Caddell Construction Co., Inc. v. United States

111 Fed. Cl. 49, 2013 WL 2300330
CourtUnited States Court of Federal Claims
DecidedMay 22, 2013
Docket13-20C
StatusPublished
Cited by46 cases

This text of 111 Fed. Cl. 49 (Caddell Construction Co., Inc. 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
Caddell Construction Co., Inc. v. United States, 111 Fed. Cl. 49, 2013 WL 2300330 (uscfc 2013).

Opinion

Post-Award Bid Protest; Cross-Motions for Judgment on the Administrative Record; Standing; Timeliness; Standard of Review; Prequalification; Percy Amendment; Best-Value Trade-Off Analysis; Injunctive Relief; Bid Preparation and Proposal Costs.

OPINION

HORN, J.

Plaintiff Caddell Construction Co., Inc. (Caddell) filed a post-award bid protest in this court on January 10, 2013, challenging the United States Department of State’s award of a $156 million contract to intervenor Desbuild Ineorporated-REC International Joint Venture (Desbuild-REC) for the construction of a new annex building at the United States Embassy in Moscow, Russia, pursuant to Solicitation No. SAQMMA-12-R-0117 (the Solicitation). Plaintiff alleges that, but for defendant’s arbitrary and capricious evaluation of the proposals and violation of statutes and regulations in awarding the construction project to Desbuild-REC, Caddell would have been evaluated as the lowest-priced, technically acceptable offeror. Plaintiff seeks permanent injunctive relief, as well as damages, including bid preparation and proposal costs. The parties have filed, and fully briefed, cross-motions for judgment on the administrative record, and oral argument was held.

FINDINGS OF FACT

On January 31, 2012, defendant issued a “Notice of Solicitation of Submissions for Construction of the New Annex Office Building at U.S. Embassy in Moscow, Russia,” (Pre-qualification Notice) 2 via a posting on FedBizOpps. 3 The Pre-qualification Notice explained that defendant was requesting submissions to pre-qualify offerors to construct an annex office building within the United States Embassy compound in Moscow. The Pre-qualification Notice indicated that “[t]he project solicitation will consist of two phases:” 1) Pre-Qualification of Offerors, and 2) Requests for Proposals from Pre-Qualified Offerors. In Phase I, defendant would determine which offerors pre-qualified for the contract, then, those firms which had pre-qualified would be invited to submit a Phase II proposal. The Pre-qualification Notice also stated:

DOS [Department of State] anticipates that a tradeoff process (see FAR 15.101-1) is in the best interest of the Government. The Government will consider award to other than the lowest price offer or other than the highest technically rated offer. DOS anticipates that evaluation of technical and past performance considerations will play a significant role in the selection process.

Defendant’s January 31, 2012 posting on' FedBizOpps listed Charles G. Krips 4 as de *54 fendant’s “Primary Point of Contact” for the procurement. The Pre-qualification Notice instructed offerors to mail their Phase I submissions to “U.S. Department of State: Attn: Charles G. Krips,” and to email Mr. Krips any requests for clarification.

The Pre-qualification Notice stated that three technical evaluation factors would be considered in Phase I: Factor 1: Joint Venture Agreement/Signed Statement of JV [Joint Venture] Intent and Description of Partnership (if applicable), Factor 2: Technical Project Experience and Past Performance, and Factor 3: Business Management Plan and Organization. Factor 2 was further broken down into two subfactors: Subfactor 2A: Technical Project Experience, and Sub-factor 2B: Past Performance. Each factor was to be “evaluated on a pass/fail basis.” An offeror that received a failing mark on any of the three technical factors would be disqualified from the competition, and would not be allowed to submit a Phase II offer or receive the contract award. The Pre-qualifi-cation Notice explained under Submission Requirements that offerors were responsible for submitting sufficient documentation for defendant to evaluate the offer under each technical factor, stating: “Only the information in the submission and any additional information obtained concerning past performance will be considered during the evaluation of the Offeror.” 5

Under Factor 1, Joint Venture Agreement/Signed Statement of JV Intent and Description of Partnership, offerors already organized as joint ventures, or who planned to form a joint venture for the project, were instructed to submit either a Joint Venture Agreement or a Statement of Intent to form a joint venture. Joint venture offerors were asked to “[djescribe the relationship of the JV parties,” “[i]dentify each JV party’s role,” and “[identify the type and percentage of work assigned to each JV party.” The Pre-qualification Notice stated that, for Factor 1: “If the offeror is organized as a Joint Venture, DOS will evaluate whether the roles and responsibilities of the JV parties have been adequately described.” (emphasis in original). The Pre-qualification Notice further indicated that receiving a passing score on Factor 1, Joint Venture Agreement/Signed Statement of JV Intent and Description of Partnership, was required, if applicable, in order for defendant to review the remainder of the offeror’s Phase I submission.

According to the Pre-qualification Notice, Subfactor 2A, Technical Project Experience, “is intended to evaluate the technical project experience of the Offeror and its JV partners, if applicable.” Paragraph 2A.2 of the Pre-qualification Notice defined the term “relevant projects” as “those projects similar in scope, complexity, and dollar value (USD), in that order of importance.” Paragraph 2A.3 instructed offerors to “[s]ubmit three examples of relevant projects, either on-going or completed within the past five years, demonstrating the Offeror’s technical capabilities necessary to perform the Project.” (emphasis in original). In Paragraph 2A.4, offerors organized as a Joint Venture were instructed to “submit, for each partner, at least one, but no more than two, example of projects that are relevant to demonstrate technical project experience for the partners’ proposed role in the Project. Projects may be on-going or completed within the past five years.” (emphasis in original). According to the Pre-qualification Notice, because of applicable limits on subcontracting, project examples were intended to “demonstrate the Offeror’s ability to self-perform at least 30-50% of the value of each project example,” and, therefore, “[p]roject examples in which the Offeror only acted as a General Contractor or did not self-perform at least 30% of the work will not be considered relevant.” The Pre-qualification Notice also stated: “DOS will evaluate the Offeror’s technical project experience in executing relevant projects. For Offerors who do not have individual projects representative of the project scope and complexity, DOS will evaluate the technical project experience *55 demonstrated by the combined project examples.” (emphasis in original).

Under Subfactor 2B, Past Performance, offerors were instructed, for any project in which they had been involved over the past five years, to identify and explain any of the following problems:

2B.2.1 Been terminated for default;
2B.2.2 Been issued a cure notice;
2B.2.3 Been issued a show cause notice;
2B.2.4 Been assessed liquidated damages;

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111 Fed. Cl. 49, 2013 WL 2300330, Counsel Stack Legal Research, https://law.counselstack.com/opinion/caddell-construction-co-inc-v-united-states-uscfc-2013.