CALDERWOOD & HARKNESS LLP Attorneys at Law 1750 K Street NW, Suite 1100 Washington, D.C. 20006 Telephone: (202) 555-7400 Facsimile: (202) 555-7401
October 17, 2023
Angela M. Palermino, Senior Attorney Procurement Law Division U.S. Government Accountability Office 441 G Street NW Washington, D.C. 20548
Re: Whitmore Aerospace LLC — Protest of Award under Solicitation No. FA8222-23-R-0087 GAO Case No. B-422187; B-422187.2 Opposition to Agency's Request for 20-Day Extension of Agency Report Filing Deadline
Dear Ms. Palermino:
The law firm of Calderwood & Harkness LLP submits this letter on behalf of the protester, Whitmore Aerospace LLC ("Whitmore" or "WAL"), in opposition to the request filed by the U.S. Department of the Air Force (the "Agency") on October 16, 2023, seeking a twenty (20)-day extension of the deadline for filing its Agency Report in the above-captioned protest. For the reasons set forth below, the Agency's request should be denied in its entirety, or, at a minimum, any extension granted should be limited to no more than ten (10) days.
The undersigned partner, Claudia Merritt, is responsible for the representation of Whitmore in this matter. The Agency is represented in this protest by Captain Lucas M. Hargrove, USAF, JAG, Trial Attorney, and Senior Attorney Miriam T. Castellano, SAF/GCQ. The intervenor, Halcyon Defense Systems Inc. ("Halcyon"), is represented by Theodore J. Dunaway and Rachel N. Sorensen of Kessler, Pratt & Dunaway LLP, 8300 Greensboro Drive, Suite 950, Tysons, Virginia 22102. In accordance with GAO Bid Protest Regulations, 4 C.F.R. § 21.1(d), a copy of this letter is being served simultaneously on both Agency counsel and Intervenor's counsel via electronic filing and email.
I. BACKGROUND AND PROCEDURAL HISTORY
Whitmore filed this protest on September 26, 2023, within ten (10) days of the enhanced written debriefing conducted by the Agency on September 22, 2023, pursuant to 10 U.S.C. § 3304. The protest was therefore timely filed within the deadline prescribed by 4 C.F.R. § 21.2(a)(2). The Government Accountability Office issued notice of the protest to the Air Force on September 27, 2023, at which time the Competition in Contracting Act ("CICA") automatic stay of contract performance under 31 U.S.C. § 3553(c)(1) took effect as to Contract No. FA8222-23-D-0193, which had been awarded to Halcyon Defense Systems Inc. on September 15, 2023.
Halcyon filed its notice of intervention on October 2, 2023, through its counsel at Kessler, Pratt & Dunaway LLP. On October 6, 2023, the Agency filed a notice with GAO indicating that it was considering voluntary corrective action; however, the Agency ultimately took no corrective action at that stage and the protest proceeded on the merits. A protective order was issued by GAO on October 12, 2023, and counsel for all parties have filed the requisite applications for admission under that order.
This protest challenges the Air Force's award of a $387.5 million indefinite-delivery/indefinite-quantity ("IDIQ") contract for advanced infrared countermeasure ("IRCM") pod assemblies under Solicitation No. FA8222-23-R-0087. The solicitation was issued as a competitive negotiated procurement under Federal Acquisition Regulation ("FAR") Part 15, managed by the Air Force Life Cycle Management Center ("AFLCMC"), Sensors Directorate, located at Wright-Patterson Air Force Base, Ohio.
The protest raises significant issues regarding the integrity of the source selection process, including: (1) an unreasonable best-value tradeoff analysis that failed to adequately document or justify the source selection authority's decision to pay a substantial price premium for the awardee's proposal; (2) materially unequal discussions, in which the Agency provided Halcyon with meaningful guidance regarding weaknesses in its proposal while failing to afford Whitmore similar opportunities to address its own evaluated weaknesses; (3) a potential organizational conflict of interest ("OCI") arising from Halcyon's prior performance of a related advisory and assistance services contract with the AFLCMC Sensors Directorate; and (4) the Agency's failure to evaluate the realism of offerors' proposed labor rates, despite the solicitation's express statement that such a realism analysis would be conducted. Each of these protest grounds implicates the fairness and integrity of the competition and warrants prompt resolution.
