B-297516, Space-Lok, Inc., January 25, 2006

B-297516 Jan 25, 2006 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Space-Lok, Inc. protests the issuance of a purchase order to UFC Aerospace under request for quotations (RFQ) No. SP0540-05-Q-9679, issued by the Defense Logistics Agency (DLA), Defense Supply Center, Philadelphia (DSCP), for self-locking barrel nuts, national stock number (NSN) 5310-01-524-8065, used in the maintenance, overhaul, and repair of U.S. Army AH-64 Apache helicopters. Space-Lok argues that DSCP improperly made award based on a 210-day delivery schedule, and that UFS cannot meet this schedule. We deny the protest. View Decision B-297516, Space-Lok, Inc., January 25, 2006 Decision Matter of: Space-Lok, Inc. File: B-297516 Date: January 25, 2006 Jeffrey W. Wade for the protester. Marc L. Peterson, Esq., and Philip F. Eckert, Jr., Esq., Defense Logistics Agency, for the agency. Jacqueline Maeder, Esq., and John M. Melody, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Protest that 210-day delivery requirement was not a proper basis for issuing purchase order to another vendor--because it was not specified in solicitation and because agency's delays in evaluating quotations and issuing purchase order demonstrate that there was no need for delivery within that time--is denied; 210-day delivery requirement specified in synopsis effectively amended solicitation, and agency's delays did not negate clearly stated delivery requirement. 2. Protest that awardee will not be able to meet delivery requirement--evidenced by fact that manufacturer of its quoted items submitted quotation that did not meet the delivery requirement--is denied where agency reasonably investigated matter and concluded that awardee could meet requirement. DECISION Space-Lok, Inc. protests the issuance of a purchase order to UFC Aerospace under request for quotations (RFQ) No. SP0540-05-Q-9679, issued by the Defense Logistics Agency (DLA), Defense Supply Center, Philadelphia (DSCP), for self-locking barrel nuts, national stock number (NSN) 5310-01-524-8065, used in the maintenance, overhaul, and repair of U.S. Army AH-64 Apache helicopters. Space-Lok argues that DSCP improperly made award based on a 210-day delivery schedule, and that UFS cannot meet this schedule. We deny the protest. The solicitation, issued using simplified acquisition procedures on February 28, 2005, requested quotations for 11,408 barrel nuts, which are one component of a 3-component nut, bolt, retainer system used to attach pylons to the wings of Apache helicopters. The barrel nuts were to be delivered within 90 days. The RFQ provided for award to the vendor whose quotation represented the –best value— to the agency based on price and past performance, which were equally weighted. The past performance evaluation was to be based on vendors' scores under DLA's Automated Best Value System (ABVS), which scores reflect firms' performance history. All initial quotations received were in excess of the $100,000 simplified acquisition threshold and exceeded the specified 90-day delivery.[1] The agency therefore abandoned the simplified acquisition approach at this juncture with the intent –to enter into a two-party, negotiated contract under [Federal Acquisition Regulation] FAR Part 15.— AR at 4. The agency did not reissue the RFQ but –used the original RFQ as a tool for purposes of an oral solicitation— and issued a synopsis on August 10, which set forth a 210'day delivery and requested revised quotations by August 12.[2] Id. Four revised quotations were received, one from each of the two approved manufacturing sources--Space-Lok and SPS Technologies--and two from distributors, including UFC. All four quotations were determined to be in the competitive range and negotiations were conducted with all four vendors. Space-Lok quoted the lowest price but did not propose to supply any of the 11,408 barrel nuts within the 210-day delivery. Indeed, after discussions, Space-Lok actually increased the length of delivery, quoting 3,000 barrel nuts in 406 days, an additional 3,000 in 434 days, another 3,000 in 462 days, and the remaining 2,408 in 490 days, the longest delivery of the four vendors. Id.UFC, a distributor, quoted the second-lowest price and indicated that it would supply all 11,408 barrel nuts (purchased from SPS) within 190 days. SPS quoted the third-lowest price, and indicated that it could supply a portion of the requirement within 210 days and the remainder a short time later. The fourth vendor's price was considered too high and its delivery did not meet the 210-day requirement.