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Preventing Protest Timeliness Issues in Federal Supply Schedule Procurements

The Government Accountability Office (GAO) has strict timeliness rules for submission of bid protests. Under these timeliness rules, post-award protests must typically be filed no later than 10 days after the basis of the protest is known or should have been known, except when the debriefing exception applies. The debriefing exception, which does not apply to federal supply schedule (FSS) procurements, requires unsuccessful offerors to file their protests within 10 days of a required and requested debriefing. In General Services Administration (GSA) FSS procurements conducted under Federal Acquisition Regulation (FAR) subpart 8.4, unsuccessful offerors are only entitled to a “brief explanation.” Due to the terms being somewhat similar, contractors may confuse the “brief explanation” contemplated under FAR subpart 8.4 with the required and requested “debriefing” of competitive proposals. Such confusion may prove problematic as it can cause an unsuccessful offeror to miss the 10-day deadline to file their post-award protest at the GAO.

In B-422881, a decision issued on September 12, 2024, the GAO dismissed such a protest as untimely, reminding the protestor of the distinction between a required and requested “debrief” and a “brief explanation” under FAR subpart 8.4. The Navy’s Military Sealift Command issued the relevant FSS Request for Quotation (RFQ) for lodging negotiation and management services, requiring vendors to provide multiple extended-stay studio rooms in Mobile, Alabama. The RFQ contemplated a lowest-priced technically acceptable (LPTA) award and required offerors to submit their quotations on or before August 8, 2024. The protestor was notified that its quotation was unsuccessful on August 13 via the GSA eBuy system. On August 16, the government provided the protestor with a “brief explanation,” as required under FAR subpart 8.4. In the brief explanation, the Navy advised the protestor that its quotation was evaluated as technically unacceptable and was therefore ineligible for award. The brief explanation also specifically noted that it was not a debrief.

On August 19, the protestor emailed the Navy and requested additional information as to why its quotation was deemed technically unacceptable. The protestor also requested a formal debrief. Upon receiving no acceptable response from the Navy beyond an initial acknowledgment of receipt, the protestor again contacted the Navy on August 22 and August 26 and demanded an explanation for the Navy's award to a higher-priced quotation. However, the Navy did not respond to these communications. Eventually, the unsuccessful offeror filed a bid protest with the GAO on August 29, alleging that the government unreasonably evaluated its quotation as technically unacceptable, causing an improper award to a higher-priced quotation. In response, the Navy filed a request to dismiss the protest as untimely. The Navy argued that the protest was untimely because the protestor was aware, as of August 16, 2024, that it was not selected for award when the Navy provided the protestor a brief explanation. Therefore, a GAO protest challenging the award should have been filed by the protestor no later than August 26, 2024.

In agreeing with the Navy, the GAO dismissed the protest as untimely. The GAO explained that the protestor had missed its August 26 deadline by filing the protest on August 29, 2024. The GAO disagreed with the protestor’s contentions that it should be exempted from the timeliness requirements in this instance because it had missed the deadline due to the Navy’s failure to respond to its requests for a debrief. The GAO reminded the protestor that its use of the “good cause exception” to its timeliness rules was reserved for situations involving unexpected and unanticipated issues that prevent the protestor from adhering to the strict timeliness requirements. Here, it was clear from the record that the procurement was conducted under FAR subpart 8.4. Since debriefings are not available in such procurements, the debriefing exception is also inapplicable. Thus, the Navy was only obligated to provide a brief explanation to the protestor, which it provided on August 16, putting the protestor on notice that its quotation had been unsuccessful. The protestor then had ten days to file its protest at the GAO, which it failed to do. Therefore, the protest was dismissed for failing to meet GAO’s timeliness requirements.

Contractors participating in GSA FSS procurements conducted under FAR subpart 8.4 should be mindful that they are entitled to a “brief explanation,” not a “debrief” following the award decision. The government may provide such a brief explanation with the initial notice of an unsuccessful offer, thereby starting the 10-day clock for filing a GAO protest. Furthermore, the government is typically under no obligation to respond to or even acknowledge requests for debriefs in procurements where a debrief is not required. Therefore, to safely adhere to GAO’s timeliness requirements, whenever possible, offerors should file protests challenging FAR subpart 8.4 awards within 10 days of receiving the initial notice of an unsuccessful offer. By doing so, unsuccessful offerors can preserve their option of filing a GAO protest, which is typically the preferred forum for filing GSA FSS protests due to the inapplicability of the Federal Acquisition Streamlining Act (FASA) task order bar.

This Bid Protests Insight provides a general summary of the applicable law in the practice area and does not constitute legal advice. Contractors wishing to learn more are encouraged to consult the TILLIT LAW PLLC Client Portal or Contact Us to determine how the law would apply in a specific situation.

