Ingalls Shipbuilding, Inc., B-275830, B-275830.2, B-275830.3,
Case: B-275830
Agency:
Protester: Ingalls Shipbuilding, Inc., B
Date: 1997-04-07
Denied
Ingalls Shipbuilding, Inc., B-275830, B-275830.2, B-275830.3,
BNUMBER: B-275830, B-275830.2, B-275830.3
DATE: April 7, 1997
TITLE: Ingalls Shipbuilding, Inc., B-275830, B-275830.2, B-275830.3,
April 7, 1997
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DOCUMENT FOR PUBLIC RELEASE
A protected decision was issued on the date below and was subject to a
GAO Protective Order. This version has been redacted or approved by
the parties involved for public release.
Matter of:Ingalls Shipbuilding, Inc.
File: B-275830, B-275830.2, B-275830.3
Date:April 7, 1997
Gregory A. Smith, Esq., Richard P. Rector, Esq., Kevin P. Mullin,
Esq., and Chandra Emery, Esq., Piper & Marbury; Donald C. Holmes,
Esq., and Michael A. Gordon, Esq., Holmes, Schwartz & Gordon, for the
protester.
Caryl A. Potter, Esq., Joseph P. Hornyak, Esq., Elizabeth A. Ferrell,
Esq., Bruce H. Leshine, Esq., and Drew W. Marrocco, Esq., Sonnenschein
Nath & Rosenthal, for Avondale Industries, Inc., the intervenor.
Robinwyn D. Lewis, Esq., Janice M. Passo, Esq., Susan P. Raps, Esq.,
Robert E. Lieblich, Esq., Diane S. Schnittman, Esq., and Mary L. Oates
Walker, Esq., Department of the Navy, for the agency.
David A. Ashen, Esq., and John M. Melody, Esq., Office of the General
Counsel, GAO, participated in the preparation of the decision.
DIGEST
1. Protest against agency evaluation of proposed information
system--offered to meet requirement for capability to concurrently
develop, capture, update and re-use data in electronic form in a
fashion that leads to data integrity, efficiency, and configuration
control throughout the life cycle of amphibious ships being
procured--is denied where agency reasonably determined that (1)
offeror would encounter significant difficulty in integrating, and
maintaining data consistency [DELETED] in its proposed information
system, and (2) if [DELETED], the design and construction process
would lose efficiency, leading to additional costs and delays.
2. Protest that agency improperly failed to quantify probable life
cycle cost (LCC) savings for each offer is denied where the
solicitation nowhere expressly stated that the agency would conduct a
traditional probable cost analysis, but instead provided that agency
would adjectivally rate proposed approaches to LCC reduction, and
record supports agency determination that awardee's proposed LCC
reduction approach provided the greatest probability of achieving the
greatest LCC savings.
DECISION
Ingalls Shipbuilding, Inc., the prime contractor of the Ingalls Full
Service Contractor team (Ingalls), protests the award of a contract to
Avondale Industries, Inc., the prime contractor of the Avondale
Alliance team, under request for proposals No. N00024-96-R-2101,
issued by the Department of the Navy, Naval Sea Systems Command
(NAVSEA), for the detail design, total ship systems integration,
construction, testing, logistics and life cycle support planning of
the lead ship (LPD 17) in the new San Antonio-class Amphibious
Transport Dock ships. Ingalls protests the evaluation of technical
and price proposals.
We deny the protest.
BACKGROUND
The LPD 17 will be the first of a new class of twelve 684-foot,
25,000-ton amphibious transport dock ships designed to transport and
land up to 720 Marines, their equipment and supplies by means of
embarked landing craft or amphibious vehicles augmented by
helicopters. The solicitation contemplated the award of a
cost-plus-award-fee contract for the LPD 17, with options for two
follow-on ships.
Award was to be made to the responsible offeror whose offer was most
advantageous to the government under four evaluation categories: (1)
detail design, total ship systems integration, testing, logistics and
life cycle support planning, (2) Integrated Product Data Environment
(IPDE), (3) ownership cost--that is, life cycle cost (LCC)--reduction
approach, and (4) price (cost). The nonprice categories were
"significantly more important" than the price category. In addition,
the solicitation provided that except in the event that the two
highest ranking technical proposals were found to be technically equal
after evaluating categories 2 and 3, category 1 would be rated for
acceptability/unacceptability only.[1] Of the remaining nonprice
categories, category 3 was more important than category 2. The
solicitation provided that categories 2 and 3 would be "evaluated and
assigned one of the following adjective ratings: (1) unacceptable, (2)
marginal, (3) acceptable, (4) outstanding." The solicitation went on
to state that "[t]his should result in award to the Offeror whose
proposal offers the highest likelihood of reducing life cycle
ownership costs, excluding propulsion drive train considerations,
without sacrificing ship performance and operational readiness.
Full decision text continues on ProtestIntel...