Systems, Studies, and Simulation, Inc., B-295579, March 28, 2005

B-295579 Mar 28, 2005 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Systems, Studies, and Simulation, Inc. (S3) protests the rejection of its quotation under request for quotations (RFQ) No. W31P4Q-04-T-0564, issued by the Department of the Army, for advisory and assistance services in support of the Army Aviation and Missile Command. We deny the protest. View Decision B-295579, Systems, Studies, and Simulation, Inc., March 28, 2005 Decision Matter of: Systems, Studies, and Simulation, Inc. File: B-295579 Date: March 28, 2005 Gary L. Rigney, Esq., for the protester. Victor G. Vogel, Esq., and Sharon B. Patterson, Esq., Department of the Army, and Thedlus L. Thompson, Esq., General Services Administration, for the agencies. John L. Formica, Esq., and James A. Spangenberg, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Agency's evaluation of the protester's quotation under the solicitation's "pricing structure" evaluation criterion as posing "moderate risk" was reasonable where the quotation included the protester's Federal Supply Schedule labor rates, and the protester's rates were slightly to significantly lower than the agency's calculated historical rates, and the specific services to be performed are highly complex in nature. DECISION Systems, Studies, and Simulation, Inc. (S3) protests the rejection of its quotation under request for quotations (RFQ) No. W31P4Q-04-T-0564, issued by the Department of the Army, for advisory and assistance services in support of the Army Aviation and Missile Command. [1] We deny the protest. The RFQ informed vendors that the Army "intends to award a minimum of four BPAs [blanket purchase agreements] to responsible BPA teams whose quotations are considered most advantageous to the government" based on the following five evaluation criteria: performance capability, teaming and business arrangements, socio-economic benefits, pricing structure, and past performance. [2] RFQ at 47. The solicitation stated that the awards would "be made to those BPA Teams demonstrating the best overall capabilities and value to the government based upon the evaluation criteria," and specified that "awards may be made to other than the lowest priced BPA Teams." RFQ at 47. Vendors were informed that the BPAs would be "entered into pursuant to the terms of the BPA holder's [Federal Supply Schedule] FSS contract number," and that under the BPAs the agency would award fixed price and/or fixed-rate, time-and-materials or labor-hour task orders to the vendors whose quotations in response to the task order solicitations were found to represent the best value to the government. RFQ at 3, 8. The solicitation provided detailed instructions for the preparation of quotations for the BPAs, and requested that each quotation include a general information volume, a business and performance capabilities volume, a pricing structure volume, and a past performance volume. RFQ at 44. The solicitation "cautioned that parroting' of the functional requirements with a statement of intent to perform does not reveal understanding of the requirement or the capability to perform it," and advised in this regard that "[t]he quotation should demonstrate that the BPA team can perform at an acceptable level of risk." RFQ at 44. The RFQ notified vendors that although "the government has not formally set-aside' the small business awards under procedures set forth in [Federal Acquisition Regulation] FAR Subpart 19.5," the agency anticipated awarding two BPAs to small businesses, one BPA to a small disadvantaged business, and one BPA to a "large" business. RFQ at 47. The RFQ was issued to "seven selected contractors," with each of the selected vendors, including S3, submitting a quotation. Contracting Officer's Statement at 1-2. The quotations were evaluated, and the quotation submitted by S3 (a small business) was evaluated as "green/very good" under the performance capability, teaming and business arrangements, and socio-economic benefits criteria, "yellow/moderate risk" under the pricing structure criterion, and "blue/outstanding" under the past performance criterion. [3] AR, Tab I, Source Selection Decision, at 17. The agency ultimately selected the quotations of one large business, one small business, and two small disadvantaged businesses, for award of the BPAs. Id. at 19. The record evidences that the reason that S3's quotation was not accepted for award was its moderate risk rating for the pricing structure criterion. After requesting and receiving a debriefing, and filing an agency-level protest (which was denied), S3 filed this protest with our Office.