Decision released related to this OASIS+ RFP protest denial

DIGEST

1. Due to the specific characteristics of the agency’s requirements, the agency reasonably determined that requiring offerors to provide cost breakdown information for their proposed labor rates was the only acceptable method for evaluating cost/price reasonableness. 2.  Requirement that offerors provide cost breakdown information for their proposed labor rates does not violate the statutory preference for acquisition of commercial items.

DISCUSSION

BCG states that it “does not do business with any client using a cost-based pricing methodology” and does not maintain an accounting system that “accumulates and allocates the direct and indirect costs and profit that underlie its pricing.”  Protest at 19. In this context, BCG maintains that the solicitation’s requirement that offerors disclose breakdowns of their proposed labor rates:  (1) “violates” FAR subpart 15.4, which identifies various alternative methods for evaluating cost/price; and (2) “is incompatible” with the Federal Acquisition Streamlining Act of 1994 (FASA), which establishes a preference for the acquisition of commercial items.16  Protest at 12-18.  We find no merit in BCG’s allegations.17  Alleged Violation of FAR Subpart 15.4  First, BCG complains that, in requiring all offerors to provide a breakdown of their proposed labor rates, the agency improperly relied on FAR section 15.404-1, which states:   [c]ontracting officers shall obtain data other than certified cost or pricing data[18] from the offeror . . . for all acquisitions (including commercial acquisitions), if that is the contracting officer’s only means to determine the price to be fair and reasonable.  FAR 15.404-1(b)(1).   BCG notes that FAR section 15.404-1 identifies various alternative methods for assessing price reasonableness, including comparison of proposed prices to various benchmarks such as:  other prices proposed in response to the solicitation; historical prices; parametric pricing (such as dollars per pound or other units); published price lists; independent government estimates; and prices obtained through market…

DECISION

BCG Federal Corporation, of Washington, D.C., protests the terms of request for proposals (RFP) No. 47QRCA23R0006, issued by the General Services Administration (GSA) and referred to as the “One Acquisition Solution for Integrated Services Plus (OASIS+)” unrestricted solicitation.1  Agency Report (AR) Tab 1, Contracting Officer’s Statement (COS) at 1;2 see AR, Tab 2, RFP.  BCG challenges the solicitation’s requirement that offerors must provide cost breakdown information for their proposed labor rates.  Protest at 2.3

We deny the protest.

See the decision here.

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