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G A 0 Comptroller General
SIntegrity Reliability of the United States
~ccountabthty Inert Rea iy
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: PharmChem, Inc.
File: B-292408.2; B-292408.3
Date: January 30, 2004
Joseph P. Hornyak, Esq., Hector Garcia-Santana, Esq., and Renee C. Macri, Esq.,
Sonnenschein Nath & Rosenthal, for the protester.
John Peterson for Kroll Laboratory Specialists, the intervenor.
Roberta M. Echard, Esq., Demetria T. Carter, Esq., and Dinah Stevens, Esq.,
Administrative Office of the United States Courts, for the agency.
Guy R. Pietrovito, Esq., and James A. Spangenberg, Esq., Office of the General
Counsel, GAO, participated in the preparation of the decision.
DIGEST
In a negotiated procurement for urinalysis drug testing services that provided for a
cost/technical tradeoff basis for award under which technical merit was significantly
more important than price, agency reasonably awarded a contract to the significantly
higher-priced awardee where the agency found, based upon the protester's
performance of its incumbent contract and Department of Health and Human
Services test reports of the protester's laboratory, that protester presented more
significant performance risks than the awardee.
DECISION
PharmChem, Inc. protests the award of contract to Kroll Laboratory Specialists
under request for proposals (RFP) No. USCA-03-R-0029, issued by the Administrative
Office of the United States Courts for urinalysis drug testing services. PharmChem
challenges the agency's evaluation of proposals and source selection decision.
We deny the protest.
The RFP provided for the award of three indefinite-delivery/indefinite-quantity,
fixed-price contracts to conduct urinalysis drug testing services for United States
Probation Offices and Pretrial Services Offices in the East, Midwest, and West
regions of the United States. Offerors were permitted to submit one proposal for a
single region, in which the offeror was located, and were informed that [t]his shall
result in three separate contract awards based upon the regions. RFP § M.9. This
protest concerns the award for the Midwest region.](ViewImageLocal?handle=hein.gao/gaocrptaphq0001&div=1&collection=&method=preview&ext=.png&size=3)