[Protest of DLA Cancellation of Solicitation for Bolts]

A firm protested the Defense Logistics Agency's (DLA) cancellation of a solicitation for bolts and subsequent sole-source procurement of the bolts under a basic ordering agreement, contending that DLA: (1) failed to comply with statutory requirements to encourage competition; and (2) improperly excluded it from competition. GAO held that: (1) because DLA improperly delayed submission of the protester's product for source approval, it deprived the protester of a reasonable opportunity to compete; and (2) the protester was entitled to reimbursement for its bid preparation costs. Accordingly, the protest was sustained.