Watterson Construction Co. v. United States

98 Fed. Cl. 84, 2011 U.S. Claims LEXIS 428, 2011 WL 1137330
CourtUnited States Court of Federal Claims
DecidedMarch 29, 2011
DocketNo. 10-587C
StatusPublished
Cited by12 cases

This text of 98 Fed. Cl. 84 (Watterson Construction Co. 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
Watterson Construction Co. v. United States, 98 Fed. Cl. 84, 2011 U.S. Claims LEXIS 428, 2011 WL 1137330 (uscfc 2011).

Opinion

MEMORANDUM OPINION AND ORDER

BRADEN, Judge.

I. RELEVANT FACTUAL BACKGROUND.1

On July 27, 2009, the Army Corps of Engineers (“Army Corps”) issued Request For Proposals No. W911KB-09-R-0011 FTW336B (“the July 27, 2009 RFP”) for the design and construction of a standard barracks to house 294 persons in Fort Wainwright, Alaska. AR 7, 12. This procurement had two phases. AR 3. In the first phase, the Army Corps evaluated offerors’ performance capability. AR 28. In response, four offerors submitted proposals, but only Watterson Construction Company (“Watterson”), Kiewit Building Group, Inc. (“Kiewit”), and Walsh Construction Company of Chicago (“Walsh”) were invited to proceed to the second phase. AR 396, 405. In the second phase, the Contracting Officer (“CO”) evaluated another round of proposals and was authorized to award a firm fixed-price contract to the offeror that submitted a proposal that conforms to the July 27, 2009 RFP, was “fair and reasonable, and offers the best value to the Government.” AR 51.

On November 30, 2009, the Army Corps issued Amendment No. 0007, requesting that the aforementioned firms submit final proposals by December 18, 2009. AR 271-85. In response, Watterson, Kiewit, and Walsh submitted final proposals, and the CO notified Watterson on January 25, 2010 that it was the “apparent successful offeror.” AR [87]*87375. On February 5, 2010, however, the CO informed Watterson that a “problem” arose. AR 377. On February 12, 2010, the Army Corps issued Amendment No. 0008, allowing all three firms to submit revised proposals by February 19, 2010 at 12:00 p.m. AR 286. Again, Watterson, Kiewit, and Walsh submitted revised proposals, but the Army Corps took no action, because of “a slight delay in receiving authority to award”; the proposals expired March 12, 2010. AR 287, 377. On March 12, 2010, the Army Corps issued Amendment No. 0009 requesting a second set of proposal revisions by March 16, 2010 at 12:00 p.m. AR 288.

On March 16, 2010 at 11:01-11:02 a.m., Watterson sent its second revised proposal by email to the CO’s e-mail address. AR 386, 412, 414. At 11:29 a.m., this e-mail proposal was “received” by gw4.usace.army.mil, the first of four Army Corps servers, located “directly behind a [Corps] firewall facing the Internet.” AR 386, 414, 417. Watterson’s e-mail proposal, however, did not “arrive” in the assigned CO e-mail inbox until 12:04 p.m., four minutes after the revised date/time due. AR 386, 414, 416.2 The Administrative Record evidences that the delay between the receipt of Watterson’s e-mail proposal at the Army Corps servers at 11:29 a.m. and actual delivery to the CO’s e-mail inbox at 12:04 p.m. was caused by an unexplained “mail storm”3 at the Army Corps e-mail servers. AR 415.4

While Watterson’s March 16, 2010 11:01— 11:02 a.m. e-mail was delayed at the Army Corps server, the CO sent Watterson an email “to remind [it] that proposal modifications were due at 12:00 p.m. and that they could be e-mailed in.” AR 405. Shortly after 12:00 p.m., Watterson’s Executive Vice President called the CO to inform her that Watterson’s proposal was sent by e-mail no later than 11:02 a.m. AR 405. During this discussion, Watterson’s e-mail proposal was delivered to the CO’s e-mail inbox and the CO confirmed receipt. AR 405. On that same day around 12:20 p.m., Watterson also provided the CO with a hard copy of the second revised proposal. AR 405.

