In Indigo Blue Construction, LLC (SBA No. SIZ-6073) the SBA Office of Hearings and Appeals (“SBA OHA”) found that an SDVOSB was ineligible for award because it will rely too heavily on its subcontractors to supervise the work. The solicitation was for an IDIQ type contract for construction projects at the VA Medical Center, Lexington. The judge focused on the Indigo’s proposal. It said that all of the on-site managers, including the project manager and site superintendent, were to be subcontractor employees. The judge therefore found that the subcontractor would be performing the vital and primary components of the contract:
OHA has long held that “[t]he primary role of a prime contractor in a construction project is to superintend, manage, and schedule the work, including coordinating the work of the various subcontractors. (citations omitted) As a result, OHA explained, on-site management of the contract is of paramount importance in a construction procurement.
Indigo tried to save itself by arguing that the project manager would become its employee. However, SBA OHA rejected this argument because it goes beyond the four corners of Indigo’s proposal.
