[Protest of FDA Sole-Source Contract Award for Document Control Room Management]

A firm protested a Food and Drug Administration (FDA) sole-source contract award for document control room management, contending that FDA improperly denied it an opportunity to compete even though it had advised the agency prior to award that it was qualified to perform the services. FDA had initially negotiated with two firms under small business procedures; however, one firm failed to submit a proposal, and FDA negotiated a contract with the other firm. Subsequently, when the Small Business Administration refused to approve the proposed contract and problems developed in the control room due to the contract delay, FDA awarded a sole-source contract to the awardee. GAO found that: (1) an agency using the urgency exception may limit competition to one firm that it reasonably expects can perform the work; (2) the sole-source contract was for a period of 6 months; (3) the urgent circumstances justified the award of the short-term contract but not the inclusion of any options; and (4) FDA should not exercise the contract options. Accordingly, the protest was denied.