CCL, Inc. v. United States

42 Cont. Cas. Fed. 77,237, 39 Fed. Cl. 780, 1997 U.S. Claims LEXIS 297, 1997 WL 790570
CourtUnited States Court of Federal Claims
DecidedDecember 23, 1997
DocketNo. 97-721C
StatusPublished
Cited by45 cases

This text of 42 Cont. Cas. Fed. 77,237 (CCL, 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
CCL, Inc. v. United States, 42 Cont. Cas. Fed. 77,237, 39 Fed. Cl. 780, 1997 U.S. Claims LEXIS 297, 1997 WL 790570 (uscfc 1997).

Opinion

OPINION

BRUGGINK, Judge.

This is an action brought pursuant to the court’s bid-protest jurisdiction. See 28 U.S.C.A. § 1491(b)(1) (West Supp.1997). The computer maintenance services at issue here were, until the end of September 1997, being performed by the protestor CCL at a Denver facility under a contract with the Defense Information Systems Agency (DISA).1 They are now being performed by BDM International2 as a result of a modification of a separate contract. BDM acquired its work without competition and CCL contends that this violated the Competition in Contracting Act (CICA)3 and the Brooks Act.4 Pending are CCL’s motion for partial summary judgment and the government’s cross-motion to dismiss or for summary judgment. Oral argument was held December 17, 1997. For the reasons set forth below, the court grants CCL’s motion for partial summary judgment.5

BACKGROUND

Sometime in 1989, the Department of Defense (DoD) undertook a complete restructuring of its information-technology systems. This was necessary because existing computer facilities were obsolete, scattered, not interoperable, inefficient, ineffective, and difficult to use. The DoD’s rationale and intentions were set forth in a series of De[782]*782fense Management Report Decisions (DMRD). Most relevant are DMRDs 924 and 918. DMRD 924, apparently issued in draft form on November 10, 1989,6 initiated a consolidation of existing and dispersed computer facilities throughout DoD into information processing centers (IPCs) operated within various DoD services and agencies. Various options for consolidation were explored in DMRD 924, but the one selected was an intra-agency consolidation of computing workloads into IPCs that would be operated by a service or agency, but which would not be used by other services or agencies.

In September 1992 the consolidation effort was expanded by DMRD 918, which called for further consolidating across service and agency boundaries the various IPCs (created pursuant to DMRD 924) into centralized “Defense MegaCenters.” DMRD 918 also called for the creation of the Defense Information Systems Agency (DISA),7 which was appointed to operate and manage the new Defense MegaCenters. Sixteen such Mega-Centers were ultimately created pursuant to DMRD 918 and are located at various Army, Navy, and Air Force bases throughout the country. Responsibility for operating and maintaining the sixteen MegaCenters was transferred to DISA in October 1993.

As discussed in more detail below, BDM was originally awarded a contract in February 1993 by the Air Force pursuant to the earlier DMRD 924. At that time, DMRD 918 was already in existence. This contract required BDM to consolidate forty-four existing Air Force Logistics Command computer facilities into six IPCs, and to supply and maintain the necessary computer and related equipment. In October 1994, however, BDM’s contract was expanded pursuant to DMRD 918 by contract modification P00039 to encompass all sixteen of the newly created Defense MegaCenters, not just the six originally identified Logistics Command sites.

While BDM was performing its basic contract, CCL was awarded two contracts for computer equipment or services, one by the Army and one by DISO. CCL’s Army contract covered maintenance work at four Army IPCs (which later became Defense Me-gaCenters pursuant to DMRD 918). CCL’s Air Force contract, awarded in 1995, required CCL to supply and maintain a computer and related equipment at the Denver MegaCenter, which had previously been operated by DISO. The instant dispute arose when CCL learned that DISA had decided not to exercise its option to renew its Denver contract but instead ordered BDM to perform the same work.8

A. The BDM Contract

1. Internal Agency Procedures

In order to meet the goals established by DMRD 924 with respect to the Air Force (and before DMRD 918 existed), Air Force Headquarters directed the Air Force Logistics Command, the Air Force Communications Command, and the Air Force Systems Command to “plan, manage, and implement consolidation of AFLC’s 44 wholesale logistics systems onto 8 large mainframes----” (R. at 365.) Logistics Command accordingly performed a requirements analysis in which it proposed to consolidate the “Wholesale Logistics Systems currently being processed on 44[IBM] or IBM Compatible Computer platforms in 8 or less IBM/IBM Compatible Computer platforms at the 6 AFLC sites.” (R. at 18.) The six sites were: ‘WPAFB [Wright Patterson Air Force Base], OC-ALC [783]*783[Oklahoma City Air Logistics Center], 00-ALC [Ogden Air Logistics Center], SA-ALC [San Antonio Air Logistics Center], SM-ALC [Sacramento Air Logistics Center], WR-ALC [Warner-Robins Air Logistics Center].” (R. at 37.) In addition, the Aerospace Guidance Metrology Center and Cataloging and Standardization Center were to be “re-hosted” and merged into Wright-Patterson Air Force Base, as were the workloads at four off-base Contractor Development Facilities located at BDM International, Computer Sciences Corporation, Grumman Corporation, and Martin Marietta Data Systems.9 (See R. at 18-19.) Finally, Logistics Command concluded that the proposed consolidation “is proven feasible by the Performance Measurement Results____” (R. at 22.)

Logistics Command proceeded to implement Headquarters’ directive by developing a plan and specifications for Request for Proposal No. F33600-92-R-0018 (as amended) (RFP). A source-selection plan was prepared. It explained the background of the procurement:

On 11 November 1989, the Deputy Secretary of Defense directed a study to examine the savings that might be achieved by consolidating/eollocating Automated Data Processing (ADP) operation and design activities---- The Program Management Directive for USAF Consolidation of ADP Operations and Design Centers (PMD2208) directs the AFLC Program Manager (PM) to plan, manage, and implement the AFLC Consolidation of ADP Operations in accordance with (IAW) the HQ USAF Plan. The AFLC Logistics Management System Center (LMSC) DMRD 924 PMO, LMSC(I)/SN(1), was directed to manage AFLC’s portion DMRD 924. The operational environment consists of nine Air Force (AF) Information Processing Centers (IPC) located at Wright-Patterson Air Force Base (WPAFB), Ohio; Tinker AFB, Oklahoma; Hill AFB, Utah; McClellan AFB, California; Kelly AFB, Texas; Robins AFB, Georgia; Cataloging and Standardization Center (CASC); Aerospace Guidance and Metrology Center (AGMC); and, Aerospace Maintenance and Regeneration Center (AMARC). This initiative will eliminate the IPCs at AGMC, CASC, and AMARC. At least one computer will be installed at WPAFB and each of the five Air Logistics Centers (ALC). The Contractor will provide and install new equipment and integrate new and existing equipment that is not replaced.

(R. at 63.)

Also according to the source-selection plan, a market survey was conducted by placing the following synopsis in the Commerce Business Daily:

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42 Cont. Cas. Fed. 77,237, 39 Fed. Cl. 780, 1997 U.S. Claims LEXIS 297, 1997 WL 790570, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ccl-inc-v-united-states-uscfc-1997.