Making Unsuccessful Protesters Pay? Enhanced Pleading Standards? A Look at Proposed Changes to GAO Protest Rules Under the 2025 NDAA

Back in 2017, in the 2018 National Defense Authorization Act (NDAA), Congress passed a limited program for GAO protests of Department of Defense contracts where certain large contractors would have to reimburse the DoD for the cost of processing unsuccessful GAO protests. We reviewed that rule here. Congress repealed that provision with the 2021 NDAA. Now, the “losing protester pays” system is back with a vengeance. The 2025 NDAA creates a similar provision, but now the language appears to apply to all businesses that bring an unsuccessful GAO protest on a DoD contract. Coupled with enhanced pleading standards and an increase to the task order value jurisdiction requirement, this will make GAO protests of DoD contracts more burdensome on federal contractors. With that said, it is important to note: The 2025 NDAA only orders that the GAO and DoD produce a proposal that addresses the above for review by Congress. It does not absolutely mandate that the government then adopt said proposal. We look at these changes in this post.

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Buy American? Agencies Must Carefully Document Market Research for Domestic Preference Compliance, says GAO

A recent GAO case on protest costs looked at whether costs were reimbursable centered around whether a Buy American Act waiver was properly applied in the procurement process. As you likely know, the Buy American Act is something many contractors (especially supply and construction contractors) must deal with in their contracting process, and getting a waiver or an exception often may be critical to a proposal. This case arose from a protest seeking costs, but it is still a great opportunity for contractors to better understand the limits of a waiver or exception of the Buy American Act and GAO’s expectations surrounding such an action.

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GAO’s Alternative Dispute Resolution Conference – Too Little, Too Late

The costs of filing a bid protest can dissuade some protesters from submitting bid protests. One silver lining for protesters is a recommendation for reimbursement of costs upon a sustained decision. However, even when GAO says a protest is “clearly meritorious”, the protest may still be dismissed prior to GAO issuing a decision.

What happens when an agency takes corrective action in the face of a likely sustained GAO decision? One protester recently found out.

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Playing Games? GAO Requires NASA to Scratch $650 Million Contract Due to Foosball Snafu

While most of our get-togethers these days involve mask wearing, social distancing, and even virtual happy hours, spending time with friends is a great way to keep spirits light. Unfortunately for one group of friends, their weekly hangouts led GAO to conclude in its recent decision, Teledyne Brown Engineering, Inc., B-418835 (Sept. 25, 2020), that NASA had to cancel a more than $650 million deal and start the procurement process all over.

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Beta.SAM.gov: Check Early & Check Often!

If we’ve said it once, we’ve said it a thousand times: when it comes to submitting your GAO protest, meeting GAO’s strict timeliness requirements is a must. So is watching out for notices on contract awards posted online. In Prudential Protective Services, LLC, B-418869 (Aug. 13, 2020), the protest was dismissed as untimely because it was filed more than 10 days after notice of the award was posted to beta.SAM.gov.

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Persistence Pays: GAO Sustains After Fourth Protest Due to Unreasonably Narrow Corrective Action

In its recent decision, Peraton, Inc., B-416916.8, et al. (Aug. 3, 2020), GAO ultimately sustained a protest that the Department of State’s corrective action was unreasonably limited—recommending the protester be reimbursed its protest costs in the process.

For more on how it reached this result, buckle up! Because it was a long road for the protester to reach the GAO sustain.

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Timing Issues: Challenges to Brand Name Salient Characteristics Due Before Proposal Submission, Says GAO

Time. It’s a great Pink Floyd song. It’s also something that frequently trips up contractors filing protests before GAO. As one contractor recently discovered, a challenge to the salient characteristics of a brand name product is equivalent to challenging the terms of a solicitation, which carries a different protest deadline than evaluation challenges.

Unfortunately for the protester, its argument did not fair nearly as well as one of David Gilmour’s solos.

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