By creating the Department of Homeland Security and raising defense spending, the government has signaled its intent to develop a larger, stronger technological and industrial base for the war on terrorism. Yet dollars alone will not sustain this expansion. Whether contractors, particularly those new to federal procurement, will invest in this market also depends on how the government resolves contract award disputes when they arise. Currently, there is no effective mechanism short of litigation for resolving many disputes.
Bidders generally litigate their award-related claims before the General Accounting Office, which is headed by the comptroller general, or before the U.S. Court of Federal Claims. The bulk of such cases are filed at the GAO. Under the Competition in Contracting Act (CICA), the comptroller general is required to “provide for the inexpensive and expeditious resolution of protests.”
