The agency awarded purchase
order No. VA241-15-P-0353 to IFOG on November 26, 2014, as
an emergency order for delivery of fuel oil to the West
Haven VA Medical Center utilizing procedures set forth in
Federal Acquisition Regulation (FAR) §13.106‑1(b)(1)(i).
Those procedures permit agencies to solicit from one
source if the contracting officer determines that the
circumstances of the contract action deem only one source
reasonably available, such as for urgency reasons. Agency
Report (AR), exh. C, Purchase Order, at 1; exh. F,
Contracting Officer’s Statement, at 1; see also AeroSage
LLC, B‑410648.2, B‑410648.3, Mar. 20, 2015, 2015 CPD ¶ 111
at 2 (describing procedures utilized by agency for
emergency procurement).
(paragraph deleted)
SageCare’s only argument is
that the agency’s decision to not consider it for award of
the emergency order was unreasonable. Protest at 2. The
protester argues that the contracting officer’s hearing
testimony shows that SageCare was unreasonably excluded
from consideration for the emergency award even though it
had allegedly submitted a lower price for the fuel oil
delivery under the solicitation that was cancelled. Id.
However, our review of the record does not provide a basis
to question the agency’s decision to award the emergency
order to IFOG.
When conducting a procurement utilizing simplified
acquisition procedures, contracting officers must promote
competition to the maximum extent practicable to obtain
supplies and services from the source whose offer is the
most advantageous to the government. 41 U.S.C. § 3305(d);
FAR § 13.104; Info. Ventures, Inc., B‑293541, Apr. 9,
2004, 2004 CPD ¶ 81 at 3. As an exception to this general
competition requirement, a contracting officer may solicit
from one source if the contracting officer determines that
the circumstances of the contract action deem only one
source was reasonably available, such as under urgent
circumstances. FAR § 13.106-1(b)(1)(i). We review an
agency’s decision to limit competition under such
circumstances for reasonableness. Critical Process
Filtration, Inc., B-400746 et al., Jan. 22, 2009, 2009 CPD
¶ 25 at 3.
As discussed in AeroSage LLC, supra, we found the VA’s
decision to award the emergency order to IFOG to be
reasonable under the circumstances. AeroSage LLC, supra,
at 4-5. This includes the contacting officer’s decision to
limit his consideration to the three vendors made known to
him as he researched vendors for the requirement, as
described above. With respect to SageCare’s specific
allegation, the record shows that the contracting officer
was not aware of the protested procurement until after he
selected IFOG for award. Tr. at 257:19-258:2. He also
testified that he did not know the particulars of the
solicitation for which both AeroSage and SageCare had
submitted proposals. Id. at 255:22-256:5. Finally, there
is no evidence in the record to suggest that the
contracting officer knew that SageCare had submitted a
proposal for that procurement, or that he had any
knowledge of the particulars of SageCare’s proposal.
Thus, the record shows that at the time the contracting
officer made the decision to award the emergency order to
IFOG, he had no reason to consider SageCare for that
award. In addition, when the contracting officer was later
asked by another contracting official to confirm that the
award was not going to be made to AeroSage or SageCare,
the decision to award the emergency order to IFOG had
already been made. As a result, there is no evidence that
SageCare was improperly barred from consideration for this
emergency order.
The protest is denied. (SageCare,
Inc. B-411260: Jun 23, 2015) (pdf)
Desktop Alert, which has created and
supports its own emergency mass notification software system,
challenges the agency’s limitation of sources on a brand name
basis to AtHoc resellers. In this regard, the protester argues
that the solicitation is unduly restrictive of competition since
it does not permit other potentially qualified vendors of
similar software systems to compete.
The simplified procedures established under FAR Part 13 are
designed to promote efficiency and economy in contracting, and
to avoid unnecessary burdens for agencies and contractors,
where, in cases like this, the value of the acquisition is less
than $150,000. See FAR § 2.101; see also 10 U.S.C. § 2304(g)(1).
When using simplified acquisition procedures, agencies are only
required to obtain competition to the “maximum extent
practicable.” 10 U.S.C. § 2304(g)(3); FAR § 13.104; B&S
Transport, Inc., B‑407589, Dec. 27, 2012, 2012 CPD ¶ 354 at 2.
