[Protest of Navy Cancellation of Solicitation for X-Ray Equipment Maintenance]

B-238969,B-238971: Jul 19, 1990

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A firm protested the Navy's cancellation of a small business set-aside for x-ray equipment maintenance and resolicitation on an unrestricted basis, contending that the Navy improperly determined that the prices submitted by eligible small businesses were unreasonably high. GAO held that the Navy: (1) reasonably determined that award to a small business offerer would exceed the fair market price; (2) properly dissolved the set-aside based on the protester's unreasonable prices; and (3) did not show fraud or or bad faith in determining price reasonableness. Accordingly, the protest was denied.