A firm protested the Army's rejection of its bid and proposed contract award for facility operation and maintenance, contending that the Army improperly based award on initial offers, since the auditor initiated discussions during the preaward evaluation. GAO held that the Army was not precluded from making award based on initial offers, since the: (1) audit was intended to gather information; and...

PROCUREMENT - Competitive Negotiation - Contract awards - Initial offer awards - Propriety Award to low acceptable offeror on basis of initial proposals was proper even though protester. There was no indication that the awardee would reduce its price in a BAFO. The evaluators were provided with the price proposals. SelectTech's proposed price was $2. DMS' was $2. 694 was viewed as excessively high...