1.5.1 JA to extend services DR-4611-LA RSC_2-1-2022 CLEAN 2-2-22_Redacted.pdf

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

Office of the Chief Procurement Officer Version 3.3

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN

COMPETITION

41 U.S.C. 3304(a)(2)

J&A Control No.: 22-025

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:

1. Agency and Contracting Activity.

This document is a Justification and Approval for Other Than Full and Open Competition (J&A). The Federal Emergency Management Agency (FEMA), Office of Chief Component Procurement Officer (OCCPO) proposes to extend a contract with Cotton Commercial USA, Inc., through the basis of other than full and open competition, under FAR 6.302-2: “Unusual and compelling urgency.”

2. Nature and/or Description of the Action being Approved.

(a) Nature of action

This Justification & Approval (J&A) is in accordance with FAR 6.302- 2(a)(2) Unusual and Compelling Urgency. This J&A provides the rationale supporting a sole source contract action to Cotton Commercial, USA, Inc. The contractor shall provide support for the necessary wrap around, operation and site management services for the Responder Support Camp (RSC) site comprised of 43 Container Lodging Units (CLUs’) (209 total beds) in Raceland, LA for disaster response efforts because of Hurricane Ida’s impact.

(b) Name and address of the contractor:

Cotton Commercial USA, Inc.

5443 Katy Hockley Cutoff Road Katy, Texas 77493

(c) Contract type: Firm Fixed Price

(d) Estimated total value:

(e) Type of funding: Disaster Relief Fund – No Year Money

(f) Year of funding: FY 2022

(g) Solicitation number: 70FBR622R00000009

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

(h) Background information about this requirement: Emergency Response number FEMA-

3568-EM-LA was declared on August 27, 2021, in response to Tropical Storm Ida impacting Southeastern LA. FEMA-3568-EM-LA was later converted to disaster declaration DR-4611-LA. As a result of the necessary Emergency Response, Contract #70FBR621C0000006 was awarded on September 2, 2021, to provide a Responder Support Camp (RSC) consisting of 500 CLUs, operational services, and other support services for FEMA responders. The camp is located at 241 Recreation Drive, Raceland, LA 70394. The contract will end on February 2, 2022; however, FEMA still has a need for the RSC to continue to provide housing for FEMA responders that are still conducting disaster response duties. There is limited housing availability in this area because displaced hurricane survivors are staying in the hotels in the area. Moreover, Mardi Gras festivities have started in the area and tourists coming to the area are using any available rooms. Therefore, FEMA responders are forced to continue utilizing the RSC through March 31, 2022. The Program Office confirmed the owner of the property where the RSC is located, stated the property will not be available to FEMA to lease after March 31, 2022.

3. Description of Supplies/Services.

This requirement is to provide continuing RSC services for the period of February 3, 2022, through March 31, 2022. The services will include 43 CLUs (209 total beds) to house FEMA and FEMA-approved responders. The RSC shall provide sleeping units containing beds, showers, toilets, and sinks. All other support services shall be external to the living quarters.

The site shall also include additional external showers, restrooms, and sinks. Operational services must include ablution, wastewater & waste and dumping services. Support services also include wash and fold laundry, janitorial, staffing, self-pay meal services, morale welfare recreation (MWR), Wi-Fi, and Direct TV services.

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)(2) pursuant to FAR 6.302-2, Unusual and Compelling Urgency (“the executive agency’s need for the property or services is of such an unusual and compelling urgency that the Federal Government would be seriously injured unless the executive agency is permitted to sole source this requirement). The immediate action supported by this authority is in response to a natural disaster as designated by DR-4611-LA. The period of performance authorized under this J&A will increase the duration of these services by 57 days for a total of 207 days that exceed the 150-day statutory limitation under HSAR 3006.302- 270(d)(1)(iii). Paragraph 10 details the exceptional circumstances that support the HCA’s decision to exceed 150 days.

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

5. Identification of Exception to the Buy American Statute: N/A

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

FEMA DR-4611-LA was declared for the State of Louisiana on August 29, 2021. This Declaration authorizes FEMA to take emergency measures to save lives and protect property and public safety or to lessen or avert the threat of a catastrophe in the designated areas affected by Hurricane Ida. FEMA set up an RSC on September 2, 2021, in response to this Declaration to house FEMA responders for a total of 5 months. The contract is nearing its expiration date and it was decided on January 21, 2022, by FEMA management, there is an urgent and compelling need to continue the services because FEMA responders still provide support in response to this disaster. Currently, there are no other housing options in the Raceland, LA area. Due to the limited housing options, FEMA responders are forced to continue leveraging the existing RSC lodging and operations support services provided by the contractor. Maintaining the RSC for an additional 57-days is in the best interest of the Government as there are no Contractors that could support the needs of this requirement without severely impacting the continuity of operations and overall mission tempo.

Cotton Commercial USA, Inc. currently has all equipment, supplies, and personnel on site to operate the existing base camp for an additional 57 days, from February 3, 2022, through March 31, 2022. To mobilize this camp for this disaster, it took the Contractor a total of seven (7) days after contract award, with a mobilization cost of $2,352,907. If the existing contract ends, it will take a minimum of seven (7) days to have all equipment demobilized which would require site closure, with a demobilization cost of $4,312,154.294. For another Contractor to continue the support needed, FEMA would have to recompete this requirement.

