18-36_JA_Kuwait_SRTS_Ceiling_Incr_Redacted.pdf

JUSTIFICATION AND APPROVAL

USTRANSCOM JUSTIFICATION FOR

OTHER THAN FULL AND OPEN COMPETITION

STEVEDORING & RELATED TERMINAL SERVICES (S&RTS), KUWAIT

HTC71117DR021

1. CONTRACTING ACTIVITY

United States Transportation Command (USTRANSCOM), Directorate of Acquisition, Specialized Transportation and Support Division, 508 Scott Drive, Building 1900W, Scott AFB

IL 62225-5357.

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

This action will result in a modification to increase the Kuwait S&RTS contract ceiling. The reason for this increase is due to a higher rate of deployment/redeployments and theater-driven mission requirements. As of 05 June 2018, final processed expenditures were ; obligated unprocessed estimated expenditures equal and forecasted trend expenditures equal

The total expected expenditure by the end of the Period of Performance is The ceiling on the contract will be increased by an additional extending the ceiling from

, to accommodate current and anticipated operations through the term of the contract.

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

This contract will provide the 595th Transportation Brigade (595th Trans BDE) services needed to maintain and sustain current and future operations while the follow-on, long-term acquisition is completed. S&RTS includes vessel loading, vessel discharge, receipt of cargo, disposition of cargo, stuffing/unstuffing of cargo, intra-terminal transfer of cargo, inland transportation of cargo, customs clearance, yard management and management expertise. S&RTS are required to move and track Department of Defense (DoD) sponsored cargo through Kuwait in support of national and strategic military interests of the United States of America. The estimated value for this action is total.

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

10 U.S.C. 2304(c)(1) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. DEMONSTRATION THAT THE NATURE OF THE ACQUISITION REQUIRES USE

OF THE AUTHORITY CITED

A sole source contract, HTC711-17-D-R021, was awarded to Cargo Transport System Company (Cargo) beginning 09 June 2017. Ongoing missions were set to begin on 12 June 2017 and would remain continuous. This requirement provides for the largest volume of cargo movement in the CENTCOM area of responsibility and includes yard and staging management that cannot otherwise be provided.

A Request for Services Contract Approval (SCR) package was submitted to TCAQ by SDDC/G3 on 07 June 2018 requesting an increase to the Kuwait S&RTS contract ceiling. The services being provided are in support of the 595th Trans BDE, 840th Transportation Battalion/1398th

Deployment & Distribution Support Battalion’s enduring mission. As discussed in paragraph 2, the total expected expenditure by the end of the Period of Performance is . The current contract ceiling is set at . Modifying the contract to extend the ceiling by will cover the expected expenses until the new contract can be awarded. The current contract expires 08 September 2018 and scheduled performance start date of the follow-on contract is 09 September 2018.

Cargo Transport Systems Company is the sole qualified contractor known to be available and capable of performing required S&RTS services in support of DoD cargo transiting through the Ports of Shuaiba, Shuwaikh and Kuwait Naval Base, Kuwait. Any other contractor typically performing this requirement would require at least thirty days to receive the appropriate security clearances for these locations. A similar period of time is generally necessary to stage contractor-supplied equipment at the ports. Support for current and ongoing missions is a necessity and there must not be an interruption in service. Failure to increase the ceiling price by executing this modification would result in the Government being seriously injured as cargo would not be able to be processed; resulting in mission failure. An unacceptable delay or interruption of services jeopardizes support and secure deployment of military personnel and cargo during missions and any unforseen emergency. This contract ceiling increase is required to ensure that the Government is capable of continued performance at a high operational tempo and efficiency in a combat theater.

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED

FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE

Competitive offers were not sought specifically for this proposed ceiling increase. FAR 5.202(a)(12), exception applies. The Contracting Officer need not submit the notice required by FAR 5.201 when the proposed contract action is by a Defense agency and the proposed contract action will be made and performed outside the United States and its outlying areas, and only local sources will be solicited. A full and open, competitive Request for Proposals (RFP), HTC711-18-R-R003, for a long-term contract was solicited via FBO on 31 May 2018 and closes 02 July 2018.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED

COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

At time of award, Cargo’s prices were determined is fair and reasonable based upon adequate price competition and comparison against the Independent Government Cost Estimate and