The National Defense Authorization Act (NDAA) of 2015 requires procuring agencies to verify that all potential awardees of contracts performed in Africa and the Middle East are eligible for base access. Procuring agencies determine a contractor’s base access eligibility by checking the Joint Contingency Contracting System (JCCS) vendor vetting database. The JCCS allows contractors to view available solicitations for local work in these regions and submit proposals in response. In such solicitations, an offeror’s registration in JCCS and its ability to access the relevant bases, as reflected in the JCCS, are considered definitive responsibility criteria. Such criteria are objective RFP standards, which are included to evaluate offerors’ ability to perform the contract successfully. If an offeror fails to meet these specifically included criteria, it is deemed non-responsible and cannot be awarded the contract. Unsuccessful offerors facing such adverse determinations may file a bid protest challenging their exclusion. However, to sustain such protests, the protestors must demonstrate that the base access ineligibility decision underlying the adverse responsibility determination was made in bad faith or due to erroneous decision-making by the government under its procurement authority. Alternatively, the protestor may show a lack of reasonable basis for the determination.
In B-423061; B-423062; B-423063, a decision issued on December 9, 2024, the Government Accountability Office (GAO) resolved three bid protests by the same protestor alleging that the Army Corps of Engineers (USACE) unreasonably rejected its proposals by deeming it ineligible for base access due to information in JCCS. B-423061 involved an RFP for design-build services for the combat aviation brigade headquarters in Erbil, Iraq, awarded at a total contract price of $1.25 million. B-423062 involved an RFP for design-build services for the vehicle maintenance hardstand building in Erbil and was awarded at a total contract price of $1.1 million. B-423063 involved an RFP for design-build services for an aircraft maintenance hangar also in Erbil, awarded at a total contract price of $2.1 million. Notably, each RFP required offerors to be registered in the JCCS and mandated the procuring agency to verify potential awardees’ base access eligibility. The RFP warned offerors that the agency may verify award eligibility by searching the database using the JCCS company ID number. While the three protests were filed separately, the GAO issued a consolidated decision due to the common issues presented and virtually identical RFPs, agency record, and pleadings in all three protests.
The protestor submitted proposals responding to all three RFPs but was eliminated from consideration for award when the CO reviewed the offerors’ information relevant to base access in the JCCS and found that the protestor was ineligible for base access. Subsequently, even though the protestor could not view the pertinent information, it was notified by the procuring agency that its JCCS account reflected a rating that made it ineligible to receive an award. Following the exclusion decision, the protestor’s ineligibility for base access was also addressed in a debrief. During the debrief, USACE informed the protestor that due to the security requirements imposed to access the Erbil Air Base (EAB) by the Kurdistan Regional Government’s Asayish Security Forces, the RFPs were restricted to vendors on the Asayish list. In the protests that followed, the protestor maintained that it was properly registered and maintained an active status in the JCCS database. Additionally, the protestor argued that since it had provided similar services at the EAB in the past, it could not understand why it was denied base access in this instance. Meanwhile, the agency took the position that the non-responsibility determination due to the protestor’s ineligibility for base access was made in accordance with the terms of the solicitation.
In denying the protests, the GAO agreed with the agency and cited national security concerns. The GAO explained that the information visible only to government personnel underlying a vendor’s vetting rating in the JCCS is classified national security information. Consequently, the agency is not permitted to disclose this information to a vendor. The GAO acknowledged that the non-disclosure requirement meant that the JCCS vendor rating process did not inform the protestor of its base access ineligibility status or afford it an opportunity to present rebuttal evidence. However, traditional due process had to give way to national security concerns in this case because notifying the contractor of its base access ineligibility status in JCCS would necessarily disclose classified material and jeopardize national security. The GAO also noted that although it had conducted an in camera review of classified information to resolve non-responsibility determinations based on base access ineligibility reflected in JCCS in past protests, such a review was not necessary here.
The GAO differentiated those past cases from the present protests by noting that the base access ineligibility determination here was made by U.S. Central Command (CENTCOM) officials pursuant to their military authority and not the procuring agency as part of its procurement authority. Significantly, USACE represented that the base access ineligibility determination was made based on classified data, which it was not even privy to. Considering the procuring agency’s representation and the relevant facts, the GAO found it unnecessary to conduct an in camera review of the classified data underlying the base access ineligibility determinations for the resolution of the protests. Consequently, the GAO denied the protests, finding that it was reasonable for the CO to find the protestor non-responsible in light of the information in JCCS that the protestor could not access the required facilities to perform the contracts due to national security reasons.
The information in the JCCS concerning a vendor’s vetting rating, visible only to government personnel, including the base access ineligibility determination, is considered national security information not disclosable to the vendor. Additionally, since the base access ineligibility decision in JCCS may have been made by military officials relying upon classified national security information, the contractor may be unaware of its base access ineligibility at the time of proposal submission due to lack of advance notice on national security grounds. If the procuring agency then makes a determination of non-responsibility due to the contractor’s base access ineligibility status, that decision is afforded a wide degree of discretion. Furthermore, the GAO may also refuse to conduct an in camera review of classified information supporting the underlying base access ineligibility determination if the determination was made under military authority and the procuring agency represents that it was not privy to the classified military information.
Although it is difficult to ascertain from the protest decision, in part due to the GAO’s decision not to conduct an in camera review of classified information, it may be that the protestor’s JCCS account reflected an adverse base access eligibility rating due to the protestor not being on the Asayish list. In any case, contractors interested in competing under solicitations issued for work being performed on U.S. military bases in Africa and the Middle East should be mindful that the GAO affords the procuring agency a wide degree of discretion when resolving bid protests challenging negative determinations of responsibility based on information in the JCCS, especially if the responsibility determination is based upon classified military information to which the procuring agency is not privy. In such situations, the protestor can typically only successfully challenge the adverse determination of responsibility if it demonstrates bad faith, erroneous decision making, or a lack of reasonable basis for the determination.
This Bid Protest Insight is provided as 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.