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B-280766.3 1 (1999-04-12)

handle is hein.gao/gaocrptajet0001 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 GAO Protective Order. This redacted version has been approved for public release. Matter of: E. L. Hamm & Associates, Inc. File: B-280766.3 Date: April 12, 1999 Howard W. Roth III, Esq., Michael L. Sterling, Esq., and Arthur Serratelli, Esq., Vandeventer Black, for the protester. Capt. Joseph L. Fuller, Department of the Army, for the agency. Paula A. Williams, Esq., and Michael R. Golden, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Evaluation of awardee's proposal for cost-reimbursement contract was unreasonable where awardee's cost proposal was based on use of personnel in labor category with wage determination labor rate substantially lower than that of labor category required to perform tasks set out in solicitation's performance work statement. 2. Protest is sustained where agency did not assess the realism of the awardee's proposed overhead rate, which was significantly below its most recent Defense Contract Audit Agency (DCAA) approved rate. DECISION E. L. Hamm & Associates, Inc. (Hamm) protests the award of a contract to Communication Technologies, Inc. (Comtek) under request for proposals (RFP) No. DABT60-98-R-0014, issued by the Department of the Army for storage and warehouse services at the Army Training Support Center (ATSC), Fort Eustis, Virginia. Hamm, the incumbent subcontractor, challenges various agency actions with regard to this procurement, including the agency's failure to perform a proper cost realism evaluation and the agency's source selection decision. We sustain the protest. The primary mission of the ATSC is the storage and distribution of training materials. These training materials include correspondence course books, tapes, compact discs, videotapes, posters, testing materials, training support plans, soldier handbooks, and other training materials. These materials are shipped to the

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