Unisys Corp. v. United States

89 Fed. Cl. 126, 2009 U.S. Claims LEXIS 309, 2009 WL 3003662
CourtUnited States Court of Federal Claims
DecidedSeptember 17, 2009
DocketNo. 09-271C
StatusPublished
Cited by24 cases

This text of 89 Fed. Cl. 126 (Unisys Corp. 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
Unisys Corp. v. United States, 89 Fed. Cl. 126, 2009 U.S. Claims LEXIS 309, 2009 WL 3003662 (uscfc 2009).

Opinion

OPINION

FIRESTONE, Judge.

This case comes before the court on the cross-motions for judgment on the administrative record filed pursuant to Rule 52.1 of the Rules of the United States Court of Federal Claims (“RCFC”) by the plaintiff, Unisys Corporation (“Unisys” or “the plaintiff’), the defendant, the United States (“the government” or “the defendant”) and the defendant-intervenor, Lockheed Martin Corporation (“Lockheed,” “Lockheed Martin,” or “the intervenor”). Additionally, Lockheed has filed a motion to dismiss Count I and the “price-related” portions of Counts II and III of the plaintiffs complaint pursuant to RCFC 12(b)(6) for failure to state a claim upon which relief can be granted. The government supports Lockheed’s motion to dismiss.

The plaintiff currently provides information technology services to the Federal Acquisition Service’s Chief Information Officer at the General Services Administration (“GSA”). In this bid protest action, Unisys is challenging GSA’s award of a new five-year blanket purchase agreement (“BPA”) for these services to Lockheed. The estimated value of the BPA (assuming all option periods are exercised) is $400 million.

For the reasons stated below, Lockheed’s motion to dismiss is GRANTED. The government’s and Lockheed’s motions for judgment on the administrative record with regard to Unisys’s remaining claims are both GRANTED. The plaintiffs motion for judgment on the administrative record is DENIED.

BACKGROUND FACTS

The following background facts are taken from the administrative record.

I. The Request for Quotations

On November 11, 2008, GSA issued Request for Quote (“RFQ”) No. GS-TFMG-BPA-09-001, using GSA Federal Supply Schedule (“FSS”) ordering procedures, seeking to establish a BPA for contractor services to support, maintain and enhance certain GSA internal information technology applications. The procurement is described as the Federal Acquisition Service (“FAS”) Applications, Maintenance and Enhancements (“FAME”) BPA. FAME provides support services for operations and maintenance, modernization, and enhancement of FAS information systems. These information systems provide the infrastructure for FAS’s government contracting programs, including the FSS program, Government-Wide Acquisition Contracts, and assisted acquisition services. Administrative Record (“AR”) 1367-1668.

This procurement was an FSS procurement, subject to FAR 8.4,1 rather than a [129]*129negotiated procurement subject to FAR Part 15. As such, the RFQ was issued to only those contractors that had a previously established FSS 70 contract.2 AR 1370. The RFQ stated that award would be made to an offeror whose quotes provided the best value to the government, price and other factors considered, unless otherwise specified in the RFQ. AR 1144. As noted above, the estimated total value of the BPA (assuming all option periods are exercised) is $400 million over a one-year base period and four one-year option periods. AR 1372. The RFQ sought quotations, not competitive proposals.

The RFQ instructed offerors to submit quotes in three parts: (i) a “Written Cost/ Price Quote” (“Part I”); (ii) a “Written Technical Quote” (“Part II”); and (iii) an “Oral Technical Quote Presentation” (“Part III”). AR 1467. Part I comprised the offeror’s price proposal, and Parts II and III comprised the offerors’ technical proposals. Id.

As part of the technical proposals, the RFQ directed offerors to submit responses to four sample task orders, which were to include the technical approach for accomplishing the sample task requirements, the staffing approach for each sample task, and the key personnel for each sample task. AR 1469. It advised contractors that the sample task would be used for evaluation purposes and stated that the “evaluation criteria contained in this BPA (Section 12) will be used to evaluate Sample Task Responses.” Id.

The RFQ indicated that GSA would evaluate both portions of each technical proposal based upon the following three factors: Key Personnel and Staffing Approach, Technical Approach, and Management Approach. Id. at 1475. The RFQ stated that the first two factors were of equal importance, while the third was of less importance. Id. It further stated that the three technical factors were significantly more important than cost. Id.

RFQ Section 11.2(c) stated, “The Government may make award based on initial offers received, without discussion of such offers. Quotes shall set forth full, accurate, and complete information as required by the solicitation package (including attachments).” AR 1134. RFQ Section 11.2 did not specifically reference or incorporate FAR Part 15.

RFQ Section 11.7(b) instructed contractors submitting a quote to indicate the price to be charged for all labor categories outlined in RFQ Section 1.3.2 commensurate with its GSA pricing as discounted on the BPA. AR 1137. RFQ Section 11.7(c) instructed offer-ors to “prepare one summary schedule ... which provides the labor categories and rates commensurate with its GSA pricing and the GSA pricing of any teaming partners to include any discounts proposed for the purpose of the BPA.” Id. It also stated that “[t]he information requested in the quote is required to enable the Government to perform a price analysis.” AR 1137. RFQ Section 11.7 is discussed in greater detail below.

[130]*130RFQ Section 12 set forth the evaluation criteria for use in awarding the BPA. RFQ Section 12.2 addressed the Price Quote Evaluation. AR 1144-45. It stated that

[a] determination of price realism and reasonableness will include a determination by the [Contracting Officer (“CO”) ] that proper discounts have been offered commensurate with maximum order thresholds for prime contractors and teaming partners and in accordance with subcontractor arrangements. The Government reserves the right to reject any proposal that includes any assumption or condition that impacts or affects the Government’s requirements ....
Evaluation of Pricing shall be based upon the proposed single, minimum “team” discount (expressed as a percentage) which shall be applicable to all labor categories, labor rates, and support products contained in the awarded BPA SINs of each team member’s GSA Schedule Contract. For price evaluation purposes, the Government mil simply compare the minimum “team” discount percentage proposed, and mil not apply the proposed discount to any of the underlying labor rates/support products contained in any of the proposed GSA Schedule contracts. Given this analysis, a team percentage discount of 10% will be evaluated more favorably than a discount of 5%, regardless of the underlying labor rates and/or support product prices resident in the proposed GSA Schedule contracts.

Id. (emphasis added throughout).

II. Question and Answer Exchange

After issuing the RFQ, the government held a question and answer exchange with the offerors, the results of which were incorporated into Amendment II to the RFQ.

Unisys submitted the following question regarding GSA’s method of evaluating price:

Evaluation of pricing based on the team discount without applying the discount to any of the underlying labor rates/products does not appear to offer best value to the buyer, GSA.

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Cite This Page — Counsel Stack

Bluebook (online)
89 Fed. Cl. 126, 2009 U.S. Claims LEXIS 309, 2009 WL 3003662, Counsel Stack Legal Research, https://law.counselstack.com/opinion/unisys-corp-v-united-states-uscfc-2009.