUE PRESENTED FOR RECONSIDERATION-- WHETHER G. A. BRAUN IS AN ACCEPTABLE ALTERNATIVE SOURCE-- IS OF PURELY ACADEMIC INTEREST AT THIS TIME. FURTHERMORE, NOTWITHSTANDING THE IMPROPRIETIES NOTED, WE DID NOT RECOMMEND THAT THE CONTRACT AWARDED TO PELLERIN BE TERMINATED.

CONSEQUENTLY, OUR DECISION IN G. A. BRAUN, INCORPORATED, SUPRA, IS AFFIRMED.

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