The U.S. moves to rebid Northrop's $2.63 billion contract to wire Homeland Security headquarters

By Marjorie Censer
Monday, November 15, 2010

By Marjorie Censer

The General Services Administration has decided to overturn a $2.63 billion, 10-year task order to Northrop Grumman and rebid the contract after four losing companies contested the award.

Under the award, Northrop was to provide the information technology infrastructure for the new Department of Homeland Security headquarters. The contractor would design, install, test and maintain the data network running through the sprawling campus being built on the former site of St. Elizabeths Hospital.

But competitors Lockheed Martin, General Dynamics, Serco and L-3 Communications all filed protests with the Government Accountability Office. Among the complaints was a dispute over the way the government evaluated the trade-off between the price and the strength of the offerings.

After reviewing the protests, the GSA has decided to cancel the award and put out a new solicitation, according to Sara Merriam, the GSA's press secretary.

Merriam said the agency is assigning a new procurement team to the program, including a new contracting officer and a new technical evaluation board chairman.

She stressed that the GSA still expects to complete the project on time and on budget.

"[We're] still expecting to get to the finish line at the same time," Merriam said.

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