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B-218104, FEB 12, 1985, 85-1 CPD 190

B-218104 Feb 12, 1985
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CONTRACTS - SMALL BUSINESS CONCERNS - AWARDS - SMALL BUSINESS ADMINISTRATION'S AUTHORITY - CERTIFICATE OF COMPETENCY - CONCLUSIVENESS DIGEST: GAO WILL NOT REVIEW THE SMALL BUSINESS ADMINISTRATION'S (SBA) REFUSAL TO ISSUE A CERTIFICATE OF COMPETENCY. CMN CONTENDS THAT THE AGENCY AND SBA DETERMINATIONS WERE IMPROPER. WE WILL NOT UNDERTAKE AN INDEPENDENT REVIEW OF A CONTRACTING OFFICER'S NONRESPONSIBILITY DETERMINATION WHERE THE SBA AFFIRMS THE DETERMINATION BY REFUSING TO ISSUE A COC. THIS OFFICE WILL NOT REVIEW THE SBA DECISION UNLESS THERE IS A SHOWING THAT IS STEMMED FROM FRAUD OR BAD FAITH OR UNLESS IT IS ALLEGED THAT THE SBA DID NOT FOLLOW ITS OWN REGULATIONS OR DID NOT CONSIDER MATERIAL INFORMATION.

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B-218104, FEB 12, 1985, 85-1 CPD 190

CONTRACTS - SMALL BUSINESS CONCERNS - AWARDS - SMALL BUSINESS ADMINISTRATION'S AUTHORITY - CERTIFICATE OF COMPETENCY - CONCLUSIVENESS DIGEST: GAO WILL NOT REVIEW THE SMALL BUSINESS ADMINISTRATION'S (SBA) REFUSAL TO ISSUE A CERTIFICATE OF COMPETENCY, ABSENT A SHOWING OF POSSIBLE FRAUD OR BAD FAITH ON THE PART OF GOVERNMENT OFFICIALS OR ALLEGATIONS THAT SBA DID NOT FOLLOW ITS OWN REGULATIONS OR DID NOT CONSIDER MATERIAL INFORMATION, SINCE THE SMALL BUSINESS ACT GIVES SBA CONCLUSIVE AUTHORITY TO DETERMINE ALL ELEMENTS OF SMALL BUSINESS RESPONSIBILITY.

CONSOLIDATED MARKETING NETWORK, INC.:

CONSOLIDATED MARKETING NETWORK, INC. (CMN), PROTESTS THE REJECTION BY THE DEPARTMENT OF THE NAVY, LEMOORE NAVAL AIR STATION, OF ITS BID UNDER INVITATION FOR BIDS NO. N62474-83-B-5941 AND REQUESTS TERMINATION OF THE CURRENT CONTRACT AND AWARD TO CMN. WE DISMISS THE PROTEST.

THE CONTRACTING OFFICER FOUND CMN NONRESPONSIBLE AND REFERRED THE MATTER TO THE SMALL BUSINESS ADMINISTRATION (SBA) FOR POSSIBLE ISSUANCE OF A CERTIFICATE OF COMPETENCY (COC). THE SBA REVIEWED THE MATTER, BUT DECLINED TO ISSUE A COC. CMN CONTENDS THAT THE AGENCY AND SBA DETERMINATIONS WERE IMPROPER.

THE SBA HAS CONCLUSIVE AUTHORITY TO REVIEW A CONTRACTING OFFICER'S NEGATIVE DETERMINATION OF RESPONSIBILITY AND TO DETERMINE A SMALL BUSINESS' RESPONSIBILITY BY ISSUING OR REFUSING TO ISSUE A COC. 15 U.S.C. SEC. 637(B)(7) (1982). CONSEQUENTLY, WE WILL NOT UNDERTAKE AN INDEPENDENT REVIEW OF A CONTRACTING OFFICER'S NONRESPONSIBILITY DETERMINATION WHERE THE SBA AFFIRMS THE DETERMINATION BY REFUSING TO ISSUE A COC. SPECO CORP., B-211353, APR. 26, 1983, 83-1 CPD PARA. 458.

MOREOVER, IN LIGHT OF SBA'S STATUTORY AUTHORITY, THIS OFFICE WILL NOT REVIEW THE SBA DECISION UNLESS THERE IS A SHOWING THAT IS STEMMED FROM FRAUD OR BAD FAITH OR UNLESS IT IS ALLEGED THAT THE SBA DID NOT FOLLOW ITS OWN REGULATIONS OR DID NOT CONSIDER MATERIAL INFORMATION. GAO BID PROTEST REGULATIONS SEC. 21.3(F)(3), 49 FED.REG. 49417, 49421 (1984) (TO BE CODIFIED AT 4 C.F.R. PART 21); TOMKO, INC., B-210023.2 ET AL., FEB. 15, 1984, 84-1 CPD PARA. 202. CMN DOES NOT ALLEGE THAT FRAUD OR BAD FAITH CAUSED THE SBA'S REFUSAL TO ISSUE A COC OR THAT THE SBA FAILED TO FOLLOW ITS OWN REGULATIONS OR TO CONSIDER MATERIAL INFORMATION. THEREFORE, WE WILL NOT CONSIDER ITS PROTEST.

THE PROTEST IS DISMISSED.

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