Ironclad/EEI v. United States

78 Fed. Cl. 351, 2007 U.S. Claims LEXIS 313, 2007 WL 2823678
CourtUnited States Court of Federal Claims
DecidedSeptember 26, 2007
DocketNo. 07-280C
StatusPublished
Cited by29 cases

This text of 78 Fed. Cl. 351 (Ironclad/EEI 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
Ironclad/EEI v. United States, 78 Fed. Cl. 351, 2007 U.S. Claims LEXIS 313, 2007 WL 2823678 (uscfc 2007).

Opinion

OPINION

BUSH, Judge.

This post-award bid protest action is before the court following cross-motions for judgment on the administrative record, filed under Rule 52.1 of the Rules of the United States Court of Federal Claims (RCFC). Plaintiff Ironclad/EEI, A Joint Venture (plaintiff, Ironclad) is a joint venture comprised of Ironclad Sendees, Inc. (Ironclad Services) and Enfield Enterprises, Inc. (EEI). In this suit, Ironclad challenges twelve contracts for temporary roof repair awarded by the United States Army Corps of Engineers in 2006. Plaintiff claims that the Corps made several errors during the procurement process leading up to those awards which deprived Ironclad of the right to full and open competition for the work offered. Plaintiff asks the court to order that the awards be cancelled and the work resolicited.

[353]*353The administrative record (AR) in this matter was filed on May 22, 2007. Plaintiff moved for judgment on the administrative record on June 21, 2007, and the United States and four intervenor-defendants (collectively, defendants) filed cross-motions to dismiss and for judgment on the administrative record on July 23 and 24, 2007. Ironclad responded to defendants’ motions on August 2, 2007, and defendants replied on August 13, 2007. Discovery was not requested by the parties. Oral argument was heard on August 17, 2007. For the reasons that follow, the court finds that plaintiff has no standing to challenge the awards at issue in this protest.

BACKGROUND2

On November 30, 2005, the United States Army Engineer District, Mobile Contracting Division, Mobile, Alabama (the Corps) issued Request for Proposals Solicitation W9127806-R-0007 (the solicitation). AR at 30. Through the solicitation, the Corps requested proposals for multiple Indefinite Delivery/Indefinite Quantity (IDIQ) contracts for Contingency Contract Initiative (CCI) Temporary Roof Repairs in support of the Corps’ and the Federal Emergency Management Agency’s (FEMA) disaster response in Maryland, Virginia, North Carolina, South Carolina, Georgia, Florida, Alabama, Mississippi, Louisiana, and Texas.3 Id. The solicitation provided that three of the contracts offered by the Corps would be subject to full and open competition between all offerors, regardless of size. Id. at 145. In addition, one contract would be awarded to a business located in a Historically Underutilized Business Zone (HUBZone); one would be granted to a Service Disabled Veteran Owned Business (SDVOB); and twenty would be awarded via the United States Small Business Administration (SBA) to socially and/or economically disadvantaged small businesses, pursuant to section 8(a) of the Small Business Act.4 The procurement was assigned North American Industrial Classification System (NAICS) code 238160, “Roofing Contractors,” which provided that businesses which hoped to secure the available small business set-aside awards could have annual profits of no more than $12 million.5 Id. at 25-26.

The solicitation provided that the maximum dollar amount for each contract was not to exceed $100 million for the unrestricted, HUBZone and SDVOB awards, and $25 million for the section 8(a) awards. Id. at 145. It also stated that “[f]rom those offers that have passed the Proposal Compliance Review, the Source Selection Authority may limit the number of offers to be passed on to the Source Selection Evaluation Board to the lowest priced Offerors (usually, the lowest 5-7) under the socioeconomic categories described below.” Id. at 112. The document further advised offerors that “[rjegardless of how many contracts are awarded, each Offer- or will be eligible for award on only one contract.” Id. at 190.

Plaintiff alleges that, at some time in 2005, a representative of EEI contacted the SBA, the federal agency charged with enforcing the provisions of the Small Business Act, and inquired about the size standards applicable to the procurement. Specifically, EEI asked [354]*354“how the NAICS code standard would be applied to a joint venture that it intended on forming with Ironclad [Services].” Pl.’s Mot. at 4. According to plaintiff, “[t]he SBA advised EEI that Ironclad [Services] was a SDVOB and since it would own 51 % of the Joint Venture, and since the Joint Venture had no previous contracts, it would be in compliance with the NAICS Code requirements.” Id. This alleged explanation regarding the size qualifications for joint ventures was contrary to both the SBA regulations and the terms of the solicitation, which included those regulations in its text.6 See AR at 260 (incorporating requirement to comply with 13 C.F.R. § 121.15(b) and reiterating that regulation’s terms).

On February 2, 2006, plaintiff submitted a proposal to the Corps which requested consideration for the SDVOB and unrestricted portions of the procurement. AR at 659 et seq. On April 7, 2006, Ironclad was awarded the SDVOB contract. On April 13, 2006, ESA South, Inc. (ESA South), an unsuccessful offeror on the SDVOB contract, filed a size protest with the Corps which alleged that Ironclad exceeded the applicable size standard for the SDVOB portion of the solicitation. Id. at 426. Ironclad learned of the protest on May 1, 2006. Two days later, on May 3, 2006, plaintiff sent a letter to the Corps which acknowledged that the joint venture exceeded the size limit for the SDVOB contract, and requested that Ironclad continue to be considered for the unrestricted awards. See id. at 419.

Eleven other contracts were ultimately awarded by the Corps. Intervenor-defendant Crown Roofing Services, Inc. (Crown) was awarded two section 8(a) contracts, in spite of the solicitation’s provision that only one contract could be awarded to each offer- or. Id. at 1568, 1569. Intervenor-defendants MGC/Campbell Roofing & Construction, Inc. (MGC/Campbell) and RL Campbell Roofing Company, Inc. (RL Campbell) were each awarded one section 8(a) contract. Id. at 1543, 1545. Intervenor-defendant Campbell Roofing & Construction, Inc. (Campbell) secured an unrestricted award. Id. at 1715.

On May 4, 2006, defendant issued Solicitation Amendment 0012 (Amendment 12), which eliminated the solicitation’s restriction providing that only one contract could be awarded to each offeror. There is no question that this amendment was issued after the Corps had already awarded two contracts to Crown Roofing. Defendant, however, asserts that “the Corps had intended to eliminate this provision when the geographic scope of the contract was expanded,” as a part of Amendment 001 to the solicitation (Amendment 1), and that, after the Corps learned that the change had not been accomplished via Amendment 1, the agency issued Amendment 12 “to clarify the [solicitation and to make clear that one offeror could be awarded more than one contract under the [solicitation.” Def.’s Mot. at 16 (citing AR at 122-25, 441); Sawyer Aff. ¶ 12 (explaining that the Mobile District discovered on or about May 3, 2006, that the limitation of one contract per offeror had not been deleted from the solicitation as had been intended by the agency when it issued Amendment 1, and that it issued Amendment 12 on May 4, 2006 “to simply correct a clerical error in the issuance of Amendment 1”).

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Bluebook (online)
78 Fed. Cl. 351, 2007 U.S. Claims LEXIS 313, 2007 WL 2823678, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ironcladeei-v-united-states-uscfc-2007.