West Point JA 2020_10 with redactions_Redacted.pdf

a a Version - September 2018 FOR OFFICIAL USE ONLY

Control No: 2020-10Contractor: Three Cities Management LLC

Program/Equipment: Cadet Mess Attendant and Waiter Service

FAR Part 6 Justification and Approval for Other than Full and Open Competition

1. Contracting Activity: U.S. Army Mission and Installation Contracting Command-West Point (MICC-WP), 681 Hardee Place, West Point, New York 10996-1514

2. Description of Action: The Logistics Readiness Center at West Point requests a new firm-fixed-price contract with Three Cities Management LLC (TCM) for Cadet Mess Attendant and Waiter Services at the U.S. Military Academy. The Government projects award of this action no later than 30 November 2019 and fiscal year 2020 Operations and Maintenance funds will be used. The NAICS code for this action is 722310.

3. Description of Supplies/Services: The Logistics Readiness Center at West Point requires an interim 1 month base period, a 3 month option period, and a 2 month option period for Cadet Mess Attendant and Waiter services at the U.S. Military Academy on West Point. The contract service requirements are for the contractor to furnish all supervision, labor, and materials and management of Government Furnished Property (GFP) to perform the mess attendant and waiter services at the U.S. Military Academy cadet mess hall.

Base Period: 1 Dec 2019 to 31 Dec 2019 Value: $ Option Period 1: 1 Jan 2020 to 31 Mar 2019 Value: $ Option Period 2: 1 Apr 2020 to 31 May 2020 Value: $

Total Value: $

4. Authority Cited: 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will satisfy Agency Requirements.

5. Reason for Authority Cited: As described at FAR 6.302-1(a)(2), when the supplies or services required by the agency are available only from one responsible source, or for DoD, NASA and the Coast Guard, from only one or a limited number of responsible sources, and no other types of supplies or services will satisfy agency requirements, full and open competition need not be provided for. As further described at FAR 6.302- 1(a)(2)(iii)(A), for DoD, services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition.

a. The award of Cadet Mess Attendant and Waiter Services for up to 6 months to any other source would result in a duplication of cost of approximately for an additional 30 day transition between the incumbent and a new vendor that wouldn’t be required if extending the performance period of the incumbent contractor.

This additional cost is not expected to be recovered through competition and there would be an unacceptable delay in the critical cadet mess operations at the U.S. Military Academy at West Point.

The attendant and waiter service is a manpower intensive service. The time needed to transition to a new contractor with the requisite knowledge, skills and capability to meet the requirement without a transition period is unachievable for any company other than the incumbent currently performing the services. Without this service there would be significant disruption to the U.S. Military Academy academic program and adherence to the strict scheduling of cadet activities.

b. Contract W911SD-19-C-0009 was awarded on 28 June 2019. GAO protests were received on 22 July 2019 – B-417783 from Rice Services., Inc; 23 July 2019 – B-417783.2 from Three Cities Management LLC; and 24 July 2019 – B-417783.3 from Rice Services, Inc. On 23 July 2019, a Stop-work order was issued on contract W911SD-19-C-0009. On 27 August 2019, GAO dismissed the protests filed on 22, 23, and 24 July 2019 based on the Government taking corrective action. Corrective action is still in progress with the process of re-evaluating the proposals nearly complete. An award decision is estimated to occur on or about the end of November right when the current contract performance ends. There is the need to execute a short term bridge contract to ensure there is no lapse in service at the end of November if any small unanticipated additional delays are encountered, and to afford the necessary time to complete an orderly transition between the incumbent vendor and the incoming vendor, if that becomes necessary.

c. Alternatives. The following alternatives to the proposed extension were taken into consideration: suspension of operations, use of in-house resources, and award of a non-competitive contract.

1) Suspension of operations: Suspension of operations is not a viable option. The lack of a capability to feed cadets on par with current operations, or develop a severely diminished capacity to provide for feeding the cadets is tantamount to a major failure and disruption of the academic training and operational tempo of the U.S. Military Academy for the period these services are not fully available.

2) Use of in-house resources: The current contractor employs a staff of approximately Full-Time Equivalents (FTEs) to perform mess attendant and waiter functions. It would take 120-180 days to recruit and hire through the civilian personnel system, and then an additional 90 days to train the personnel necessary to support the current requirement. Before West Point could be exempted from the outsourced system, a cost analysis and justification would be required and have to be approved by Army Sustainment Command and other agencies. This process would take approximately six months to obtain a decision that could just as easily be disapproved.

Overall a one-year timeline is a conservative period. The length of this process renders this alternative unrealistic.

3) Award a non-competitive contract to other than the incumbent. To negotiate a sole source award for the 6-month extension period is feasible to cover the time needed to ensure corrective action is completed and a new award and phase-in accomplished.

However, it would be neither cost effective for the Government nor realistic for a contractor other than the incumbent, Three Cities Management, LLC, to perform during that brief period of performance. Based on the phase-in period of 30 days, the duplication costs of the phase-in as the incumbent vendor is transitioning over to the new vendor, for such a brief interim period would not be recoverable. In addition, the start-up costs required of the new vendor would not likely be an investment that the vendor could recoup over such a short timeframe. Additionally, a new contractor may need to recruit/relocate/transfer staff, as well as transfer and establish accountability of Government Furnished Property (GFP). Three Cities Management, LLC has the labor structure in place that will ensure the continuity of operations of services for the requested additional 6 months of performance without any interruption in the mission.

d. Impact if not Approved. Without approval of this justification and approval request, there will be no attendant and waiter services until the award of a contract is in place.

