Sterisyn, Inc. (SPE2D2-19-R-0051)

B-418366,B-418366.2,B-418288.2,B-418288.3 Apr 01, 2020 Jump To FULL REPORT VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Sterisyn, Inc., a small business of Moorpark, California, protests the terms of requests for proposals Nos. SPE2D2-19-R-0050 (RFP-0050) and SPE2D2-19-R-0051 (RFP-0051), issued by the Defense Logistics Agency (DLA) to establish requirements contracts to sell pharmaceutical products to various prime pharmaceutical vendors (PPVs) that hold distribution contracts with DLA. Sterisyn primarily contends that the solicitations contain an unreasonable requirement that the successful offeror enter into business relationships with the PPVs. The protester also alleges that several terms of the solicitations are ambiguous. We deny the protests. 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:  Sterisyn, Inc. File:  B-418366; B-418366.2; B-418288.2; B-418288.3 Date:  April 1, 2020 Matthew P. Moriarty, Esq., Shane J. McCall, Esq., Ian P. Patterson, Esq., and Nicole D. Pottroff, Esq., Koprince Law, LLC, for the protester. Nathaniel A. Work, Esq., and Eric F. Christianson, Esq., Defense Logistics Agency, for the agency. Evan C. Williams, Esq., and Stephanie B. Magnell, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1.  Protests of solicitation provision in commercial item solicitations requiring that the successful offeror enter into business agreements with non-governmental third party entities are denied where the protester does not demonstrate that such provisions are inconsistent with customary commercial practice.  2.  Protests alleging that the payment scheme established by commercial item solicitations will unreasonably result in the agency paying for the same services twice are denied where the protester’s objections fail to provide a basis to question the agency’s actions. 3.  Protests that a solicitation provision that the successful offeror enter into business agreements with non-governmental third party entities provides some offerors with an unfair competitive advantage are denied where the record does not show any unfair action or preferential treatment by the agency. 4.  Protests alleging that the solicitations are ambiguous are denied where the record shows that the terms of the solicitations provide sufficient information to allow offerors to intelligently prepare their proposals on a common basis. DECISION Sterisyn, Inc., a small business of Moorpark, California, protests the terms of requests for proposals Nos. SPE2D2-19-R-0050 (RFP-0050) and SPE2D2-19-R-0051 (RFP-0051), issued by the Defense Logistics Agency (DLA) to establish requirements contracts to sell pharmaceutical products to various prime pharmaceutical vendors (PPVs) that hold distribution contracts with DLA.  Sterisyn primarily contends that the solicitations contain an unreasonable requirement that the successful offeror enter into business relationships with the PPVs.  The protester also alleges that several terms of the solicitations are ambiguous.[1] We deny the protests. BACKGROUND The agency issued RFP-0050 and RFP-0051 pursuant to the procedures of Federal Acquisition Regulation (FAR) part 12 on September 3, 2019, and September 4, respectively.  RFP-0050; RFP-0051.  The solicitations contemplate the award of requirements contracts (referred to here as “national contracts”) for the sale of bottles of doxycycline hyclate and pramipexole dihydrochloride tablets of various dosages and quantities through the PPV program.[2]  RFP-0050 at 2, 23; RFP-0051 at 2, 29.  Each of the RFPs provides for the award of a requirements contract with a base period of 1 year with four 1-year options.  RFP-0050 at 2, 10-11; RFP-0051 at 2, 10-11.  The estimated value of the contracts awarded under RFP-0050 and RFP-0051 is $[DELETED] and $[DELETED], respectively.  Combined Contracting Officer’s Statement and Memorandum of Law (COS/MOL)-0050 at 5; COS/MOL-0051 at 5.  The solicitations provide that all agency requirements for the specified pharmaceutical products will be purchased through the PPVs at the prices established by the national contracts at issue in these protests.  RFP-0050 at 10-11; RFP-0050, amend. 0006 at 8; RFP-0051 at 10‑11; RFP-0051, amend. 0006 at 4.  The agency refers to the awardees of the solicitations at issue here as national contractors.  RFP-0050, amend. 0006 at 8; RFP‑0051, amend.