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Despite a Steady Increase in Bid Protests Filed, Their Numbers Remain Small

• Bid protest activity for both DoD and non-DoD agencies roughly doubled between fiscal years 2008 and 2016 at the U.S. Government Accountability Office (GAO) and the U.S. Court of Federal Claims (COFC). DoD agencies accounted for around 60 percent of this activity, with small businesses making up half of these cases.
• The share of contracts protested remains very small — less than 0.3 percent. A significant number of these protests concerned smaller-value contracts ($0.1 million or less).

Trends in Bid Protest Outcomes Differed Between GAO and COFC

• Effectiveness rates at GAO — the share of protest cases sustained or in which the contracting agency took corrective action — held steady over time. This suggests that firms are generally not filing protests without merit.
• At GAO, DoD agencies had slightly lower effectiveness rates than non-DoD agencies. Protests of task orders, awards for specific tasks or deliveries under a contract, had slightly higher effectiveness rates than other types of protests.
• The sustained rate at COFC has declined over time, suggesting that firms may be more willing to file protests with the court going forward.

DoD Agencies and the Private Sector Had Differing Views on the Bid Protest Process

• DoD personnel were concerned that the process incentivized protests, potentially preventing the timely award of contracts.
• The private sector viewed bid protests as a way to hold the government accountable for providing information about how a decision was made.