LB&B Associates Inc. v. United States

91 Fed. Cl. 142, 2010 WL 478766
CourtUnited States Court of Federal Claims
DecidedFebruary 3, 2010
DocketNo. 08-430 C
StatusPublished
Cited by7 cases

This text of 91 Fed. Cl. 142 (LB&B Associates 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
LB&B Associates Inc. v. United States, 91 Fed. Cl. 142, 2010 WL 478766 (uscfc 2010).

Opinion

OPINION AND ORDER

HEWITT, Chief Judge.

Before the court is an action brought by LB&B Associates Inc. (LB&B or plaintiff) for the equitable adjustment of the price of its Contract No. N26477-01-D-0146 (Contract) with the United States (government, defendant or United States), acting through the United States Department of the Navy, Naval Facilities Engineering Command Washington (NAVFAC), for the maintenance and repair of facilities and the incidental handling of hazardous waste. See Plaintiff LB&B Associates Inc.’s Memorandum In Support of its Motion for Partial Summary Judgment (plaintiffs Memorandum or Pl.’s Mem.) 1, Docket Number (Dkt. No.) 16.

I. Background

A. Procedural Background

On June 12, 2008, LB&B filed its Complaint (Complaint or Compl.), Dkt. No. 1. On June 30, 2009, LB&B filed Plaintiff LB&B Associates Inc.’s Motion for Partial Summary Judgment (plaintiffs Motion or Pl.’s Mot.), Dkt. No. 18, supported by plaintiffs Memorandum including plaintiffs Proposed Finding of Uncontroverted Facts (plaintiffs Facts or Pl.’s Facts), Exhibit 1 (Pl.’s Exh. 1), Affidavit of Chad Lewis (Lewis Aff.) and Exhibit 3 (Pl.’s Exh. 3), Declaration of James Dell (Dell Deck). See Dkt. No. 16. On August 21, 2009, the United States filed Defendant’s Response to Plaintiffs Motion for Partial Summary Judgment and Cross Motion for Partial Summary Judgment Regarding Counts I and II (defendant’s Response or Def.’s Resp.), Dkt. No. 25; Defendant’s Proposed Findings of Uncontroverted Fact (defendant’s Facts or Def.’s Facts), Dkt. No. 26; and Defendant’s Response to Plaintiffs Proposed Findings of Uncontroverted Fact (defendant’s Response to Facts or Def.’s Resp. Facts), Dkt. No 24. Defendant also filed an Appendix to Defendant’s Response to Plaintiffs Motion for Partial Summary Judgment and Cross Motion for Partial Summary Judgment Regarding Counts I and II (defendant’s Appendix or Def.’s App.), Dkt. No. 26. On October 2, 2009 LB&B filed Plaintiffs Reply in Support of Plaintiffs Motion for Partial Summary Judgment and Response to Defendant’s Cross Motion for Partial Summary Judgment Regarding Counts I and II (plaintiffs Reply or Pl.’s Reply), Dkt. No. 31, and Plaintiffs Response to Defendant’s Proposed Findings of Uncontroverted Facts (plaintiffs Response to Facts or Pl.’s Resp. Facts), Dkt. No 32. On October 15, 2009, the United States filed Defendant’s Reply in Support of Cross Motion for Partial Summary Judgment Regarding Counts I and II (defendant’s Reply or Def.’s Reply), Dkt. No. 33.

In Count I, plaintiff asserts that it was required, at the direction of the government, to hire a subcontractor to perform hazardous waste management services. Pl.’s Mem. 4-5. Plaintiff asserts that the use of a subcontractor constitutes a constructive change to the Contract and that it is owed the additional costs that it incurred in hiring the subcontractor. Id. 5-6. Defendant asserts that the Contract is a performance contract and therefore plaintiff is responsible for all costs it incurs as may be necessary to complete performance under the contract. Def.’s Resp. 5-6.

In Count II, plaintiff asserts that NAV-FAC directed plaintiff to provide additional personnel for on-site, full-time supervision. Pl.’s Mem. 5-6. Plaintiff asserts that NAV-FAC’s demand for additional personnel constituted a constructive change. Id. 12. Defendant asserts, again, that the portion of the Contract at issue is a performance contract, and therefore plaintiff is responsible for all costs necessary to complete performance under the Contract. Def.’s Resp. 8-10.

