PlanetSpace Inc. v. United States

92 Fed. Cl. 520, 2010 WL 1783243
CourtUnited States Court of Federal Claims
DecidedApril 26, 2010
DocketNo. 09-476C
StatusPublished
Cited by98 cases

This text of 92 Fed. Cl. 520 (PlanetSpace 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
PlanetSpace Inc. v. United States, 92 Fed. Cl. 520, 2010 WL 1783243 (uscfc 2010).

Opinion

OPINION and ORDER

BLOCK, Judge.

I. INTRODUCTION

Orbiting at an altitude of 250 miles, the International Space Station (“ISS”) is the largest spacecraft ever built, at times observable from Earth using only the naked eye. The ISS represents the combined efforts of fifteen nations over fifteen years and an investment of tens of billions of dollars. When fully assembled, the ISS will serve as an observatory, a laboratory, and a workshop in space. Already the ISS contains over 10,850 cubic feet of habitable volume, carries a crew of six astronauts, and hosts nineteen scientific research facilities.

Under various international agreements, defendant, acting through the National Aeronautics and Space Administration (“NASA”), is responsible for providing cargo transportation services to the ISS. To date, NASA has fulfilled this commitment by using its aging fleet of space shuttles. However, NASA plans to discontinue the space shuttle program in 2010. To meet its on-going ISS cargo transportation commitments, NASA has decided to turn to the Nation’s still-nascent private space industry.

To this end, on April 14, 2008, NASA issued Request for Proposals No. NNJ08ZBG001R (the “RFP”), to procure cargo transportation services to and from the ISS under fixed-price, indefinite delivery/indefinite quantity contracts. Administrative Record (“AR”) 1306, 1314, 1364. Plaintiff, PlanetSpace Inc. (“PlanetSpace”), and intervenor-defendants, Space Exploration Technologies Corporation (“Space-X”) and Orbital Sciences Corporation (“Orbital”), submitted proposals in response to the RFP. AR 2723-24. As the caption suggests, NASA selected only Space-X and Orbital for contract awards. AR 5181. Each of these awards guarantees a minimum contract value of approximately $1.5 billion, Compl. ¶ 1, and a maximum value of $3.1 billion, AR 1925.

After an unsuccessful bid protest at the United States Government Accountability Office (“GAO”), PlanetSpace, Inc., B-401016 et al., 2009 CPD 11103 (Comp.Gen. Apr. 22, 2009), plaintiff filed the instant complaint. Plaintiffs complaint recites six counts alleging that: (1) NASA’s source selection authority (“SSA”)1 unlawfully rejected plaintiffs proposal after making a defacto nonresponsi-bility determination; (2) the SSA did not perform a legally sufficient trade-off analysis; (3) the SSA improperly evaluated plaintifPs proposal by using a criterion not included in the RFP and by failing to apply that same criterion to the intervenors’ proposals; (4) the SSA evaluated plaintiffs past perform-[526]*526anee in an improper manner; (5) NASA failed to comply with the U.S. Space Transportation Policy (the “Space Policy”); and (6) the SSA articulated conclusions in his source selection decision that were without factual support and were, therefore, irrational. Compl. ¶¶ 46-106.

Mindful of its obligation not to “substitute its judgment for that of the agency,” Citizens to Pres. Overton Park, Inc. v. Volpe, 401 U.S. 402, 416, 91 S.Ct. 814, 28 L.Ed.2d 136 (1971), the court finds for defendant on counts (3)-(6), and withholds decision on counts (1) and (2). Proceedings in this matter are stayed pending a remand to NASA for further explanation, as outlined below.

II. FACTUAL AND PROCEDURAL BACKGROUND

As stated above, the RFP sought to procure cargo transportation services to and from the ISS over the next seven years. More specifically, under the terms of contract line item number (“CLIN”) 0001, awar-dees would be called upon to transport cargo to the ISS, return cargo from the ISS, and dispose of unneeded cargo. AR 1925-26, 1978. This cargo could include either pressurized or unpressurized payloads. AR 1926, 1978. Awardees would also provide various “non-standard services” under CLIN 0002 and perform “special task assignments and studies” under CLIN 0003. AR 1927-28.

Using the “best value” trade-off process described at FAR 15.101-1,2 proposals were to be evaluated on the basis of two evaluation factors: (1) mission suitability and (2) price. AR 2089. The mission suitability evaluation factor was more important than price and included three subfactors: (a) technical approach (550 points), (b) management plan (400 points), and (c) small business utilization (50 points). Id. An offeror’s relevant past performance would not be scored separately, but instead would be evaluated as part of each mission suitability subfactor. AR 2090. With regard to evaluating price, the RFP stated that prices offered under CLIN 0001 were substantially more important than prices offered under CLINs 0002 and 0003. AR 2094.

The RFP also required offerors to certify whether or not they would use “space vehicles manufactured in the United States in accordance with the U.S. Space Transportation Policy.” AR 1972. The Space Policy is a national security presidential directive, which provides, in part, that “United States Government payloads shall be launched on space launch vehicles manufactured in the United States, unless exempted by the Director of the Office of Science and Technology Policy, in consultation with the Assistant to the President for National Security Affairs.” U.S. Space TRANSPORTATION Polioy Fact Sheet 7 (2005), http://fas.org/irp/ offdoes/nspd/nspd-40.pdf.3 During discussions, NASA notified offerors that “[hjistori-eally, the domestic manufacturing requirement has been interpreted to apply to launch vehicles and not payloads.” AR 1503, 30861. Regardless, under the terms of the RFP, NASA was to consult the Office of Science and Technology Policy (“OSTP”) about the application of the Space Policy to any specific proposal. Id.

Plaintiff, Orbital, and Space-X were the only contractors to submit initial proposals in response to the RFP. AR Tabs 68-80. Of the three, only plaintiff represented that it was a small business. AR 10303. Plaintiff was also the only offeror to propose a teaming arrangement, which consisted of itself, Lockheed Martin, Boeing, and Alliant Tech-systems, Inc. AR 10235-40, 10455. Under [527]*527this teaming arrangement, plaintiff would retain contract and financial management tasks and would subcontract the design, development, production, and operation of space services to other members of its team. See AR 10594-98.

After reviewing their initial proposals, the contracting officer decided to include all three offerors in the competitive range and to conduct discussions with each in an effort to negotiate the best value for the government. AR 2723-24. The contracting officer also ordered a pre-award survey4 of the offerors, AR 2691, the results of which would help him make a timely responsibility determination5 regarding any prospective contract-awardee. See FAR 9.106-1 (a) (“A pre-award survey is normally required only when the information on hand or readily available to the contracting officer, including information from commercial sources, is not sufficient to make a determination regarding responsibility.”).

On November 10, 2008, the offerors submitted their final proposals. AR Tabs 84-98. A source evaluation board (“SEB”) performed a detailed comparison of the final proposals using the evaluation factors set forth in the RFP. AR Tab 53.

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Bluebook (online)
92 Fed. Cl. 520, 2010 WL 1783243, Counsel Stack Legal Research, https://law.counselstack.com/opinion/planetspace-inc-v-united-states-uscfc-2010.