Markon LLC (560000-25-R-0116)

Case: B-423767 Agency: Independent Government Entities : Central Intelligence Agency Date: 2025-12-12 Sustained
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B-423767,B-423767.2,B-423767.3,B-423767.4 Dec 12, 2025 Jump To FULL REPORT VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Markon LLC, of Falls Church, Virginia, protests the award of a contract to Analex Corporation, doing business as Arcfield, of Chantilly, Virginia, under request for proposals (RFP) No. 56000025R0116, issued by the Central Intelligence Agency's (CIA) Acquisition and Digital Solutions Services' (ADSS) Business Enterprise (BE) for support in the areas of business operations, information technology (IT) engineering support, and BE modernization. Markon asserts that the CIA conducted unreasonable cost realism and past performance evaluations. We sustain 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: Markon LLC File: B-423767; B-423767.2; B-423767.3; B-423767.4 Date: December 12, 2025 Aron C. Beezley, Esq., Patrick R. Quigley, Esq., Winni Zhang, Esq., and Eugene J. Benick, Esq., Bradley Arant Boult Cummings LLP, for the protester. Daniel R. Forman, Esq., William B. O'Reilly, Esq., and Jasmine L. Masri, Esq., Crowell & Moring LLP, for Analex Corporation, doing business as Arcfield, the intervenor. [DELETED], Esq., Erin Frazee Masini, Esq., and Joseph Anzalone, Esq., Central Intelligence Agency, for the agency. Kenneth Kilgour, Esq., and Heather Weiner, Esq., Office of the General Counsel, GAO, participated in the preparation of the decision. DIGEST 1. Allegation that the agency conducted an unreasonable cost realism evaluation is sustained where the evaluation was inconsistent with the solicitation and procurement law and regulation. 2. Allegation that the agency conducted a flawed past performance evaluation is denied where the record demonstrates that the evaluation was consistent with the solicitation and procurement law and regulation. DECISION Markon LLC, of Falls Church, Virginia, protests the award of a contract to Analex Corporation, doing business as Arcfield, of Chantilly, Virginia, under request for proposals (RFP) No. 56000025R0116, issued by the Central Intelligence Agency's (CIA) Acquisition and Digital Solutions Services' (ADSS) Business Enterprise (BE) for support in the areas of business operations, information technology (IT) engineering support, and BE modernization. Markon asserts that the CIA conducted unreasonable cost realism and past performance evaluations. We sustain the protest. BACKGROUND The CIA issued the RFP on December 6, 2024, under the procedures of Federal Acquisition Regulation (FAR) part 15. See Agency Report (AR), Tab 4, RFP at 1. The solicitation contemplated the issuance of a single hybrid contract with cost-plus-fixed-fee services, cost-plus-fixed-fee/level of effort labor, and cost-reimbursable contract line items with a period of performance of a base year with nine 1-year options. RFP at 8‑12; AR, Tab 31, RFP § L at 1. The agency would award the contract to the offeror whose proposal represented the best value to the government, considering the following factors: technical, management, past performance, security, and cost. AR, Tab 7, RFP § M at 3. The non-cost factors, when combined, were significantly more important than the cost factor. Id. The technical factor was significantly more important than the management factor. Id. The management factor was significantly more important than the past performance factor. Id. The security factor would be evaluated on a pass/fail basis; proposals evaluated as fail would be ineligible for award. Id. The technical factor, which is relevant to the protest allegations, contained two subfactors--business operations approach and business enterprise modernization approach--the first of which was more important. Id. Under the business operations approach subfactor, the agency would evaluate the extent to which the offeror proposes an effective approach to executing the agency's business processes. Id., citing AR, Tab 5, Statement of Work (SOW) para. 3.1. In particular, under this subfactor the contractor was to “provide business analytic support to the ADSS Front Office by analyzing and recommending operational strategies to optimize the [CIA]'s BE.” Id. AR, Tab 5, SOW at 14. Under the business enterprise modernization approach subfactor, the government would “[e]valuate the extent to which the Offeror proposes an effective approach to incorporating continuous process improvements. (Ref. SOW3.3)[.]” AR, Tab 7, RFP sect. M at 3. The SOW at section 3.3 catalogued numerous contractor responsibilities under the business enterprise modernization subfactor of the technical factor. See AR, Tab 5, SOW at 28-29.

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