Decision Released: Navy Cost Estimating and Cost Analysis Support Services protest denial

File No. B-422336, B-422336.2

Digest

1. Protest challenging cost realism evaluation of protester’s proposal is denied where the agency reasonably upwardly adjusted protester’s direct rates and other costs, and where the protester fails to demonstrate competitive prejudice.
2. Protest challenging agency’s technical evaluation and source selection decision is denied where the record shows that the evaluation and source selection decision were reasonable and consistent with the terms of the solicitation.

Discussion

The protester challenges the agency’s evaluation of Herren’s cost/price and technical proposals, and the best‑value tradeoff decision. Specifically, the protester alleges that the Navy incorrectly calculated the firm’s most probable cost and made unreasonable upward adjustments. Protest at 2, 5, 6; Comments & Supp. Protest at 5-6. Herren also contends that the agency improperly assigned a weakness to its management approach under the technical factor. We have considered all of the protester’s arguments and, as discussed below, find no basis to sustain any of them.

The protester first contends that, in calculating the firm’s most probable cost, the agency “erroneously and arbitrarily adjusted Herren’s final [cost] upward by approximately $2,284,843.00.” Protest at 2. Specifically, the protester challenges the agency’s justification for that adjustment, stating that contrary to the agency’s explanation, both Herren and its subcontractor, [DELETED], provided the required certified payroll verification. Id. The agency maintains that it reasonably adjusted Herren’s costs and, to the extent its adjustments were erroneous, Herren was not prejudiced by the errors …

Decision

Herren Associates, Inc., a small business of Washington, D.C., protests the issuance of a task order to Naval Systems, Inc. (NSI), of Lexington Park, Maryland, under request for proposals (RFP) No. N0042123R3001, issued by the Department of the Navy for cost estimating and cost analysis support services. The protester challenges the agency’s evaluation of its cost and technical proposals.

We deny the protest.

Read the decision here.

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