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B-187253 1 (1977-03-15)

handle is hein.gao/gaobadelc0001 and id is 1 raw text is: . . THU COMPTROLLUN UENUPIAL DECISION .. . THM umT: H e:STrms %0 ~WASHINGTON.0. C. A0649 C FILa: 3-187253 DATE: Ibrch 15, 1977 MAATTER OF: Amrsu qowak Asouciates, Inc. II DIGEST: Claimant is not entitled to recover proposal praparatfon costs where record does not show that agency's rejection of oiferor's proposal was deliberate or arbitrary notwithstanding deficiencies noted .i agency's negutiation procedures. This decision involves the claim of:,auraw Nowak Associates, Inc. (Wwak) for bid pr'raton costs in tes amount-of $5G1.00. In our decision o Novs- ber 29. 1976. 76--2!CPD 454 this Office fund th1t the Department of ?dousing and -Urban Devel`pment (iUD) had erred in not conducting under the circusatances therein presented, meaningful discussions with Nowak prior to it accepting another proposal at a higher price and that its solicitation wa reieonably subject todiffarent interpretations. Rovevar, because the contract had been completed, was not i1legal atd the reccrd refletaed no deliberate or arbitrary-attempt to disqu;A'.ify Novak, no remedisl action was recommended other than that HUD insure that such procurement deficiencies not ht repeated. * The standard for determining whether to allow recovery of proposal preparation costs is whether the procuring ageney's actions were arbitrary and capricious toward the rejected offeror. TA! Coxpany, B-181261, June 9, 1975, 75-1 CPD 345;VThe McCarty Corporation v. Unfi td States, 499 F.2d 633 (Ct. Cl. 1974). We think-that the deficien- cies noted in this case were significant and impiroper but as the decision of November 29, 1976 notes, vwe are unable to find a deliberate or arbitrary attempt to disqualify Novak. At worst, the HUD evaluators ap'per tohave bean .11 error am to the tlarity of the solicitation and con- Lused as to what constitutes oral or written discussions a provided in Federal Procurement Regulations 5 1-3.805- -I1 nU

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