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B-176334 1 (1973-01-16)

handle is hein.gao/gaobadduu0001 and id is 1 raw text is: 



                COMPTROLLER GENERAL OF THE UNITED STATES
                          WASHINGTON, D.C. 20548



                                             January 16, 1973




PAE international
6oo South Harvard Boulevard
Los Angeles, California  90005

     Attentions  Mr. Diward A. Shay
                 President

Gentlemen:

     Your letters of June 23 and September 1, 1972, protest the award of
a contract to Taihei Den&yo Kaiaha, Ltd., by the United States Army Pro-
curcment Agency, Japan, under request for proposals (PXP) DAJB1772-R-0139,
on the ground that procedural errors prejudicial to PAE took place during
negotiations leading to the award of a contract to your competitor.

     The subject  P  requested offers for a services contract for the
operation, maintenance and repair of utility plants, systems and facili-
ties at certain United States Forces installations in Japan and was nego-
tiated pursuant to 10 U.S.C. 2304(a)(6), which permits negotiation where
the property  r services involved are to be procured and uced outside of
the United States.  The IRP vas issued on February 1, 1972, and set Febru-
ary 22 as the proposal submission date.  The initial offers of the three
offerors determined to be responsible and within the competitive range,
expressed in Japanese yen as required by the UP,  are set out below;

     PAE International                  1350,148,888 (Corrected)
     lavabata Kensetsu                   387,8O1,538
     Taihei Dengyo                       390, 334,000

     (The EPP atipulated a yen to dollar ratio of 308 to 1)

     Pollowing negotiations, final offers were submitted, with PAE elect-
ing to resubmit, its initial offer because no changes in specifications or
scope orf work resulted from negotiations. In this cantext, PAZ believed
that its original offer was realistic anA reasonable. All  three final
,offers were within l percent of the Government's estimate of 1347,824,2754
The final offers are set out belows

     Taihei w)ngyo                      v366,0
     PAR International                   350,1i3,dS
     Kaabata  Kenetsu                    352,106,892 (Carrected)


                                                    --   **E:-E    orno
                                                       52 Com-p, Gen._,

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