CBP NAMLS-JA-Aprvd031920_Redacted (002).pdf

U.S. Department of Homeland Security Office of the Chief Procurement Officer

Justification and Approval for Other Than Full and Open Competition Version 3.0

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN

COMPETITION

(Authority 41 U.S.C. 3304(a)(l))

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.3 and in accordance with the requirements of FAR 6.303-1, the justification for the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

I. Agency and Contracting Activity.

The Department of Homeland Security (DHS), Customs and Border Protection (CBP), Aviation, Maritime, and Border Technologies Contracting Division (AMBTCD), proposes to enter into a contract on a basis other than full and open competition to retain the current contractor PAE Aviation and Technical Services (PAE) for up to a 12-month period (six month base and two three-month option periods) due to protests filed against the National Aircraft Maintenance and Logistics Services (NAMLS) contract.

2. Nature and/or Description of the Action being Approved. CBP requires continued aircraft maintenance and logistics support of goverrunent aviation operational commitments.

This contract is necessary to continue the aforementioned services without interruption as two Goverrunent Accountability Office (GAO) protests have been filed against the awarded Contract 70B02C 19C0000002 J .

(a) Nature of action. CBP intends to enter into a contract through other than full and open competition.

(b) Name and address of the contractor.

PAE Aviation and Technical Services 90 I Lincoln Drive West, Suite 200 Marlton, NJ 08053

( c) Contract type. Firm Fixed Price (FFP) contract for program management; Cost Plus Incentive Fee (CPIF) for Aircraft Maintenance and Logistics; and Cost Reimbursement for line items for materials, travel, and training.

(d) Estimated total value (including options):

Period Period of Performance Otv Unit Price Total Base Period Aor I, 2020 - Seot 30, 2020 6mo. $ $ Ootion Period I Oct I, 2020 - Dec 31, 2020 3 mo. $ $ Ootion Period 2 Jan l, 2021-Mar 31, 2021 3 mo. $ $

Total $143,000,000.00

Page 1 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0

The current contract HSBP!Ol5C00064 (previously awarded as HSBPIOIOC00002) expires March 31, 2020.

(e) Type of funding. Operations and Support (Annual and Multi-Year funds)

(f) Year of funding. Fiscal Years 2020 and 2021

(g) Solicitation number. 70B02C20R00000053

(h) Background information about the requirement. The services to be acquired are a continuation of aircraft maintenance and logistics support being provided by the incumbent, PAE Aviation and Technical Services. The services are necessary to ensure that US Customs and Border Protection (CBP) Air and Marine Operations (AMO) has the numbers, types, and properly configured aircraft available where and when required to meet law enforcement (LE) and national security aviation operational commitments.

AMO aircraft are assigned, on a permanent and temporary basis (when deployed), to Aviation Operational Sites (AOS) strategically located at military air bases, civilian air facilities and alternate sites in the United States and foreign locations. Except for shop evaluations and repairs on specified sensor, communication, and electronic equipment as well as occasional transient support requirements, this contract does not encompass the fleet of the AMO P-3 aircraft nor Unmanned Aircraft Systems (UASs): support services for those aircraft are provided under separate contracts.

3. Description of Supplies/Services. Describe the supplies or services to be acquired. Include the purpose the supplies or services are intended to fulfill or the function the supplies or services provide.

It is anticipated that system and component obsolescence, National Security Special Events (NSSE) and aggressive flight operations will continue to drive funds expenditures in FY20 and FY21 to support AMO mission requirements. These requirements and the day-to-day logistics and maintenance requirements must be considered as part of this period of extended service to cover the required efforts. These efforts consist of but are not limited to:

• Continue all aviation and logistics support requirements of the NAMLS as contract re-compete protests are adjudicated and the contract is eventually awarded

• Contract Phase-out: 90 Day Transition/Phase out costs

• Extensive and complex aircraft maintenance and inspection requirements of over 200 aircraft, both fixed-wing and rotary-wing located across the nation including Puerto Rico and US Virgin Islands (USVI)

• Intensive logistics management and sustainment of aging aircraft, equipment and mission systems

• Address existing obsolescence issues as the aviation industry continues to mandate new equipment via regulatory requirements, such as automatic dependent surveillance-broadcast (ADS-B) and Next Generation Air Transportation System (Next Gen) potential equipage requirements.

