Sole_Source_Justification_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL & OPEN COMPETITION

1. IDENTIFICATION OF THE AGENCY AND CONTRACTING AGENCY:

Contracting Activity: OPLC Customer Agency: BLS Department of Labor Department of Labor

BLS/BAM BLS/OPLC

2 Massachusetts Avenue, NE 2 Massachusetts Avenue, NE Washington, DC 20212 Washington, DC 20212

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED:

The Bureau of Labor Statistics (BLS) intends to issue a one year purchase order with Insurance Services Office (ISO) for Automobile Insurance Data for requirement 1625-OPL-19-NAT-0155.

3. DESCRIPTION OF SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS

ISO provides symbol groups and their associated risk factors for automobiles included in the Producer Price Index (PPI) for private passenger auto insurance and in the Consumer Price Index (CPI) for motor vehicle insurance. The data from ISO will be used to quality adjust changes in premiums due to changes in the symbol group for autos included in the Producer Price Index for private passenger auto insurance and in the Consumer Price Index for motor vehicle insurance.

4. AN IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING

OTHER THAN FULL AND OPEN COMPETITION:

FAR 6.302-1 Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

For the reasons cited below in Section 5 and Section 6, Insurance Services Office is uniquely positioned to provide insurance data to BLS.

5. A DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUSITION REQUIRES USE OF THE

AUTHORITY CITED:

ISO generates symbol group data for the use of auto insurance companies. No other organizations produce this data. Although insurance companies in our sample purchase this same data, they cannot determine the change in risk as automobiles move from one symbol group to another, which is the information that we need for quality adjustment. Without this data, PPI and CPI cannot accurately reflect price change for the Automobile Insurance and Motor Vehicle Insurance indexes, respectively.

6. A DESCRIPTION OF EFFORTS TO OBTAIN COMPETITION TO ENSURE THAT OFFERS

ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS PRACTICABLE,

INCLUDING WHETHER A NOTICE WAS OR WILL BE PUBLICIZED AS REQUIRED BY

SUBPART 5.2 AND IF NOT, WHICH EXCEPTION UNDER 5.202 APPLIES:

In accordance with FAR 5.203, synopses must be published 15 days before the issuance of a solicitation or negotiations with a sole source. Exception – for commercial items acquisitions, the Contracting Officer (CO) may (1) establish a shorter period for issuance of the solicitation; or (2) use the combined synopsis and solicitation procedure (see 12.603). Since this requirement is a reoccurring BLS purchase and since we have not received interest from other interested companies, the CO has decided to post a synopsis to FBO for 10 days before entering into negotiations for sole source.

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST

TO THE GOVERNEMENT WILL BE FAIR AND REASONABLE:

Price is reasonable based on prices paid for similar purchases from previous years. It is anticipated that the cost will be similar to previous purchases from ISO that were found fair and reasonable.

8. A DESCRIPTION OF MARKET RESEARCH CONDUCTED (PART 10) AND THE RESULTS

OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED: PPI

staff have met with the ISO as well individual insurance companies. Based on those meetings it was determined that the symbol ratings, used to quality adjust both the PPI and CPI indexes, are only available from ISO as it is proprietary information.

9. ANY OTHER SUPPORTING FACTS SUPPORTING THE USE OF OTHER THAN FULL AND

OPEN COMPETITION:

N/A

10. A LISTING OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN

THE ACQUISITION:

ISO Services, Inc.

545 Washington Blvd Floor 12 Jersey City, NJ 07310

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 THE SUPPLIES OR SERVICES REQUIRED:

N/A