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B-310065 1 (2007-11-21)

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A         G    A    O                                                   Comptroller General
.       Accountability * Integrity * Reliability                         of the United States
United States Government Accountability Office
Washington, DC 20548                                    DOCUMENT FOR PUBLIC RELEASE
                                                       The decision issued on the date below was subject to a
                                                       GAO Protective Order. This redacted version has been
          Decision                                    .approved for public release.



          Matter of. NAC International, Inc.

          File:        B-310065

          Date:        November 21, 2007

          Daniel F. Stenger, Esq., Michael D. McGill, Esq., and Deborah A. Raviv, Esq., Hogan
          & Hartson LLP, for the protester.
          Robert H. Thompson, Esq., and Jarom T. Smartt, Esq., Tennessee Valley Authority,
          for the agency.
          Jonathan L. Kang, Esq., and Ralph 0. White, Esq., Office of the General Counsel,
          GAO, participated in the preparation of the decision.
          DIGEST

          1. The Tennessee Valley Authority (TVA), while a federal agency subject to GAO's
          bid protest jurisdiction under the Competition in Contracting Act (CICA), has its
          own statute, the TVA Act, which governs the agency's procurement procedures; as a
          result, the TVA is not subject to CICA's requirement to obtain full and open
          competition and is not required to comply with the Federal Acquisition Regulation.

          2. Protest challenging terms of solicitation as unduly restrictive is denied where
          agency had reasonable basis to conclude it would receive proposals that satisfied the
          agency's statutory requirement to obtain adequate competition.
          DECISION

          NAC International, Inc. protests the terms of request for proposals (RFP) No. SWO-
          200701, issued by the Tennessee Valley Authority (TVA) for provision of storage
          units for spent nuclear fuel at two TVA facilities. NAC contends that the solicitation
          is unduly restrictive of competition because its schedule of initial deliveries can only
          be met by the incumbent contractor.

          We deny the protest.

          BACKGROUND

          The TVA is a federal corporation which, among other responsibilities, provides
          power for a large area of the southeastern United States. The TVA operates various

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