LDDS WorldCom
Case: B-266257
Agency:
Protester: LDDS WorldCom
Date: 1996-02-08
Denied
LDDS WorldCom
BNUMBER: B-266257; B-266258
DATE: February 8, 1996
TITLE: LDDS WorldCom
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Matter of:LDDS WorldCom
File: B-266257; B-266258
Date: February 8, 1996
J. Randolph MacPherson, Esq., Sullivan & Worcester, for the protester.
Francis J. O'Toole, Esq., Robert J. Conlan, Jr., Esq., Joseph C. Port,
Jr., Esq., and Michael L. Shore, Esq., Sidley & Austin; and Nathaniel
Friends, Esq., and Steven W. DeGeorge, Esq., AT&T Corporation, for
AT&T Corporation, an interested party.
Carl Wayne Smith, Esq., and H. Jack Shearer, Esq., Defense Information
Systems Agency, for the agency.
Ralph O. White, Esq., and Christine S. Melody, Esq., Office of the
General Counsel, GAO, participated in the preparation of the decision.
DIGEST
1. Same issues and arguments as those resolved in a recent decision
involving the same agency and the same procurement will not be
considered as no useful purpose would be served.
2. Protest alleging that agency cancellation of solicitations prior
to receipt of responses from offerors was improper is denied where the
record shows that the cancellation decision was reasonable; there is
no evidence that the agency issued the solicitations without intending
to award contracts; and the regulatory requirement for a written
determination supporting the cancellations, cited by the protester,
does not apply because the solicitations were canceled before receipt
of responses.
3. Contention that the agency improperly modified an existing
contract beyond its scope instead of holding a separate competitive
procurement is denied where a review of the contract terms shows that
the added services could have been anticipated from the face of the
contract itself, and where the added services are not materially
different from the services currently procured under the contract.
DECISION
LDDS WorldCom protests the cancellation of solicitation Nos.
RG20JUL951511 and RG20JUL951512 by the Defense Information Systems
Agency (DISA), and the agency's corresponding decision to obtain these
services from AT&T via the Defense Commercial Telecommunications
Network (DCTN) Contract. LDDS contends that the agency is improperly
consolidating services onto AT&T's DCTN contract, and onto an upcoming
sole-source transition contract the agency intends to award to AT&T
until completion of a global competition for these telecommunication
services.[1] LDDS also protests that the consolidation of
international services onto the DCTN contract (and transition
contract) exceeds the scope of those contracts, and that the agency
has awarded an improper letter contract to AT&T.
We deny the protest.
BACKGROUND
On July 20, 1995, DISA received a requirement from the Air Force for
two separate 1.544 megabit per second circuits to be in place not
later than October 16. These dedicated circuits were to connect
McChord Air Force Base (AFB), Washington, with Nellis AFB, Nevada, and
Gunter AFB Annex, Alabama, with Tyndall AFB, Florida. Since these
services involve command and control of military forces, they are
exempt from the coverage of the government-wide FTS 2000 contract,
pursuant to the terms of 10 U.S.C. sec. 2315 (1994). While these
services normally would have been ordered using AT&T's DCTN contract,
DISA procurement personnel concluded that they could not properly fill
these requirements on the DCTN contract because it was slated to
expire on February 29, 1996. Since the two circuits had an estimated
60-month service life, DISA procurement personnel decided instead to
procure the two circuits competitively via posting on an electronic
bulletin board.
On July 27, DISA placed a telecommunications service request, commonly
referred to as an "inquiry," on its electronic bulletin board
available to the telecommunications industry. This bulletin board
uses an accelerated competitive procedure, known as an
"Inquiry/Quote/Order" process, whereby the inquiry references certain
standard DISA provisions and contains information unique to the
requirement. Offerors respond with a quote, and if successful,
receive an order for the service. The inquiry required that quotes be
received by 3 p.m. on August 11.
After placing inquiries for these two dedicated circuits on the
bulletin board, DISA's procurement personnel received guidance
explaining that use of the DCTN contract to procure new services was
appropriate even if the duration of the new requirements exceeds the
remaining term of the DCTN contract or the term of the planned sole
source transition contract. In addition, this guidance advised that,
whenever appropriate, the DCTN contract should be the contract of
first choice in fulfilling such requirements. Thus, on August 4, a
week before quotes were due, DISA canceled the two solicitations.
Full decision text continues on ProtestIntel...