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United S'i-: flncrai Accountingi Offic
'/ashirqj.,'; 0 ?!05-;3
Office of
General Counsel
In Reply.
Rfer t.3- 19 5 2 6 8
The Honorable Clement a. Zalioe
)Jou6e of. Jleprescntatlvcs
letar fr. Zabloc):
We refor to yo~lr interest
IclicopLer ' extron against the
Aetospatiale He]icopter Corpora
of Transporation, Unlited States
April 24, 1980
L0 i'; ;, toP~d,,),
in tile protest of Bell
contract awarded to
dton by the ;epartment
Coast Guard.
Encloned J s a copy of our decision of December 21,
J979, denying the protest of Bell Hlelicopter Textron.
Because we detormined in the decision that the
airframe Included In the 101C helicopter is manufactured
ini Prance, and DOT indicated that the cost of the air-
frame constitutes more thvn 50 percent of the cost of
all the other components, we disagreed with DOT that
the helicopter is a domestic product for Buy American
Act purposes and foncluded that it is foroign fHowever,
we found that, evon if the differential required to be
applied to the A1C cost proposal by the implementation
of that acl. were used, it would not change AM1C's standing
os the successful offeror. This is because, even though
the addition of the differential to AIIC's cost proposal
for cost: evaluation purposes made it higher than Bell's
cost proposal, the technical advantage in A11C's proposal
under the evaluation procedure provided in the request
for propouals outweighed the cost advantage,
Aside from the Buy American Act issue, Bell
contended that the helicopter offered by A11C was not
a direct derivative of the helicopter which AVC offered
for fliqht testing. In that connection, the RFP had
a ruquir-enent that the offered helicopter be directly
derived from the'.flight-tested helicopter. We denied
t-.his basiv for the protest because we found that the
provision in which the requirement is included when
read as a whole intended that the flight-tested air-
craft have the potential to ineet the agency's mission
and performance requirements and DOT determined that
the flight-tested helicopter had that potential.
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