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News for the Week of December 21, 2009


Hot Topic:

Legal News:

Regulatory News:

Major Contract Awards:


Hot Topic:

GAO Sustains Protests of Army Truck Award

The Government Accountability Office has announced the resolution of protests of a contract award for the production of the family of medium tactical vehicles filed by Navistar Defense, LLC and BAE Systems, Tactical Vehicle Systems, LP. The Department of the Army awarded the contract to Oshkosh Corporation, and Navistar and BAE challenged the Army's evaluation of the offerors' technical and price proposals, contending the selection decision was flawed.

According to Michael R. Golden, GAO's managing associate general counsel for procurement law, the "review of the record led us to conclude that the Army's evaluation was flawed with regard to the evaluation of Oshkosh's proposal under the capability evaluation factor, and the evaluation of Navistar's past performance. We therefore sustained Navistar's and BAE's protests."

GAO recommended the Army reevaluate the proposals under the capability evaluation factor, conduct a new evaluation of Navistar's past performance that adequately documents the agency's judgments, and make a new selection decision. GAO also concluded that if Oshkosh was not found to offer the best value, the Army should terminate the contract for the convenience of the government.

Legal News:

Injunction Denied Despite Significant Procurement Errors

The Court of Federal Claims declined to grant injunctive relief for the government's significant evaluation and selection errors because logistical and national security concerns outweighed the harm to the protester. In its protest of indefinite-delivery/indefinite-quantity contract awards for trucking services in Afghanistan, the protester established the government's price realism analysis, best-value tradeoff, past experience evaluation, and award to an offeror that did not meet a material solicitation requirement, were improper or unreasonable. However, the extent of the harm the protester would suffer if injunctive relief was not granted was unclear. (Afghan American Army Services Corp. v. U.S., et al., FedCl, 53 CCF ¶79,208) [full story]

CFC Affirms Jurisdiction over Non-Procurement Protests

The Court of Federal Claims determined it had jurisdiction over a protest of the government's refusal to consider a concept paper for research and development funding because, for protests challenging solicitations for a proposed contract or proposed award, the court's jurisdiction is not limited to procurement matters. There was no merit to the government's argument financial assistance agreements such as grant and cooperative agreements were not "contracts," and even if a "proposed contract" were not at issue, the court would have jurisdiction to hear the protester's objection to a "proposed award." (Ozdemir v. U.S., FedCl, 53 CCF ¶79,209) [full story]

Transfer of Claim with Different Contract, Contractor Denied

The Court of Federal Claims denied the government's motion to transfer a case filed under the "same contract" provision of RCFC 40.2(a)(2)(B) because the separate contracts shared a similar and unique historical and factual background, and identical indemnification provisions. The judge held the cases were directly related and properly before him. (Exxon Mobil Corp. v. U.S., FedCl, 53 CCF ¶79,206) [full story]

Pier Construction Within Floodplain Violated Solicitation

The government's selection of a lease proposal was improper because the pier construction proposed by the awardee was within a base floodplain, which violated the solicitation for offers and Executive Order No. 11988. The Comptroller General sustained the protest, finding the environmental assessment was completed by the engineering firm the government retained to inform it on floodplain matters, and the firm determined the pier construction was located within the floodplain. (Port of Bellingham, 24 CGEN ¶112,974) [full story]

Regulatory News:

Proposed Rule Amends GSAR Leasehold Requirements

The General Services Administration has issued a proposed rule that would amend the GSA Acquisitions Regulation to revise sections of GSAR Part 570 that provide requirements for acquiring leasehold interests in real property. Related changes to GSAR Part 552 are also included in the proposed rule. Comments regarding the proposed rule are due February 2, 2010. For the text of the rule, see ¶70,033.63. [full story]

Direct Final Rule Revises Entire HHSAR

The Department of Health and Human Services has issued a direct final rule revising the HHS Acquisition Regulation (HHSAR 301 through HHSAR 370) in its entirety to reflect statutory, Federal Acquisition Regulation, and government-wide and HHS policy changes since the last revision to the HHSAR in December 2006 (¶73,000.04). HHS' decision to revise the regulation in its entirety is based on the number of changes rather than their collective substance. Comments are due December 28, 2009. If HHS does not receive adverse comments, the rule will be effective January 26, 2010. For the text of the direct final rule, see ¶73,000.06. [full story]

Major Contract Awards:

Weapons System - $550 Million

Lockheed Martin Corp., Fort Worth, Texas, was awarded a $550,432,272 contract which will provide for the F-22 weapons system during the CY2010. 478 AESG/SYK, Wright-Patterson Air Force Base, Ohio, is the contracting activity. [full story]

Operational Support Services - $318 Million

Lockheed Martin Integrated Systems, Ellicott City, Md., was awarded on December 9, 2009, a $317,966,076 indefinite-delivery/ indefinite-quantity time-and-material task order contract for the operational support services to the Joint Improvised Explosive Device Defeat Organization (JIEDDO), JIEDDO analytical support teams. U.S. Army Research Development and Engineering Command, Contracting Center, Aberdeen Proving Ground, Md., is the contracting activity. [full story]

All Terrain Vehicles - $175 Million

Oshkosh Corp., Oshkosh, Wis., was awarded on December 9, 2009, a $175,376,000 firm-fixed-price, indefinite-delivery/ indefinite-quantity contract to exercise the option on Delivery Order 0003 to procure an additional 400 Mine Resistant Ambush Protected All Terrain Vehicles and associated basic item of issue. U.S. Army Tank and Automotive Command Contracting Command, Warren, Mich., is the contracting activity. [full story]

Weapon System Supply and Support - $169 Million

Sikorsky Aircraft Corp., Stratford, Conn., was awarded on December 2, 2009, a $168,700,000 firm-fixed-price contract for H-60 supplies and technical, engineering and logistical support services for a period of 12 months in support of overhaul, repair and recapitalization of the H-60 weapon system at Corpus Christi Army Depot. U.S. Army Aviation and Missile Command, AMSCC-AVM-AL-D, Redstone Arsenal, Ala., is the contracting activity. [full story]

Missile Development - $160 Million

Raytheon Missile Systems Co., Tucson, Ariz., is being awarded a modification for $159,500,065 under its cost-plus-award-fee contract, contract line item number (CLIN) 0003. Under this contract modification, Raytheon will continue the Block IIA Standard Missile 3 cooperative development technology development. The Missile Defense Agency is the contracting activity. [full story]

 

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