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B-178071 1 (1973-05-22)

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           B- 178071                              ).Wy 22, 1973





           Fox and McGregor
           2011 Eye St.-eet, it. W.
           Washington, D. C. 20006

               Attention: Halcolm P. cGregor, Esq.

           Gentlemen:

               Reference is made to your telegram of February 21. 1973,
           nd subsequent cownunications protesting the award of a contract
           to'anyone other than your client, L'1(RO Laboratories, nc., uder
           Invitation for flida (IF) U00039-73-B-0121, iccued November 15,
           1972, by the Department of the Navy, Naval Electronic Systet.
           Corand   Washington# D, C., as Step TX of a two-step formally
           advertised procurement. Your protest 1.a focused upon the amount
           of time, number of inquiries and responies'.necessary to render
        S.1fA's proposal acceptable,

               Unler Step It Request for Proposals NIo. H00039-72-R-0121(Q),
           dated Fuur,-ry 9, 1972, technical proposals without prices or cost
           estimates uere solicited for the production and delivery of quantities
           of the ANIFSA-58 Comnication Control Syate for UperatLonal
           Communications System plus accessories and repair parts therefor.

               The recetd states that proposals fr.2 six firis were received
           end, upon tfhnical evaluatLon, three propoaals were determined
           to be uracceptable and those firmsw ere so Mdvisd.  The proposals
           of your rtlient0 Virginia ElectronLcc Cowpany, Inc. (VILCO), and
           TechnLcaV 1.duotrLal Associates, Inc. (flA), vwere determined to be
           reasonably susceptible of being made acceptable. Accordingly, these
           latter firms were advised of the deficioncies in thvlir respective
           proposale, and were instructed to submit clarifying tind aupplemen-
           I:cry informt:ion directed to the correction of such dueficiencies.
           At various timu&,s further iUformation of this natu:e yeas solicited
           l.rom each of) these offerors until, by November 1, 1972, all thee
           proposals were detorumined acceptable. Consequently, thi subject
           XFB (Step it) was issued to thene offerora, and bid opening on
           L)ecember 12, 1972, revealed TiA as the low bidder at a total amount
           of $3,485,830, followed by your client at $3,887,826p and VELCO e
           04,455,647,

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