AeroSage, LLC
Case: B-417803.2
Agency: Department of Veterans Affairs
Protester: AeroSage, LLC
Date: 2019-09-04
Dismissed
B-417803.2
Published: Oct 29, 2019. Publicly Released: Oct 30, 2019.
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Highlights
AeroSage, LLC, a service-disabled veteran-owned small business (SDVOSB) of Tampa, Florida, requests that we recommend reimbursement of the reasonable costs of filing and pursuing its protest of the terms of request for quotations (RFQ) No. 36C78619Q0312, the evaluation of quotations, and the award of a contract to Crystal Flash, Inc., of Grand Rapids, Michigan, by the Department of Veterans Affairs (VA), for diesel fuel and ethanol-free gasoline at Fort Custer National Cemetery in Augusta, Michigan. AeroSage also requests reimbursement for bid preparation costs.
We deny the request.
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Decision
Matter of: AeroSage, LLC--Costs
File: B-417803.2
Date: October 29, 2019
David M. Snyder, AeroSage, LLC, for the protester.
Benjamin Ratichek, Esq., Department of Veterans Affairs, for the agency.
John Sorrenti, Esq., and Christina Sklarew, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision.
DIGEST
Request for recommendation of reimbursement of protest and bid preparation costs following corrective action is denied where the record does not establish that the agency unduly delayed taking corrective action when it announced its decision to take corrective action by the time established for the submission of the agency’s report.
DECISION
AeroSage, LLC, a service-disabled veteran-owned small business (SDVOSB) of Tampa, Florida, requests that we recommend reimbursement of the reasonable costs of filing and pursuing its protest of the terms of request for quotations (RFQ) No. 36C78619Q0312, the evaluation of quotations, and the award of a contract to Crystal Flash, Inc., of Grand Rapids, Michigan, by the Department of Veterans Affairs (VA), for diesel fuel and ethanol-free gasoline at Fort Custer National Cemetery in Augusta, Michigan.[1] AeroSage also requests reimbursement for bid preparation costs.
We deny the request.
BACKGROUND
On May 22, 2019, the agency issued the RFQ for diesel fuel and ethanol-free gasoline at Fort Custer National Cemetery. AeroSage submitted a quotation in response to the RFQ, and on July 23, 2019, the agency notified AeroSage that its quotation was found to be technically non-responsive because the quotation provided for delivery of fuel to the wrong location. Two days later, the agency made award to Crystal Flash. On
July 29, 2019, AeroSage filed a protest with our Office, arguing that the RFQ should have been set aside for SDVOSBs, that its quotation was unfairly rejected as nonresponsive, and that the contract was improperly awarded to another vendor.[2]
On August 28, the day the agency report was due to our Office, the agency notified GAO of its intent to take corrective action in response to AeroSage’s protest, and requested dismissal of the protest as academic. The agency stated that it would implement corrective action by (1) cancelling the solicitation; (2) terminating the awarded contract; (3) conducting additional market research; (4) reexamining the solicitation and revising it as appropriate; and (5) issuing a new solicitation. Based on the agency’s corrective action, our Office dismissed the protest as academic.[3] AeroSage, LLC, B-417803, Sept. 4, 2019 (unpublished decision). On September 6, AeroSage filed its request that our Office recommend reimbursement of protest and bid preparation costs.
DISCUSSION
AeroSage contends that reimbursement is warranted because the agency unduly delayed taking corrective action and its protest grounds were clearly meritorious. The agency responds that it did not unduly delay in taking corrective action because it filed notice of corrective action before the agency report was due.
When a procuring agency takes corrective action in response to a protest, our Office may recommend reimbursement of protest costs where, based on the circumstances of the case, we determine that the agency unduly delayed taking corrective action in the face of a clearly meritorious protest, thereby causing the protester to expend unnecessary time and resources to make further use of the protest process in order to obtain relief. 4 C.F.R. §21.8(e); AAR Aircraft Servs.--Costs, B-291670.6, May 12, 2003, 2003 CPD ¶ 100 at 5. With respect to the promptness of the agency’s corrective action under the circumstances, we review the record to determine whether the agency took appropriate and timely steps to investigate and resolve the impropriety. See Chant Eng’g Co., Inc.--Request for Costs, B-274871.2, Aug. 25, 1997, 97-2 CPD ¶ 58 at 4. As a general rule, so long as an agency takes corrective action by the due date for filing its protest report, we regard the action as prompt, and will not consider a request to recommend reimbursement of protest costs. Career Sys. Dev. Corp.--Costs, B-411346.10, July 18, 2018, 2018 CPD ¶ 249 at 5; Brian X.
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