B-181820, AUG 5, 1974

B-181820, AUG 5, 1974

WHERE PROTESTER WAS INFORMED BY LETTER DATED JUNE 28, 1974 (AND PROTESTER ACKNOWLEDGES IT WAS PROBABLY RECEIVED ON JUNE 29, 1974) THAT THE NAVAL REGIONAL PROCUREMENT OFFICE EXERCISED AN OPTION UNDER EXISTING CONTRACT, PROTEST RECEIVED BY GAO ON JULY 16, 1974, WAS UNTIMELY AND WILL NOT BE CONSIDERED SINCE UNDER SECTION 20.2(A) OF GAO INTERIM BID PROTEST PROCEDURES AND STANDARDS PROTEST MUST BE FILED WITHIN 5 DAYS AFTER BASIS FOR PROTEST IS KNOWN OR SHOULD HAVE BEEN KNOWN, WHICHEVER IS EARLIER.

ALDERSON REPORTING COMPANY, INCORPORATED:

THIS PROTEST INVOLVES CONTRACT NO. N00600-74-D-0653 BETWEEN THE NAVAL SUPPLY SYSTEMS COMMAND AND THE ACME REPORTING COMPANY FOR THE STENOGRAPHIC REPORTING OF THE HEARINGS OF THE ARMED SERVICES BOARD OF CONTRACT APPEALS (THE BOARD), WHICH EXPIRED ON JUNE 30, 1974.

HOWEVER, THE CONTRACT CONTAINED AN OPTION TO RENEW CLAUSE, AND ON APRIL 30, 1974, THE PROTESTER, ALDERSON REPORTING COMPANY, INCORPORATED (ALDERSON), NOTIFIED THE BOARD THAT IT WAS PREPARED TO BID A RATE FOR THE NEXT FISCAL YEAR AT LESS THAN THE OPTION RATES UNDER THE THEN CURRENT CONTRACT. ON JUNE 3, 1973, THE PROTESTER WROTE THE NAVAL REGIONAL PROCUREMENT OFFICE STATING ITS INTENTION TO SUBMIT A BID SUBSTANTIALLY LESS THAN THE OPTION RATES FOR FISCAL YEAR 1975 AND STATING THAT PROVISIONS IN THE GAO CONTRACTING MANUAL REQUIRED THE GOVERNMENT NOT TO EXERCISE ITS OPTION "*** WHERE A LESSOR RATE IS GUARANTEED BY A REPORTING CONTRACTOR ***."

BY LETTER DATED JUNE 28, 1974, THE NAVAL REGIONAL PROCUREMENT OFFICE NOTIFIED ALDERSON THAT THE GOVERNMENT EXERCISED THE OPTION UNDER CONTRACT N00600-74-D-0653 ON JUNE 5, 1974. THE NAVY STATED THAT SINCE THE DETERMINATION WAS MADE THAT PRICE AND OTHER FACTORS CONSIDERED THE OPTION WAS MOST ADVANTAGEOUS TO THE GOVERNMENT, THE OPTION WAS EXERCISED IN ACCORDANCE WITH ASPR 1-1505(C) AND 1-1505(D)(3). ALDERSON, BY LETTER DATED JULY 10, 1974, AND RECEIVED IN THIS OFFICE JULY 16, 1974, PROTESTS THE EXERCISE OF THE OPTION AND CONTENDS THAT ASPR 1-1505(C) AND (D)(3), VARIOUS COMPTROLLER GENERAL DECISIONS, AND THE GAO CONTRACT MANUAL REQUIRE THE SOLICITATION OF COMPETITION IN THESE CIRCUMSTANCES.

THE INTERIM BID PROTEST PROCEDURES AND STANDARDS OF OUR OFFICE (SECTION 20.2(A) OF TITLE 4 OF THE CODE OF FEDERAL REGULATIONS) REQUIRE THAT BID PROTESTS BE FILED IN OUR OFFICE NOT LATER THAN 5 DAYS AFTER THE BASIS FOR PROTEST IS KNOWN OR SHOULD HAVE BEEN KNOWN, WHICHEVER IS EARLIER. HERE THE BASIS OF THE PROTEST, THE FACT THAT THE GOVERNMENT WOULD EXERCISE THE OPTION UNDER THE EXISTING CONTRACT WAS MADE KNOWN TO ALDERSON BY LETTER OPTION UNDER THE EXISTING CONTRACT WAS MADE KNOWN TO ALDERSON BY LETTER DATED JUNE 28, 1974. WE HAVE BEEN INFORMED BY THE PRESIDENT OF ALDERSON THAT THEY PROBABLY RECEIVED THAT LETTER ON JUNE 29, 1974. THEREFORE, THE PROTEST WAS REQUIRED TO BE RECEIVED IN OUR OFFICE NOT LATER THAN JULY 8, 1974. SINCE THE PROTEST WAS NOT RECEIVED HERE UNTIL JULY 16, 1974, IT WAS UNTIMELY FILED AND WILL NOT BE CONSIDERED BY OUR OFFICE. B-177158, OCTOBER 25, 1972.