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B-275193 1 (1997-01-29)

handle is hein.gao/gaocrptafts0001 and id is 1 raw text is: oComptroller General of the United States Washington, D.C. 20548 Decision Matter of: Sun Company, Inc. File: B-275193 Date: January 29, 1997 Ronald H. Uscher, Esq., and Nick R. Hoogstraten, Esq., Bastianelli, Brown, Touhey & Kelley, for the protester. J. Keith Burt, Esq., McKenna & Cuneo, for MAPCO Alaska Petroleum, Inc., an interveno r. Karen E. Schools, Esq., Defense Logistics Agency, for the agency. Win. David Hasfurther, Esq., John Van Schaik, Esq., and Michael R. Golden, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest that in procurement for fuel, agency should be required to include in bid evaluation all costs associated with government controlled facilities which play a role in the transportation of FOB origin offers is denied where the costs at issue are uncertain and speculative and are largely fixed, in other words, would exist regardless of which firms are awarded contracts. DECISION Sun Company, Inc. protests the method proposed by the Defense Fuel Supply Center (DFSC) to evaluate prices under request for proposals (RFP) No. SP0600-97- R-0061, issued for DFSC's annual purchase of bulk fuel for the gulf and east coasts. We deny the protest. DFSC makes two major bulk petroleum purchases each year to cover fuel requirements for approximately 400 locations. The agency uses a computer program in its evaluation under those procurements to determine the combination of contract awards that will result in the lowest overall cost to the government. This computer program, or bid evaluation model, calculates evaluated prices based on consideration of numerous factors including: (1) locations requiring fuel; (2) the volume of fuel to be procured for each location; (3) acceptable methods of delivery for each location; (4) identity of each offeror; (5) quantities offered, (6) methods of delivery offered; (7) contingencies in offers, such as all-or-none offers, or maximum and minimum quantities; and (8) transportation costs. 449129

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