ASBCA 60633

Board: ASBCA Agency: Air Force Appellant: Deas Construction, Inc. Date: 2016-12-13 Outcome: denied
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ARMED SERVICES BOARD OF CONTRACT APPEALS Appeal of -- ) ) Deas Construction, Inc. ) ASBCA No. 60633 ) Under Contract No. FA4855-14-M-V003 ) APPEARANCES FOR THE APPELLANT: Mr. Douglas Reitmeyer Vice President for Litigation Mr. Kirk Deas President APPEARANCES FOR THE GOVERNMENT: Jeffrey P. Hildebrant, Esq. Air Force Deputy Chief Trial Attorney Heather M. Mandelkehr, Esq. Anna F. Kurtz, Esq. Trial Attorneys OPINION BY ADMINISTRATIVE JUDGE NEWSOM This appeal concerns the termination for convenience of a $42,000 commercial services contract. Appellant contends that it fully performed the contract before the termination and is entitled to full payment. The government contends that appellant performed only a fraction of the scope of work and is only entitled to a fraction of the contract price as a termination settlement. Appellant elected to proceed under the Board's Accelerated procedure of Board Rule 12.3. After a hearing, for the reasons explained below, we hold that appellant did not fully perform the contract and that the government's determination of the amount of appellant's termination settlement is reasonable. FINDINGS OF FACT 1. This appeal concerns a contract to repair an Isochronal Inspection Maintenance Stand (ISO Stand or Stand) and deliver a technical manual for the Stand (R4, tab 7 at 4, tab 2 at 2). 2. An ISO Stand is an elevated platform that fits around and up against an aircraft. The Stand allows maintenance personnel to access and walk 360 degrees around the aircraft to perform repairs and maintenance. This enables personnel to work more efficiently than if they had to climb up and down ladders to perform repairs or maintenance. (Supp. R4, tabs 148, 152; tr. 11223-24, 2/48) 3. The particular ISO Stand at issue was designed and built by a company called KWD Manufacturing, Inc. (KWD) (R4, tab 4; tr. 2/48, 54). The Stand had been acquired sometime in the past, and by 2013 it was located at Cannon Air Force Base, lying mostly disassembled in a state of disrepair. Cannon AFB maintenance personnel did not have the technical expertise to repair it. (Tr. 11223-25) 4. In 2013, the Air Force contacted KWD and inquired how to make the Stand functional (tr. 2/53). After examining the ISO Stand, in June 2014 KWD submitted an unsolicited quote to repair the Stand for a price of $109,390.10 (R4, tab 51 at 1; supp. R4, tab 56). 5. The parties dispute whether KWD also supplied the government with a list of parts missing from the ISO Stand. KWD's president, John Deane, testified that he provided with the quote a cost workup that included "a conglomerate of many items." Questioned whether this included a list of parts missing from the Stand, he testified that he did not supply "a per se cross down the line list" where "could you submit it and have everybody quote in it- I did not." (Tr. 2/214-15) The contracting officer testified that the Air Force did not have a list of missing parts (tr. 1/57). Based on this testimony, we find that KWD provided a list of materials but not a missing parts list that could be used by other offerors to generate a quote. 6. In 2014, the Air Force decided to hold a competitive procurement for award of a commercial services contract to repair the ISO Stand (supp. R4, tab 73; tr. 1/38-39, 48-49, 224-28). 7. The Air Force issued a request for quotations on 18 September 2014 (R4, tab 1). The solicitation contained a single contract line item number (CLIN) that described the work as follows: The contractor shall provide non-personal services, to include all personnel, equipment, labor, supervision, and other items and services necessary to repair an Isochronal Inspection [ISO] Maintenance Stand Part No. 38-1-00-5, and provide all required manuals and documents in accordance with the Performance Work Statement (PWS) dated: 16 September 2014. The solicitation called for a single unit price for this CLIN. (R4, tab 1 at 2) The solicitation also provided that the "stand must be tested and the end item repaired to a new refurbished condition as identified in the Performance Work Statement (PWS)" (id.). 2 8.