II. THE AGENCY'S EXTENSION REQUEST
On October 16, 2023, Captain Hargrove filed a request on behalf of the Agency seeking a twenty (20)-day extension of the Agency Report filing deadline. Under GAO's standard scheduling order, the Agency Report would otherwise be due on or about October 30, 2023 — approximately thirty (30) days from the date of GAO's protest notification to the Agency on September 27, 2023. If the Agency's request were granted in full, the Agency Report filing date would be pushed to approximately November 19, 2023, leaving substantially less than half of the 100-day statutory decision period remaining for all subsequent proceedings.
In support of its request, the Agency cited two primary justifications. First, the Agency asserted the need to compile and review a "voluminous procurement record," including the source selection evaluation board ("SSEB") documentation, the source selection decision document ("SSDD"), discussion records, Evaluation Notices issued to offerors, and the full proposals submitted by multiple offerors. Second, the Agency cited general workload and staffing constraints at the AFLCMC, Sensors Directorate, contending that the contracting activity's personnel are burdened with other procurement obligations that limit their availability to assemble the Agency Report on the standard timeline.
As set forth below, neither justification supports the extraordinary relief the Agency seeks, and granting the full twenty-day extension would prejudice both the protester and the public interest in timely resolution of this matter.
III. ARGUMENT
A. The Requested 20-Day Extension Would Jeopardize the 100-Day Statutory Decision Deadline
Under 31 U.S.C. § 3554(a)(1), GAO is required to issue its decision on a protest "not later than 100 days after the date the protest is filed." The protest in this matter was filed on September 26, 2023, establishing a statutory decision deadline of approximately January 4, 2024. This 100-day clock is not merely advisory — it reflects a congressional determination that bid protests must be resolved expeditiously to minimize disruption to the procurement process and to protect the interests of both protesters and the government. See S. Rep. No. 98-50, at 8–9 (1983) (noting the importance of "timely resolution" of protests to "minimize procurement delays"); see also 31 U.S.C. § 3554(a)(1).
A twenty-day extension of the Agency Report deadline would compress the remaining briefing schedule into an unworkably short window. GAO's standard briefing schedule, as set forth in practice and in the GAO Bid Protest Guide, allocates specific periods for each phase of the proceedings following receipt of the Agency Report:
• Protester's Comments on the Agency Report: Ten (10) days after receipt of the Agency Report and the full Agency Report documents.
• Intervenor's Comments (if any): Typically filed on the same schedule as, or within days of, the protester's comments.
• Supplemental Protest Filings: Where new protest grounds arise from documents produced with the Agency Report, a supplemental protest may be filed within ten (10) days of the protester's knowledge of those grounds, triggering a further response cycle.
• Agency and Intervenor Responses to Supplemental Protests or Comments: Additional time for responsive filings.
• Alternative Dispute Resolution ("ADR") or Hearing Proceedings: Where outcome prediction or a hearing is warranted, GAO requires adequate lead time to schedule and conduct such proceedings.
Under the current schedule, the Agency Report would be due on or about October 30, 2023. Whitmore's comments would then be due approximately November 9, 2023, and the remaining time through January 4, 2024 — approximately fifty-six (56) days — would allow adequate room for supplemental filings, any ADR proceedings, and GAO's drafting and issuance of a decision.
If the Agency Report deadline is extended to November 19, 2023, however, the protester's comments would not be due until approximately November 29, 2023, leaving only thirty-six (36) days until the statutory deadline. This compressed timeline would severely limit the ability of all parties to brief the merits fully and would jeopardize GAO's capacity to conduct any hearing or ADR proceedings that may be warranted. Given the complexity and significance of the issues raised in this protest — particularly the organizational conflict of interest allegations, which may require the production and analysis of additional documentation — the prospect of an inadequate briefing schedule is not merely theoretical but highly likely.
Whitmore has a statutory right to a decision within 100 days. The Agency's administrative convenience should not be permitted to override that right or to effectively deprive Whitmore of the opportunity to fully present its case. See Filtration Dev. Co., LLC—Recon., B-407465.4, Mar. 12, 2013, 2013 CPD ¶ 73 (recognizing the importance of the 100-day statutory timeline); see also Ashgrove & Co. Fed. Inc., B-293527, Mar. 26, 2004, 2004 CPD ¶ 186 (GAO must manage its docket to ensure compliance with the 100-day deadline absent express statutory exceptions).
