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B-185302 1 (1976-08-30)

handle is hein.gao/gaobaddaq0001 and id is 1 raw text is: THE COMPTROLLER GENERAL A DECISION ;f-! i.) OF THE UNITED STATES V WASHINGTON, D.C. 20540 FILE: B-185302 DATE: August 30, 1976 MATTER OF: Society Brand, Inc. /0 Request for Reconsideration DIGEST: 1. In reaching prior decision whether to recommend termina- tion for convenience of improperly awarded contract, GAO should have considered estimated termination costs in re- lation to total amount of combined small business/labor surplus area set-aside award. GAO therefore recommends that Defense Supply Agency examine current feasibility -of terminating contract, and earlier decision is modified to this extent. 2. GAO decisions have recognized propriety of considering estimated costs in deciding whether recommendation that improperly awarded contract be terminated for convenience would be in Government's best interests. Contention that preserving integrity of competitive bidding system requires termination regardless of costs is not persuasive. 3. In regard to contention that bidder had no opportunity to comment on agency's termination for convenience estimate furnished to GAO, Bid Protest Procedures recognize appro- priateness of withholding information which, as here, agency believes is not subject to disclosure. 4. Even if labor union is assumed to be interested party, there is no indication that it submitted written comments during course of protest proceedings. Therefore, its let- ter submitted after decision was rendered is not for consid- eration in connection with pending request for reconsidera- tion of protest decision. Society Brand, Inc. (SBI), requests reconsideration of our decision in the matter of Propper International, Inc., et al., B-185302, June 23, 1976, 55 Comp. Gen. , 76-1 CPD 400. The decision found that the Defense Supply Agency (DSA) improperly awarded a contract because the awardee, Propper, was not a small business. The decision stated that termination for convenience was not recommended because (1) the estimated cost ($461,244 - $527,136 as of June 25, 1976) indicated that such action would PUBLISHED DECISI ON -1- 5Comp. Ga.........

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