[Protest of HHS Modification of Contract]

A firm protested the modification of a Department of Health and Human Services contract which had been awarded to a university for testing effects of the Head Start program. The protester and the awardee were both awarded contracts for different aspects of the testing program. However, the protester's contract was terminated for the convenience of the Government because of contractual problems and cost overruns. Subsequently, the university's contract was modified and the protester's responsibility was transferred to the university. The protester argued that the modification exceeded the scope of the university's contract, that its own contract should not have been terminated, and that the modification resulted in a sole-source award to the university. GAO found that a sole-source award was justified since the agency had a reasonable basis to determine that only the university had the ability to accomplish the required tasks within the necessary timeframe. Accordingly, the question of whether the modification exceeded the scope of the university's contract was not addressed. GAO does not review an agency's decision to terminate a contract for the convenience of the Government except in circumstances not applicable to this case. Accordingly, the protest was denied.