[Protest of Army Failure To Exercise Option]

A firm protested the Army's failure to exercise its option to extend its contract with the protester, contending that the Army was required by federal regulations to extend the contract because the protester's performance was satisfactory and there were no significant changes to the contract. GAO held that it: (1) was unaware of any federal regulation that required an agency to exercise a contract option; and (2) would not consider the protest because it was a matter of contract administration. Accordingly, the protest was dismissed.