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B-299165 1 (2007-02-26)

handle is hein.gao/gaocrptaudj0001 and id is 1 raw text is: 




A         G    A    O                                                 Comptroller General
.       Accountability * Integrity * Reliability                       of the United States
United States Government Accountability Office
Washington, DC 20548



          Decision


          Matter of: Delaware Resource Group of Oklahoma, LLC

          File:        B-299165

          Date:        February 26, 2007

          Jared B. Cawley, Delaware Resource Group of Oklahoma, LLC, for the protester.
          Alton E. Woods, Esq., and Sherry K. Kaswell, Esq., Department of the Interior, for the
          agency.
          Linda C. Glass, Esq., and Glenn Wolcott, Esq., Office of the General Counsel, GAO,
          participated in the preparation of the decision.
          DIGEST

          Agency properly canceled invitation for bids and terminated protester's contract
          awarded thereunder where the agency reasonably determined that there were
          material flaws in the procurement process on which award to the protester was
          based.
          DECISION

          Delaware Resource Group of Oklahoma, LLC (DRG) protests corrective action taken
          by the Department of Interior in canceling invitation for bids (IFB) No.
          RMG00060009, for support services related to distribution of Delaware Indian
          judgment funds, and terminating a contract awarded to DRG under that solicitation.
          DRG maintains that the agency's initial source selection decision and award to DRG
          was proper and that the corrective actions are arbitrary and capricious.

          We deny the protest.

          In June 2006, the Department of the Interior, Bureau of Indian Affairs, published the
          IFB at issue here as a 100 percent Service-Disabled Veteran-Owned Small Business
          (SDVOSB) set-aside, seeking support services associated with the development of a
          per capita payment roll for the distribution of Delaware Indian judgment funds.
          Consistent with the sealed bidding provisions of Federal Acquisition Regulation
          (FAR) Part 14, the IFB stated: [c]ontract award will be made to the lowest
          responsive and responsible bidder. IFB at 2. Directly conflicting with that IFB
          provision, as well as with the FAR Part 14 requirements regarding sealed bids, the
          IFB also stated: The contract will be awarded on the basis of the lowest and best

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