NTT DATA Services Federal Government, Inc. (HSFE30-16-R-0009)

B-417235.2,B-417235.3 Jan 02, 2020 Jump To FULL REPORT VIEW DECISION RELATED PAGES GAO CONTACTS Highlights NTT DATA Services Federal Government, Inc. (NTT), of Herndon, Virginia, protests the award of a contract to BAE Systems Technology Solutions & Services, Inc. (BAE), of Rockville, Maryland, under request for proposal (RFP) No. HSFE30-16-R-0009, issued by the Department of Homeland Security, Federal Emergency Management Agency (FEMA), for operations and management support services. NTT alleges that the agency unreasonably evaluated the proposals. 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:  NTT DATA Services Federal Government, Inc. File:  B-417235.2; B-417235.3 Date:  January 2, 2020 Jeffrey A. Belkin, Esq., Michael J. Mortorano, Esq., and Min Ji Kim, Esq., Alston & Bird, LLP, for the protester. Jamie F. Tabb, Esq., Tyler E. Robinson, Esq., Ryan D. Stalnaker, Esq., and John M. Satira, Esq., Vinson & Elkins, LLP, for BAE Systems Technology Solutions & Services, Inc., the intervenor. Ekta Patel, Esq., and Jeffrey D. Webb, Esq., Department of Homeland Security, for the agency. Todd C. Culliton, Esq., and Tania Calhoun, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest that agency’s price realism analysis was inadequate is denied where the record shows that the agency conducted its price realism analysis using applicable price analysis techniques, and with results that were reasonable and consistent with the terms of the solicitation. DECISION NTT DATA Services Federal Government, Inc. (NTT), of Herndon, Virginia, protests the award of a contract to BAE Systems Technology Solutions & Services, Inc. (BAE), of Rockville, Maryland, under request for proposal (RFP) No. HSFE30‑16‑R‑0009, issued by the Department of Homeland Security, Federal Emergency Management Agency (FEMA), for operations and management support services.  NTT alleges that the agency unreasonably evaluated the proposals. We deny the protest. BACKGROUND On April 28, 2017, FEMA issued the RFP to procure operations and management services to support its Office of the Chief Information Officer.  Contracting Officer’s Statement of Facts (COS) at 1.  The selected contractor would support five areas, including:  program management; information technology (IT) operations and maintenance; telecommunications operations and maintenance; help desk services; and network operating services.  Agency Report (AR), Tab 7, RFP, attach. J.2, Performance Work Statement, at 9.  The RFP contemplated the award of an indefinite‑delivery, indefinite-quantity contract to be performed over a 1-year base period, four 1-year option periods, and a 6-month extension period with a ceiling value of $300 million.  AR, Tab 5, RFP, at 1.  Task orders could be issued as fixed‑price, time‑and‑materials, or labor‑hour orders.  Id. at 2.  Award would be made on a best-value tradeoff basis considering technical approach, past performance, and price factors.  AR, Tab 5, RFP, at 81.  The technical approach factor was considered significantly more important than the past performance factor; additionally, when combined, the technical approach and past performance factors were significantly more important than the price factor.  Id.  When submitting their price proposals, offerors were required to complete a pricing template.  AR, Tab 5, RFP, at 83.  The template included prepopulated labor categories, labor hours, and other direct costs; thus, offerors only provided their fully burdened labor rates.  AR, Tab 6, RFP, attach. J.1, Government Site and Contractor Site Price Rates Template; see also AR, Tab 5, RFP at 78.  FEMA would assess whether proposed prices were reasonable, balanced, and realistic.  AR, Tab 5, RFP at 83. Ten offerors submitted proposals prior to the July 10, 2017, closing date.  COS, at 5.  FEMA established a competitive range of four offerors, including both NTT and BAE.  Id. at 6.  All offerors in the competitive range submitted revised proposals by the closing date of May 9.  Id.  The evaluation produced the following relevant results:   NTT BAE Technical Good Excellent Program Management Excellent Excellent IT Systems Operations and Maintenance Good Excellent Telecomm.