Corrective Action

Corrective action is the specific remedy an agency implements after a bid protest reveals a flaw in a procurement, either because the GAO sustained the protest or because the agency voluntarily acknowledged an error before the GAO issued a decision. It is the primary outcome protesters seek.

What is Corrective Action?

When the GAO sustains a bid protest, it recommends corrective action to remedy the identified procurement flaw. The precise corrective action depends on the nature of the error. Common forms include: reevaluating proposals under the correct criteria, amending the solicitation and requesting new or revised proposals, conducting new or additional discussions with offerors, or making a new source selection decision based on a corrected record. In rare cases involving a fundamentally flawed solicitation, the GAO may recommend a complete resolicitation.

Agencies also take corrective action voluntarily, before the GAO issues a decision, when they recognize during the protest process that a procedural error occurred. Voluntary corrective action accounts for a substantial share of all bid protest resolutions, approximately 30-40% of docketed protests at the GAO are resolved this way. The GAO treats a case closed through voluntary corrective action as a victory for the protester when the corrective action is "clearly meritorious."

Corrective action does not guarantee the protester wins the contract. Reevaluation may still result in the same award; resolicitation gives the protester a second opportunity to compete, but does not predetermine the outcome. Contractors should treat a corrective action outcome as an opportunity to improve and resubmit, not as a confirmed award.

Why Corrective Action matters for government contractors

Corrective action is the tangible result that makes bid protests worthwhile for contractors. It remedies the specific unfairness that caused the protest and gives losing offerors a fair second chance. Monitoring agency corrective actions on protests filed by competitors is also a useful competitive intelligence practice, when a competitor's protest results in resolicitation of a contract, that resolicitation represents a new opportunity.

Example

An engineering firm protests the award of a DoD facilities management contract, arguing the agency failed to evaluate its proposed key personnel against the criteria stated in Section M. The agency reviews the protest, acknowledges the evaluation error without waiting for a GAO decision, and takes voluntary corrective action: it reevaluates all offerors' personnel qualifications and issues a new source selection decision. The original awardee is displaced and the protesting firm is selected.

Frequently Asked Questions

Is an agency required to follow the GAO's corrective action recommendation?

Agencies comply with GAO corrective action recommendations in virtually all cases, though compliance is technically voluntary. Agencies that decline to follow a GAO recommendation risk Congressional scrutiny and must provide written justification.

How long does corrective action take after a sustained protest?

There is no fixed regulatory deadline for completing corrective action. Agencies typically complete reevaluations within 60-120 days of a sustained protest decision, depending on complexity. Contractors may file a follow-on protest if the corrective action is itself conducted improperly.

Can a protester recover its bid and proposal costs when corrective action is taken?

The GAO may recommend reimbursement of protest costs when an agency unduly delays taking corrective action after a meritorious protest. The standard applied is whether the agency should have recognized the error and corrected it without the cost and delay of a protest proceeding.

Does voluntary corrective action count as a protest win in my record?

The GAO tracks voluntary corrective action outcomes separately from "sustained" decisions. If the GAO closes the protest because the agency took voluntary corrective action, GAO statistics classify it as "effective", but it is not counted in the formal sustained rate.