So Sierra Nevada protested NASA space-taxi contract, but what's next? - The Denver Post

Posted: 10/03/2014 06:08:16 PM MDT

Updated: 10/03/2014 06:19:40 PM MDT

NASA has ordered Boeing Co. and SpaceX to stop work on crewed spacecraft that may someday ferry astronauts to the International Space Station while a bid protest filed by Sierra Nevada Corp.'s Louisville-based Space Systems is being investigated.

NASA spokeswoman Stephanie Martin confirmed the stop-work order, calling it a 'typical process' with a bid protest, but declined to comment further.

Space Systems filed the formal protest with the U.S. Government Accountability Office on Sept. 26 over rejection of its bid for NASA's commercial crew contract to shuttle astronauts to the International Space Station.

NASA on Sept.16 announced the $6.8 billion total contract would be split between Chicago-based Boeing's CST 100 capsule and Elon Musk's SpaceX Dragon spacecraft.

No documents related to the protest have been made public. Space Systems, SpaceX and Boeing all declined to comment.

The GAO appeal process was created by Congress to give businesses the ability to protest without filing a full legal claim in Federal court, explained Ralph White, GAO Managing Associate General Counsel.

'A disappointed bidder can challenge the terms of solicitation or outcome of procurement, and in return we will hear those cases or provide an answer within 100 days,' White said. 'It's a non-partisan and objective place for the review of contracts.'

During the first 30 days, NASA will decide whether to request that the protest be dismissed or defend its decision by submitting answers to each of Space Systems' claims. The response is due by Oct. 27.

If the protest moves forward, Space Systems will have 10 days to respond or file additional arguments based on anything learned from NASA's initial response.

The GAO then has 60 days to make a determination. During this time, there could be follow-up questions, new briefings, hearings and other legal actions.

There are a few things that can happen with the protest. Space Systems could withdraw its claim. GAO could 'deny' it, meaning they see no merit in it, or they could 'sustain' it, meaning they rule in Space Systems' favor.

The protest also could be dismissed by GAO if Space Systems misses deadlines or if NASA takes 'corrective action,' such as a new award decision or a proposal re-evaluation.

Corrective action can occur anytime during the 100-day period, according to the GAO website.

Out of the 2,429 cases GAO handled in fiscal 2013, 'sustain' or 'deny' decisions were issued in 509, or 21 percent.

In 43 percent of the cases, the protestor received some sort of relief, either through corrective action or GAO sustaining the case, according to the GAO's annual report.

The GAO must issue its decision no later than Jan. 5.

Sierra Nevada, a 51-year-old company based in Sparks, Nev., said it has never before filed a legal challenge to a government contract award but felt it had no alternative.

In a Sept. 26 news release, Sierra Nevada said the awards to SpaceX and Boeing will cost the U.S. government up to $900 million more on the contract than the system Sierra Nevada proposed. The company also said their winged Dream Chaser spacecraft is a more flexible craft than the capsule styles proposed by SpaceX and Boeing.

Laura Keeney: 303-954-1337, lkeeney@denverpost.com or http://ift.tt/1veBSJs Entities 0 Name: GAO Count: 10 1 Name: NASA Count: 7 2 Name: Boeing Count: 4 3 Name: SpaceX Count: 4 4 Name: Sierra Nevada Count: 3 5 Name: U.S. Count: 2 6 Name: Elon Musk Count: 1 7 Name: Congress Count: 1 8 Name: SpaceX Dragon Count: 1 9 Name: Dream Chaser Count: 1 10 Name: Sparks Count: 1 11 Name: Ralph White Count: 1 12 Name: Boeing Co. Count: 1 13 Name: Laura Keeney Count: 1 14 Name: Stephanie Martin Count: 1 15 Name: Nev. Count: 1 16 Name: White Count: 1 17 Name: Sierra Nevada Corp. Count: 1 Related 0 Url: http://ift.tt/1rE95yx Title: Microsoft co-founder's company may fund space-bound passenger plane Description: Sierra Nevada recently filed a complaint against NASA for awarding commercial spaceflight contracts to its competitors, Boeing and Space Exploration Technologies, or SpaceX, to develop vehicles to transport astronauts to the International Space Station (ISS) in three years, ending American dependence on Russia's Soyuz capsule for the task.