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B-186049 1 (1976-11-11)

handle is hein.gao/gaobadegm0001 and id is 1 raw text is: 




                              ON       THE  COMPTSOLLI.R GENERAL
            DECISION                   OF  THE UNITED BTATES
                                       WAS-fINGTON,, C.. 2054l



            FILE:     B-186049               DATE:     November 11, 1976

            MATTER   OF:      701st Personnel Services Company


            DIGEST:

            1.  Advance  knowledge of proposed procurement given to member
                 of Army Reserve unit afforded him unfair competitive advan-
                 tage over other prospective offerors. However, since no
                 other proposals were submitted and agency proposes steps to
                 prevent recurrence of advance knowledge, no further action
                 Is required.

.           2.  Where member  of military reserve unit participates in pre-
                paration of specifications for contract to be awarded by unit,
                conflict of interest arises where member is allowed to compete
                for contract. Situation 'is similar to that described in Appendix G
                of ASPR concerning organizational conflict of interest.

            3.  Geographical restriction in specification is not shown to be unduly
                restrictive of competition in absence of evidence to indicate that
                requirement fails to represent actual needs of procuring agency.

                An  enlisted member of the 701st Personnel Services Company
            (PSC), U.S. Army Reserve, Ada,  Oklahoma, questionsthe pro-
       *    priety of the award of contract DABT39-70-C-3047, for automated
            data processing services for the 701st PSC, to the Computer Utility
            Corporation (CUC) by\ e Procurement Division, U. S. Army Field
            Artillery Center, Fort Sill, Oklahoma. It is, contended that the
            award to CUC constitutes a conflict of interest.because the owner
            of CUC, who is an enlisted reservist in the 701st PSC, participated
            in the development of the specifications. The protester also con-
            tends that the specifications were unduly restrictive of competition
            as a result of a requirement that the contractor's data processing
            facility be within a 50 mile radius of the 701st /,PSC) unit. While
            the Army points out that these issues may not have been raised
            by an interested party under our Bid Protest Procedures, 4 C. F. R.
            20.1(a) (1975), the Army dooms these issues to be worthy of
            consideration since the integrity of its procurement process has
            been challenged by a member of the reserve unit involved.

                The Army  has noLed in its report that paragraphs 1-5 and 4-2a(3)
            of Army Regulation 600-50 (April 15, 1972, as anuided) prohibit the
            release of advance information regarding proposed procurements to
            any individual or any individual businerss concern. The rcporL SttstOS:

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