Filtration Development Co., LLC v. United States

59 Fed. Cl. 658, 2004 U.S. Claims LEXIS 20, 2004 WL 223988
CourtUnited States Court of Federal Claims
DecidedFebruary 3, 2004
DocketNo. 03-2835C
StatusPublished
Cited by8 cases

This text of 59 Fed. Cl. 658 (Filtration Development Co., LLC 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
Filtration Development Co., LLC v. United States, 59 Fed. Cl. 658, 2004 U.S. Claims LEXIS 20, 2004 WL 223988 (uscfc 2004).

Opinion

OPINION

FUTEY, Judge.

This post-award bid protest case is before the court on defendant’s motion to dismiss for failure to state a claim upon which relief can be granted. From the onset, defendant argued that the court need look no further than to principles of justiciability to resolve this controversy. The issues raised within are of paramount importance, as they concern not only the next rotation of military equipment which is scheduled to arrive in Iraq in the spring of 2004, but also because they define the parameters in which the military may exercise its discretion in invoking the “unusual and compelling urgency” exception to the Competition Contracting Act’s (CICA) requirement of full and open competition. Issues of national defense and national security permeate, and will continue to permeate, the issues addressed at all stages of this litigation.

For purposes of this motion, defendant concedes that plaintiff would be able to sub[660]*660stantiate both its CICA and Organizational Conflict of Interest (OCI) claims.1 Defendant maintains, however, that the United States Army’s (Army) decision to procure a set number of engine inlet barrier filters for use on UH-60 Blaekhawk helicopters in Operation Iraqi Freedom is purely a military question and, therefore, nonjusticiable. Defendant avers that the court should defer to the military in matters pertaining to equipping the armed forces. Defendant also contends that there are no tests or standards for the court to apply in order to ascertain the number of engine filters that are required to sustain the operation in Iraq. On the other hand, plaintiff maintains that this court possesses the authority to review alleged CICA and OCI violations. Plaintiff contends that the Army did not solicit proposals from the maximum number of contractors as practicable. Further, plaintiff avers that the Army did not limit the procurement to “the minimum quantity needed to satisfy the immediate urgent requirement.”2 Plaintiff also asserts that it has carefully crafted the relief it seeks so as not to interfere with the military’s current operations.

Factual Background

Sikorsky Aircraft Company (Sikorsky) was awarded a sole-source contract, under which it is responsible for designing, developing, and manufacturing the UH-60 Blaekhawk helicopter.3 Although the parties are in disagreement as to the exact timing of the revelation, the Utility Helicopter Project Management Office (UHPMO) became aware that the engines propelling the UH-60 Black-hawk helicopters were quickly deteriorating due to the excessive ingestion of sand particles. In July 2003, to commence the development and selection of appropriate preventive measures, UHPMO directed Sikorsky to conduct an engine filtration trade study.4 The trade study contemplated that Sikorsky would evaluate, in addition to the two concepts chosen at its discretion, a filter concept developed by Aerospace Filtration Systems (AFS), a “division” of Westar Corporation (Westar).5

According to defendant, in August 2003, the Army was confronted with a situation in which the demand for replacement engines increased, the costs attendant with their replacement mounted, and there was a lack of engines to meet the demand.6 Shortly thereafter, in light of the foregoing considerations, the trade study was suspended and Sikorsky was directed to incorporate and qualify AFS’s filter concept on a sole-source basis. Sikorsky was required to finalize the design by mid-October 2003 and secure an airworthiness release by March 2004.

Invoking the “unusual and compelling urgency” exception, 10 U.S.C. § 2304(c)(2), and implementing Federal Acquisition Regulations (FAR), 48 C.F.R. § 6.302-2, the Army procured 183 “A kits” and 150 “B kits” without full and open competition. The Justification and Approval (J & A) executed on November 5, 2003, provided that the United States Army Aviation Missile Command “propose[d] to acquire, utilizing an aequisi[661]*661tion method other than full and open competition, 240 [engine inlet barrier filter] Desert Kits.”7 The J & A also noted, inter alia, that: 1) the kits would substantially reduce engine deterioration, and 2) Sikorsky was the only contractor that could complete the assignment within the requisite time frame.8

To place the significance, or lack thereof, of the discrepancy between the number of kits ordered and the number of kits referenced in the J & A into context, a brief discussion of the manner in which the kits are used is warranted. At an initial glance, it appears that the total number of kits ordered (333) exceeds the number referenced in the J & A (240). The “A kits” and the “B kits,” however, are utilized in tandem. Each helicopter is first fitted with an “A kit,” which serves a dual purpose: 1) it is the hardware to which the filter itself is mounted, and 2) it permits monitoring of the filter system. The “B kit” is the actual interchangeable filter. The so-called filtration system, therefore, requires both an “A kit” and a “B kit.”9

Plaintiff, Filtration Development Company, LLC, had met with Army officials on several occasions to express its interest in providing engine filters. Despite the meetings and subsequent phone calls and emails, its efforts were to no avail. Plaintiff filed suit in this court on December 18, 2003. The court held a telephonic conference the next day and the matter was placed on an expedited schedule. Defendant filed its motion to dismiss on December 30, 2003. Plaintiff responded on January 13, 2004, and defendant replied on January 16, 2004. Pursuant to the parties’ request, the court held oral argument on January 21, 2004. The case is, therefore, appropriate for resolution.10

Discussion

This court’s bid protest jurisdiction is set forth in the Tucker Act, which provides:

[T]he Unites [sic] States Court of Federal Claims ... shall have jurisdiction to render judgment on an action by an interested party objecting to a solicitation by a Federal agency for bids or proposals for ... the award of a contract or any alleged violation of statute or regulation in connection with a procurement or proposed procurement.

28 U.S.C. § 1491(b)(1). In 1996, Congress enacted the Administrative Disputes Resolution Act, Pub.L. No. 104-320 § 12, 110 Stat. 3870, 3874-75 (1996), which expanded the court’s bid-protest jurisdiction to hear both pre-award and post-award challenges. When adjudicating bid protests, “the courts shall review the agency’s decision pursuant to the standards set forth in section 706 of title 5,” 28 U.S.C. § 1491(b)(4), which states that agency actions may be set aside when they are “arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law ....” 5 U.S.C.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

PMTech, Inc. v. United States
95 Fed. Cl. 330 (Federal Claims, 2010)
PHT Supply Corp. v. United States
71 Fed. Cl. 1 (Federal Claims, 2006)
Alion Science & Technology Corp. v. United States
69 Fed. Cl. 14 (Federal Claims, 2005)
Carmichael v. United States
66 Fed. Cl. 115 (Federal Claims, 2005)
Chapman Law Firm v. United States
63 Fed. Cl. 519 (Federal Claims, 2005)
Filtration Development Co., LLC v. United States
63 Fed. Cl. 612 (Federal Claims, 2005)
Filtration Development Co. v. United States
60 Fed. Cl. 371 (Federal Claims, 2004)

Cite This Page — Counsel Stack

Bluebook (online)
59 Fed. Cl. 658, 2004 U.S. Claims LEXIS 20, 2004 WL 223988, Counsel Stack Legal Research, https://law.counselstack.com/opinion/filtration-development-co-llc-v-united-states-uscfc-2004.