[147]*147B. Factual Background

1. The Contract

On August 13, 2003, the government, acting through NAVFAC, issued Solicitation No. N62477-01-R-0146 (Solicitation) seeking offers for the maintenance and repair of facilities, systems and equipment services for the Navy Public Works Center, Washington, DC and its customers at various locations throughout the Washington, DC area. PL’s Facts 2-3; Def.’s Resp. Facts 1. On December 20, 2004, NAVFAC awarded the Contract to LB&B for the maintenance and repair of facilities and the incidental handling of hazardous waste. Pl.’s Facts 4; Def.’s Resp. Facts 1. The primary locations of services were to be Washington Navy Yard, National Naval Medical Center at Bethesda, Maryland (NNMC), Naval Research Laboratory (NRL), Naval Station Anaeostia, Walter Reed Army Medical Center, Nebraska Avenue Complex, United States Naval Observatory and Potomac Annex. Def.’s App. 1, § C, at 1.1.1; Pl.’s Facts 3; Def.’s Facts 2.

The Contract was a mixed contract; certain portions were fírm-fixed-price and the remainder was an indefinite quantity (IDQ) contract. Compl. ¶ 5; Def.’s App. 1, § C, at 1.1.2. The handling of hazardous materials and wastes generated by the seivice provider are specifically included within the scope of the firm-fixed-price contract. Pl.’s Mem. 3; Def.’s App. 1, § C, at 1.1.2. Plaintiffs proposed price was intended to cover all items including “direct and indirect labor cost, management, materials, [and] supervision” as required to meet the performance requirements of the Contract. Lewis Aff., Exh. A, § C, at 1.2.1; Def.’s App. 1, § C, at 1.2.1. The Contract described the specific work requirement for hazardous waste disposal management as “[providing customer Hazardous Waste management support [and][s]tanding by 24 hours a day to provide customer support in the event a cleanup is required.” Lewis Aff., Exh. A, § C, at 1.2.2; Def.’s App. 1, § C, at 1.2.2. Specifically, with regard to the disposal of hazardous waste, the Solicitation provides:

The Seivice Provider will be required to dispose of hazardous waste under the terms of this contract. The Seivice Provider is responsible for disposal of incidental quantities of hazardous waste. The Service provider shall dispose of hazardous waste at a site approved by the Contracting Officer and ensure that disposal is performed in accordance with 40 [C.F.R. § ] 260 through 40 [C.F.R. § ] 279 and any other applicable Federal, Navy, State, Navy [sic], and local laws and regulation as well as consent orders/consent agreements covering the Washington Navy Yard and Anaeostia.

Lewis Aff., Exh. A, § C, at 1.5.12.4; Def.’s App. 1, § C, at 1.5.12.4. The Contract contained both a list of general duties and detailed waste disposal procedures and instructions for each site.2 Def.’s App. 1, § J-C.1.3.

[148]*148In addition to the provisions specifically required by the Contract, plaintiff was required to follow all applicable federal, state and local laws and regulations. Lewis Aff., Exh. A, § C, at 1.5.12.4; Def.’s App. 1, § C, at 1.5.12.4. Plaintiff was required to complete all records required by any local, state or federal agency pursuant to the Environmental Protection Agency’s (EPA’s) hazardous waste laws, and to maintain all records on-site at all times. Lewis Aff., Exh. A, § C, at 1.5.2.3; Def.’s App. 1, § C, at 1.5.2.3. Plaintiff was required to mark and label each container containing hazardous waste in compliance with EPA regulations. Lewis Aff., Exh. A, § C, at 5.2.3.2.8; Def.’s App. 1, § C, at 5.2.3.2.8. Plaintiff was further required to label all hazardous waste containers and maintain an inventory throughout the year documenting the type of hazardous materials and the quantities of each material. 48 C.F.R. §

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Cite This Page — Counsel Stack

Bluebook (online)
91 Fed. Cl. 142, 2010 WL 478766, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lbb-associates-inc-v-united-states-uscfc-2010.