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B-183704 1 (1975-10-10)

handle is hein.gao/gaobadcup0001 and id is 1 raw text is: (,%LER THE COMPTROLLER GENERAL DECISION OF THE UNITED STATES WASHINGTON, D.C. 2054E FILE: B-183704 DATE: October 10, 1975 MATTER OF: Teledyne Lewisburg Oklahoma Aerotronics, Inc. DIGEST: Contracting agency's reasonable estimate of man-hours necessary for satisfactory performance of fixed-price contract may not be relied on to reject proposals which contain significant deviation from estimates without asking offerors to explain discrepancies since pro- posals may nonetheless be advantageous to the Government. Since record indicates that two offerors were not adequately informed of existence of deviation prior to rejection of their proposals, they should now be allowed to explain their proposed utilization of man- hours and have their proposals reevaluated on that basis. Teledyne Lewisburg and Oklahoma Aerotronics, Inc. (OAI), have protested the rejection of their proposals and award of a contract to any other offeror by the United States Army Electronics Command (ECOM) under request for proposals (RFP) No. DAABO7-75-R-0776, which con- templated the award of a firm, fixed-price contract for the production of 1, 200 AN/ARC-115 ( ) radio sets. Both proposals were rejected be- cause they offered substantially less man-hours than ECOM's estimate of man-hours necessary for successful contract performance; both pro- testers claim that the ECOM estimates were inflated and of little appli- cability to their respective proposals. In addition, Teledyne claims that it in fact offered the approximate number of man-hours ECOM desired, but that ECOM failed to realize this because it neither properly evaluated the Teledyne proposal nor conducted meaningful negotiations with it. The RFP contained the following information relevant to evaluation of proposals: EVALUATION AND AWARD FACTORS D.1 Basis for Award a. All proposals will be evaluated against the evaluation factors and subfactors set forth in D. 2 below. To receive consideration for award, a technical rating of acceptable must be achieved in each factor and subfactor. Any award to be made shall be to that responsive, responsible offeror who submits the technically acceptable, lowest priced proposal. -1-

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