GAO Teaches Course in Cost Realism 101
Client Alert | less than 1 min read | 06.06.07
In Magellan Health Services (Jan. 5, 2007, http://www.gao.gov/decisions/bidpro/298912.pdf), GAO sustained a protest of HHS's award of a cost-plus-fixed-fee contract for employee assistance program services when the agency's cost realism evaluation was unreasonable for several reasons, including a failure to account for insufficient levels of effort and labor rates in the awardee's cost proposal. After chiding the agency for not adjusting the awardee's cost proposal in accordance with the recommendations of the agency's own cost analyst, GAO found the adjusted costs were still lower than the protestor's but the smaller delta required the agency to take another look at its unsupported conclusion that the offerors were "technically equal."
Insights
Client Alert | 7 min read | 10.21.26
Securities Law for Entrepreneurs
Do you want your startup to expand and become a major player in your industry? If so, you will most likely need to seek capital from outside investors to help you build infrastructure and fulfill orders.
Client Alert | 7 min read | 09.22.26
ORI's Guidance on AI Misconduct: Disclose, Verify, and Preserve, or Face Consequences
Client Alert | 1 min read | 09.22.26
SBA Extends Deadline for Comments on Historic Overhaul of Size Standards
Client Alert | 5 min read | 09.22.26
UK Government Proposes Corporate Reporting Reform and Removal of ESG Reporting Rules
