B id protests—or written objections to certain actions, described below, taken by federal agencies when acquiring supplies or services for their direct use or benefit—are of perennial interest to Congress. In other cases, congressional interest can be prompted by notable protests, or by agency determinations not to follow any nonbinding recommendations made to federal agencies by the Government Accountability Office (GAO) in bid protest decisions. GAO is not the only forum with authority to hear bid protests involving federal acquisitions. The procuring agency and the U.S. Court of Federal Claims can also hear bid protests. However, GAO hears more protests than the Court of Federal Claims, the only other forum for which data are readily available. Thus, its protest procedures—which can differ somewhat from those of the procuring agencies and the Court of Federal Claims—are the focus of this report. It provides an overview of the time frames and procedures in a GAO bid protest, including (1) what issues can be protested with GAO; (2) who can file or be a party to a GAO protest; (3) the procedures for bringing and resolving GAO protests; (4) the time frames involved in GAO protests; (5) the automatic stay of contract award or performance triggered by a GAO protest, as well as the basis for agency overrides of automatic stays and judicial review of agency override determinations; (6) the basis and effects of GAO decisions; and (7) reconsideration and "appeal" of GAO decisions. Under CICA, disappointed bidders or offerors can protest to GAO about an "alleged violation of ... procurement statute or regulation" by a federal agency in (1) soliciting or otherwise requesting offers; (2) cancelling such solicitations or requests; (3) awarding or proposing to award a contract; (4) terminating or cancelling a contract due to improprieties involving its award; or (5) converting functions performed by government employees to private sector performance. By statute, a GAO bid protest may be filed by any interested party , or any "actual or prospective bidder or offeror whose direct economic interest would be affected by the award of the contract or by failure to award the contract." Time Frames for the "Expeditious Resolution" of Protests

Federal statutes and regulations also provide for the "expeditious" resolution of protests by requiring GAO to adhere to strict time frames, including resolving protests within 65 to 100 days after they are filed. A protester who files a bid protest with the Court of Federal Claims, in contrast, could potentially wait over 100 days before the court hears the case, and would not necessarily have the award or performance of the contract stayed for the duration of the protest, as generally happens with GAO protests. Agency Override of Bid-Protest Stays

CICA expressly authorizes agencies to override the automatic stay of contract award or performance that may be triggered by the filing of a GAO protest when
"urgent and compelling circumstances which significantly affect interests of the United States will not permit waiting for the decision of the Comptroller General"; or "performance of the contract is in the best interests of the United States." Legal Effect of GAO Recommendations

Even when GAO finds that the agency violated federal procurement law and sustains the protest, however, the agency is not legally required to implement the recommendations in GAO's decision. This is because GAO is a legislative branch agency and cannot constitutionally compel executive branch agencies to implement its recommendations because of the separation of powers doctrine. Any agency that does not do so is required by statute to promptly notify GAO, which is then to notify four congressional committees.
For purposes of federal law, a bid protest involves a written objection to the conduct of government agencies in acquiring supplies and services for their direct use or benefit. Such conduct can include (1) soliciting or otherwise requesting offers; (2) cancelling such solicitations or requests; (3) awarding or proposing to award a contract; (4) terminating or cancelling a contract due to improprieties involving its award; or (5) converting functions performed by government employees to private sector performance. Bid protests are of perennial interest to Congress, in part, because of the effects of protests on agency missions and operations. Congressional interest can also be prompted by notable protests, as well as by agency determinations not to follow any nonbinding recommendations made by the Government Accountability Office (GAO) in deciding protests.
GAO is not the only forum with authority to hear bid protests involving federal acquisitions. The procuring agency and the U.S. Court of Federal Claims can also hear bid protests. However, GAO hears more protests than the Court of Federal Claims, the only other forum for which data are readily available. Thus, its protest procedures—which can differ somewhat from those of the procuring agencies and the Court of Federal Claims—are the focus of this report.
Legislation and regulations establish what issues may be protested with GAO and who may bring a protest. As previously noted, by statute, GAO may hear complaints alleging violations of federal procurement law in federal acquisitions. However, it is expressly barred by regulation from hearing certain issues, such as challenges to small business size certifications. Any interested party—an actual or prospective bidder or offeror whose direct economic interest would be affected by the award of, or failure to award, a contract—may file a protest.
GAO is required by statute to provide for the "inexpensive and expeditious" resolution of protests, "[t]o the maximum extent practicable." Its practices permit "inexpensive" resolution, in part, by enabling interested parties to represent themselves, rather than rely on attorneys. For example, GAO does not require "formal briefs" or "other technical forms" of pleadings or motions. It is also subject to statutory mandates that promote "expeditious" resolution, in part, by requiring GAO to issue final decisions within 65 to 100 days after the protest was filed.
Filing a GAO protest may trigger an automatic stay of contract award or performance that lasts for the duration of the protest. Such automatic stays are unique to bid protests filed with GAO and help account for GAO's popularity as a protest forum. Agencies may, however, override these stays upon determining that urgent and compelling circumstances will not permit waiting for GAO's decision, or performance of the contract is in the best interests of the United States.
GAO may dismiss, deny, or sustain a protest. When a protest is dismissed or denied, the procuring agency may generally proceed with the challenged action. In contrast, when a protest is sustained, GAO may recommend specific actions (e.g., amending the solicitation, reevaluating proposals). Such recommendations are not legally binding because the separation of powers doctrine precludes legislative branch agencies, such as GAO, from controlling the actions of executive branch agencies. However, the procuring agency is required by statute to notify GAO if GAO's recommendations are not fully implemented, and GAO, in turn, must notify Congress.
Protesters disappointed with GAO's decision can seek reconsideration from GAO. They can also effectively appeal GAO's decision by filing a bid protest with the Court of Federal Claims.