Strategic Resource Solutions Corporation, B-278732, March 9,

B-278732 Mar 09, 1998 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Even though the actual selection will not be made until 1998. Agency is not required to consider firms which subsequently were included on the 1998 list. Which was able to demonstrate its qualifications prior to the date of award. The solicitations at issue are request for proposals (RFP) Nos. Which was not on the 1997 prequalified list (having not been incorporated in time to apply for it). Which is on the 1998 prequalified list. Federal agencies are authorized to award energy savings performance contracts (ESPC) for periods of up to 25 years. 42 U.S.C. The contractor receives compensation for its efforts only if and when energy cost savings are realized by the government. The Secretary was authorized to request statements of qualifications. View Decision Matter of: Strategic Resource Solutions Corporation File: B-278732 Date: March 9, 1998 DIGEST Attorneys DECISION Strategic Resource Solutions Corporation (SRS) protests the restriction of competition for four Energy Savings Performance Contracts to be awarded by the Department of the Air Force to companies on the 1997 List of Prequalified Energy Savings Performance Contractors for the Department of Defense. The solicitations at issue are request for proposals (RFP) Nos. F0426-98-R-0101; F44650-98-R-0002; F08637-97-R-6009; and F41689-97-R-0030. SRS, which was not on the 1997 prequalified list (having not been incorporated in time to apply for it), but which is on the 1998 prequalified list, argues that firms on the 1998 list should also be eligible for consideration. We deny the protest. BACKGROUND To help reduce their consumption of energy, federal agencies are authorized to award energy savings performance contracts (ESPC) for periods of up to 25 years. 42 U.S.C. Sec. 8287(a)(1) (1994). Under an ESPC, a private contractor evaluates, designs, finances, installs, and maintains energy saving equipment at a government installation. The contractor receives compensation for its efforts only if and when energy cost savings are realized by the government; if the government realizes no savings, the contractor receives no compensation. To accelerate the use of these contracts on military installations and to reduce the administrative effort and cost on the part of the Department of Defense (DOD) and the private sector, Congress authorized the Secretary of Defense to develop a simplified method of awarding ESPCs. 10 U.S.C. Sec. 2865(c)(1) (1994). To this end, the Secretary was authorized to request statements of qualifications, including financial and performance information, from firms engaged in providing shared energy savings contracting; to designate from the statements received, with an update at least annually, those firms that are presumptively qualified to provide shared energy savings services; to select at least three firms from the qualifying list with which to conduct discussions concerning a particular project; to request technical and price proposals from each of the firms selected; and to select from among these firms, the one most qualified for award. 10 U.S.C. Sec. 2865(c)(2)(A). The Air Force decided that, rather than having each Air Force installation in the country award its own ESPC, it would divide the nation into six regions and award one 25-year ESPC for each region. The awardee for each region would then evaluate, design, finance, install, and maintain energy savings equipment at every Air Force installation located within its region. For each region, one contracting activity was designated as the lead installation for soliciting and evaluating offerors' qualifications to perform the solicitation's requirements and the offerors' proposals. For region I, Tyndall Air Force Base (AFB) was designated as the lead installation; for region II, Wright-Patterson AFB, Ohio was designated; for region III, AFSPC/CONF in Colorado Springs was designated; for region IV, Langley AFB was designated; for region V, Travis AFB was designated; and for region VI, Randolph AFB was designated. /1/ The Air Force desired to solicit proposals from the prequalified firms best qualified to meet its needs, but determined that it would need to obtain further information to make such a selection. In this regard, the DOD prequalified list identifies the firms that have been determined qualified, but provides no detail concerning their particular qualifications. The Air Force thus decided to issue a request for qualifications to interested firms on the 1997 prequalified list to obtain more detailed information regarding their financial strength, technical capability, and ability to perform its specific effort. Each of the lead activities posted a notice on the CBD on-line announcing its intention to award a 25-year ESPC with an estimated value of $200-$250 million.