Phoenix Environmental Design, Inc. (unknown)

B-422950 Dec 10, 2024 Jump To VIEW DECISION DOWNLOADS RELATED PAGES GAO CONTACTS Highlights Phoenix Environmental Design, Inc. (PED), a service-disabled, veteran-owned small business (SDVOSB) of West Richland, Washington, protests the award of a contract to Walking Points Farms, LLC (WPF), an SDVOSB of Bremerton, Washington, under request for quotations (RFQ) No. 36C78624Q50407 issued by the Department of Veterans Affairs (VA), for peat moss at the Santa Fe National Cemetery in New Mexico. The protester contends the agency's decision to orally solicit quotations and failure to synopsize the contract action was unreasonable and contrary to regulation. We deny the protest. View Decision Decision Matter of: Phoenix Environmental Design, Inc. File: B-422950 Date: December 10, 2024 C. Chad Gill, for the protester. Krishon Gill-Edmond, Esq., Department of Veterans Affairs, for the agency. Michael P. Grogan, Esq., and Evan D. Wesser, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST Protest challenging the agency’s decision to orally solicit quotations, and not publicize the solicitation, is denied where the agency’s actions were reasonable and consistent with regulation. DECISION Phoenix Environmental Design, Inc. (PED), a service-disabled, veteran-owned small business (SDVOSB) of West Richland, Washington, protests the award of a contract to Walking Points Farms, LLC (WPF), an SDVOSB of Bremerton, Washington, under request for quotations (RFQ) No. 36C78624Q50407 issued by the Department of Veterans Affairs (VA), for peat moss at the Santa Fe National Cemetery in New Mexico. The protester contends the agency’s decision to orally solicit quotations and failure to synopsize the contract action was unreasonable and contrary to regulation. We deny the protest. BACKGROUND On August 29, 2024, the contracting officer (CO) received a procurement request (which the VA calls a “notice of assignment”) for peat moss to be used at the Santa Fe National Cemetery in New Mexico. Contracting Officer’s Statement (COS) at 1.[1] This request included a statement of need, an independent government cost estimate (IGCE), and market research concerning potential vendors that could supply the required product. Id. at 1. The IGCE provided that for the required quantities of peat moss, the total estimated cost would be $24,678. Agency Report (AR) Tab 1-4a, IGCE at 1.[2] The CO also conducted his own market research to find potential vendors. He explains there were 20 identified veteran-owned small businesses registered under the appropriate North American Industrial Classification System (NAICS) code on the Small Business Administration’s (SBA) Veteran Small Business Certification database. COS at 2; AR, Tab 1-3b, SBA NAICS Code Search at 1. The protester was not included among these vendors. The CO further explained that because “[p]ricing of large bundles of peat moss was not readily available on the internet[,]” the CO contacted a supplier regarding pricing, but the firm did not respond to the CO’s inquiry. COS at 2. As the CO provides, given the documents included in the notice of assignment (to include the IGCE), and that the “CO’s own market research did not contradict the estimate or lead [the] CO to question the pricing information or potential for SDVOSB sources, [the] CO determined that an oral solicitation was the appropriate procurement approach because the requirement’s estimated value was below $25,000.” Id. On August 30, in response to the CO’s inquiry into possible market research, the contracting officer’s representative (COR) provided a list of three “SDVOSB[s] we have worked with in the past that can provide [the] product to us.” AR, Tab 1-6, COR Market Research at 1. On September 4, the CO orally solicited these three vendors for a quotation. COS at 2. The CO received one quotation, from WPF, by the established due date. Id. at 2. Having found the quotation to be technically acceptable, on September 17, the CO awarded the contract to WPF in the amount of $38,583.[3] Id.; AR, Tab 1-11, WPF Quotation at 1. PED filed the instant protest on September 18. DISCUSSION The protester contends the agency’s oral solicitation of vendors was contrary to law and regulation. In this regard, PED argues the VA has failed to adequately establish the reasonableness of its IGCE--with an estimated price of $24,678--which in turn informed the agency’s decision to orally solicit quotations. Instead, the protester argues because the awarded value of the contract exceeded $25,000, the agency was required to publicize the solicitation, which would have allowed PED an opportunity to compete for award. See Protest at 1-6; Comments at 1-6; Supp. Comments at 1-4.