Large Business Tossed Out For Low Subcontracting Goal

A large business was tossed out of a government competition because the company’s small business subcontracting goal was substantially below the agency’s stated goal.

In a recent bid protest decision, the GAO held that the agency acted reasonably when it rated the large business as “unacceptable” for failing to propose a sufficiently high small business subcontracting goal.

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Small Business’s FedBid Suspension Was Improper, Says GAO

The suspension of a small business’s FedBid account was improper because the matter was not referred to the SBA under the SBA’s certificate of competency procedures.

In an important decision for small businesses participating in reverse auctions, the GAO recently held that FedBid could not properly suspend a small business’s user account for a supposed lack of “business integrity,” thereby causing the small business to be ineligible to bid on a federal solicitation, without a referral to the SBA.

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GAO: 28-Day Proposal Period Was Reasonable

A 28-day period was sufficient time for offerors to prepare proposals in response to a solicitation for janitorial and mechanical services.

In a recent decision, the GAO held that, under the circumstances of the procurement, it was reasonable for the agency to allow fewer than 30 days to respond to the solicitation–and noted that the protester’s delayed search for teammates was a “significant reason” for the protester’s own difficulties in submitting a timely proposal.

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Offeror’s Email Proposal “Bounces Back,” Agency Not To Blame

A procuring agency was not at fault when an offeror’s emailed proposal “bounced back” because of the large size of the email.

In a recent decision, the GAO applied the general rule that it is “an offeror’s responsibility to deliver its proposal to the proper place at the proper time” and held that the agency was not to blame when its email server rejected the large email containing the offeror’s proposal.

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Large Prime Hit For “Consistent Failure” To Meet Subcontracting Goals

A large prime contractor’s “consistent failure” to meet its small business and socioeconomic subcontracting goals on prior projects resulted in a lower past performance score–and led to the prime’s elimination from the competition.

In a recent bid protest decision, the GAO held that the agency properly eliminated a prospective prime contractor from the competition in part because the large business had not met its subcontracting goals on three recent contracts.

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Price Realism Evaluation: Only If Solicitation Says So

An agency awarding a fixed-price contract can only evaluate offerors’ proposals for price realism–that is, determine whether offerors’ proposed pricing is so low as to be unrealistic–if the solicitation calls for a price realism evaluation.

In a recent bid protest decision, the GAO confirmed that when a fixed-price solicitation does not advise offerors that a price realism evaluation will be conducted, the agency is not permitted to reject an offeror’s proposal because of unrealistically low pricing.

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GAO: No Set-Aside Challenge After Proposal Due Date

A prospective contractor has the right to file a GAO bid protest challenging an agency’s refusal to set aside a solicitation for small businesses–but only if the protest is filed before the proposal deadline.

In a recent protest decision, the GAO applied the longstanding rule that “alleged improprieties in a solicitation that are apparent prior to the closing time for receipt of initial proposals be filed before that time,” and held that an agency’s failure to issue a set-aside is an “alleged impropriety” to which the timeliness rule applies.

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