[Protest of Navy Cancellation of IFB for Interim Drydocking of Minesweeper]

B-223581,B-223965: Sep 19, 1986

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A firm protested the Navy's cancellation of a solicitation for the interim drydocking of a minesweeper and the rejection of its sole bid, contending that: (1) the contracting officer's reason for rejecting its bid was not related to its allegedly unreasonable bid price, but rather that its location was not in the vessel's home port area; and (2) a geographical restriction in the resolicitation prevented it from competing. The protester also claimed reimbursement for its bid preparation costs. GAO noted that it would not disturb a contracting officer's determination of price unreasonableness absent a showing of fraud or bad faith. GAO held that: (1) even if the contracting officer had considered the location a factor, that did not constitute fraud or bad faith; (2) the contracting officer's determination that the protester's price was unreasonable justified cancellation; and (3) since the protester filed the portion of the protest against the geographic restriction after bid opening, it was untimely. Accordingly, the protest was dismissed in part and denied in part, and the claim was denied.

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