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B-179048 1 (1973-10-04)

handle is hein.gao/gaobaadfi0001 and id is 1 raw text is: ;..A.t 4 p COMPTROLLER GENERAL OF TH UNITED STATts WASHINGTON, D.C. L421 -B8OCT 4 1973 PIAl Incorporated 2516 Jacksboro Hishway Fort Worth, Texn 76114 Attentiont M. W4lter L. .O'e1il Executive Vice President Gentlemen; This is in reply to your telefax message of June 29, 1973p end aubnequent correspondence, protesting against thsavard of a contract to fRaycoim Industries, Incorporatea, pursuant to request for proposals No. DAABO7-734--C413 issued by the United States Army Electronics Co mand, Fort Monmouth, New Jersey. The solicitation was for an 18-month( ime add materials indefinite quantity type contract/for maintqnance support documentation for communications, comblit surveillance and other types of equipment and systems, Seotion D of the UFP provided that award would be rade to the loy offoror based on the sum of group labor prices established by multiplying the Government's estimated man-hours by the cosposito labor rate quoted for each labor group (such as engineering, technical wr'itirm., clerical). The rate for each group was to be determined by averasing the rate specified for each labor category within the group. Of the P1 proposals received, faycomn's rovised proposal in the amount of $918,153 was low, while your prorcal of $1,063,065 was the tht.rd lowest otfcr received. Foll owing a preawiard rurvey of fayconm (the incu.bent cone tractor), the contracting officar determined that Raycoius was a responi- ble offeror and award was made to that firm. . You claim that Raycom's proposal indicated an engineering labor rate df *1.50 per hour, and that by acceptance of the proposal the Governtent is authorizing sub-ininimum wage scale. You also assort that either the Government's estimate of engineering man-hours is inflatd or that flaycoa' will go baikrupt attompting to perform the contract, and that in either event the Government will lose inoney, F* I.

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