Microdyne Outsourcing, Inc. v. United States

72 Fed. Cl. 694, 2006 U.S. Claims LEXIS 280, 2006 WL 2780111
United States Court of Federal Claims·Decided September 8, 2006·No. No. 06-498C·Published·Cited by 1 cases

Opinion

OPINION AND ORDER

HODGES, Judge.

This is a post-award bid protest. Plaintiff Microdyne/L-3 submitted a bid in response to a Request for Proposals issued by the United States Citizenship and Immigration Services (USCIS) to staff its National Customer Service Center. The USCIS is a division of the Department of Homeland Security and operates the Center, which employs Customer Service Representatives (CSRs) to answer callers’ questions about immigration benefits and policies. The RFP explained that the USCIS would award a 'contract to one or more offerors representing the best value to the Government. The Agency awarded two contracts to Aspen Systems and Datatrac Information Services following a trade-off among eligible offerors, and L-3 was next in line. Plaintiff appealed to the Government Accountability Office, which dismissed its protest. It then filed a Complaint in this court, alleging that the awards to Aspen and Datatrac were arbitrary and capricious and that the USCIS clearly and prejudicially violated applicable procurement law and regulations. The awardees intervened.

Plaintiff, defendant, and intervenors filed cross-motions for judgment on the Administrative Record. The essence of this bid protest involves the parties’ differing interpretations of events that transpired before, during, and after the USCIS made its final award decisions. Plaintiff suspects that the Agency had predetermined the result and “attempt[ed] to rationalize that decision based on pretexts created wholly outside” the evaluations process. The Government and the intervenors maintain that the Record fully supports the awards to Aspen and Datatrac and does not demonstrate bad faith, prejudice, or favoritism by the Agency but diligence that courts should “encourage, not disparage.”

Our role in this protest is to review the USCIS’s award based on the information available to it when selections were made. Agencies have great latitude in choosing with whom to contract. We interfere only when the Administrative Record does not provide a rational basis for their decisions, or the protestor has proven a prejudicial violation of procurement laws, or bad faith. We found that none of those applied to this procurement. Many of plaintiffs arguments concerned what the law considers the “minutiae” of the process into which reviewing courts have no authority to interfere. We issued a ruling from the bench granting defendant’s and intervenors’ motions for judgment on the Administrative Record and denying plaintiffs cross-motion for judgment and its request for a permanent injunction. This Opinion supplements the rationales the court expressed orally to the parties on August 22.

BACKGROUND

The USCIS supports the Department of Homeland Security by administering citizenship and immigration laws governing services and benefits. The USCIS also performs a “customer service” function by providing general information through its Customer Service Representatives (CSRs) to persons who call the National Customer Service Center with questions about immigration policies. Callers first access general case information through a network Interactive Voice Response. Callers who want specific information are routed to five representatives, who, using pre-scripted material, respond to information requests, process service requests, and provide case status information. Operations employing these CSRs are referred to as Tier One. Tier One Centers administer to ninety percent of those callers needing live assistance. Calls are routed to a Tier Two Center staffed with USCIS employees, if they require support beyond Tier One capability.

The USCIS issued a Request for Proposals in September 2005 for offers to provide Tier One services. The Agency’s goal was “to optimize customer telephone interaction by [696] providing a proactive, unified, and integrated approach to the delivery of citizenship and immigration services benefits modeled on industry best practices.... ” The Solicitation sought call services for a period of one base year, plus four option years and stated that the Government intended to award “one or more contracts” for those services. The RFP listed three evaluation criteria: Technical Capability, Past Performance, and Price. Technical Capability was more important than Past Performance and Price, and Technical Capability and Past Performance together were “significantly more important than Price.” The Government’s objective was “obtaining performance capability superiority rather than the lowest overall price.”

The Solicitation announced this would be a “best value” procurement, which meant the USCIS would weigh “the differences (strengths, weaknesses, and risks) in the value of the non-price factors with the differences in the prices proposed” in conducting its evaluations of bidders to decide which offeror represented the best overall value to the Agency. The Source Selection Plan outlined the evaluations process. A Technical Evaluation Committee (TEC) would evaluate the offerors’ technical proposals and past performance. The Technical Capability component measured the “ability of the Contractor to demonstrate the knowledge, understanding and technical ability to meet USCIS call center service requirements in the [Performance Work Statement].” Past Performance was scored “on the degree of relevance to the requirements of the RFP on the basis of similarity in size, scope, complexity, and technical difficulty” of previous experience. A Business Evaluation Committee (BEC) would assess pricing. Offerors were to propose pricing for the base year and the four option years. They were to price their proposals according to the number of estimated calls per month, which was set forth in the Solicitation in various Contract Line Item Numbers (CLINs). These CLINs were “derived from historical data” and ranged from a minimum of 200,000 calls per month to 1.2 million calls per month. The historical average monthly call volume was around 800,000 calls. The USCIS guaranteed awardees a “minimum of 200,000 calls per month per contract.”

Members of the Technical and Business Evaluation Committees first would examine each offer individually. The Committees would arrive at a consensus rating for each offeror, and the Committee Chairpersons would author reports that contained specific reasons for those scores for the Source Selection Authority. The SSA would engage in tradeoffs according to the RFP criteria and would make the final award decisions. Ad-visors in this procurement would provide specific information in their area of expertise as requested. They were categorized as “technical, program, procurement, and legal.” The Contracting Officer would oversee the entire source selection process. The USCIS intended to evaluate offers and make awards without discussions.

The Source Selection Authority was Michael Aytes. After reviewing the Committee Reports, and explaining that the RFP made clear “technical capability and past performance were significantly more important than price,” he found that

[t]hree proposals [we]re considered viable for award — Aspen Systems, Datatrac and L-3. Evaluating the prices at the minimum 200,000 calls per month, Aspen Systems proposed the lowest price, followed by L-3 Communications, and Datatrac Information Services. At the 400,000 and 800,000 call levels, L-3 was lowest followed very closely by Aspen Systems. Of the three top rated technical proposals, Datatrac [wa]s the highest price in all three call levels, but it[ ][was] also the highest technically rated of all proposals.

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Microdyne Outsourcing, Inc. v. United States, 72 Fed. Cl. 694, 2006 U.S. Claims LEXIS 280, 2006 WL 2780111 (uscfc 2006).

72 Fed. Cl. 694 (Microdyne Outsourcing, Inc. v. United States) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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