Valytics LLC

Case: B-417328 Agency: Department of Defense : Office of the Under Secretary for Personnel and Readiness : Defense Health Agency Protester: Valytics LLC Date: 2019-06-25 Denied
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B-417328.2,B-417328.4 Jun 25, 2019 Jump To FULL REPORT VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Valytics, LLC, a small business of Great Falls, Virginia, protests the issuance of a Federal Supply Schedule (FSS) task order to FEDITC, LLC, also a small business, of Rockville, Maryland, under request for quotations (RFQ) No. HT001519Q0001, issued by the Defense Health Agency (DHA) for test and evaluation services. Valytics challenges the agency's past performance evaluation and source selection decision. 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: Valytics, LLC File: B-417328.2, B-417328.4 Date: June 25, 2019 Daniel J. Strouse, Esq., John J. O'Brien, Esq., and David Cohen, Esq., Cordatis LLP, for the protester. Lucas T. Hanback, Esq., and Jeffery M. Chiow, Esq., Rogers Joseph O'Donnell, PC, for FEDITC, LLC, the intervenor. John G. Terra, Esq., Defense Health Agency, for the agency. Hannah G. Barnes, and Tania Calhoun, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest challenging agency's past performance evaluation and source selection decision is denied where the record shows the agency reasonably evaluated quotations and made award in accordance with the terms of the solicitation, as well as applicable procurement law and regulation. DECISION Valytics, LLC, a small business of Great Falls, Virginia, protests the issuance of a Federal Supply Schedule (FSS) task order to FEDITC, LLC, also a small business, of Rockville, Maryland, under request for quotations (RFQ) No. HT001519Q0001, issued by the Defense Health Agency (DHA) for test and evaluation services. Valytics challenges the agency's past performance evaluation and source selection decision. We deny the protest. BACKGROUND The RFQ, issued on November 7, 2018, as a small business set-aside for vendors holding contracts under the General Services Administration's FSS, Special Item Number 132-56 (Health Information Technology Services), contemplated the issuance of a fixed-price task order for provision of test and evaluation (T&E) services for DHA's Solution Delivery Division's operating environments. RFQ, Performance Work Statement (PWS) at 2. The T&E services, to be performed over a five-month base period and two 1-year option periods, would include accomplishing software testing and related tasks; electronic health record core, care and benefits integrated systems and clinical support; and government-developed and integrated commercial-off-the-shelf products. Id. Award was to be made on a best-value tradeoff basis considering three factors: technical approach, past performance, and price. RFQ at 227. Quotations would be rated acceptable or unacceptable under the technical approach factor, which is not at issue here. Id. at 231. The agency would then perform a best-value tradeoff between past performance and price, with past performance being significantly more important than price. Id. at 227. The agency was to consider three aspects of past performance: recency, relevancy, and quality. Id. at 230. To determine relevance, the agency would consider similarity of service/support, complexity, dollar value, use of key personnel, and the role of the offeror's involvement in the effort. Id. at 231. To determine quality, the agency would review all past performance information collected. Id. Vendors were required to submit no more than five past performance references. Id. at 226. The agency would assign one of the following ratings for each vendor's past performance to assess the likelihood it would meet the solicitation's requirements: substantial confidence, satisfactory confidence, neutral confidence, limited confidence, or no confidence. Id. at 232. The agency received seven quotations in response to the RFQ by February 11, 2019. Agency Report (AR), exh. 14, Source Selection Decision (SSD) at 2. As relevant here,1 the quotations of both FEDITC and Valytics were rated technically acceptable, with substantial confidence ratings under the past performance factor. Id. at 12. FEDITC's price was $13,921,441 and Valytics' price was $15,240,302. Id. The past performance evaluators2 found that FEDITC had outstanding past performance on all three of its referenced contracts, two of which were very relevant and to be weighted heavily.3 AR, exh. 15, Past Performance Recommendation Report at 4-6. The evaluators found that Valytics had performance ranging from excellent to outstanding on two very relevant contracts performed by its subcontractor, and performance ranging from excellent to outstanding on two relevant contracts performed by Valytics. The evaluators also found that all four contract references should be weighted heavily. Id.

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