Broadreach Healthcare Pty Ltd v. United States

CourtUnited States Court of Federal Claims
DecidedJuly 8, 2025
Docket24-1719
StatusPublished

This text of Broadreach Healthcare Pty Ltd v. United States (Broadreach Healthcare Pty Ltd v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Broadreach Healthcare Pty Ltd v. United States, (uscfc 2025).

Opinion

IN THE UNITED STATES COURT OF FEDERAL CLAIMS ______________________________________ ) BROADREACH HEALTHCARE PTY LTD, ) ) Plaintiff, ) No. 24-1719 ) v. ) Filed: June 27, 2025 ) THE UNITED STATES, ) Re-issued: July 8, 2025 ∗ ) Defendant. ) ______________________________________ )

OPINION AND ORDER

Plaintiff BroadReach Healthcare Pty Ltd. (“BroadReach”) challenges the Government’s

use of a funding mechanism—in this case, a cooperative agreement—to provide financial support

for activities intended to achieve control of human immunodeficiency virus (“HIV”) and

tuberculosis (“TB”) epidemics in the Mpumalanga province of South Africa. BroadReach alleges

that the United States Agency for International Development (“USAID” or “the Agency”)

unlawfully used a cooperative agreement to solicit goods and services that BroadReach argues

should instead be procured under a procurement contract. During the pendency of this lawsuit,

USAID cancelled the funding opportunity for which BroadReach submitted an offer. That

cancellation renders this action moot. Accordingly, because this Court lacks subject-matter

jurisdiction over BroadReach’s claims, the Government’s Motion to Dismiss is GRANTED.

I. BACKGROUND

On February 22, 2024, USAID issued Notice of Funding Opportunity No.

72067424RFA00009 (“the Funding Opportunity”) for a program entitled “Achieving and

∗ The Court issued this opinion under seal on June 27, 2025, and directed the parties to file

any proposed redactions by July 3, 2025. As the parties did not propose any redactions, the Court reissues the opinion publicly in full. Sustaining HIV/TB Epidemic Control in the Mpumalanga Province.” Admin. R. (“AR”) 1137. 1

Its stated goal was to “promote long, healthy lives for the population of the Mpumalanga Province

by achieving and sustaining HIV/TB epidemic control.” AR 1144. The Funding Opportunity

further explained that the program activities would be funded through a cooperative agreement

under which USAID intended “to provide up to $190 million in total USAID funding over a five

(5) year period.” AR 1137.

For statutory authorization, USAID relied on the Foreign Assistance Act of 1961 (“the

FAA”), 22 U.S.C. § 2151 et seq. See AR 1140. The FAA declares that the “[p]rincipal purpose”

of the nation’s “bilateral development assistance” to developing countries is to “build and maintain

the social and economic institutions necessary to achieve self-sustaining growth” and to “help the

poor majority of people in developing countries to participate in a process of equitable growth

through productive work . . . with the goal of increasing their incomes and their access to public

services which will enable them to satisfy their basic needs and lead lives of decency, dignity, and

hope.” 22 U.S.C. § 2151-1(a). The FAA authorizes the president of the United States to “furnish

assistance, on such terms and conditions” as the president may determine, for “HIV/AIDS,

including to prevent, treat, and monitor HIV/AIDS, and carry out related activities.” Id. § 2151b-

2(c)(1). The FAA provides a similar authorization to combat TB. Id. § 2151b-3(c).

Before publicizing the Funding Opportunity, USAID memorialized its decision to

authorize funding through a cooperative agreement, instead of under other instruments like a

procurement contract or a grant. See AR 908–09. The Agency explained that it was selecting a

1 On November 8, 2024, the Government submitted the Administrative Record electronically through the Justice Enterprise File Sharing system. See Gov’t’s Notice of Filing Admin. R. at 1, ECF No. 14. Citations to the Administrative Record refer to the bates-labeled page numbers included in the electronic submission. 2 cooperative agreement—which is not subject to the full competition requirements applicable to

procurement contracts—for this Funding Opportunity as authorized under the Federal Grant and

Cooperative Agreement Act (“FGCAA”), 31 U.S.C. § 6301 et seq. See id. Under the Agency’s

reasoning, a cooperative agreement was appropriate because USAID would be transferring

financial assistance to the recipient of the Funding Opportunity for that recipient to carry out a

“public purpose of support or stimulation” authorized by the FAA. AR 909. USAID would not

“mandate a particular approach, specific actions, or the delivery of specific services,” leaving the

recipient—as an “independent entit[y],” not a “direct agent of the U.S. Government”—to

implement its own programs aimed at controlling HIV and TB. AR 913. USAID further explained

that the Government’s interests would be “best served by supporting and being substantially

involved in the program, but not by directly controlling it.” Id. The “assistance instrument” would

support “South Africa’s efforts to achieve and sustain HIV epidemic control and eliminate

[tuberculosis]” and would enhance the recipient’s “credibility” locally due to its perceived

independence from “prescriptions” of the United States Government. Id.

In sum, because (1) the principal purpose of the transaction was to transfer financial

assistance to a recipient to carry out the FAA’s policies, (2) the transaction would not acquire

property or services for the direct benefit of the United States Government, and (3) the Agency

expected to remain substantially involved in carrying out the activity, it recommended selecting a

cooperative agreement under the FGCAA. AR 913–14; see also 31 U.S.C. § 6305.

BroadReach is a “for-profit social enterprise,” Pl.’s Mot. for J. on Admin. R. at 10, ECF

No. 16, based in South Africa and operating with “two decades of healthcare expertise with

technology-enabled solutions to improve health outcomes and foster more sustainable health

systems,” AR 1003. The firm submitted a concept paper for phase one of USAID’s Funding

3 Opportunity, which laid out a two-phase approach to selecting a recipient for the cooperative

agreement. See AR 999–1006, 1137. The concept paper for the first phase was due by April 14,

2024. See AR 1137. Having not received a response from the Agency to its concept paper, on

September 4, 2024, BroadReach asked USAID whether it had any updates, indicating that it had

“heard that at least one other bidder” had been asked to submit materials for phase two of the

Agency’s Funding Opportunity. AR 1196. USAID responded that the selection was ongoing and

that it was unable to answer specific questions. Id.

BroadReach filed a protest with the United States Government Accountability Office

(“GAO”) on September 26, 2024. See AR 1294. BroadReach alleged in one of its counts that

USAID violated the FGCAA by selecting a cooperative agreement instead of a procurement

contract for the solicitation of responses to its Funding Opportunity. See AR 1298. GAO

dismissed the protest because BroadReach failed to file its protest before the phase-one deadline

for concept papers and because BroadReach failed to show its claim constituted a “significant

issue” sufficient to overcome the GAO’s timeliness rules. AR 1472–73.

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