[Protest of MSC Rejection of Ocean Freight Tenders]

B-236834.3: Jul 20, 1990

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A firm protested the Military Sealift Command's (MSC) rejection of its proposed ocean freight transportation rates, contending that MSC improperly determined that its rates were unreasonable. GAO held that: (1) the evaluation was arbitrary and not in accordance with the evaluation criteria; (2) MSC did not sufficiently support its decision to reject the protester's proposed rates; (3) MSC did not properly consider previously accepted rates in its evaluation, as required; and (4) MSC did not evaluate commercial rates for commodities similar to those listed in the solicitation to determine the reasonableness of the protester's rates. Accordingly, the protest was sustained.

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