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B-219886.2 1 (1986-02-05)

handle is hein.gao/gaobadmed0001 and id is 1 raw text is: THE COMPTROLLER GENERAL O CISION . OF THE UNITEO STATES WASHINGTON. 0. C. 20548 FILE: B-219886.2 DATE: February 5, 1986 MATTER OF: Malco Plastics--Reconsideration DIGEST: Request that GAO revise recommendation that agency not exercise any options under awarded contract and instead recommend termination for convenience is denied since record shows that termination of current contract and resolicitation would not be in the government's best interests. Malco Plastics requests reconsideration of our recommendation for corrective action in Malco Plastics, B-219886, Dec. 23, 1985, 85-2 CPD I , in which we sustained Malco's protest concerning a geographic restriction imposed by the General Services Adminis- tration (GSA) for the operation and maintenance of the United States National Credit Card Program. We sustained Malco's protest since we found that the geographic restriction unduly restricted competition. GSA awarded a contract despite Malco's protest based on a determination that the services were urgently needed. Because of this determination and in view of the startup period required by a new contractor, we did not recommend terminating the current contract and resoliciting offers. Rather, we recommended that GSA not exercise any options under the contract and conduct a new competition on a basis that removes the current geographic restric- tion. In addition, we awarded Malco the costs incurred by the firm in filing and pursuing the protest. Malco contends that terminating the present contract and resoliciting at this time would still result in a cost savings to GSA in the current contract year and, as a result, requests that we reconsider our decision on this issue. In addition, Malco requests that we direct GSA to issue the revised solicitation at least 6 months before the end of the basic contract period so that some of the problems encountered with the current solicitation might be avoided. Finally, Malco requests that we reimburse the firm directly.

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