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B-283731.2 1 (1999-12-21)

handle is hein.gao/gaocrptajnf0001 and id is 1 raw text is: 

   h
                   -e GeAtOa
 E                                                             Comptroller General
                                                                of the United States
United States General Accounting Office
Washington, DC 20548



         Decision


         Matter of: N&N Travel & Tours, hie.

         File:      B-283731.2

         Date:      December 21, 1999


         Josephine L. Ursini, Esq., for the protester.
         Julius Rothlein, Esq., David P. Ingold, Esq., and Maj. Carlos P. Kizzee, U.S. Marine
         Corps, for the agency.
         Paul E. Jordan, Esq., Glenn G. Wolcott, Esq., and Paul Lieberman, Esq., Office of the
         General Counsel, GAO, participated in the preparation of the decision.
         DIGEST

         1. Agency solicitation seeking proposals for travel services at no cost to the
         government does not violate prohibitions against improper augmentation of
         appropriations nor is it otherwise improper where statute specifically permits the
         accrual to the Department of Defense of credits, discounts, and commissions
         received under travel services contracts, and contractor receives consideration
         through receipt of exclusive access to book official travel.

         2. In travel services procurement where solicitation provides for contractor to
         obtain operating expenses from commissions paid by third parties, protest that risk
         of commission reductions makes the commission provisions unfair is denied.
         Agencies have discretion to impose maximum risks upon the selected contractor and
         minimum administrative burdens upon the agency.
         DECISION

         N&N Travel & Tours, Inc. protests the terms of request for proposals (RFP)
         No. M67400-00-R-0009, issued by the U.S. Marine Corps for travel management
         services for the Corps's Camp S.D. Butler, Okinawa, Japan. N&N contends that the
         RFP is defective because it improperly contemplates the award of a fixed-price,
         commission-based contract, which would also result in an unauthorized
         augmentation of appropriated funds.


We deny the protest.

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