Jacobs Technology Inc. v. United States

131 Fed. Cl. 430, 2017 WL 1291795
CourtUnited States Court of Federal Claims
DecidedMarch 31, 2017
Docket16-1602C 17-88C (not consolidated)
StatusPublished
Cited by14 cases

This text of 131 Fed. Cl. 430 (Jacobs Technology 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
Jacobs Technology Inc. v. United States, 131 Fed. Cl. 430, 2017 WL 1291795 (uscfc 2017).

Opinion

Bid-protests; challenges to corrective action; jurisdiction; standing; ripeness; mootness; validity of the agency’s decision to take corrective action; inadequacy of showing to support discovery into alleged bias

OPINION AND ORDER 1

LETTOW, Judge.

These bid protests address a procurement that has spanned years and has proved to be refractory and intricate. A solicitation by the United States (“the government”), acting by and through the United States Department of the Army (“Army” or “agency”), was initiated in 2013 for a mission-test, support-services contract at the United States Army Yuma Proving Ground (“Yuma”) in Arizona. On September 10, 2014, the Army awarded the contract to Jacobs Technology Inc. (“Jacobs”) after a procurement process that extended over approximately sixteen months. TRAX International Corporation (“TRAX”), the incumbent contractor at Yuma and another offeror in the procurement, protested the award at the.Government Accountability Office (“GAO”). Before GAO rendered a decision, the Army took corrective action and reopened discussions with offerors. The Army awarded the contract to Jacobs a second time in December 2015, but it renewed corrective action after TRAX again protested the award at GAO. The Army awarded the contract to Jacobs for a third time in October 2016, which TRAX also protested at GAO. In November 2016, the Army decided to take corrective action for a third time, stating that it would reevaluate final proposals and make a new source selection decision. The Army concluded that a third round of corrective action was warranted because (1) Jacobs violated the solicitation by altering its oral presentation slides without making a new oral presentation, and (2) TRAX proposed a staffing baseline that deviated from the baseline in the solicitation.

Jacobs and TRAX have each filed suit in this court to challenge the Army’s most recent corrective action, presenting diametrically divergent claims and seeking different relief. Jacobs challenges the Army’s decision to take corrective action and contends that the Army’s corrective action has an overly broad scope and is arbitrary and capricious. Jacobs seeks a permanent injunction enjoining the Army from proceeding with the corrective action, thus allowing Jacobs to receive the third contract award. In contrast, TRAX brings a bias claim against the Army on the ground that the procurement officials have demonstrated favored treatment of Jacobs, *436 as evidenced by the three successive awards Jacobs has received and by the agency’s failure to enforce a common baseline for the offerors’ staffing proposals, which allegedly has benefited Jacobs and prevented TRAX from participating in a fan* competition. TRAX contends that the corrective action is not sufficiently broad and requests that the court issue an injunction directing the Army to either (1) appoint new, unbiased procurement officials, or (2) cancel the solicitation and resolicit revised proposals under fair terms.

Pending before the court are the parties’ cross-motions for judgment on the administrative record in Jacobs and TRAX’s motion for discovery and the government’s motion to dismiss in TRAX. For the reasons stated, Jacobs’ motion for judgment on the administrative record is denied, the government’s and TRAX’s cross-motions for judgment on the administrative record in Jacobs are granted, TRAX’s motion for discovery is denied, and the government’s motion to dismiss TRAX’s complaint is granted for failure to state a claim upon which relief can be granted.

FACTS 2

A. Mission Test Support Services at the Army Yuma Proving Ground

The Yuma Proving Ground is an Army facility located in Arizona. AR 3a-210. 3 Yuma’s primary mission is to provide “the most flexible, responsive, innovative and diverse set of capabilities and services across the spectrum of natural environments.” AR 3a-213. It tests military equipment of varying types, with the materials tested and the “associated infrastructure necessary to conduct each test chang[ing] constantly.” AR 3-97. The Army describes Yuma as a “premier Army asset” with capabilities that are continually expanding, resulting in an increased need for personnel to support the testing conducted at the facility. AR 3a-213.

On May 16, 2013, the Army issued a Request for Proposals (“RFP”), solicitation number W9124R-13-R-0001, regarding a contract for “Mission (Test) Support Services” at Yuma. AR 3-96 to -97. The RFP contemplated the award of a single “Cost-Plus-Award-Fee” contract with a firm-fixed-price for a two month phase-in performance period, “a one-year base period of performance from the [first] day of full contract performance, and three one-year option periods, if exercised.” AR 3-108. The contractor would “provide personnel, management, and any other items and services not government furnished to perform the services defined in th[e] Performance Work Statement.” AR 3a-213. 4 The contractor’s obligations would primarily relate to providing specialized personnel and support for military testing. See AR 30-3206.

The Army amended the RFP six times between May 23, 2013 and February 12, 2014 before making a contract award. See AR Tabs 4 to 8, 23. In amendment 6, the RFP *437 provided for a “best value source selection” where the Army would “select the best overall offer” based upon four factors: “[mjission [capability, [p]ast [performance, [s]mall [b]usiness [pjarticipation, and [c]ost.” AR 23-2631. The procurement was to “be conducted using a two-phase process,” consisting of an evaluation of (1) organizational conflicts of interest, and (2) the four factors listed above. See AR 23-2614. The mission capability factor was “significantly more important” than the past performance factor, which in turn was “more important” than the small business participation factor. AR 23-2632. The first three factors combined were “approximately equal to cost.” Id. The mission capability and cost factors are the pertinent factors at issue in these bid protests.

1. The mission capability factor.

The Army’s evaluation of the mission capability factor would “consist of an assessment of the offeror’s proposed [strategic [performance [p]lan,” which would be “evaluated based [upon] the offeror’s understanding and explanation of how it w[ould] partner with the [government to help resolve future strategic issues as identified by [Yuma] senior leadership, support [Yuma]’s stated objectives for this acquisition^] and bring value to the [Yuma] mission.” AR 23-2633. The factor included four sub-factors:

(a) Management and Organization Approach
(b) Personnel Management Approach
(c) Quality Control and Continuous Process Improvement Approach
(d) Technical Expertise

Id.

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Bluebook (online)
131 Fed. Cl. 430, 2017 WL 1291795, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jacobs-technology-inc-v-united-states-uscfc-2017.