Signature Performance, Inc.

B-411762 Oct 19, 2015 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Signature Performance, Inc., of Omaha, Nebraska, protests the Department of the Army's award of a contract to Benefit Recovery Specialists LP, of Houston, Texas, under request for proposals (RFP) No. W91YTZ-15-R-0068, for third party collection services. Signature Performance primarily argues that the agency failed to consider the awardee's organizational conflict of interest (OCI). 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:  Signature Performance, Inc. File:  B-411762 Date:  October 19, 2015 Devon E. Hewitt, Esq., Protorae Law PLLC, for the protester. Maj. David H. Stem, and Scott N. Flesch, Esq., Department of the Army, for the agency. Paula J. Haurilesko, Esq., and David A. Ashen, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest that the developer of billing and collections software is ineligible for award of a contract to provide billing and collections services using the software is denied, where the agency conducted a review and reasonably concluded that no organizational conflict of interest existed. DECISION Signature Performance, Inc., of Omaha, Nebraska, protests the Department of the Army’s award of a contract to Benefit Recovery Specialists LP, of Houston, Texas, under request for proposals (RFP) No. W91YTZ-15-R-0068, for third party collection services.  Signature Performance primarily argues that the agency failed to consider the awardee’s organizational conflict of interest (OCI). We deny the protest. BACKGROUND The Department of Defense (DOD) provides medical services through military treatment facilities for active duty service members, their families, military retirees, and their eligible family members and survivors.  Where these authorized DOD beneficiaries have other health insurance coverage, DOD policy requires military treatment facilities to collect payment from the other health insurance providers for medical services rendered at the facilities.  RFP, Performance Work Statement (PWS), at 29.  As background for the instant protest, in January 2014, the Army issued a task order under another contract to General Dynamics One Source LLC to develop, implement, and provide incidental support for the Armed Forces Billing and Collections Utilization Solution (ABACUS), a software-as-a-service solution based on pre-existing, proven commercial software, to replace legacy systems (Composite Health Care System and Third Party Outpatient Collection System) for medical billing and collections.  Agency Report (AR), Tab 20, ABACUS Task Order, at 2, 23, 24.  ABACUS was to have the ability to produce bills, claims, and invoices; assign, track, and report on the status of claims; include disputed claims for further review and processing; and provide for automated and manual posting to accounts.  Id. at 25.  General Dynamics subcontracted with Benefit Recovery to use its commercial billing and collection software.  AR, Tab 28, Contracting Officer’s (CO) OCI Memorandum, Exh. 5, Teaming Agreement. As relevant here, in preparation for the changeover from legacy systems to ABACUS, the Army directed General Dynamics and its subcontractor, Benefit Recovery, to provide training on the new system to incumbent contractors, including Signature Performance.  Benefit Recovery provided the training to Signature Performance personnel on September 23-27, 2014.  AR, Tab 22, Training Synopsis Memo, at 1. With respect to the procurement at issue here, on June 19, 2015, the Army issued the RFP via the General Service Administration’s e-Buy system under Federal Acquisition Regulation (FAR) subpart 8.4, Federal Supply Schedules, procedures.  The RFP provided for the issuance of a fixed-price task order for third party collection services that transition current de-centralized inpatient and outpatient billing operations into a centralized regional concept for the Army’s Northern Regional Medical Command.[1]  PWS at 29.  The period of performance included a base year and one option year.  Id.