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For its bid protest function, the Government Accountability Office (GAO) has strict timeliness rules for protest submissions. These timeliness rules are designed so that protestors may receive an effective and efficient resolution to their bid protests without unduly jeopardizing or delaying the procurement at issue. Protestors must file pre-award protests based on alleged improprieties in a solicitation before the time established for the receipt of proposals. Meanwhile, all other protests must generally be filed within ten calendar days of when the protestor knew or should have known about the basis of the protest. However, there is a debriefing exception to these general timeliness rules, which ensures contractors have an opportunity to understand the basis for their loss before deciding to protest. Under 4 C.F.R. § 21.2, this exception applies to procurements involving competitive proposals under which a debriefing is required and requested. The debriefing exception allows protestors to bring protests within 10 days of the required and requested debrief, therefore potentially extending the timeline under which a protest concerning competitive proposals may be brought at the GAO. The term “competitive proposals” is a term of art in government contracts parlance and is not expressly defined by statute or regulation. Competitive proposals involve negotiated procurement procedures that contemplate the creation of a competitive range of offerors before awarding the contract to the offeror that presents the most advantageous solution. Notably, the debriefing exception only applies to competitive proposals.

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The Competition in Contracting Act (CICA) mandates the use of procurement procedures enabling full and open competition in federal acquisition. Therefore, government agencies may not place task or delivery orders that fall outside the scope of the underlying master contract, such as a blanket purchase agreement (BPA) or indefinite delivery indefinite quantity (IDIQ) contract. Consequently, contractors may challenge the issuance of task or delivery orders that fall outside the scope of the underlying master contract in the form of a bid protest. Depending on the protestor’s choice of forum, the Government Accountability Office (GAO) or the Court of Federal Claims (COFC) must then decide whether there are material differences in scope between the protested task or delivery order and the relevant underlying master contract.

In B-412821, the GAO sustained such a bid protest challenging the issuance of an out-of-scope sole-source delivery order under a Government Services Administration (GSA) Federal Supply Schedule (FSS) Blanket Purchase Agreement (BPA). The protest involved the acquisition of Microsoft e-mail products for the Internal Revenue Service (IRS). The BPA was issued in 2013 for maintenance and software assurance services for the agency’s existing inventory of Microsoft products and services for a period of three years. The BPA included a complete schedule of the Microsoft product licenses owned by the IRS, along with their quantities. The terms of the BPA expressly permitted the IRS to upgrade and use the latest version of each Microsoft product during the term of the BPA. Additionally, if Microsoft products owned by the IRS became unsupported by the manufacturer, the IRS retained the right to convert its licenses to comparable, supported Microsoft products at no cost. In other words, by utilizing this BPA, the IRS intended to keep its portfolio of Microsoft licenses up to date with the latest versions of the software.

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In negotiated procurements, contractors must meet strict timeliness requirements when responding to the government’s requests for proposals (RFPs) or risk being excluded from consideration for an award. The Federal Acquisition Regulation (FAR) § 15.208 outlines the general rules for the timeliness of proposals in negotiated procurements, along with their relevant exceptions. Prospective contractors are responsible for submitting proposals in accordance with RFP instructions and ensuring that their proposals reach the designated agency office by the time specified in the solicitation. If the solicitation does not specify a time for receipt of proposals, FAR § 15.208(a) instructs offerors to submit their proposals by 4:30 PM local time for the designated agency office on the date the proposals are due. Proposals that are received at the designated agency office beyond the exact time specified for receipt of proposals are considered late and generally excluded from consideration of award. Also known in government contracts industry parlance as the “late is late” rule, the timeliness requirements for proposal submissions in negotiated procurements make it the contractor’s burden to ensure strict compliance.

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*** REGULATORY UPDATE: On November 12, 2024, the General Services Administration, Department of Defense, and National Aeronautics and Space Administration issued an interim rule, which went into effect the same day. The interim rule amended the Federal Acquisition Regulation to clarify System of Award Management (SAM) pre-award registration requirements. The rule revises the solicitation provision at FAR 52.204-7 to clarify that while an offeror must be registered in SAM at the time of offer submission and at the time of contract award, the offeror need not be registered in SAM at every moment in between those two points. Accordingly, parts of the Government Accountability Office and the Court of Federal Claims decisions, including the decision referenced in this article, that levy a requirement for offerors to maintain a continuous, uninterrupted, SAM registration during the entirety of the pre-award process are no longer applicable.***

To be eligible for federal contract awards, contractors are required to register and maintain their System for Award Management (SAM) registration within the integrated award environment (IAE) managed by the General Services Administration (GSA) Federal Acquisition Service (FAS). The Federal Acquisition Regulation (FAR) requires federal contractors to initially register in SAM before they receive an award and annually renew their registration thereafter. Additionally, FAR § 4.1105 instructs contracting officers (CO) to insert the provision at FAR 52.204-7 in all solicitations except where certain limited exceptions apply. The provision at FAR 52.204-7 provides in pertinent part that “an offeror is required to be registered in SAM when submitting an offer or quotation, and shall continue to be registered until time of award, during performance, and through final payment of any contract, basic agreement, basic ordering agreement, or blanket purchasing agreement resulting from this solicitation.” Occasionally, a situation may arise where a prospective contractor’s SAM registration lapses between the time it submits a proposal and when it receives a contract award in violation of the provision at FAR 52.204-7. In such situations, the resulting award may be protested for violating the terms of the solicitation, provided the solicitation contains the provision at FAR 52.204-7.

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Preventing Protest Timeliness Issues in Federal Supply Schedule Procurements

TILLIT LAW Bid Protest Insights