[Request for Reconsideration of Protest of Army Contract Award for Facilities Management]

B-250470.3: May 24, 1995

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A firm requested a second reconsideration of its denied protest of an Army contract award for overseas facilities management. GAO had held that the Army reasonably decided not to adjust the awardee's labor rates to reflect German labor law requirements, since the applicability of the statute was unclear. In its request for reconsideration, the protester contended that: (1) the German courts upheld the wage requirement and the Army adjusted the awardee's contract to reflect the higher labor rates; and (2) the Army's actions were inconsistent with its representations during the first request for reconsideration that it would not pay the extra labor costs if the law were upheld. GAO held that: (1) its prior decisions were not based on the Army's possible obligation to pay the extra labor costs, but rather on the reasonableness of the Army's cost realism analysis; and (2) the protester failed to present any evidence that warranted reversal of the original decision. Accordingly, the request for reconsideration was denied.