Limited Sources Justification logical follow-on(AAPI) 09-09-2011(fedbizopps).docx

DEPARTMENT OF HEALTH & HUMAN SERVICES

Centers for Medicare & Medicaid Services 7111 Security Boulevard Baltimore, Maryland 21244-1850

LIMITED SOURCE JUSTIFICATION

Pursuant to FAR 8.405-6

Nature and/or Description of Action Being Approved

This justification for limited source contracting supports a logical follow-on award to Image Media Services (IMS) to provide technical professional services for the development, execution and assessment of a national, integrated Asian American Pacific Islander (AAPI) multi-media and education campaign. Primarily the focus of the task order is to provide support services necessary to execute a national integrated multi-media and education campaign. Activities involve developing and implementing a paid and earned media plan including planning and placement of newly created or existing media (or other appropriate means that will have the greatest reach and effect on our audiences of choice for the campaign) as well as supporting grassroots or partnerships initiatives related to the campaign.

The original delivery order was awarded competitively using the GSA Advertising & Integrated Marketing Solutions (AIMS) Schedule as delivery order (HHSM-500-2010-00234G).

The period of performance for the proposed logical follow-on delivery order will be September 1, 2011 - August 31, 2012. The estimated value of the delivery order is approximately $325,000.00.

Description of the Supplies or Services Required to Meet the Agency's Needs

The AAPI Multi-Media & Education Campaign will use social marketing to distribute key messages and information to AAPI audiences. The campaign will provide information about Medicare, Medicaid and other agency programs to help beneficiaries make the best health care decisions. These messages will also educate the target audience about information resources including 1-800-MEDICARE, www.medicare.gov, and the Medicare & You handbook and others.

Identification of Justification Rationale

FAR 8.405-6(a)(1)(i)(C) provides for the restriction of competition when the required work is a logical follow-on to an original GSA schedule delivery order that was competitively awarded. This proposed delivery order to IMS is a logical follow-on to an original GSA schedule delivery order that was competitively awarded to IMS on September 10, 2010.

Engaging another contractor would require adding a significant amount of time for a learning curve and thereby creating an unacceptable delay in fulfilling the Agency’s requirements since the first campaign (Open Enrollment 2011) will start uncharacteristically earlier this year. Since IMS will require no lead time in getting up to speed with previous campaigns, IMS’s time and the Government’s resources can be better spent on planning and executing the campaign tactics to address educating the AAPI population about Open Enrollment in Fall 2011.

A logical follow-on delivery order is a procurement strategy that allows a seasoned contractor who is performing on a contracting action to continue the work. The logical follow-on also minimizes or negates disruption to the work being performed.

A Determination by the Ordering Activity Contracting Officer that the Order Represents the Best Value

In accordance with FAR 8.404(d), the ordering activity is not required to make a separate determination of fair and reasonable pricing as GSA has already determined rates for services offered at hourly rates under schedule contracts to be fair and reasonable. In accordance with FAR 8.405-2(d), however, CMS will evaluate IMS’s proposed pricing and level of effort and mix of labor projected to perform the delivery order. In addition, CMS will use the independent government cost estimate along with historical pricing data to ensure that this logical follow-on procurement strategy represents the best value to the government. Prior to execution of this proposed logical follow-on, the Contracting Officer will make a fair and reasonable determination.

A Description Of The Market Research Conducted Among Schedule Holders Or A Statement For The Reasons Market Research Was Not Conducted

The original GSA delivery order was competed among four (4) AIMS GSA contractors in 2010. In Fall 2010, a Sources Sought Notice was released in order to determine if there were other contractors that would be able to provide the capabilities for this unique campaign. Capability statements were received and reviewed; however, due to funding restrictions, the acquisition process was put on hold. Then in May 2011, it was determined that funding was indeed available; however, at a lower amount than previous years. Therefore, in the interest of economy and efficiency, since the original award was in accordance with competitive procedures and based on the incumbent’s knowledge of the work, no additional market research was conducted prior to the issuance of this justification.

Any Other Facts Supporting the Justification

N/A

Actions the Agency May Take to Remove or Overcome Any Barriers to Competition

N/A

Recommendation/Approval

For the reasons stated above, it is therefore recommended that a logical follow-on delivery order be non-competitively negotiated with IMS.

Program Office Certification

The Program Office certifies that, to the best of their knowledge and belief, this Limited Source Justification is accurate and complete, as required by FAR subsection 8.405-6.

Contracting Officer’s Certification

The Contracting Officer’s signature on the Limited Source Justification Document represents certification that the justification is accurate and complete to the best of her knowledge and belief.

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