GAO Sustains Protest for Agency’s Improper Cost Adjustment

Vandeventer Black – The Government Accountability Office (“GAO”) recently sustained a protest where an agency improperly adjusted an offeror’s proposal price upward when the offeror expressly had agreed to absorb any costs above a cap in its proposal.  The GAO’s decision provides insight into cost realism evaluations such as when they should be undertaken and when they can be avoided.