Price Realism: Agency Erred By Failing To Conduct Analysis

An agency erred by failing to conduct a price realism analysis for a time-and-materials contract with fixed-price fully-burdened labor rates. In a recent bid protest decision, the GAO acknowledged that a solicitation of this type does not always require that the agency engage in a price realism analysis, but found that the terms of the […]

GAO: Agency Need Not Raise High Costs In Discussions

In discussions, a procuring agency is not required to inform a prospective contractor that its costs are higher than those of its competitors, unless those costs are so high as to be unreasonable. This important potential limitation on the scope of discussions was at issue in a recent GAO bid protest decision, in which the […]

Price Realism and Fixed-Price Contracts: The Solicitation Controls

If price realism is evaluated by a procuring agency under a solicitation for a fixed-price contract, the solicitation must inform offerors that price realism will be considered, says the GAO in a recent bid protest decision. In Emergint Technologies, Inc., B-407006 (Oct. 18, 2012), the GAO sustained a bid protest because the procuring agency in […]

Price Realism: Agency Improperly Used Unacceptable Proposals for Comparison

Earlier this week, the International Cycling Union announced that it would strip Lance Armstrong of his seven Tour de France titles, stating that overwhelming evidence existed that Armstrong had won those titles by doping.  For cyclists who play by the rules, it is only fair that they not be forced to chase Armstrong’s Tour record, […]

2021 GAO Bid Protest Report Reveals Nearly Half of Protests are Successful

GAO has released its annual bid protest report. Along with mashed potatoes and stuffing, it’s one of our favorite holiday traditions at SmallGovCon. This report came over a month earlier than last year, making this more of a Thanksgiving treat than Christmas this year. A couple key takeaways are (1) the key effectiveness metric, showing […]

Wrong File Format? No Problem, Says GAO (At Least This Time)

Ahh, fall. A time for football, hay rides, and returning to campus. Being in a college town, we are always reminded that students are back on campus due to the increased traffic, the homecoming parade, and the increased buzz (no pun intended) around the town. The onset of fall sometimes dredges up unwanted memories about […]

Hiring Incumbent Employees At Low Labor Rates–What Could Go Wrong?

A company bidding to replace an incumbent service contractor cannot presume incumbent workers will take major pay cuts without setting itself up for a potentially successful protest. FAR 22.12 generally requires successor service contractors to give a right of first refusal to qualified employees under the previous contract. And even when these nondisplacement rules don’t […]