Courts, Boards, & GAO

Trending Now
Protecting Protest Rights When a Procurement Scandal Is Unfolding • CBCA Says Contractor Assumed the Risk of Its “Bid Bust” • Back to Basics: Requests for Equitable Adjustment • Procedure Over Substance: COFC Denies Relief After Protester Proves Error in Noblis • Implications of Recent and Upcoming Supreme Court Decisions for Government Contractors

Protester Misapprehends Nature of Neutral Past Performance Rating; Heartland Consulting, GAO B-419228.4

Protest objecting to source selection decision is denied. The protester had received a neutral past performance rating due to its lack of relevant past performance. The protester argued that instead of treating its past performance as neutral, the agency had effectively treated it as an unfavorable because the award decision had identified the awardee’s higher past performance rating as a distinguishing factor. But GAO reasoned that an agency may reasonably give greater value to past performance ratings that are higher than neutral.

The Defense Health Agency (DHA) posted an RFP seeking hospitality and concierge services at military treatment facilities. DHA received offers from Heartland Consulting and RWD Consulting, LLC. The SSA selected RWD for award, finding that its past performance demonstrated a high likelihood of success. Heartland protested.

Heartland argued that DHA had unreasonably evaluated its past performance. DHA had found that Heartland lacked relevant past performance references. Thus, in accordance with the RFP’s evaluation criteria, the agency assigned Heartland a neutral past performance rating. Heartland complained that the SSA had unreasonably assessed the neutral rating as unfavorable because the tradeoff decision had identified RWD’s positive record as part performance as the distinguishing feature. In other words, Heartland argued, instead of treating the neutral rating neutrally, DHA had effectively treated the neutral ratings as a negative.

GAO found the evaluation unobjectionable. The SSA did not evaluate Heartland’s lack of past performance unfavorably; rather, it simply considered RWS’s record of past performance more beneficial. An agency may reasonably give greater value to past performance ratings that are higher than neutral.

Heartland is represented by William Shook of The Law Offices of William Shook PLLC. The agency is represented by James A. Douglas of the Defense Health Agency. GAO attorneys William Stupski, Todd C. Culliton, and Tania Calhoun participated in the preparation of the decision.

Get daily insights on bid protests, CDA claims, and contract litigation that shape the GovCon landscape with our Protests & Claims newsletter, delivering up-to-the-minute intelligence Monday–Saturday — Subscribe here.