KBR Services, LLC (N62470-22-R-0005)

Case: B-422839 Agency: Department of the Navy : Naval Facilities Engineering Command Protester: KBR Services, LLC Date: 2024-11-22 Denied
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B-422839 Nov 22, 2024 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights KBR Services, LLC (KBR) of Houston, Texas, protests the terms of request for proposals (RFP) No. N6247022R0005, issued by the Department of the Navy for base operation support services at Camp Lemonnier, Djibouti. KBR contends that the terms of the solicitation understate the agency's need and prevent offerors from competing intelligently and equally. We deny the protest. View Decision Decision Matter of: KBR Services, LLC File: B-422839 Date: November 22, 2024 Michael F. Mason, Esq., Christine Reynolds, Esq., and Taylor Hillman, Esq., Hogan Lovells US LLP, for the protester. Lauren Thompson, Esq., Department of the Navy, for the agency. Raymond Richards, Esq., and John Sorrenti, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Protest challenging the terms of the solicitation as understating the agency’s actual need and preventing offerors from competing intelligently and equally is denied where the protester fails to demonstrate solicitation improprieties. 2. Protester is not an interested party to argue that the solicitation does not provide other offerors adequate information regarding labor rates. DECISION KBR Services, LLC (KBR) of Houston, Texas, protests the terms of request for proposals (RFP) No. N6247022R0005, issued by the Department of the Navy for base operation support services at Camp Lemonnier, Djibouti. KBR contends that the terms of the solicitation understate the agency’s need and prevent offerors from competing intelligently and equally. We deny the protest. Background The Navy issued the RFP on March 4, 2024, under the procedures of Federal Acquisition Regulation (FAR) part 15. Agency Report (AR), Exh. 1, RFP at 2, 560.[1] The RFP anticipates the award of a fixed‑price indefinite‑delivery, indefinite‑quantity (IDIQ) contract. Id. at 106. The IDIQ will have a base ordering period of 1 year, six 1‑year option periods, and three 6‑month option periods, for a total possible ordering period of 102 months. Id. at 518. The RFP seeks proposals for base operation support services at Camp Lemonnier, Djibouti. Id. at 121‑124. Such services include, for example, grounds maintenance, galley services, and fire and emergency services. Id. Award will be made to the firm whose proposal represents the best value to the government considering the following evaluation factors: (1) corporate experience; (2) technical/management approach; (3) safety; (4) past performance; and (5) price. Id. at 551, 561‑565. Salient to the protest is the requirement to employ at least 1,087 Djiboutian nationals.[2] Id. at 140. The relevant section of the solicitation reads as follows: The Contractor shall comply with the applicable Djiboutian labor laws, applicable Collective Bargaining Agreement [(CBA)], and the [United States Africa Command (USAFRICOM)] Requirement to employ a minimum of 1087 Djiboutian nationals under this contract.[[3]] Attachment J-0200000-11 provides historical information on rates required to be paid for these personnel under this prior contract. Attachment J‑0200000-11A is a copy of the [CBA]. This information is provided for reference and informational purposes only. The Contractor will be required to utilize a Djiboutian Government approved labor broker to negotiate actual rates applicable under the contract. Id. at 140. The price evaluation will be based on total price and “will be performed by one or more of the following techniques to ensure a fair and reasonable price:” (1) comparison of the prices received; (2) comparison of prices with the independent government cost estimate (IGCE); (3) comparison of prices with available historical information; (4) comparison of market survey results; (5) and price reasonableness assessment at the unit level. Id. at 561‑562. The closing time for receipt of proposals was August 13, 2024. Id. at 2. On July 30, KBR (the incumbent contractor) timely filed an agency‑level protest challenging the terms of the solicitation. AR, Exh. 2, Agency‑level Protest at 1. KBR opined that as written, the solicitation does not reflect the agency’s minimum needs and fails to enable offerors to compete intelligently and equally. Id. at 5‑7. Specifically, KBR noted the solicitation’s inclusion of historical information on labor rates but argued that the solicitation is flawed because it does not require offerors to “commit to pay the HCNs at rates equal to or greater than those incumbent rates.” Id. at 2. KBR also argued that the included historical labor rate information is not up to date and omits information on the employment history of HCN workers, affecting prospective contractors’ ability to comply with article 31 of the CBA.[4] Id.; RFP at 608. As argued by KBR, these alleged flaws will result in the Navy receiving unrealistically low prices and will likely result in labor disruptions. AR, Exh.

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