Allegation That IFB Unduly Restricts Competition

A telephone and telegraph company protested any award of a contract by the Army Corps of Engineers for the purchase of a Private Automatic Branch Exchange (PABX) Telephone System for the Jim Woodruff Powerhouse, Florida. The protester maintained that the solicitation unduly restricted competition by excluding firms, like itself, which would offer to lease and maintain rather than sell, the equipment to the Corps. The company also contended that the determination to buy the equipment was inconsistent with the policy requirements of Office of Management and Budget Circulars, Department of Defense Directives, and Office of Telecommunications Policy Circulars. This allegation is not for consideration under GAO Bid Protest Procedures since such determination is a matter of Executive Policy. Furthermore, the agency's determination to purchase telephone equipment and not to consider lease of equipment is not unduly restrictive of competition where Government ownership and maintenance is necessary in case of natural disaster or national emergency. The protest was denied.