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PLRD-83-67 1 (1983-04-27)

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 PROCUREMENT, LOGISTICS. RELEASED
 AND READINESS DIVISION                               APRIL 27, 1983

 B-211177

 The Honorable Lawton Chiles
 United States Senate

 The Honorable Don Fuqua                                 121400
 House of Representatives

     Subject: 'The Navy's Award of a Contract for Appraisal
                Services,(GAO/PLRD-83-67)

     In response to your requests, we reviewed the contract
awarded by the Naval Facilities Engineering Command (NAVFAC),
Southern Division, Charleston, South Carolina, for appraisal
services by a professional forester. Our review confirmed that
your constituent had requested and been refused an opportunity to
submit a proposal as stated in his letter to you. The refusal was
based on the fact that NAVFAC used a modified rotating bidders'
list system to select contractors to be solicited and would not
provide a solicitation to other than those originally solicited.
Further, NAVFAC officials stated that your constituent had
received an earlier contract for similar services, and NAVFAC's
policy is to spread work among qualified appraisers.

     To assess the procedures followed in the award of this con-
tract, we examined documents in the contract file and discussed
the contracting process with a representative of NAVFAC. We also
reviewed sections of the NAVFAC real estate manual. We used the
Defense Acquisition Regulation (DAR) and previously issued Comp-
troller General decisions to evaluate the information obtained.
We made the review in accordance with generally accepted govern-
ment audit standards.

     The Comptroller General has ruled in three decisions
(B-182858 of Apr. 22, 1975; B-186425 of July 26, 1976; and
B-198360 of Dec. 9, 1980) that using rotating lists of potential
bidders is proper if the agency strictly adheres to the
requirement of placing a synopsis of all (with certain exceptions)
proposed procurements over $10,000 in the Commerce Business Daily
(CBD). The CBD provides potential offerors or bidders an
opportunity to learn of proposed procurements and request copies
of the solicitations. These decisions also held that procuring
agencies * * * must provide a copy of the solicitation to
potential offerors, upon request, and procuring agencies must
consider proposals submitted by all offerors on the prequalified
lists.


(942228)

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