GAO Sustains Bid Protest of $3 Billion Contract to Oshkosh Corporation

12.14.2009 - Posted in E&B Alerts – Government Contracts

The Government Accountability Office ("GAO") announced today that it has sustained the bid protest submitted by Navistar Defense, LLC ("Navistar") and BAE Systems, Tactical Vehicle Systems LP ("BAE") against the Army's award of a contract to Oshkosh Corporation ("Oshkosh"). (Bid Protest B-401865.)

The contract to provide up to 23,000 vehicles and trailers to the U.S. Army is valued at $3 billion. Navistar and BAE protested the award on multiple grounds. While denying some of Navistar's and BAE's challenges to the award, the GAO sustained those challenges to the Army's evaluation of

(1) Oshkosh's proposal under the capability evaluation factor, and (2) Navistar's past performance, as flawed.

In its decision, the GAO recommends that the Army take the following actions:

  1. reevaluate the proposals under the capability evaluation factor;
  2. conduct a new evaluation of Navistar's past performance; and
  3. make a new selection decision.

If, after complying with the directive that the Army make a new selection decision, Oshkosh is not the awardee, the GAO directs the Army to terminate Oshkosh's contract for convenience.

Additionally, the GAO awarded Navistar and BAE their costs incurred in filing and pursuing the successful challenges, including reimbursement of the attorney's fees related to those challenges.

The GAO's decision, issued under a protective order due to proprietary and source-sensitive material contained within the decision, is not yet available to the public. Look for another E&B Alert regarding this bid protest when the protest decision becomes available. For more information, visit:

http://www.gao.gov/press/navistar_2009dec14.html or contact Mark Blando at (612) 236-0160 or [email protected]