The protester argues that the agency failed to follow DOSAR
sect. 652.236-71 and the terms of the RFP when it concluded that
FE JV was American-owned for purposes of applying the 10-percent
price preference under the Percy Amendment. The protester
asserts that the agency's conclusion was in error because: (1)
FE JV's construction projects identified as similar were
performed outside the United States, and (2) FE JV's
construction projects are dissimilar in value, complexity, and
type to the construction services procured here. Perini's
Comments, Nov. 15, 2010, at 11.
The agency reports that the DOSAR clause included in the
solicitation had not been updated to reflect the current
provisions of the Percy Amendment, which was revised to allow
consideration of similar projects performed not only in the
United States but also at diplomatic or consular establishment
abroad. The agency asserts that FE JV's construction projects
meet the requirements of the Percy Amendment, and therefore the
agency's conclusions that the projects were similar to the
effort here are reasonable. Agency Response, Nov. 19, 2010, at
6, 8-9.
It is well-settled that when a statutory language provides an
unambiguous expression of the intent of Congress, the
unambiguous intent of Congress must be given effect. Chevron
U.S.A., Inc. v. Natural Res. Def. Council, Inc., 467 U.S. 837,
842-43 (1984); Mission Critical Solutions, B-401057, May 4,
2009, 2009 CPD para. 93 at 6. Further, a regulation must be
interpreted so as to harmonize with and not further conflict
with the objective of the statute it implements. Trustees of
Indiana University v. United States, 618 F.2d. 736, 739 (Ct. Cl.
1980).
The DOSAR regulation, recited in the RFP, makes clear that "[t]his
solicitation is subject to [the Percy Amendment], as amended (22
U.S.C. [sect.] 301)." The Percy Amendment unambiguously states
that projects performed outside the United States may be
considered for purposes of determining American-owned status
under the statute. Although it is true that the DOSAR clause
recited in the solicitation misstates the Percy Amendment as
defining American-owned firms as those that perform work in the
United States, the language in the clause does not provide a
basis for the agency to ignore the clear intent of Congress as
set forth in the statute itself. To the extent the regulation
may be interpreted as conflicting with the statue, the statute
must be given effect. See Trustees of Indiana University v.
United States, 618 F.2d. 736. Accordingly, we find reasonable
the agency's consideration of FE JV's construction projects
performed outside the United States at diplomatic or consular
establishments.
With regard to the protester's argument that the agency
unreasonably relied on FE JV's prior construction efforts that
were dissimilar in value, complexity, and type of construction,
we find the agency's analysis unobjectionable. The Percy
Amendment does not provide a definition for "similar
construction work," but the DOS implementing regulation required
that offerors show the similarity of their projects to the work
procured here by describing the location, complexity, type of
construction, and value of "one or more" projects. As stated
above, the contracting officer reviewed the 11 projects listed
by FE JV and determined that at least 2 were similar, based on
the offeror's description of the location, complexity, type, and
value of the project. The contracting officer also relied upon a
prior Percy Amendment review that afforded Framaco (the American
partner of FE JV) "American-owned" status for a project with an
estimated value of $175 to $200 million, which is significantly
higher in value than this project. Under these circumstances, we
find no basis to question the reasonableness of the contracting
officer's determination that FE JV's construction experience was
similar to the requirements here.
In sum, the record shows that the agency complied with the Percy
Amendment and appropriately applied that 10-percent price
preference to FE JV's proposal during the evaluation.
The protest is denied. (Perini
Management Services, Inc., B-404261; B-404261.2; B-404261.3;
B-404261.4, December 17, 2010) (pdf) |