GAO rejects Rotech protest of VA contract awards

Wednesday, January 29, 2014

NEW YORK – The Government Accountability Office (GAO) has denied Rotech’s protest that the Department of Veterans Affairs (VA) unreasonably ignored recent, relevant information when it decided Rotech wasn’t financially fit to win contracts to supply veterans with home oxygen equipment, Law360 reports. The VA contended that Rotech, which entered Chapter 11 bankruptcy protection in April, didn’t qualify as a “responsible contractor,” according to the story. The VA’s contracting officer based the determination on a Dun & Bradstreet report from June that placed Rotech in the highest risk category, and on a May statement that the company marketed itself for sale, according to the GAO report. The VA awarded the contested contracts, worth $42 million, to Norco, Care Medical Equipment and Apria.