Why the Army Stuck With PeopleTec
The contract—awarded under the U.S. General Services Administration’s One Acquisition Solution for Integrated Services (OASIS) program—covers program management, engineering, logistics, and financial services for the Rapid Capabilities and Critical Technologies Office. It includes a three-year base term and an optional two-year extension.
Originally awarded in December 2023, the Army re-evaluated proposals after Quantum protested. While Quantum’s $298 million bid scored higher on qualifications, past performance, and technical merit, the Army concluded it didn’t justify the $37 million price gap compared to PeopleTec’s lower-cost bid.
Quantum alleged further flaws: that the Army didn’t investigate the misrepresentation claims adequately, strayed from solicitation terms in evaluating past performance, and placed undue emphasis on cost in its best-value tradeoff.
But GAO shut down all challenges, saying the Army followed proper procedures and that technical advantages did not justify a premium price tag.