• Support constantly changing tactical communications requirements across multiple type/model/series aircraft.

Page 2 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0

• Address EO/IR system video display, recording and storage innovations and capabilities, including High Definition (HD) displays and play back capabilities in support of evolving law enforcement (LE) evidentiary requirements.

• Continued procurement of high dollar high value mission equipment spares and service requirements as AMO aircraft systems incorporate technologic advances

• Aircraft modifications to address new equipment, regulatory guidance, and upgrades to aircraft required by the Original Equipment Manufacturer (OEM).

• GSA Sales Exchange: Funding gained from the sale of obsolete parts or parts no longer required through the GSA Sales Exchange program. This funding will be utilized to procure additional parts and spares in support of the maintenance contract.

• Continued support ofmultiagency enforcement, disaster relief, and NSSE

• Travel and Training Requirements: Travel and Training costs adjusted based on historical expenditures.

4. Identification of Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority permitting other than full and open competition is 41 U.S.C.

3304(a)(l), as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302-1 entitled, "Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements."

5. Demonstration that the proposed contractor's unique qualifications or the nature of the acquisition requires use of the authority cited.

This action is necessary to provide essential services until the long-term, follow on procurement is awarded and any applicable transition is completed. CBP competitively awarded a contract in May 2019; however protests resulted in corrective action that is expected to be completed by May 2020. As a result of the corrective action, CBP needed to extend its current contract which is in a six-month extension pursuant to FAR 52.217-8 and approaching the end of the performance period on March 31, 2020. With the current contract expiring, AMO requires continued services while the protest resolution process is completed.

AMO cannot allow a disruption of services due to the high priority national security mission requirements that are critical to the safety of the nation.

This J&A is therefore required to enter into a new contract to allow a continuation of services while CBP completes its corrective action, makes a new award, and any applicable transition is completed. The option periods will only be exercised if required.

PAE (formerly known as Defense Support Services, LLC) has been performing the required aircraft maintenance and logistics services for CBP AMO aircraft since 2009. They are the only responsible source and no other sources will satisfy agency requirements without causing an interruption of services during review/adjudication of protests filed during re compete of the NAMLS contract, which was awarded May 31, 2019. PAE has performed these services for over ten years, and all of the purchasing systems, special tooling, equipment and corporate knowledge/experience are readily available to continue the services

Page 3 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0 required. It would not be feasible for another vendor to assume the work being performed by PAE for this short period of time as it will be take at least 3 months to transition the efforts to a different vendor, as well as attempt to get the personnel cleared through CBP's background investigation process which could take over 6 months alone.

An overarching requirement of a widespread, complex aircraft maintenance and sustainment program is that the program be capable of adjusting to any number of influences or impacts, including but not limited to changing operational requirements, aging aircraft and systems, component/system obsolescence, industry growth, innovation and regulatory guidance.

However unknown or unanticipated delays in execution of follow-on contract services will cause continuation of services instability and volatility. A guarantee of extended services beyond the current period of performance will give AMO the ability to proceed with confidence. PAE is uniquely qualified to perform these services without interruptions given their familiarity with the program, personnel that is currently cleared through background investigation, readily available special tooling, infrastructure equipment, and established subcontractor agreements to maintain the stability of aircraft maintenance and logistics services.

It is essential that required services be provided by the contractor to ensure that AMO has the numbers, types, and properly configured aircraft available where and when required to meet the CBP aviation operational commitments. Any interruption of aircraft maintenance and logistics services will impact aircraft availability to meet necessary flight hour rates, appreciably impacting national security through decreased interdictions of contraband ( e.g., illegal narcotics, undocumented migrants). There will be an increased risk to CBP ground units, e.g. Border Patrol agents, due to lack of overhead reconnaissance, surveillance and target acquisition (RSTA) support; and unacceptable delays in acquiring required aircraft assets, potentially leaving major areas of U.S. land and maritime borders unprotected.

