Millennium Corporation, Inc.

Skip Navigation Advanced Search Reports & Testimonies Bid Protests & Appropriations Law Key Issues About GAO Careers Multimedia Resources For Congress For Journalists For Auditors For Federal Managers For Researchers Center for Audit Excellence Millennium Corporation, Inc. B-412866: Jul 14, 2016 Summary View Decision View Decision (PDF, 10 pages) Share This: Additional Materials: Full Report: View Decision (PDF, 10 pages) Contact: Ralph O. White (202) 512-8278 WhiteRO@gao.gov Kenneth E. Patton (202) 512-8205 PattonK@gao.gov Office of Public Affairs (202) 512-4800 youngc1@gao.gov Millennium Corporation, Inc., of Arlington, Virginia, a small business, protests the award of a task order to Systems Technologies, Inc. (Systek), of West Long Branch, New Jersey, also a small business, by the Department of Veterans Affairs (VA) under request for quotations (RFQ) No. VA118-16-R-0909, for support services for the agency's acquisition and contracting administration office. Millennium challenges the agency's technical evaluation and best-value tradeoff decision, and contends that Systek has an organizational conflict of interest (OCI) because the awardee had unequal access to nonpublic information as a result of its status as an incumbent subcontractor. We deny the protest. 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: Millennium Corporation, Inc. File: B-412866; B-412866.2 Date: June 14, 2016 Milton C. Johns, Esq., Fluet Huber & Hoang, PLLC, for the protester. James F. Ford, Esq., Christopher Tiroff, Esq., Department of Veterans Affairs, for the agency. Laura Eyester, Esq., and Cherie J. Owen, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Protest challenging agency’s best-value award decision is denied where the record shows that the source selection authority analyzed the qualitative differences between the proposals and reasonably concluded that the higher-rated, higher-priced proposal offered the best value to the government. 2. Protest that awardee had unequal access to information organizational conflict of interest is denied where record reflects that any advantage arising from awardee’s prior contract performance as a subcontractor was normally occurring incumbent advantage, and the agency did not provide awardee preferential treatment. DECISION Millennium Corporation, Inc., of Arlington, Virginia, a small business, protests the award of a task order to Systems Technologies, Inc. (Systek), of West Long Branch, New Jersey, also a small business, by the Department of Veterans Affairs (VA) under request for quotations (RFQ) No. VA118-16-R-0909, for support services for the agency’s acquisition and contracting administration office. Millennium challenges the agency’s technical evaluation and best-value tradeoff decision, and contends that Systek has an organizational conflict of interest (OCI) because the awardee had unequal access to nonpublic information as a result of its status as an incumbent subcontractor. We deny the protest. BACKGROUND On January 22, 2016, the VA issued the solicitation, pursuant to Federal Acquisition Regulation (FAR) subpart 8.4, to vendors holding contracts under the General Services Administration’s (GSA) Federal Supply Schedule (FSS) for Professional Services Schedule Special Item Numbers (SINs) 871-1(strategic planning for technology programs/activities) and 871-6 (acquisition and life cycle management). [1] Contracting Officer’s (CO) Statement at 2; see RFQ at 87. The RFQ contemplated the award of a fixed-price task order for a base year and two option years for acquisition policy, data, business operations, and acquisition technical support for the VA’s acquisition and contracting administration office. RFQ at 16. Award was to be made on a best‑value basis considering four evaluation factors: (1) technical, (2) past performance, (3) price, and (4) veterans involvement. RFQ at 85. The technical factor was significantly more important than past performance, which was slightly more important than price, which, in turn, was slightly more important than the veterans involvement factor. Id. The non-price factors combined were significantly more important than the price factor. Id. In order to receive consideration for award, offerors needed to receive a “rating of no less than ‘Acceptable’” for the technical factor, and offerors were cautioned that the agency may not necessarily issue an award to the lowest-priced or most highly-rated technical proposal. Id. The RFQ also advised that the award might be made without discussions. Id.