Ameriko, Inc.

B-262029 Nov 06, 1995 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Allegation that agency improperly caused protester to increase its price in its best and final offer is denied where record shows only that protester was invited to "provide a breakdown" of the prices in question. The RFP advised that award would be made to the responsible offeror whose offer was most advantageous to the government and that technical merit and price were of equal importance. The RFP provided that technical proposals were to be evaluated under the subfactors of (1) experience and past performance. Proposed offerors were taken on a site visit. However the participants were confined to a bus because the Family Support Complex was still under construction. 143 was second low. View Decision Matter of: Ameriko, Inc. File: B-262029 Date: November 6, 1995 Allegation that agency improperly caused protester to increase its price in its best and final offer is denied where record shows only that protester was invited to "provide a breakdown" of the prices in question; protester's determination to increase its prices in response reflects its own business judgment. Attorneys DECISION Ameriko, Inc. protests the award of a contract to Del-Jen, Inc. under request for proposals (RFP) No. N44255-95-R-6046, issued by the Department of the Navy for base operating services for the Naval Station Everett Family Support Complex, Marysville, Washington. The protester contends that the Navy misled it during discussions into increasing its offered prices. We deny the protest. The RFP, issued on February 2, 1995, contemplated the award of a contract which consisted primarily of fixed-price line items, and also included a number of relatively small indefinite quantity line items, for a base year with 2 option years to provide base operating services, such as building and grounds maintenance, pest control and custodial services. The RFP advised that award would be made to the responsible offeror whose offer was most advantageous to the government and that technical merit and price were of equal importance. The RFP provided that technical proposals were to be evaluated under the subfactors of (1) experience and past performance; (2) proposed staffing; (3) resources; and (4) quality control, with the first subfactor equal to the total of all other subfactors, and the remaining subfactors of equal importance. On February 23, proposed offerors were taken on a site visit; however the participants were confined to a bus because the Family Support Complex was still under construction. Five offerors submitted initial proposals by the March 17, closing date. Ameriko's proposal received an acceptable technical rating, and its total price of $2,641,143 was second low. Del-Jen's proposal received a highly acceptable technical rating, and its price of $3,624,016 was the highest received. The government estimate was $3,157,998.81. After evaluation, three proposals, including Ameriko's and Del-Jen's, were included in the competitive range. The agency concluded that discussions were necessary because the prices offered could not be determined reasonable or realistic on the basis of the available information. The agency first conducted written discussions with each offeror whose proposal was in the competitive range. Among other things, the agency informed Ameriko during discussions that its firm, fixed price (FFP) component of $825,756 for the base year was too low, and asked for a breakdown of the major elements of its price. The agency also informed Ameriko that it considered its indefinite quantity (IQ) component price of $54,625 to be unrealistically high and asked for a similar breakdown. The agency was concerned that Ameriko's proposal was unbalanced between the FFP and IQ components. The agency advised Del-Jen that it viewed its FFP of $1,181,037 and its IQ price of $35,530 for the base year to be high, and asked for a breakdown of these prices. In order to provide an opportunity to more carefully examine the entire facility, each competitive range offeror was given a personal site visit of the entire, virtually completed, facility. Revised proposals were received by May 12. The technical ratings and the total revised prices for the three competitive range offerors were as follows: Technical Rating Technical Rank Price (3 years) Del-Jen highly acceptable 1 $3,225,483.00 Offeror A highly acceptable 2 $3,039,304.23 Ameriko highly acceptable 3 $2,819,463.65 The revised government estimate was $3,145,609.50. In its revised proposal Ameriko lowered its IQ price to $43,548.96, and raised its FFP for the base year to $889,661.88. Following evaluation of the revised proposals, the agency determined that further discussions were not necessary. BAFOs were received by June 26.