B. The Procurement Record Should Already Be Readily Available to the Agency
The solicitation at issue, FA8222-23-R-0087, resulted in an award decision on September 15, 2023 — more than one month before the Agency filed its extension request on October 16, 2023. The core documents that comprise the procurement record were all created in the ordinary course of the source selection process and should be readily available to Agency counsel and the contracting activity. Specifically:
• The Source Selection Decision Document ("SSDD") was executed by the Source Selection Authority, Brigadier General Harlan T. Jeffcoat, on or about September 14–15, 2023, in connection with the award to Halcyon.
• The SSEB evaluation records, including the consensus evaluation reports, individual evaluator worksheets, and adjectival ratings, were completed by the SSEB, chaired by Dr. Yolanda R. Fenn, no later than early September 2023.
• The Evaluation Notices issued during the discussion period — including EN-WAL-001 and EN-WAL-002, which were issued to Whitmore during the August 14–25, 2023 discussion period — are documented communications that exist in the contracting files.
• The competitive range determination, made on or about August 3, 2023, is a discrete document reflecting the Contracting Officer's decision to include three offerors (Whitmore, Halcyon, and Marlowe Asset Management Electro-Optics Corp.) in the competitive range and to exclude others.
• The proposals submitted by the offerors in the competitive range are already in the Agency's possession and need only be compiled — not created.
The key source selection officials — the Source Selection Authority (BGen Harlan T. Jeffcoat), the SSEB Chair (Dr. Yolanda R. Fenn), the Contracting Officer (Col. Diane W. Prescott), and the Contract Specialist (Vincent R. Talmadge) — are all assigned to the AFLCMC Sensors Directorate at Wright-Patterson Air Force Base, Ohio. There is no indication that any of these officials are deployed, on temporary duty, or otherwise unavailable to support the preparation of the Agency Report.
Moreover, the scope of this procurement does not justify the extraordinary time the Agency seeks. The competitive range included only three offerors — Whitmore, Halcyon, and Marlowe Asset Management Electro-Optics Corp. (which was eliminated at the competitive range stage on August 3, 2023 and did not proceed to discussions or final proposal revisions). This is not a large, multi-offeror procurement involving dozens of proposals, multiple evaluation volumes, and hundreds of thousands of pages of documentation. It is a three-offeror competition under FAR Part 15 with a defined set of evaluation factors and a single award, resulting in a record that, while substantial, is well within the range of what the Air Force routinely produces within the standard thirty-day Agency Report period.
The Contracting Officer's Statement of Facts and the Agency's legal memorandum should not require fifty (50) days (thirty baseline plus twenty extension) to prepare. The protest grounds raised by Whitmore — the tradeoff analysis, discussion equality, OCI, and price realism — are standard bid protest grounds that experienced Agency counsel encounter regularly. Captain Hargrove's extension request does not identify any genuinely extraordinary circumstance — such as classification issues requiring special review procedures, the involvement of a subagency located in a different jurisdiction, or the unavailability of key personnel due to deployment — that would justify a departure from GAO's standard scheduling practices.
C. A Partial Extension of No More Than 10 Days Is Sufficient If Any Extension Is Warranted
Whitmore does not seek to be unreasonable in this matter. If GAO determines, in the exercise of its discretion, that some additional time beyond the standard thirty-day period is warranted, Whitmore does not object to a modest extension of the Agency Report filing deadline. Specifically, Whitmore submits that a ten (10)-day extension — rather than the requested twenty (20) days — would be more than sufficient to address the Agency's stated concerns while preserving the integrity of the 100-day statutory timeline.
A ten-day extension would provide the Agency a total of approximately forty (40) days from the date of GAO's notification to complete its Agency Report. Forty days is a generous period for compiling a procurement record in a three-offeror competition and preparing the Contracting Officer's Statement of Facts and a responsive legal memorandum. This timeframe would result in an Agency Report filing deadline of approximately November 9, 2023, leaving the protester's comments due on or about November 19, 2023, and approximately forty-six (46) days remaining before the January 4, 2024 statutory deadline. This schedule would preserve adequate time for all parties to brief the issues fully and for GAO to conduct any ADR, outcome prediction, or hearing proceedings that may be warranted before the 100-day decision deadline.
