Nexsys Electronics Inc- dba Medweb (HT001520R0063)
Case: B-419616
Agency: Department of Defense : Defense Health Agency
Protester: Nexsys Electronics Inc- dba Medweb
Date: 2022-01-07
Denied
B-419616.4
Jan 07, 2022
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Highlights
Nexsys Electronics Inc., doing business as Medweb (Medweb), a small business of San Francisco, California, protests the award of a contract to Valor Network, Inc. (Valor), a small business of Seaside Park, New Jersey, under request for proposals (RFP) No. HT001520R0063, issued by the Department of Defense, Defense Health Agency (DHA) for professional diagnostic radiology services. The protester challenges the agency's evaluation of its proposal.
We deny the protest.
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Decision
Matter of: Nexsys Electronics Inc., d/b/a Medweb
File: B-419616.4
Date: January 7, 2022
Steven Osborne, Nexsys Electronics Inc., doing business as Medweb, for the protester.
C. Peter Dungan, Esq., Miles & Stockbridge P.C., for Valor Network, Inc., the intervenor.
Bradley Richardson, Esq., and John G. Terra, Esq., Defense Health Agency, for the agency.
Raymond Richards, Esq., and John Sorrenti, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision.
DIGEST
Protest challenging the agency’s evaluation of past performance is denied where the evaluation was reasonable and consistent with the terms of the solicitation.
DECISION
Nexsys Electronics Inc., doing business as Medweb (Medweb), a small business of San Francisco, California, protests the award of a contract to Valor Network, Inc. (Valor), a small business of Seaside Park, New Jersey, under request for proposals (RFP) No. HT001520R0063, issued by the Department of Defense, Defense Health Agency (DHA) for professional diagnostic radiology services. The protester challenges the agency’s evaluation of its proposal.
We deny the protest.[1]
Background
The RFP was issued on October 1, 2020, as a small business set‑aside under the procedures of Federal Acquisition Regulation (FAR) parts 12 and 15. Agency Report (AR), Tab 1, RFP at 1, 107. The solicitation contemplated the award of a single indefinite‑delivery, indefinite‑quantity (IDIQ) contract with a base period of 1‑year and four 1‑year option periods. Id. at 84, 112. Award was to be made using a tradeoff considering past performance and price, where past performance was significantly more important than price. Id. at 107.
The solicitation sought proposals for diagnostic radiology services such as image interpretation and reporting. Id. at 111. The requested services were to be performed at the contractor’s place of business. Id. The solicitation explained that radiology images and related data would be transmitted between military treatment facilities and the contractor’s place of business utilizing secure broadband connections. Id. This required the prospective contractor to have the capability and authorization to connect to the relevant Department of Defense information networks. Id. at 111‑112. Proposals were due by December 11. AR, Tab 12, RFP amend. 0003 at 1.
The agency received eight proposals in response to the solicitation. AR, Tab 19, Source Selection Decision Document (SSDD) at 1. On February 27, 2021, the agency selected Valor for award. Contracting Officer’s Statement (COS) at 5. Following the award to Valor, Excalibur Healthcare, P.A. (Excalibur), a small business of Moorestown, New Jersey, filed a protest with our Office. Id.; Excalibur Healthcare, P.A., B‑419616, B‑419616.2, Mar. 8, 2021 (unpublished decision). In response to the protest, the agency filed a notice of corrective action. Excalibur Healthcare, P.A., supra. The agency’s proposed corrective action rendered the protest academic and as a result, we dismissed the protest on March 8. Id.
On April 22, the agency issued RFP amendment 0004.[2] AR, Tab 16, RFP amend. 0004 at 1. This amendment revised the instructions to offerors under the past performance factor. COS at 3; compare RFP at 105, with AR, Tab 16, RFP amend. 0004 at 3. Offerors were invited to provide a revised past performance submission no later than May 6.[3] AR, Tab 16, RFP amend. 0004 at 1.
The agency received six proposals in response to the amended solicitation. DHA evaluated the proposals submitted by Medweb and Valor as follows:
Past Performance
Price
Medweb
Satisfactory Confidence
$76,809,139
Valor
Substantial Confidence
$73,532,325
AR, Tab 19, SSDD at 9, 11, 13, 19. DHA performed a tradeoff between the proposals submitted by Medweb and Valor, and concluded that Valor offered the best value to the government. Id. at 21. Accordingly, DHA selected Valor for award. Id.
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