Failure to endorse this action translates into a lack of a capability to feed cadets on par with current operations and at best will result in developing an adhoc solution with a severely diminished capacity to provide for feeding the cadets. The best case scenario is a material uptick in the amount of time required to process cadets through the mess hall, this extra time will be taken from academic and training hours or from the number of meals a cadet will partake each day; a degradation of sanitary conditions within the mess hall; and in increased labor cost associated with the operation of the mess hall.

The impact of disapproving this request runs the gamut from the best case to the worse case, which is the failure to provide the service and the cascading effect on the academic and operational training mission tantamount to a major failure of the U.S.

Military Academy mission for the period these services are not fully available. Failure to favorably endorse this justification and approval and the subsequent loss of these services is contrary to the interest of the Government. In addition to the increased costs associated with any feasible stop-gap solution to substitute or provide for these services, and the degradation of the academic and operational training tempo, there would be a foreseeable and substantial loss of public trust when the story becomes known of the inability to feed cadets on par with current operations.

6. Efforts to Obtain Competition: A small business set-aside solicitation was issued on 05 February 2019 and closed on 15 March 2019. Competition was received for this solicitation. In accordance with DFARS PGI 206.302-1(d), a waiver dated 23 September 2015, waives the sources sought synopsis due to a protest.

7. Actions to Increase Competition: See information in paragraph 5 and 6.

Competition exists and a small business set aside was established for the follow-on contract that is currently under evaluation of proposals to determine the awardee.

8. Market Research: Market research was performed for solicitation W911SD-19-R- 0004. A review in SAM of perspective vendors for the current solicitation was done to ensure that they were still qualified as small businesses. In accordance with Defense Federal Acquisition Regulation Supplement (DFARS) 205.205-71, DFARS 206.302- 1(d), and DFARS Procedures, Guidance and Information (PGI) 206.302-1(d), a waiver dated 23 September 2015, a waiver dated 23 September 2015, waives the sources sought synopsis due to a protest.

9. Interested Sources: Three Cities Management LLC is currently performing the contract and is the only known source that can perform at the required performance level while maintaining continuity of services.

10. Other Facts:

a. Procurement History:

1) On 27 August 2019, GAO dismissed the protests filed on 22, 23, and 24 July 2019 based on corrective action.

2) On 23 July 2019, a Stop-work order was issued on contract W911SD-19-C- 0009.

3) On 29 July 2019, a 4 month option was exercised on bridge contract W911SD- 19-C-0012.

4) GAO protests were received on 22 July 2019 - B-417783 from Rice Services., Inc; 23 July 2019 - B-417783.2 from Three Cities Management LLC; and 24 July 2019 - B-417783.3 from Rice Services, Inc.

5) Contract W911SD-19-C-0009 was awarded on 28 June 2019.

6) On 25 June 2019 Small Business size protest determined that proposed awardee, Pentad Corporation, is a Small Business.

7) On 31 May 2019, bridge contract W911SD-19-C-0012 was awarded to Three Cities Management, LLC with a base period of 2 months and a 4 month option period.

8) Small Business Size Protest was received on 17 May 2019.

9) Solicitation W911SD-19-R-0004 was issued as a small business set-aside on

5 February 2019, limited to those offerors who were determined to be eligible for award of solicitation W911SD-17-R-0033.

10) On 2 August 2018, GAO dismissed the protests filed on 6 and 9 July 2018 based on corrective action.

11) Bridge contract W911SD-18-C-0007 was awarded, sole source, to Three Cities Management, LLC on August 2018 with performance beginning on 13 July 2018.

12) Performance on the follow-on contract W911SD-18-C-0005 was stopped on 12 July 2018 and later Terminated for the Convenience of the Government on 13 September 2018 as a result of the GAO protests.

13) GAO protests were received on 6 July 2018 and 9 July 2018.

14) Solicitation W911SD-17-R-0033 was issued as a small business set-aside on 20 November 2017 with a closing date of 20 December 2017. GAO protest was received on 19 December 2017.

15) Contract W911SD-10-C-0013 was awarded on 1 July 2010 as a HUBZone set aside to Watson Services Inc. During performance, a novation agreement was incorporated and the contractor Three Cities Management LLC took over contract performance.

16) There were multiple protests and bridges prior to award of contract W911SD- 10-C-0013.

Approval

Based on the foregoing justification, I hereby approve the procurement of Cadet Mess Attendant And Waiter Services for West Point on an other than full and open competition basis, pursuant to the authority of Title 10 United States Code § 2304(c)(1), as implemented by Federal Acquisition Regulation 6.302-1, Only one responsible source and no other supplies or services will satisfy agency requirements. The estimated value of the contract is for up to a six month period of performance, from 1 December 2019 through 31 May 2020. This approval is subject to availability of funds, and provided that the services or property herein described have otherwise been authorized for acquisition.

SCOTT D. KUKES

Alternate Command Advocate for Competition U.S. Army Mission and Installation Contracting Command, JBSA Fort Sam Houston, TX

KUKES.SCOTT.DE

AN.1151934346

Digitally signed by

KUKES.SCOTT.DEAN.115193434

Date: 2019.11.22 16:28:25 -06'00'