B-222109.2: May 21, 1986

A firm protested the Army's rejection of its bid for moving services as unbalanced, contending that the rejection was improper since its prices were neither overstated nor understated. GAO noted that, although the protester was the incumbent contractor, it submitted a bid that reflected significant start-up costs. GAO held that the Army properly rejected the bid as materially and mathematically un...

B-222109.2: May 21, 1986

ANY ASSESSMENT AS TO WHETHER OR NOT A BID IS MATHEMATICALLY UNBALANCED MUST GO BEYOND THE PERCENTAGE DIFFERENTIALS BETWEEN BASE AND OPTION YEAR PRICES TO DETERMINE IF IN FACT THOSE PRICES ARE ACCURATE REFLECTIONS OF THE ACTUAL COSTS TO BE BORNE BY THE BIDDER IN PERFORMING EACH YEAR OF THE CONTEMPLATED CONTRACT. WAS PROPERLY REJECTED AS MATERIALLY UNBALANCED WHERE THE AGENCY HAD CLEAR REASON TO DOU...