IBSS Corporation v. Department of Commerce (B-422757; B-422757.3; B-422757.5)

Category: Technical evaluation, cost or price evaluation, past performance, discussions, other

Date: October 18, 2024

URL: https://www.gao.gov/products/b-422757%2Cb-422757.3%2Cb-422757.5

You should care.

IBSS Corporation protested the award of a cybersecurity support contract by NOAA to Blue Glacier Management Group, alleging flawed evaluations of proposals including staffing plan and compensation, organizational conflicts of interest (OCI), past performance, and agency discussions. GAO partially sustained the protest, finding NOAA had not adequately assessed Blue Glacier’s compensation plan under FAR provision 52.222-46, which mandates considering program continuity when lower-than-incumbent salaries are proposed. GAO dismissed claims of a “bait and switch” of key personnel and determined the agency’s OCI analysis and discussions with Blue Glacier were permissible. Ultimately, GAO recommended NOAA reevaluate Blue Glacier's compensation plan and reassess the best-suited offeror.

This decision underscores the importance of thoroughly evaluating compensation plans under FAR requirements, especially when incumbents propose significantly lower salaries, as failure to document an adequate assessment can prompt a successful protest.

Digest

Protest challenging the agency’s evaluation of the awardee’s staffing plan pursuant to FAR provision 52.222-46 is sustained where the agency failed to meaningfully evaluate the awardee’s proposed compensation that was lower than the compensation from the predecessor contract, as required by the terms of the provision.