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B-278715 1 (1998-03-05)

handle is hein.gao/gaocrptahpw0001 and id is 1 raw text is: oComptroller General of the United States Washington, D.C. 20548 Decision DOCUMENT FOR PUBLIC RELEASE The decision issued on the date below was subject to a I GAO Protective Order. This redacted version has been approved for public release. Matter of: The Centech Group, hie. File: B-278715; B-278715.2 Date: March 5, 1998 Michael A. Hordell, Esq., and Laura L. Hoffman, Esq., Gadsby & Hannah, for the protester. Robert M. Nutt, Esq., for Kathpal Technologies, Inc., an intervenor. William L. Murphy, Esq., and John F. Schorn, Esq., Department of the Treasury, for the agency. Andrew T. Pogany, Esq., and John M. Melody, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Contracting agency engaged in meaningful discussions where it advised offeror during written discussions that composite labor category prices for services contract were either too high or too low and it gave offeror more specific indications of its concern during oral discussions, even though the agency did not specify which categories were high and which were low; contracting agency is not required to conduct all-encompassing discussions, but is only required to lead offerors into those areas of their proposal needing amplification, given the context of the procurement. 2. Contracting agency properly determined that offeror's price proposal was unrealistically low based on comparison with prices received from other offerors, the independent government estimate, market survey prices, and the current contract price. DECISION The Centech Group, Inc., the incumbent contractor, protests the award of a contract to Kathpal Technologies, Inc. under request for proposals (RFP) No. A-97- 04, a competitive section 8(a) set-aside, issued by the Department of the Treasury for support services for software applications maintenance, development, and testing. Centech contends that the agency's evaluation of its proposal, especially its determination that the firm's prices were unrealistic and unacceptable, was unreasonable. We deny the protest.

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