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B-295737 1 (2005-04-19)

handle is hein.gao/gaocrptaqvd0001 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: USA Fabrics, Inc. File: B-295737; B-295737.2 Date: April 19, 2005 James McKinney for the protester. Todd Bailey, Esq., Department of Justice, and Laura Eyester, Esq., Small Business Administration, for the agencies. Kenneth Kilgour, Esq., and Christine S. Melody, Esq., Office of the General Counsel, participated in the preparation of the decision. DIGEST 1. Protest that solicitation requirement that the contractor maintain minimum levels of consignment inventory is unduly restrictive of competition is denied where the record establishes that the requirement was reasonably designed to ensure that the government's needs would be met. 2. Protest challenging agency decision not to set aside procurement for Historically Underutilized Business Zone (HUBZone) small businesses is sustained where decision was based on insufficient facts to establish reasonableness of conclusion that there are not two or more HUBZone business concerns interested in performing the requirement, or that contract would not be awarded at fair market price. DECISION USA Fabrics, Inc. protests the terms of solicitation No. CT1696-05, issued by Federal Prison Industries (FPI) for T-shirt fabric. USA Fabrics asserts that the solicitation, issued as a total small business set-aside, instead should have been set aside for HUBZone small businesses concerns. USA Fabrics also asserts that the solicitation is unduly restrictive of competition because the agency improperly required contractors to maintain a certain level of consignment fabric inventory. We sustain the protest in part and deny it in part.

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