Beacon Industries, Inc. (B-423103)

You should not care.

Category: past performance, simplified acquisition

Date: 15 January 2025

URL: https://www.gao.gov/products/b-423103

Beacon Industries protested the Defense Logistics Agency’s (DLA) decision award of a simplified acquisition contract for piston seals to General Electric Company, alleging the evaluation unfairly considered past performance issues tied to an unresolved dispute over a stop-work order on a prior contract. The protester argued this unfairly prejudiced its bid and sought a reevaluation.

Past performance consideration: Beacon objected to DLA’s use of its past performance, specifically referencing the stop-work order and related quality issues, as these were under active dispute.

GAO’s review of simplified acquisition procedures: GAO reviewed whether DLA’s evaluation of past performance aligned with the solicitation’s criteria and whether the selection process was fair and reasonable. GAO determined DLA acted appropriately, as it can consider a reasonable perception of deficient past performance, regardless of a contractor’s ongoing disputes. Beacon’s assertion that the stop-work order was unjustified fell outside GAO’s jurisdiction, as such matters are related to contract administration and are not subject to protest. The protest was denied.

Digest

Protest that an agency unfairly considered the protester’s recent deficient performance under a contract with the same agency for the same item is denied where the agency’s evaluation was fair and reasonable notwithstanding the protester’s insistence that the past performance was a matter of an ongoing dispute that remains unresolved.