Triple Whammy: Agencies Flunk Price Evaluations

With the government's increased focus on price in the face of tightening budgets, GAO has also increased its focus on price evaluations by agencies. In recent weeks, disappointed offerors have successfully challenged (1) the Air Force's price reasonableness and price realism analysis in KWR Constr. Inc., (2) the VA's failure to meaningfully evaluate price realism—despite an express statement requiring it in the solicitation—in B&B Med. Servs., Inc., and (3) the Air Force's unequal treatment of the protester's labor rates when performing price realism analysis in Cubic Applications, Inc.