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  • By Mar-Vic Cagurangan

DZSP 21's $545-million contract award marred by protest


DynCorp International, a company headquartered in McLean, VA, has challenged the Navy’s award of a half-a-billion-dollar contract to DZSP 21 for base operating support services at the Joint Region Marianas.

The bid protest was filed with the Government Accountability Office on Aug. 31, three weeks after the Naval Facilities Engineering Command Pacific announced the award of an eight-year contract worth $545.3 million to DZSP 21.

Details of DynCorp’s protest were not currently available. The protest is due for a decision on Dec. 9, 2020.

The coveted contract, which extends through October 2028, involves management and administration, port operations, facilities management, facilities investment, utilities management, electrical, wastewater, steam, water and demineralized water and base support vehicles and equipment at the Naval Base Guam and Andersen Air Force Base.

According to its website, DynCorp has its origins with two companies formed in 1946 – Land-Air Inc. and California Eastern Airways. The company said it "provides sophisticated aviation, logistics, training, intelligence and operational solutions" to commercial, government and military clients.

Wayne Cornell, DZSP 21 president, declined to comment.

DZSP 21 is currently holding a three-month bridge contract, which is set to expire in November, with a possible option for extension through Feb. 28, 2021 pending conclusion of DynCorp’s protest. This is DZSP 21’s sixth bridge contract in seven years.

DZSP 21 has been the base operations contractor since 2005, succeeding Raytheon Technical Services.

The base operations contract has been marred by a series of protests since it was first awarded to DZSP 21 for renewal in 2013.

DZSP 21 prevailed three times, but in October 2017, it lost to Fluor Federal Solution’s fourth protest.

Fluor anticipated to begin executing the contract and assume the base operation support services in April 2018. However, a subsequent protest by DZSP 21 aborted Fluor’s takeover.

On Aug. 3, 2018, the U.S. Court of Federal Claims ordered the cancellation of Fluor’s contract, after flagging several errors in the Navy’s bidding process. The court ordered NAVFAC to reevaluate the two bidders’ proposals, noting that, among other flaws, the contract was awarded based on outdated specifications drafted when the solicitation was first issued in 2013.

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The court’s ruling had sent NAVFAC back to the drawing board and the new solicitation led to the selection of DZSP21.

"The award of the next BOS contract is a remarkable milestone for the Department of Defense here on Guam,” NAVFAC Marianas Commanding Officer Capt. Tim Liberatore said in an Aug. 12 statement, announcing DZSP21 as the winning bidder.

“The BOS contractor is an integral partner for facility maintenance and operational support across Joint Region Marianas' installations. This contract will allow the U.S. military to maintain our forward presence in this key strategic location and enhance our ability to deter aggression, maintain stability, and ensure free and open access to common domains for the U.S. and its Allies and Partners," her added.

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