Recompeting the requirement will take at least five days or more to compete and select a new Contractor. With less than 30 days remaining on the current contract, FEMA would not have enough time to recompete this requirement for a new Contractor to provide a RSC, operational support, and support services for FEMA responders. There would also be additional cost for mobilization, set-up, operations, and demobilization of a new base camp with a new Contractor.

Additionally, if FEMA does not receive approval to continue under the existing contract with Cotton Commercial USA, Inc. and the RSC is forced to shut down, FEMA responders will have no choice but to seek lodging outside the disaster area which can be as far as 50 miles away. FEMA responders would be forced to drive long distances, sometimes up to two (2) hours, to and from the duty stations after working 12-to-14-hour shifts. This activity would be unsafe because FEMA responders will be exhausted from a long day of work.

The Government’s intent is to continue to provide all responder lodging services only through March 31, 2022, at which time the hotel demand is expected to soften.

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

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

In accordance with FAR 5.202(a)(2), the proposed contract action is made under unusual and compelling urgency and need not be solicited. The requirement precludes competition to the maximum extent practicable and the Government would be seriously injured if the agency complies with the time periods specified in FAR 5.203. Given the short timeframe from when FEMA management decided to request an extension of the services on January 21, 2022, there is not sufficient time to allow FEMA to solicit potential sources to support this need. Market research was conducted (see Section 9) to determine if there were any housing options within the nearby area, but housing options are extremely limited as previously mentioned.

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

The Contracting Officer will use price analysis and price comparison to historical pricing data, or an independent Government estimate to determine a fair and reasonable price. The evidence of this analysis shall be included in the contract file.

9. Description of Market Research.

FEMA conducted market research by contacting hotels within a 50-mile radius of the impacted area for availability and rates. Most hotels in the area are reporting limited to no availability due to housing displaced survivors. Several were closed due to power and phone outages. While there were a few hotels reporting availability, the rates quoted were well above the Government’s allowed housing waiver per diem rate.

FEMA also contacted hotels outside a 50-mile radius of the impacted area to inquire about room availability. A minimal number of available rooms were found, but with the congested traffic conditions in the area, Responders would need to commute 1-1/2-2 hours to and from duty stations. This would cause extreme fatigue on the Responders after working 12 to 14-hour shifts and pose a significant and unnecessary danger to themselves and other highway travelers.

Staffing shortages caused by the pandemic has also forced 33% of rooms to be closed due to the inability to clean and decontaminate them, which also affects the number of rooms available in the area.

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

The minimum period necessary to meet the urgent and compelling requirements of the work to be performed could not have been estimated to the exact day based on initial damage assessments. After a disaster strikes, emergency response efforts are laser targeted on search and rescue and the preservation of life. As a result, estimates that match the exact date and time necessary for services supporting the recovery, like responder lodging facilities, are virtually impossible to predict. For example, one month into the existence of the lodging camp, it was necessary to add wi-fi and internet communication services to the facilities.

The additional services were intended to help increase the productivity of FEMA employees needing to enter survivor damage assessment reports after standard work hours while in their living quarters. Because of the extensive damage to roadways and other infrastructure, the travel time from damaged areas to work facilities significantly increased for FEMA employees and the output of work experienced noticeable challenges. As the output of work slowed, the duration of time needed for responders to live and work in the impacted area increased substantially. Therefore, the mission requires these services for a longer period of time than initially thought necessary to ensure each disaster survivor receives the support they desperately need.

To enter another contract for the required responder lodging camp services through the use of competitive procedures is an unacceptable risk to mission success. The work that would be generated if recompeted would require demobilization of existing contractor assets, a transfer of operations at the campsite from the incumbent contractor to a new contractor, and mobilization of new contractor assets. History has shown, base camp demobilization and site restoration can take as long as 8 to 10 days. Establishing initial operations and a fully functional responder camp can take upwards of two to three weeks. For example, any new contractor could be subject to transportation delays caused by inclement weather, lack of manpower due to a depleted workforce because of COVID-19, and current market constraints for common commercial supplies like meat, cleaning supplies, and paper products. Taking the high risk of failed performance by a contractor awarded a new contract through competitive procedures, could lead to a unnecessary self-inflicted work degradation for FEMA employees.

11. A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the

Acquisition.

Cotton Commercial USA, Inc.

5443 Katy Hockley CUT-OFF RD Katy, Texas 77493-7008 United States

DUNS# 119792633

Cage Code: 46U86

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

12. 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

This current requirement is a one-time contract action to meet the urgent need to respond to the Hurricane Ida disaster (4611-DR-LA). Any future contract action similar in nature will be competed among industry Contractors.

(Remainder of this page left blank intentionally)

U.S. Department of Homeland Security Justification and Approval for Other Than Full and Open Competition

Head of the Contracting Activity Date

Note: The HCA is the approving official when the action exceeds $15M but is less than or equal to $75M (not exceeding $100M for DoD, NASA, and the USCG) and must also sign the justification when the contract is awarded under FAR 6.302-7 Public Interest, regardless of dollar amount. The HCA is not required to approve the justification if the Component PAAC meets either of the criteria at FAR 6.304(a)(3)(i) or (ii). However, this exception does not apply to justifications citing FAR 6.302-7 and exceptional circumstances applying to actions above the simplified acquisition threshold that cite FAR 6.302-2 Unusual and Compelling Urgency as the authority.

BOBBY J MCCANE

Digitally signed by BOBBY J

MCCANE

Date: 2022.02.17 18:30:45 -05'00'