Based on our projected requirements and an examination of actuals over the past two years, we estimate the next six to twelve months will require a contract value of at least $143M.

6. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

A Request for Information (RF!) was posted to FEDBIZOPS in February 2017 which is documented in the Market Research report for the competitive acquisition. (See Paragraph 8 below). The NAMLS Acquisition was competed full and open via FEDBIZOPS in July 2018 which resulted in competitive responses.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The contracting officer has determined that the negotiated prices are fair and reasonable based on historical contract prices incurred during performance of the National Aircraft Maintenance and Logistics Services contract. Given that we are only increasing the existing

Page 4 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0 level of effort, the negotiated rates will remain constant with the exception of Area Wage Determination (A WD) and Collective Bargaining Agreement (CBA) revisions, which are required to be incorporated by law when adjustments are made by Department of Labor.

8. Description of Market Research.

In accordance with FAR 5.2, CBP Procurement posted to Federal Business Opportunities a sources sought under RFI# CBPNAMLS-RFI 2017 in February 2017. There were over a responses received that expressed interest in the upcoming competitive acquisition.

The results revealed that a variety of service providers exist that are capable of providing all or part of the services necessary to meet CBP AMO requirements. This led to the competitive recompete of the NAMLS requirements. Although we realize that there is an interest from Industry for these services, the near term requirement is to issue a short term contract to allow time for continued services while the filed protests are adjudicated and a new award is made.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

Based on its experience and performance under the current contract, PAE has developed an in-depth knowledge of each aircraft type/model/series down to the unique tail number, staff at each AMO location in direct support of daily operations, skilled technicians and maintainers actively engaged in aircraft modification, depot level inspection and maintenance with extended periods of performance that could be delayed or abandoned before aircraft are returned to service. PAE maintains an extensive and complex maintenance tracking system with unique, learned through experience techniques and guidelines. AMO aircraft are both FAA certificated and DoD military type with complex records keeping requirements to ensure accurate maintenance history, approved parts usage and compliance with mandatory regulations, directives or service data from OEM, FAA and DoD.

Logistics support requires detailed and robust relationships with vendors, OEM and service providers that are managed by current contractor not AMO. These logistics and supply "chains" are critical to AMO operations and must continue uninterrupted especially during austere budget environments and CR funding practices.

Increases in AMO operational activity often require additional flight hour requirements across multiple aircraft types meaning increased maintenance support, inspection activity and logistics requirements where Vendor support is critical. With anticipated increases in operational requirements at AMO Sites, maintenance support must be capable of responding to new requirements quickly and effectively. PAE has in-depth experience with increases and "surges" in the past and understands the time sensitive nature of AMO response to immediate agency customer needs.

I 0. A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the Acquisition.

Page 5 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0

An RFI was posted to FEDBIZOPS in February 2017 requesting that parties express their interest in writing to the contracting officer. The following parties responded to the RFI:

11. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

No additional actions are required to remove or overcome barriers to competition. The proposed action is required, because the planned award of a new maintenance contract has been delayed due to two Government Accountability Office (GAO) protests filed against the awarded Contract 70B02Cl9C00000021. This action seeks a new contract with the incumbent contractor to maintain services while the protests are adjudicated. Should the adjudication process identify errors or shortfalls in the Government's procedures, they will be addressed in the resolution process.

(Remainder of this page left blank intentionally)

Page 6 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0

12. Contracting Officer's Certification. I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Contracting Officer

13. Technical/Requirements Personnel Certification. I certify this requirement meets the Government's minimum need and that the supporting data, which forms a basis for this justification, is complete and accurate.

Technical Representative

Date

14. Legal Counsel Review. I reviewed this Justification and Approval for Other Than Full and Open Competition in accordance with HSAM 3006.304-70 and find it legally sufficient.

OCC Reviewed 03/02/2020

Legal Counsel

APPROVAL:

Contracting Officer

Page 7 of8

Justification and Approval for Other Than Full and Open Competition Version 3.0

Procuring Activity Advocate for Competition

Head of Contracting Activity

Date /

Page 8 of8