Livanta LLC (HT940222R0002)

Case: B-420970 Agency: Department of Defense : Defense Health Agency Protester: Livanta LLC Date: 2022-10-28 Denied
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B-420970,B-420970.2 Oct 28, 2022 Jump To FULL REPORT VIEW DECISION RELATED PAGES GAO CONTACTS Highlights   Livanta, LLC, of Annapolis Junction, Maryland, protests the terms of request for proposals (RFP) No. HT940222R0002, issued by the Defense Health Agency (DHA) for clinical quality monitoring support services. Livanta argues that the RFP does not contain sufficient information for offerors to properly prepare price 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: Livanta LLC File: B-420970; B-420970.2 Date: October 28, 2022 Daniel P. Graham, Esq., Tara L. Ward, Esq., and Elizabeth G. Hummel, Esq., McDermott, Will & Emery LLP, for the protester. Morgan L. Hilgendorf, Esq., and Bradley E. Richardson, Esq., Defense Health Agency, 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 1. Protest that the solicitation unreasonably failed to include contract line item numbers for program management and information technology tasks is denied where the agency explains that these tasks are ancillary, and that adding additional line item numbers would not be feasible. 2. Protest that the solicitation unreasonably instructed offerors to use a noncompliant accounting system in violation of applicable regulations is denied where the protester’s interpretation of the solicitation was unreasonable. 3. Protest that the solicitation was ambiguous for failing to identify all primary tasks as corresponding with particular contract line item numbers is denied where the protester’s interpretation was unreasonable. DECISION Livanta, LLC, of Annapolis Junction, Maryland, protests the terms of request for proposals (RFP) No. HT940222R0002, issued by the Defense Health Agency (DHA) for clinical quality monitoring support services. Livanta argues that the RFP does not contain sufficient information for offerors to properly prepare price proposals. We deny the protest. BACKGROUND On June 21, 2022, DHA issued the RFP to obtain assistance in assessing and monitoring the quality of healthcare services delivered under TRICARE.[1] Agency Report (AR) Tab 13a, Conformed RFP at 1, 46-47. Principally, the selected contractor will impartially evaluate the healthcare services provided to beneficiaries, and compare performance quality measures to national benchmarks. Id. at 47-48. The RFP contemplates the award of a fixed-price indefinite-delivery, indefinite-quantity (IDIQ) contract to be performed over a 5-month base period, five 12-month option periods, and one 6-month extension period. Conformed RFP at 48, 176. Award will be made on a best-value tradeoff basis considering four factors, listed in descending order of importance: technical approach, past performance, price, and small business participation. Id. at 198‑99. As relevant here, the RFP contains 23 contract line-item numbers (CLIN) and related sub line-item numbers. See Conformed RFP at 2-8 (Contract Schedule for base period). For the CLINs, 21 are fixed-price, one is cost-reimbursable for travel, and the final one is a zero-dollar line-item to provide the contract data requirements list (CDRL). Id. The RFP advised that the total evaluated price will be the sum of the 21 fixed-price CLINs. Conformed RFP at 205. All of the fixed-price CLINs correspond with a particular section or multiple sections of the performance work statement (PWS), and include estimated ordering values. See Conformed RFP at 2‑43 (Contract Schedule). For example, CLIN x008 includes an estimated ordering value of 6,500, and corresponds with PWS § 5.5.2, which requires the selected contractor to perform quality utilization reviews. Id. at 5, 77. As another example, CLIN x009 provides an estimated ordering value of 150 and corresponds with PWS § 5.5.3, which requires the selected contractor to conduct medical necessity reviews. Id. at 5, 79. Ultimately, the agency would evaluate the total evaluated price for reasonableness and balanced pricing. Id. at 205. Prior to the August 19, closing date of the solicitation period, Livanta filed this protest with our Office. DISCUSSION Livanta raises multiple protest allegations. First, Livanta asserts that the RFP unreasonably fails to provide some PWS tasks (i.e., program management, and information technology and security (IT&S)) with corresponding CLINs in violation of Defense Federal Acquisition Regulation Supplement (DFARS) section 204.7103. Comments at 6-10.

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