Procurement Not Set Aside for Labor Surplus Area

B-185267: Apr 16, 1976

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A protester questioned the agency's failure to utilize a labor surplus area for a contract award. The procurement could not be severed into two production runs as required by labor surplus area contracts because there would be duplicate costs; the delivery schedule must meet the agency's needs without consideration of economic impact; and the procurement was designed to achieve standardization of the product. Even without a labor surplus area set-aside, there are indications that adequate competition will be received.