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B-185592 1 (1976-08-05)

handle is hein.gao/gaobadujm0001 and id is 1 raw text is: STHE~ COMPTROLLEF. GENEMAL DECISION OF THE UNITED STAT ES WASHINGTON, D. C. 2054B LITO FILE: B-185592 DATE: August 5, 1976 MATTER OF: C3, Inc., and Department of the Army Requests for Reconsideration DIGEST: 1. On reconsideration, decision is affirmed that successful offeror's proposed lease plan in procurement of automatic data processing equipment should have been rejected, be- cause it failed to meet requirement for fixed or deter- minable prices established in request for proposals. 2. While acceptability of other offerors' lease plans was not raised as issue in protest, GAO view is that to be acceptable under RFP any plan had to offer fixed or determinable prices for systems life of estimata6 quan- tity of systems expected to be ordered. If agency in reevaluating proposals is unable to satisfy itself that such plans-have been offered, GAO believes it would then have to consider letting present contracts expire and conducting resolicitation. 3. In response to agency's request for clarification, prior decision's termination for convenience recommendation was intended to apply to both continental United States and overseas contracts--though protest was filed only against continental U.S. contract--because same issue was involved and Government lacked reasonable'assurance of lowest over- all cost in making both awards. 4. Where contracting agency's estimate of termination for convenience costs--furnished in connection with request for reconsideration of earlier decision sustaining pro- test-is lower than GAO estimate which was developed prior to issuance of decision, no basis is seen to change corrective action recommendation. 5. GAO views contracting agency's request that computer systems already installed be exempted from effect of recom- mended termination for convenience as reasonable, since exemption would serve best interests of Government without depriving prospective awardee of meaningful protest remedy. .;.: ::': .-* ........... ............!- . i -! i i . : -i . . . .I. . . .. . .

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