Wp Health Consulting, LLC v. United States

CourtUnited States Court of Federal Claims
DecidedFebruary 26, 2025
Docket24-950
StatusPublished

This text of Wp Health Consulting, LLC v. United States (Wp Health Consulting, LLC 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.

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Wp Health Consulting, LLC v. United States, (uscfc 2025).

Opinion

In the United States Court of Federal Claims No. 24-950 (Filed Under Seal: February 14, 2025) Reissued: February 26, 20251

) WP HEALTH CONSULTING, LLP, ) ) Plaintiff, ) ) v. ) ) THE UNITED STATES, ) ) Defendant. ) )

W. Brad English, Maynard Nexsen, PC, Huntsville, AL, for plaintiff. Ravi D. Soopramanien, U.S. Department of Justice, Civil Division, Washington, DC, for defendant. OPINION AND ORDER

SMITH, Senior Judge

Before the Court in this bid protest are parties’ Cross-Motions for Judgment on the Administrative Record. See generally Plaintiff’s Motion for Judgment on the Administrative Record, ECF No. 21 [hereinafter Pl.’s MJAR]; Defendant’s Cross-Motion and Opposition to Plaintiff’s Motion for Judgment on the Administrative Record, ECF No. 24 [hereinafter Def.’s CMJAR]. Plaintiff, WP Health Consulting, LLC (“WP Health”), challenges the decision of the procuring agency, the Department of Veterans Affairs (“the Agency”), to eliminate WP Health from competition for Request for Proposals No. 36C10X24R0026 (the “Solicitation”). See generally Amended Complaint, ECF No. 20 [hereinafter Am. Compl.]; Pl.’s MJAR.

WP Health argues that it was unduly prejudiced by an “unlawful competitive range decision” when the Agency excluded it from competition without first seeking a Certificate of Competency (“COC”) from the Small Business Administration (“SBA”). See Pl.’s MJAR at 9– 17. WP Health asks the Court to permanently enjoin the award decision. See Pl.’s MJAR at 9, 17–18. Defendant counters that the Agency was not legally required to seek a COC before excluding WP Health from the competitive range, and alternatively, even if the Agency did err, WP Health has not sufficiently demonstrated prejudice. See Def.’s CMJAR at 19–31.

1 The Court issued an unredacted version of this opinion under seal on February 14, 2025. Defendant responded to the Court’s call for redactions, and this decision reflects the Court’s ruling on the proposed redactions. For the following reasons, the Court grants defendant’s Cross-Motion for Judgment on the Administrative Record, ECF No. 24, and denies WP Health’s Motion for Judgment on the Administrative Record, ECF No. 21.

I. Background

A. The Solicitation

On March 18, 2024,2 the Agency issued the Solicitation for a multiple-award indefinite- delivery indefinite-quantity (“IDIQ”) contract titled “Veterans Health Administration (“VHA”) Integrated Healthcare Transformation 2.0.” AR 1896. The Solicitation was a Service-Disabled Veteran-Owned Small Business (“SDVOSB”) set aside. Id. The purpose of the contract is to provide “best value healthcare and professional consulting services to VHA through a pool of highly qualified Veteran Integrated contractor Teams” (“VITs”). AR 1910. Under the contract, successful SDVOSBs would serve as “Veteran Integrated Team Agile Leads” (“VITALs”) and lead “teaming partners” with the aim of “complet[ing] an organizational transformation” of the VHA to improve healthcare services. Id.

The Solicitation outlines four categories comprised of sixty-one capability areas. AR 1915–34. Offerors would be assessed based on price and five non-price factors: VIT full mission capability; VIT robustness, VITAL services, IDIQ key personnel, and task order capability. AR 1966, 1980–81.

“VIT full mission capability” involves a showing of confirmed capability across the four categories and sixty-one capability areas between all VIT members. AR 1982–85. The Solicitation states that “[a] VIT found to not be fully mission capable will not be eligible for award (unless corrected during discussions conducted at the discretion of the Contracting Officer).” AR 1983. “VIT robustness” relates to the “quality and number of VIT members proposed by the offeror” in the categories of capability areas, as compared to those proposed by other offerors. AR 1986. “VITAL services” refers to the offerors’ likelihood of successfully providing the three types of services (i.e., delivery of services, healthcare integration, and contract management and administration). AR 1987–90. “IDIQ key personnel” refers to the qualifications of offerors’ proposed key personnel. AR 1991. Task order capability is determined by the Agency’s confidence in offerors’ capabilities and proposed approaches for the two sample task orders provided in the solicitation. AR 1992–97.

The Solicitation stated that the Agency would make the award using a best value tradeoff, which would consider all non-price factors combined to be significantly more important than price. AR 1966, 1980–81. The evaluation would be divided into two phases. In Phase I, the Agency would implement an “advisory down select process” to evaluate offerors based on their

2 Due to its size, the Administrative Record (“AR”) was electronically shared with the parties and the Court via the Justice Enterprise Files Sharing (“JEFS”) system. Citations to AR page numbers refer to the AR document pagination as reflected in the JEFS file.

The Agency amended the solicitation several times. See Administrative Record 29, 370, 400, 716, 717, 848, 850, 975, 983, 984, 1860, 1865, 1896, 2706 [hereinafter AR]. Citations to the solicitation refer to the latest version released on April 30, 2024. AR 1896–2703.

2 written demonstrations of VITAL eligibility, VITAL Category 1 capability, and VIT Category 4 capability. AR 1967. At the end of Phase I, the Agency would provide each offeror with an Advisory Notification. AR 1967, 1971–79. The Advisory Notification would advise offerors on whether the Agency finds them to be a “viable competitor for the result of Phase II of the acquisition” along with the “general basis for that opinion.” AR 1973. A negative Advisory Notification would not preclude offerors from participating in Phase II of the competition, but all offerors were required to submit materials during Phase I to be eligible to submit a proposal for the Phase II evaluation. AR 1971, 1973, 1980. In Phase II, the Agency would evaluate offerors based on their written responses across all categories and capability areas as well as a scenario- based technical demonstration. AR 1967, 1980–99.

The Agency reserved the right to make awards to successful offerors with or without discussions during Phase II of the procurement. AR 1967. The Agency further reserved the right to establish a competitive range for discussions, if deemed necessary, as well as the right to reduce the number of offerors included in the competitive range, in accordance with FAR 15.306(c), as needed to conduct an efficient competition. AR 1967. The Agency stated that it intended to award at least four, but no more than eight, contracts. AR 1966.

B. The Agency’s Phase I Determination

Phase I began on March 18, 2024, when the Agency posted the Solicitation on SAM.gov. AR 29. Between April 8, 2024, and April 12, 2024, the Agency received twenty-three responsive Phase I proposals. AR 32890. In evaluating these submissions, the Agency masked the identities of offerors and rated each offerors’ factors on a scale of one to five, where one represented low confidence, and five represented high confidence. Id. These factor scores were weighted according to the following formula:

0.50 x (avg of VITAL service areas) + 0.30 x (avg of 7 Category 4 areas) + 0.20 x (avg of 3 Category 1 areas) = weighted score

AR 32891. The Agency then ranked the masked offerors according to this weighted score. Id. The Agency next sought to identify a clear group within the ranked scores that would have predicted success for award. AR 32892. To do this, the Agency relied on two-phase IDIQ competition procedures and its own goal of making four to eight awards. Id.

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