[Request for Reconsideration of Protest of VA Solicitation for Buildings Reroofing]

B-258591.2: Dec 16, 1994

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A firm requested reconsideration of its dismissed protest of a Department of Veterans Affairs (VA) solicitation for building reroofing. GAO had held that the Small Business Administration had sole jurisdiction over its section 8(a) program absent evidence of bad faith or failure to comply with regulations. In its request for reconsideration, the protester contended that VA negotiated the contract in bad faith, since it disallowed certain contract costs in the government estimate and improperly terminated the negotiations. GAO held that: (1) there was no evidence that VA acted in bad faith; and (2) VA reasonably terminated the negotiations, since the proposed costs exceeded the funds available for the project. Accordingly, the original decision was affirmed.