S.D.M. Supply, Inc.

B-271492 Jun 26, 1996 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights For seven aerosol can puncturing systems. [1] S.D.M. contends that the agency failed to consider S.D.M.'s lower-priced quotation which was timely submitted through the Federal Acquisition Computer Network (FACNET). That is. The data is then electronically transmitted to a government gateway. Which is a computer/communications system performing a variety of data management functions. The information is transmitted to a network entry point. Which is also government operated. Which are private sector entities. Who have registered to do business with the government and are known as trading partners. Are acknowledged automatically by the end of the business day following the arrival of the transmission at its destination to notify the sender as to whether a transaction has been received. View Decision Matter of: S.D.M. Supply, Inc. File: B-271492 Date: June 26, 1996 Agency failed to promote competition to the maximum extent practicable under a request for quotations issued on the Federal Acquisition Computer Network (FACNET) using simplified acquisition procedures where the agency failed to maintain adequate procedures for receiving quotations through FACNET, as evidenced by its loss of all of the quotations submitted through FACNET because of a previously identified systemic problem with its computer. Attorneys DECISION S.D.M. Supply, Inc. protests the issuance of purchase order No. DABT01-96- V-0248 to New Pig Corporation under request for quotations (RFQ) No. DABT01-96-T-0112 issued by the U.S. Army Aviation Center, Fort Rucker, Alabama, as a small business, small purchase set-aside, for seven aerosol can puncturing systems. [1] S.D.M. contends that the agency failed to consider S.D.M.'s lower-priced quotation which was timely submitted through the Federal Acquisition Computer Network (FACNET). We sustain the protest. FACNET refers to a government-wide electronic commerce/electronic data interchange systems architecture that provides for electronic data interchange of acquisition information between the government and the private sector, employs nationally and internationally recognized data formats, and provides universal user access. Federal Acquisition Streamlining Act of 1994, 41 U.S.C Sec. 426(a), (b)(3) (1994); Federal Acquisition Regulation (FAR) Sec. 4.501 (90-29). FACNET creates an electronic marketplace for the acquisition of supplies and services. That is, through FACNET, contracting agencies can post notices of and receive responses to solicitations, post notices of contract awards, and issue orders where practicable; and private sector users can access notice of solicitations, receive orders, and access information on contract awards. 41 U.S.C. Sec. 426(b)(1), (2). A contracting agency enters solicitation data into FACNET through a business application program on its computer. The data is then electronically transmitted to a government gateway, which is a computer/communications system performing a variety of data management functions, such as converting business application program data into the proper data format for subsequent transmission. After processing by the gateway, the information is transmitted to a network entry point, which is also government operated, and relayed to Value-Added Networks (VAN). [2] VANs, which are private sector entities, then provide information obtained from the FACNET to their customers, who have registered to do business with the government and are known as trading partners. Trading partners submit quotations through FACNET to the contracting agency in reverse order to that described above. All transactions conducted over FACNET, except the issuance of RFQs, are acknowledged automatically by the end of the business day following the arrival of the transmission at its destination to notify the sender as to whether a transaction has been received, e.g., to notify a trading partner that its quotation has been received by the contracting agency. Here, the RFQ was issued through FACNET on February 7, 1996. The RFQ was also mailed to New Pig and one other vendor. The RFQ instructed vendors that quotations were due by close of business February 20, and that quotations could also be submitted to the contracting office via facsimile transmission. Only one quotation--from New Pig--was received at the contracting office by the time and date set for receipt of quotations, and this quotation was submitted via facsimile transmission. Because no quotations had been received through FACNET, the purchasing agent asked the office's computer systems administrator to verify that no quotations had been received on the office's computer.