By contrast, the Agency's requested twenty-day extension lacks any proportionality to the demonstrated need. The Agency has not shown that the record in this procurement is so voluminous or complex as to require nearly double the standard preparation period. General assertions of workload constraints and volume, without specific factual support, are insufficient to justify an extension that would materially prejudice the protester and risk the 100-day statutory deadline.
IV. PREJUDICE TO WHITMORE
The requested extension, if granted, would cause concrete and particularized prejudice to Whitmore. Whitmore is a large defense manufacturer headquartered in Huntsville, Alabama, with approximately $214.6 million in fiscal year 2022 revenue and approximately 1,350 employees. The contract at issue — an IDIQ with a $387.5 million ceiling value over a five-year ordering period and a guaranteed minimum value of $14,200,000 — represents a significant business opportunity and a material portion of Whitmore's defense electronics and countermeasures portfolio.
Whitmore's competitive position is directly affected by every day that the CICA stay remains in place with the protest unresolved. Delay in the resolution of this protest prolongs the period of uncertainty regarding whether corrective action will result in a new source selection from which Whitmore may benefit, or whether GAO will sustain the protest and recommend that the Agency reevaluate proposals or reopen discussions. During this period of uncertainty, Whitmore's workforce planning, subcontractor commitments, and manufacturing capacity allocation for the IRCM pod assembly program remain in limbo. These are not abstract concerns — they have direct, measurable consequences for Whitmore's business operations and its ability to maintain readiness to perform should it ultimately receive the contract award.
Moreover, the merits of this protest underscore the importance of timely resolution. Whitmore submitted a proposal with an evaluated total price of $343,800,000 — which is $17.4 million, or 4.82%, lower than Halcyon's evaluated total price of $361,200,000. The protest raises serious and substantial questions about whether the Agency's best-value tradeoff rationale adequately justified paying this significant price premium. The taxpaying public has a strong interest in ensuring that nearly $17.4 million in potential savings is not disregarded without proper analysis and documentation. Timely resolution of this protest serves not only Whitmore's private interests but also the public interest in ensuring proper stewardship of taxpayer funds and the integrity of the federal procurement system.
V. REQUESTED RELIEF
For the foregoing reasons, Whitmore respectfully requests that GAO deny the Agency's request for a twenty (20)-day extension of the Agency Report filing deadline in its entirety, and direct the Agency to file its Agency Report on or before the current deadline of approximately October 30, 2023.
In the alternative, should GAO determine that some additional time is warranted, Whitmore requests that any extension be limited to no more than ten (10) days beyond the current deadline, resulting in an Agency Report filing date of approximately November 9, 2023. If such a partial extension is granted, Whitmore further requests that the remainder of the briefing schedule be adjusted accordingly to preserve the parties' ability to fully brief the merits and GAO's ability to issue a decision within the 100-day statutory period established by 31 U.S.C. § 3554(a)(1).
We thank the Government Accountability Office for its consideration of this opposition and for its continued diligent administration of the bid protest process. Should you have any questions regarding this filing, or wish to discuss scheduling or any other aspect of this matter, please do not hesitate to contact the undersigned at your convenience.
Respectfully submitted,
CALDERWOOD & HARKNESS LLP
By: ________
Claudia Merritt Partner Calderwood & Harkness LLP 1750 K Street NW, Suite 1100 Washington, D.C. 20006 Telephone: (202) 555-7400
Email: c.merritt@calderwoodharkness.com
Counsel for Protester Whitmore Aerospace LLC
________________________________________
Lt. Col. (Ret.) Nathan Yardley Of Counsel Calderwood & Harkness LLP 1750 K Street NW, Suite 1100 Washington, D.C. 20006 Telephone: (202) 555-7418
Email: n.yardley@calderwoodharkness.com
Government Contracts Subject Matter Lead
cc (via electronic filing and email):
Captain Lucas M. Hargrove, USAF, JAG Trial Attorney, Department of the Air Force Agency Counsel
Miriam T. Castellano Senior Attorney, SAF/GCQ Agency Counsel
Theodore J. Dunaway Kessler, Pratt & Dunaway LLP 8300 Greensboro Drive, Suite 950 Tysons, Virginia 22102 Counsel for Intervenor Halcyon Defense Systems Inc.
Donald R. Stokes Vice President, Government Contracts Whitmore Aerospace LLC Client