On March 18, 2010, the CO decided that, because Watterson’s and Walsh’s proposals did not arrive in the CO’s e-mail inbox until after the 12:00 p.m. deadline, both were late and must be eliminated from consideration. AR 405-06.

On March 19, 2010, the Army Corps informed Watterson that the March 16, 2010 revised e-mail proposal was considered late. AR 411. In response, on March 21, 2010, Watterson sent a letter to the CO objecting to this decision. AR 411.

On March 22, 2010, the Army Corps sent a letter to inform Watterson that, because Watterson’s proposal was late, it was deemed “incomplete” and “ineligible for award.” AR 393, 411.

Since Kiewit was the only remaining offer- or, the CO “determined that discussions should be reopened to address some issues with [Kiewit’s] technical solution.” AR 438. On March 22, 2010, the Army Corps informed Kiewit of “the items of their proposal that were considered to be weaknesses, deficiencies, and uncertainties.” AR 438.

[88]*88II. PROCEDURAL HISTORY.

A. Before The Government Accountability Office.

On March 24, 2010, Watterson filed a pre-award bid protest at the Government Accountability Office (“GAO”). AR 312. On March 26, 2010, Watterson withdrew that protest. AR 310.5 On April 1, 2010, the GAO confirmed the withdrawal of Watter-son’s March 24, 2010 protest. AR 306.6

B. Before The United States Court Of Federal Claims.

On August 31, 2010, Watterson filed a Complaint (“Compl.”) in the United States Court of Federal Claims, alleging: the Army Corps’ rejection of Watterson’s March 16, 2010 revised proposal violated 48 C.F.R. § 52.215-l(e)(3), (6) (2010); the Army Corps provided Watterson with incomplete and inaccurate information, “causing [Watterson] to act to its detriment ... forgoing its GAO protest and the automatic stay of award” provided by the Competition in Contracting Act of 1984 (“CICA”), 31 U.S.C. § 3553(c)(1) (2006); and Kiewit unlawfully was allowed to modify its proposal in violation of 48 C.F.R. §§ 15.306(e), 15.307 (2010). Compl. ¶¶ 56-64. Watterson requested declaratory relief, award of “bid preparation and proposal costs,” and “its costs and attorney’s fees in this action as allowed by law.” Compl. ¶¶ 65-71. In addition, Watterson filed Exhibits (“PI. Ex. A-Q”) and an August 27, 2010 Declaration of Mr. James E. Watterson, Executive Vice President (“Watterson Dec!.”).

On September 14, 2010, the Government filed the Administrative Record (“AR 1-444”). On October 1, 2010, Watterson filed a Motion For Judgment On The Administrative Record (“PI. Mot.”), together with attached Exhibits (“PI. Ex. 1-6”). On November 1, 2010, the Government filed a Cross Motion For Judgment On The Administrative Record and Response to Watterson’s October 1, 2010 Motion (“Gov’t Mot.”). On December 1, 2010, Watterson filed a Reply and Response to the Government’s November 1, 2010 Cross Motion and Response (“PI. Rep.”). On December 14, 2010, the Government Filed a Reply to Watterson’s December 1, 2010 Response (“Gov’t Rep.”).

III. DISCUSSION.
A. Jurisdiction.

Count I of the August 31, 2010 post-award bid protest Complaint alleges that the Army Corps’ rejection of Watterson’s proposal as “late” violated Federal Acquisition Regulation (“FAR”) 52.215-l(c)(3)(ii)(A)7 and FAR 52.215-l(c)(6).8 Compl. ¶¶ 56-60. Count I [89]

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Bluebook (online)
98 Fed. Cl. 84, 2011 U.S. Claims LEXIS 428, 2011 WL 1137330, Counsel Stack Legal Research, https://law.counselstack.com/opinion/watterson-construction-co-v-united-states-uscfc-2011.