B-299154, Palmetto GBA, LLC, December 19, 2006

B-299154 Dec 19, 2006 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Palmetto GBA, LLC protests the issuance of a task order to Pearson Government Solutions, Inc. under a multiple-award indefinite-delivery/indefinite-quantity (ID/IQ) contract for Contract Center Operations (CCO) awarded by the Department of Health and Human Services, Centers for Medicare & Medicaid Services, under request for proposals (RFP) No. RFP-CMS-2005-0027. The protester challenges the agency's issuance of the task order under the CCO contract based on alleged flaws in the agency's cost evaluation and the conduct of discussions. The agency contends that our Office lacks jurisdiction to hear the protest. We dismiss the protest. View Decision B-299154, Palmetto GBA, LLC, December 19, 2006 Decision Matter of: Palmetto GBA, LLC File: B-299154 Date: December 19, 2006 W. Jay DeVecchio, Esq., Kevin C. Dwyer, Esq., Kathy C. Weinberg, Esq., Edward Jackson, Esq., Richard W. Arnholt, Esq., and Bradley A. Areheart, Esq., Jenner & Block LLP for the protester. David S. Cohen, Esq., Bryan T. Bunting, Esq., Victor G. Klingelhofer, Esq., John J. O'Brien, Esq., and Catherine K. Kroll, Esq., Cohen Mohr, LLP for Pearson Government Solutions, Inc., an intervenor. Jamie B. Insley, Esq. and Christine Simpson, Esq., Department of Health and Human Services, for the agency. Jonathan L. Kang, Esq., and Glenn G. Wolcott, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest challenging issuance of a task order under a multiple-award indefinite-delivery/indefinite-quantity contract is dismissed where the task order does not foreclose vendors' opportunity to compete for future orders under the contract, and therefore the issuance of the order does not constitute a –downselection— and is not subject to GAO's bid protest jurisdiction. DECISION Palmetto GBA, LLC protests the issuance of a task order to Pearson Government Solutions, Inc. under a multiple-award indefinite-delivery/indefinite-quantity (ID/IQ) contract for Contract Center Operations (CCO) awarded by the Department of Health and Human Services, Centers for Medicare & Medicaid Services, under request for proposals (RFP) No. RFP-CMS-2005-0027. The protester challenges the agency's issuance of the task order under the CCO contract based on alleged flaws in the agency's cost evaluation and the conduct of discussions. The agency contends that our Office lacks jurisdiction to hear the protest. We dismiss the protest. BACKGROUND The RFP sought proposals to meet the agency's requirements to serve approximately 40 million Medicare beneficiaries by –disseminat[ing] information to people with Medicare (and prospective people with Medicare) on the coverage options available, prescription drug information and General Medicare information.— RFP, CCO Statement of Work (SOW), at 1. The RFP requires provision of –customer service functions in support of a contact center environment within CMS' Contact Center Customer Service (CCCS) program, . . . [which will] guide the creation and consolidation of beneficiary inquiry contact centers.—[1] The RFP anticipated multiple awards of ID/IQ contracts, with a 1-year base performance period, and nine 1-year option periods. The contracts have a maximum potential award value of $9 billion. The RFP stated that, in addition to proposals for the ID/IQ contract, offerors were required to submit proposals for task order 0001, for a beneficiary contact center (BCC) that will –accept and respond to inquires from its beneficiaries and their family members or caretakers.— RFP, BCC SOW, at 1. The BCC task order requires the vendor to provide all –necessary services, personnel, materials, equipment, and facilities— required for the BCC. Id.The RFP advised offerors that the agency intended to evaluate offerors' proposals for the task order both for the immediate issuance of that order, and as a sample task for purposes of determining offerors' capabilities, experience and realistic costs. The RFP also stated that offerors' were required to submit proposals for –BCC Task Order Optional Requirements.— RFP sect. M.3, para. 8. The RFP stated that task orders for these optional requirements would be issued only to vendors who received a BCC task order. Id.The optional BCC requirements are: reference center, print fulfillment, email, web chat, customer satisfaction surveys, and standard operating procedures. RFP sect. M.5, para. b.2. The agency awarded ID/IQ contracts to six offerors, including Palmetto and Pearson, on October 26, 2006. Shortly after the award notices for the contracts, the agency issued the BCC task order to Pearson. The BCC task order is for a 4-month base performance period, with two 1-year option periods; the value of the base plus option periods is $453,931,409.