Planet Depos LLC

B-411142 May 26, 2015 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Planet Depos LLC, of Washington, D.C., a small business, protests the decision of the Department of the Treasury, Office of the Comptroller of the Currency (OCC) to issue request for proposals (RFP) No. CC-15-HQ-R-0005, for court reporting and stenotype services, as a set-aside for HUBZone small business concerns. We deny the protest. We deny the protest. View Decision DOCUMENT FOR PUBLIC RELEASE The decision issued on the date below was subject to a GAO Protective Order. This redacted version has been approved for public release. Decision Matter of: Planet Depos LLC File: B-411142 Date: May 26, 2015 Robert J. Symon, Esq., Aron C. Beezley, Esq., and Lisa A. Markman, Esq., Bradley Arant Boult Cummings LLP, for the protester. Ronald Perlman, Esq., Holland & Knight, LLP, for Neal R. Gross & Company, the intervenor. Patricia S. Grady, Esq., and William J. Erle, Esq., Department of the Treasury, for the agency. Young S. Lee, Esq., and Nora K. Adkins, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest challenging agency’s decision to set aside an acquisition for historically underutilized business zone (HUBZone) small businesses is denied where the record shows that the agency reasonably expected that at least two HUBZone small businesses would compete for the award and that award would be made at a fair and reasonable price. DECISION Planet Depos LLC, of Washington, D.C., a small business, protests the decision of the Department of the Treasury, Office of the Comptroller of the Currency (OCC) to issue request for proposals (RFP) No. CC-15-HQ-R-0005, for court reporting and stenotype services, as a set-aside for HUBZone small business concerns. We deny the protest. BACKGROUND The OCC’s Chief Counsel Information System Group requires support for the agency’s court reporting and stenotype services. Neal R. Gross & Company, a HUBZone small business, is the incumbent contractor. At issue here, is the follow‑on procurement to Neal R. Gross’s expiring contract. In preparation for the current procurement, an OCC contract specialist conducted market research to determine whether two or more HUBZone small businesses would be likely to submit proposals in response to the solicitation.[1] Agency Report (AR), Tab 2, Market Research Report Mems., (Oct. 10, 2014), at 1-3; (Dec. 15, 2014), at 1-3; Tab 3, Market Research, at 1-11. The contract specialist reviewed information available from the agency’s prior procurement for these services, the General Services Administration’s (GSA) Federal Supply Schedule (FSS), the System for Award Management (SAM), the internet, and the Small Business Administration’s (SBA) dynamic small business system. AR, Tab 3, Market Research, at 1-11. The market research resulted in the identification of six HUBZone small businesses, including the incumbent contractor. AR, Tab 2, Market Research Report Mem., (Oct. 10, 2014), at 2. The contracting specialist contacted each of the six HUBZone small businesses; five confirmed that they would be interested in submitting a proposal in response to the RFP. CO Statement at 2; AR, Tab 2, Market Research Mem., (Dec. 15, 2014), at 2. Based on the results of the agency’s market research, which was presented to and approved by an acquisition review board (ARB), the agency decided to release the current RFP as a HUBZone small business set‑aside. AR, Tab 5, ARB Approval, at 3-4. On February 2, 2015, the agency issued the RFP under the commercial item procedures of Federal Acquisition Regulation (FAR) Part 12. In response, the OCC received three proposals.[2] CO Statement at 3. Planet Depos did not submit a response to the solicitation but filed its protest prior to the closing date for receipt of proposals. DISCUSSION Planet Depos, which is not a HUBZone small business, argues that the OCC’s decision to set aside the procurement exclusively for HUBZone small businesses was unreasonable. The protester alleges that the agency could not have expected to receive offers from at least two or more HUBZone small businesses, and the agency cannot expect to make an award at a fair market price, because only one of the five companies identified in the OCC’s market research is actually capable of performing the requirement. Under FAR § 19.502-2(b), a procurement with an anticipated dollar value of more than $150,000, such as the one here, shall be set aside for exclusive small business participation when there is a reasonable expectation that offers will be received from at least two responsible small business concerns and that award will be made at fair market prices.[3] No particular method of assessing the availability of capable small businesses is required; rather, the assessment must be based on sufficient facts so as to establish its reasonableness.