Protest spotlight

(This regular feature highlights protests decided by the Government Accountability Office.)

Agency: Army Materiel Command

Awardee: Leidos

Protester: BAE Systems

What GAO found: BAE Systems Technology Solutions and Services protested Army Materiel Command's award to Leidos for an automated installation entry solution at military bases, arguing the Army failed to "reasonably evaluate" personal and organization conflicts of interest that should have disqualified Leidos, according to GAO.

Additionally, BAE contested the agency's assessment of the proposals' technical evaluation factor, the report says.

The contract was initially awarded more than two years ago to L-3 National Security Solutions, but BAE protested the deal. The Army canceled the contract and issued a revised solicitation later that year. Last year, that contract went to Leidos, according to the GAO report.

BAE filed a protest, partly citing concerns about personal and organizational conflicts of interest, and the Army told GAO it would investigate those allegations, the document says. However, the contracting officer, in an Oct. 22, 2015, report, concluded there were no conflicts of interest that required Leidos to be disqualified or the award to be canceled. BAE then filed another protest with GAO, and the Army again said it would take corrective action by reevaluating price realism and making a new award, according to GAO.

BAE's price was evaluated at nearly $70 million, while Leidos' came in at just shy of $50 million, the document notes.  "The [source selection authority] concluded that, despite some 'significant strengths' for BAE’s proposal, the combination of Leidos’ lower proposed cost and the 'openness' of its proposed system merited award of the contract," the GAO report states. Leidos was awarded the deal again, and BAE protested again.

GAO in its assessment said it found no basis to sustain the protest.

Read the decision.