HUBZone Dreams Dashed. GAO Says No Discount for This Bidder

The protester argued that the agency failed to apply a price evaluation preference for HUBZone businesses. It claimed to be owed a 10% discount on its quotation based on the applicable federal regulation. FAR clause 52.219-4, allows for a price evaluation preference for HUBZone small business concerns, but the agency contended that this clause was not included in the solicitation for services provided overseas. GAO agreed with the agency.

BioneX, LLC, GAO, B-423630

• Background – The agency issued a request for quotations (RFQ) on December 12, 2024, for certified strength and conditioning specialist services at Aviano Air Base in Italy. The protester, a HUBZone small business, contended that the agency erred in not applying the HUBZone price evaluation preference during the evaluation of its quotation. Following the agency’s selection of the awardee and its decision against applying the preference, the protester filed the current bid protest.
• Price Evaluation Preference – The protester claimed that the agency improperly failed to apply the 10% HUBZone price evaluation discount, as mandated by FAR clause 52.219-4. While the protester acknowledged that the clause was not explicitly included in the RFQ, it argued that the absence of a waiver for the preference meant it should apply by default. The agency argued that since the solicitation did not contain the clause, there was no legal basis to apply it. GAO concluded that the protester had not appropriately cited any legal authority, leading to the dismissal of the protest.
• Untimely Challenge – The protester also alleged that a similar procurement had previously established a HUBZone price evaluation preference. However, GAO emphasized that prior procurement actions are irrelevant to the present case, asserting that each procurement stands independently. Any challenge regarding the solicitation terms was untimely since it should have been raised before the submission deadline for quotations.

The protester is represented by Warren Caldwell of BioneX, LLC. The intervenor, BFrench Consulting, LLC, is represented by Joseph Kurr, Esq. The agency is represented by Sanique J. Balan, Esq., and Colonel Nina R. Padalino, Department of the Air Force. GAO attorneys Kasia Dourney, Esq., and Alexander O. Levine, Esq., participated in the decision.

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