In a simplified acquisition, an agency can limit a solicitation
to a brand-name item when “the basis for not providing maximum
practicable competition is documented in the file [in accordance
with FAR § 13.106-1(b)] or justified when the acquisition is
awarded using simplified acquisition procedures.” FAR §
11.105(a)(2)(ii).
Under FAR § 13.106-1(b), contracting officers may solicit from
one source if the contracting officer determines that the
circumstances of the contract action deem only one source
reasonably available (e.g., urgency, exclusive licensing
agreements, brand name or industrial mobilization).” FAR §
13.106-1(b)(1). In such cases, we review the decision to limit
the procurement to a brand-name for reasonableness. See Critical
Process Filtration, Inc., B-400746 et al., January 22, 2009,
2009 CPD ¶ 25 at 3.
Here, the agency’s J&A, issued in accordance with FAR §
13.106-1(b) and posted on FedBizOpps, explains that the
contemplated one month contract will “provide uninterrupted
software maintenance from a previous contract” and will
“follow-on to the existing contract.” Id. According to the J&A,
the agency is experiencing delays related to the on-going effort
intended to competitively award a contract consolidating all of
the major command emergency mass notification systems, and that
“it would be extremely difficult and costly to transition to a
new product” while waiting for the completion of the
consolidated effort. Id. In this regard, the J&A further
explains that if the agency were to change to different
software, it “would have to retrain the field on the use of a
different product and possibly change the configurations of the
servers supporting this application.” Id.
Based on the agency’s J&A, the RFQ was intended to serve simply
as a short‑term bridge contract to allow the agency to maintain
the status quo while working toward the competitive award of a
longer term consolidated emergency notification system solution.
In light of the anticipated competitive award and the associated
delays in the award of that contract, the short duration of the
requirement contemplated by the RFQ, and the potential
disruption and costs associated with shifting to an entirely new
software platform, we have no basis to conclude that the agency
acted unreasonably in limiting the solicitation to the AtHoc
brand-name software system. (Desktop
Alert, Inc., B-408707: Nov 15, 2013) (pdf)
Under the Federal Acquisition Streamlining Act of 1994 (FASA),
simplified acquisitions--used to purchase supplies and services,
including construction, research and development, and commercial
items, the aggregate amount of which does not exceed certain
dollar thresholds (FAR sections 2.101, 13.000, 13.003(a))--are
excepted from the general requirement that agencies obtain full
and open competition through the use of competitive procedures
when conducting procurements. See 41 U.S.C. sections
253(a)(1)(A), (g)(1), and (g)(4) (2000). Part 13 of the FAR
establishes procedures for simplified acquisitions, which are
designed to promote efficiency and economy in contracting, and
to avoid unnecessary burdens for agencies and contractors. To
facilitate these objectives, FASA only requires that agencies
obtain competition to the maximum extent practicable. 41 U.S.C.
sect. 427(c); FAR sect. 13.104; Information Ventures, Inc.,
B-293541, Apr. 9, 2004, 2004 CPD para. 81 at 3. Under the
maximum-extent-practicable standard, an agency “may solicit from
one source if the contracting officer determines that the
circumstances of the contract action deem only one source is
reasonably available (e.g., urgency, exclusive licensing
agreements, or industrial mobilization).” FAR sect.
13.106-1(b)(1). We review protests of sole-source determinations
made in these procurements for reasonableness. Information
Ventures, Inc., supra. The agency has not demonstrated that it
had a reasonable basis to make a sole‑source award here.
Essentially, the agency states that it acted in “good faith”
based on the best information available at the time. This is not
a legitimate defense to this protest. Our review is based on
whether the agency’s sole-source decision was reasonable based
on the information reasonably available to the agency at the
time of the sole-source decision, not whether the agency acted
in good faith. See Ultraviolet Purification Sys. Inc., B-226941,
Sept. 10, 1987, 87-2 CPD para. 229 at 3-4. (Europe
Displays, Inc., B-297099, December 5, 2005) (pdf) |