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B-408591 1 (2013-10-30)

handle is hein.gao/gaobadpvy0001 and id is 1 raw text is: i G A 0 Comptroller General c unb iiy *intgity ReIIbitty of the United States United States Government Accountability Office DOCUMENT FOR PUBLIC RELEASE Washington, DC 20548 The decision issued on the date below was subject to a GAO Protective Order. This redacted version has Decision .beenapprovedforpubic release. Matter of: Optex Systems, Inc. File: B-408591 Date: October 30, 2013 Albert B. Krachman, Esq., Brian S. Gocial, Esq., and Lucas T. Hanback, Esq., Blank Rome LLP, for the protester. David C. Hammond, Esq., and Grant J. Book, Esq., Crowell & Moring, LLP, for Seiler Instrument and Manufacturing Company, an intervenor. Wade L. Brown, Esq., and Benjamin A. Netzky, Esq., Department of the Army, U.S. Army Materiel Command, for the agency. Scott H. Riback, Esq., and Tania Calhoun, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. While there generally is no requirement for agencies to review prices for realism before competitively awarding a fixed-price contract, where a solicitation provides that the agency may reject proposals for offering prices that are too low, the agency is imposing on itself an obligation to review prices for realism. 2. Where the terms of a solicitation commit an agency to review prices for realism in connection with the award of a fixed-price contract, protest that agency essentially failed to a conduct cost realism evaluation of proposed prices is denied; although the Federal Acquisition Regulation provides authority to conduct such an analysis in exceptional cases when evaluating fixed-price proposals, nothing in the terms of the solicitation required the agency to perform such an analysis. 3. Protest that agency misevaluated awardee's proposal is denied where record shows that agency's evaluation was reasonable and in accordance with the terms of the solicitation and applicable procurement statutes and regulations; protester's disagreement with the agency's evaluation does not provide a basis to sustain its protest. DECISION Optex Systems, Inc., of Richardson, Texas, protests the award of a contract to Seiler Instrument and Manufacturing Company, of St. Louis, Missouri, under

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