Crescent Helicopters, B-284706; B-284707; B-284734; B-284735, May 30, 2000

Crescent Helicopters, B-284706; B-284707; B-284734; B-284735, May 30, 2000 TITLE: Crescent Helicopters, B-284706; B-284707; B-284734; B-284735, May 30, 2000 BNUMBER: B-284706; B-284707; B-284734; B-284735 DATE: May 30, 2000 ********************************************************************** Crescent Helicopters, B-284706; B-284707; B-284734; B-284735, May 30, 2000 Decision Matter of: Crescent Helicopters File: B-284706; B-284707; B-284734; B-284735 Date: May 30, 2000 Dean H. Shealy for the protester. Sherry Kinland Kaswell, Esq., Department of Interior, for the agency. Katherine I. Riback, Esq., and James A. Spangenberg, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Agency properly determined, based on market research, that helicopter services could be acquired under Federal Acquisition Regulation part 12 commercial item procedures because the services solicited are the type of services offered and sold competitively by the aviation industry in substantial quantities to commercial entities; none of the requirements pertaining to pilot and mechanic qualifications and invoicing, which were included in the solicitations, transformed the type of services sought here to something other than a commercial item. 2. Protest that agency improperly included in commercial item solicitation for helicopter services pilot and mechanic qualification requirements that were inconsistent with commercial practice is denied where the record showed that commercial contracts had similar requirements, and for those requirements that were not in commercial contracts, the agency properly issued waiver in accordance with Federal Acquisition Regulation sect. 12.302(c). DECISION Crescent Helicopters protests the terms of requests for proposals (RFP) Nos. 8000-03, 8000-04, 8000-05, and 8000-16, issued by the Department of the Interior, Office of Aircraft Services (OAS), for helicopter services. We deny the protests. The RFPs, issued pursuant to the commercial item procedures of Federal Acquisition Regulation (FAR) part 12, are for the acquisition of helicopter flight services, fully operated and maintained by the contractor, in four different locations. The helicopter services will be used to support a variety of Interior resource programs, most importantly wildland fire suppression. The RFPs contemplate the award of fixed-price, with economic price adjustment, contracts for a base year with 2 option years. Each RFP lists the aviation services to be provided under the contract and includes 20 pages of technical specifications, which, among other things, include pilot and mechanic qualifications. Each RFP also includes FAR sect. 52.212-2, Evaluation--Commercial Items, which provides that the government will award a single contract based on the offer that represents the best value to the government based on the merits of the acceptability of the offer, the aircraft questionnaire, the evaluated price, and the offeror's relative capability. RFP sect. D2.1. [1] The protester first contends that the RFPs were wrongfully issued as commercial item acquisitions under FAR part 12 because the services being acquired under the RFPs cannot properly be considered commercial items. Consistent with the Federal Acquisition Streamlining Act of 1994 (FASA), 41 U.S.C. sect.sect. 264a, 264b, 403(12)F) (1994), FAR sect. 2.101 defines "commercial item" with respect to services as follows: Services of a type offered and sold competitively in substantial quantities in the commercial marketplace based on established catalog or market prices for specific tasks performed under standard commercial terms and conditions. Determining whether a product or service is a commercial item is largely within the discretion of the contracting agency, and such a determination will not be disturbed by our Office unless it is shown to be unreasonable. Aalco Forwarding, Inc., et al., B-277241.8, B-277241.9, Oct. 21, 1997, 97-2 CPD para. 110 at 11. FAR part 12 prescribes policies and procedures unique to the acquisition of commercial items and implements the preference established by, and the specific requirements in FASA for the acquisition of commercial items that meet the needs of an agency. FAR part 12 was intended to establish acquisition policies more closely resembling those of the commercial marketplace as well as other considerations necessary for proper acquisition planning, solicitation, evaluation, and award of contracts for commercial items. FAR part 12 specifies the solicitation provisions and clauses to be used when acquiring commercial items. Agencies are required to conduct market research pursuant to FAR part 10 to determine whether commercial items are available that could meet the agency's requirements. FAR sect. 12.101.