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B-285645 1 (2000-09-08)

handle is hein.gao/gaocrptaldv0001 and id is 1 raw text is: 



                   -e GeAtOa
 __Comptroller General
                                                                  of the United States
United States General Accounting 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 been
                                                 approved for public release.

         Decision

         Matter of: American Management Systems, Inc.

         File:       B-285645

         Date:       September 8, 2000


         Devon E. Hewitt, Esq., Dennis E. Pryba, II, Esq., and Alex D. Tomaszczuk, Esq., Shaw
         Pittman, for the protester.
         William A. Roberts, III, Esq., Phillip H. Harrington, Esq., and William S. Lieth, Esq.,
         Wiley, Rein & Fielding, for KPMG Peat Marwick, an intervenor.
         Phillipa L. Anderson, Esq., Dennis Foley, Esq., and Phillip S. Kauffman, Esq.,
         Department of Veterans Affairs, for the agency.
         Henry J. Gorczycki, Esq., and James Spangenberg, Esq., Office of the General
         Counsel, GAO, participated in the preparation of the decision.
         DIGEST

         Organizational conflict of interest does not exist in procurement for financial
         management software where, while agency's integration contractor that provides
         advice and assistance to the agency concerning available software has an agreement
         with the selected software vendor to seek out opportunities to join together in a
         prime contractor/subcontractor relationship, that agreement does not apply to the
         protested procurement and the integration contractor has no other relationship with
         the selected vendor that creates a significant conflict of interest.
         DECISION

         American Management Systems, Inc. (AMS) protests a pro c urement by the
         Department of Veterans Affairs (VA) under General Services Administration (GSA)
         Federal Supply Schedule (FSS) contract No. GS-35F-4997H, for Joint Financial
         Management Improvement Program (JFMIP) certified software. AMS protests that
         assistance on this procurement given to VA by the agency's system integration
         contractor, KPMG Peat Marwick, creates an impermissible organizational conflict of
         interest.

         We deny the protest.

         Since 1992, VA has been using financial management software from AMS. Agency
         Report at 2. In 1998, VA began planning improvements to the agency's financial and

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