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B-188389 1 (1977-02-28)

handle is hein.gao/gaobadekc0001 and id is 1 raw text is: 



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  *1                                   :.THE COMPTROLLER ONERAL
               DECIBIUN                     OP ..ae UNITED ETATEU
                                            WAUHOW#.TON. 0. C. 10545



               FILE:       5-1883M9                DATE:   ftbrary   g  17=

               S MATTER  OF:    Lulejian & Asociates,  Inc.


               DIGEBT:

                        Rejection of low small business proposal where SBA
                        declined to issue certificate of competency is not
                        matter for resolution pursuant to GAO's bid protest
                        function.

                   This Is a protest by Lulejian & Associates, Inc. (Lulejian),
              conceriiing the rejection of its proposal under request for proposals
              No. 704704-7-t-0023 issued by the Space and Missile Systems Organiza-
              tion, Noton Air Force Base, Califoria.

                   Lulejian wa found to be nonrasponsible -by the contracting
              officer.  Since Lulejian is a small business concern, the matter
              was referred to tbeSmall Business Administration (SBA) pursuant
              to Armed Services Procurement Regulaton (ASPR) § 1-705.4 (1976
              ad.) for a determination as to whather a Certificate of Competency
              (COC) would be issued. Pursuat  to 15 U.S.C. 637(b)(7) (1970),
              SEA is empowered to certify conclusively to Government procurement
              officials with respect to the competency and credit of any small
              business concern to perform specific Government contracts. SEA
              declined to issue Lulejian a CDC for this contract.

                   Lulejian believes the denial of the COC was arbitrary, capricious
              and unreasonable and based on an erroneous interpretation of SEA's
              regulations.

                   Our Office does not involve itself in protests concerning
              rejection of a small business proposal in which SEA has refused
              to Issue a COC. This is so because the statute which established
              the adshistrativ' proteas for conclusively determining the capacity
              and credit of a small business concern places the primary jurisdic-
              tion therefor ir2 the SBA. Accordingly, this effice does not review
              SEA detemination  in such matters and we have no authority to


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