OSRAM SYLVANIA Products, Inc.

B-287468: Jul 2, 2001

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A firm protested a Defense National Stockpile Center (DNSC) contract award for the sale of certain excess stockpiled tungsten, contending that DNSC unreasonably and improperly failed to credit benefits contained in the protester's offer, and that award of the entire quantity of sale tungsten to the awardee violates DNSC's obligation under the Strategic and Critical Materials Stock Piling Act to avoid undue market disruption by this sale of surplus strategic material. GAO held that (1) DNSC reasonably determined to award a contract for the sale of excess stockpiled tungsten to the offeror whose evaluated price was high under every reasonable price evaluation under a solicitation where all the award criteria were effectively structured to provide for award to the technically acceptable offeror that proposed the highest total evaluated price, (2) DNSC's award of the entire sale quantity offered by the government to a single commodities broker offeror is unobjectionable where it is permissible under the solicitation, and (3) DNSC properly performed the requisite statutory market analysis to support its determination that the sale would not cause undue market disruption. Accordingly, the protest is denied.

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