61274

DynCorp International LLC

August 1, 2019Judge Sweet
Sustained / Appellant PrevailedMistake / ReformationContract Interpretation

DynCorp International LLC appealed a deemed denial concerning firm-fixed pricing for Contractor Operated and Maintained Base Supply services for T-6 aircraft. The Board sustained the appeal on entitlement, holding that mutual mistake regarding an erroneous government-provided usage report warranted reformation of the Whiting Field and Pensacola cost-per-flight-hour rates, with quantum returned to the parties.

Material Facts

  • The COMBS II RFP covered Contractor Operated and Maintained Base Supply services for T-6 aircraft at various bases, including Pensacola and Whiting Field.
  • The relevant 3XXX CLIN series used firm fixed pricing based on a fixed Cost Per Flight Hour rate at each base.
  • The government provided potential offerors historical parts-usage data through a Bidder's Library.
  • The Q1 2010 Usage Report contained hundreds of thousands of rows of data and did not contain a disclaimer as to its accuracy.
  • Pensacola fielded T-6A aircraft, while Whiting Field fielded T-6B aircraft.
  • The Q1 2010 Usage Report identified the disputed parts as being associated with Pensacola, although the underlying SAP data identified their base as Whiting Field.
  • The disputed parts were for T-6B aircraft and were high-cost parts.
  • DynCorp and government personnel believed that the Usage Reports were accurate.
  • DynCorp relied on the Q1 2010 Usage Report to prepare its CPFH proposals.
  • The errors reduced the Whiting Field CPFH that DynCorp calculated, and the effects were not offset by the resulting increase for Pensacola because Whiting Field had significantly more flight hours.
  • The contract documents did not indicate that DynCorp assumed the risk of errors in the Usage Reports.
  • DynCorp discovered the Q1 2010 Usage Report errors in 2014 after noticing that it was losing money on the contract, particularly at Whiting Field.

Parties

Appellant
DynCorp International LLC
Respondent Agency
Air Force
Contracting Agency
Air Force
Contract Number
FA8617-12-C-6208
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