Opinion ID: 2768883
Heading Depth: 2
Heading Rank: 1

Heading: Bid Preparation and Proposal Costs

Text: By statute, if a party is successful in a bid protest case, “the [CFC] may award any relief that the court considers proper, including declaratory and injunctive relief except that any monetary relief shall be limited to bid preparation and proposal costs.” 28 U.S.C. § 1491(b)(2) (emphasis added). Although § 1492(b)(2) does not define bid preparation and proposal costs, courts often turn to the Federal Acquisition Regulation (“FAR”) provisions for guidance in interpreting the statute. See Coflexip & Servs., Inc. v. United States, 961 F.2d 951, 953 (Fed. Cir. 1992) (referring to the federal regulations to define proposal preparation costs). The pertinent FAR provision states in relevant part: “Bid and proposal (B&P) costs means the costs incurred in preparing, submitting, and supporting bids and proposals (whether or not solicited) on potential Government or nonGovernment contracts.” 48 C.F.R. § 31.205-18(a) (2012). 6 INNOVATION DEVELOPMENT v. US We agree with the CFC that IDEA is not entitled to recover any costs because IDEA did not submit or prepare a bid proposal. 1 The statute clearly limits monetary relief available to “bid preparation and proposal costs,” 28 U.S.C. § 1491(b)(2). It is undisputed that IDEA never submitted a proposal, whether solicited or unsolicited. The CFC further found that IDEA did not even allege that it prepared a draft proposal. We see no clear error in this finding. Although IDEA argues that it drafted materials about CMAS and IDEA that it intended to put in the proposal, a review of those materials indicates that they were clearly used in an email to the Air Force before any bid was posted. See J.A. 68–72. IDEA’s equitable argument is unpersuasive because the plain language of the statute states that “any monetary relief shall be limited to bid preparation and proposal costs.” 28 U.S.C. § 1491(b)(2) (emphasis added). Furthermore, IDEA’s assertion that the number of hours it claims is very modest misses the point. Monetary relief, no matter how “modest,” is not available except for bid preparation and proposal costs. Because we conclude that IDEA cannot recover any costs when it did not submit or prepare a bid proposal, we affirm the CFC’s decision to deny IDEA’s claim for costs in its entirety.