LunaTek, LLC (HHM40224R0005)

Case: B-422882.3 Agency: Department of Defense : Defense Intelligence Agency Date: 2025-03-26 Denied
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B-422882.3 Mar 26, 2025 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights LunaTek, LLC, of Albuquerque, New Mexico, protests the terms of an amendment to request for proposals (RFP) No. HHM40224R0005, which was issued by the Defense Intelligence Agency (DIA) and seeks proposals to provide various support services for DIA to be performed in the United Kingdom. The agency initially selected LunaTek for award under the solicitation. Thereafter, another offeror (OCH-Sawdey Joint Venture, LLC) filed a protest with our Office challenging that award. In response, the agency took corrective action, amending the solicitation and requesting submission of revised proposals. LunaTek protests the agency's corrective action, asserting that it is "[not] within the scope of the [agency's] corrective action notice." Protest at 1. We deny the protest. View Decision Decision Matter of: LunaTek, LLC File: B-422882.3 Date: March 26, 2025 Milton C. Johns, Esq., Executive Law Partners PLLC, for the protester. Max D. Houtz, Esq., Darren S. Gilkes, Esq., William S. Whitman, Esq., James Durkee, Esq., and Gregory T. O'Malley, Esq., Defense Intelligence Agency, for the agency. Glenn G. Wolcott, Esq., and Christina Sklarew, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest of corrective action taken in response to a prior post-award protest is denied where the corrective action was within the agency’s discretion and appropriate to remedy the concerns raised in the prior protest. DECISION LunaTek, LLC, of Albuquerque, New Mexico, protests the terms of an amendment to request for proposals (RFP) No. HHM40224R0005, which was issued by the Defense Intelligence Agency (DIA) and seeks proposals to provide various support services for DIA to be performed in the United Kingdom. The agency initially selected LunaTek for award under the solicitation. Thereafter, another offeror (OCH-Sawdey Joint Venture, LLC) filed a protest with our Office challenging that award. In response, the agency took corrective action, amending the solicitation and requesting submission of revised proposals. LunaTek protests the agency’s corrective action, asserting that it is “[not] within the scope of the [agency’s] corrective action notice.” Protest at 1.[1] We deny the protest. BACKGROUND On April 19, 2024, the agency issued RFP No. HHM40224R0005, seeking proposals to provide various services “in support of USEUCOM’s [U.S. European Command] NATO [North Atlantic Treaty Organization] Intelligence Fusion Center.”[2] AR, Tab 4, RFP at 159. The solicitation provided for award on a best-value basis and established the following evaluation factors: security, technical/management capability,[3] past performance, and price. Id. at 99. With regard to price, the solicitation identified various labor categories for which offerors were required to propose fixed-price fully burdened labor rates. Id. at 89. With regard to the evaluation of price, the solicitation stated that proposals would be evaluated for reasonableness, but also stated: “[t]he Government may reject any proposal that is evaluated to be . . . unrealistically high or low in price.” Id. at 98, 105. On or before May 31, proposals were submitted by two offerors: OCH-Sawdey and LunaTek. Thereafter, the agency evaluated the proposals and assessed identical adjectival ratings to each proposal under the non-price factors. LunaTek’s proposal offered the lower price of $7,287,075; OCH-Sawdey’s proposal offered a price of $7,841,265. Source Selection Decision at 1. On August 15, the agency selected LunaTek’s proposal for award on the basis of its lower price. Id. On August 30, following a debriefing, OCH-Sawdey filed an initial protest challenging various aspects of the evaluation and source selection decision;[4] on September 26, OCH‑Sawdey filed a supplemental protest based on the agency’s failure to perform any price realism analysis. Upon reviewing the protest, the agency identified various concerns regarding its evaluation and prior source selection decision, including an acknowledgment that it had not performed any price realism analysis.[5] Thereafter, the agency filed a notice of corrective action, stating: [T]he agency will, at a minimum, re-evaluate all eligible offerors’ proposals and make a new source selection decision. . . . In addition, the agency may take any other form of corrective action that it deems appropriate. Notice of Corrective Action at 1. GAO subsequently dismissed OCH’s protests based on the agency’s corrective action. OCH-Sawdey Joint Venture, LLC, B-422882, B-422882.2, Oct. 7, 2024 (unpublished decision). Thereafter, the agency amended the solicitation and conducted discussions.

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