The protester contended the agency had not sufficiently investigated the awardee’s conflict. GAO agreed. The awardee’s mitigation plan did not fully mitigate the conflict. What’s more, the agency had not considered how the awardee’s mitigation plan would impact performance.
A Square Group, LLC, GAO B-421792.2, B-421792.3
- The Conflict – The agency issued a solicitation that would require the contractor to validate enrollment and payment data. While evaluating the eventual awardee’s proposal, the agency identified a conflict. The awardee’s proposed a subcontractor that was performing another contract for the agency. This other contract generated the data that would be validated under the contract contemplated by the solicitation. Thus, the awardee’s subcontractor could validate data it provided under the other contract.
- Proposed Mitigation – The awardee said it would mitigate the OCI by walling off the subcontractor’s personnel from validating payments. This satisfied the agency. The agency awarded the contract. Another offeror protested.
- OCI Investigation – The protester alleged the OCI investigation and subsequent mitigation strategy were inadequate. The solicitation stated that the awardee would be validating enrollment and payment data. But the mitigation plan only walled off employees from validating payment data. It said nothing about erollment data. The agency argued that enrollment and payment were interchangeable. But GAO found the solicitation made a distinction between enrollment and payment data. Unless the mitigation plan also covered enrollment data, it was incomplete.
- Impact of Mitigation – GAO also found the agency had not considered how the awardee’s mitigation plan would impact performance. The awardee had proposed to wall of key staff. But nothing in the record indicated the awardee had updated its staffing approach to reflect the mitigation. Additionally, nothing indicated the agency had considered whether the mitigation would affect performance.
The protester is represented by David B. Dixon, Toghrul M. Shukurlu, Robert C. Starling, and Aleksey R. Dabbs of Pillsbury Winthrop Shaw Pittman LLP. The awardee is represented by Elizabeth N. Jochum, Samrath Barot, David Bodner, and Shane M. Hannon of Blank Rome LLP. The agency is represented by Martin McEnrue and Damon Brown of the Department of Health and Human Services. GAO attorneys Michelle Litteken, Glenn G. Wolcott, and Christina Sklarew participated in the decision.
–Case summary by Craig LaChance, Editor in Chief
