2.2.1.vi - Attachment 6 - NMR Individual Waiver Approval - TT IDIQ.pdf

All SBA programs and services are extended to the public on a nondiscriminatory basis. 1

Office of Government Contracting and Business Development | 409 3rd Street SW | Washington DC 20416

Via Email: Jason.Morgan@fema.dhs.gov

November 14, 2023

Mr. Jason Morgan, Contracting Officer Department of Homeland Security Federal Emergency Management Agency 500 C Street SW, 3rd Floor Washington, DC 20416

RE: NMR Individual Waiver Request

Dear Mr. Morgan:

On November 8, 2023, Department of Homeland Security (DHS), Federal Emergency Management Agency (FEMA) submitted a request to the U.S. Small Business Administration (SBA) for an individual waiver of the Nonmanufacturer Rule (NMR) for commercial-off-the-shelf (COTS) travel trailers to house disaster survivors and to maintain its inventory. The anticipated solicitation number is 70FB8023R00000016. The applicable North American Industry Classification System (NAICS) code is 336214, Travel Trailers & Camper Manufacturing, and the estimated dollar value of this procurement is $297,000,000.00.

The waiver of the NMR on an individual procurement is provided for in section 8(a)(17) of the Small Business Act, 15 U.S.C. § 637(a)(17), and section 121.406(b)(5) of title 13 of the Code of Federal Regulations, 13 C.F.R. § 121.406(b)(5). At a minimum, an individual NMR waiver request must include a definitive statement of the specific item sought to be waived, a justification as to why the specific item is required, the proposed solicitation number, the NAICS code, the dollar amount of the procurement, a brief statement of the procurement history, and a Statement of Work (for contracts expected to exceed $500,000). 13 C.F.R. § 121.1204(b)(1). The term “item” can be a specific broad identifying thing (e.g., all spare parts related to aircraft X), but cannot be so broad as to have no real identification (e.g., all medical supplies).

In addition, the contracting officer must provide a determination that no small business manufacturer can reasonably be expected to submit an offer for the item that meets the mailto:Jason.Morgan@fema.dhs.gov

All SBA programs and services are extended to the public on a nondiscriminatory basis. 2 specifications and solicitation’s requirements (including period of performance). This determination must be supported by a narrative of market research and supporting documentation. 13 C.F.R. § 121.1204(b)(1)(iii).

According to your submission, FEMA seeks an individual NMR waiver for commercial-off-the-shelf (COTS) travel trailers to house disaster survivors and to maintain its inventory. FEMA has identified that this is the only item that will meet its needs and that no small business manufacturer can reasonably be expected to offer this item. This is because FEMA routinely utilizes travel trailers to house disaster survivors as part of disaster response and recovery efforts in accordance with the Stafford Act. FEMA is the largest Government buyer of travel trailers in the Federal Government and has multiple knowledgeable Government officials with an understanding of the marketplace for these commercial items. FEMA conducted market research through interactions with industry from knowledgeable Government personnel in the program that deal with manufactured homes and-travel trailers in addition to connecting with mobile home associations. A Sources Sought (Request for Information 70FB8023I00000004) was posted in SAM.gov on Dec 7, 2022, with responses due on January 3, 2023. Based on responses received and conducted market research, it has been determined that there are multiple small business resellers for these items. FEMA expects at least four small business resellers that have established relationships with various manufacturers to submit proposals.

As FEMA has demonstrated no small business manufacturer can reasonably be expected to submit an offer for commercial-off-the-shelf (COTS) travel trailers to house disaster survivors and to maintain its inventory, an individual waiver is granted.

This individual waiver applies to this one-time award only and does not apply to modifications to the scope of the contract or other procurement actions. Modifications determined by the contracting officer to be within the scope of the contract will require an additional waiver. 13 C.F.R. § 121.1203(b).

This individual waiver is good for the duration of the contract provided that it does not exceed five years. At the end of the fifth year, whether the contract is in the base period or an option period, the agency must request and receive a new waiver before entering into the contract’s sixth year.

Notice that an individual waiver has been granted must be published with the solicitation so that potential offerors are aware of the waiver and the specific item(s) covered. 13 C.F.R. § 121.1206. The effect of this waiver is to allow an otherwise qualified small business to supply the item of an other-than-small manufacturer or processor on this intended small business set-aside contract FEMA is requesting an individual Non-Manufacturer Waiver of the above-mentioned Travel Trailers IDIQ in order to post a solicitation as a 100% Small Business Set Aside, enabling small business resellers to compete. However, it must be emphasized that this waiver of the NMR does not waive other legal requirements applicable to Government procurements, such as the Buy American Act and the Trade Agreements Act.

All SBA programs and services are extended to the public on a nondiscriminatory basis. 3

This individual waiver must be used within one year of issuance. If that time period expires, the agency may request a waiver extension by contacting nmrwaivers@sba.gov. Please inform SBA of the date you enter a contract using this waiver, the contract number, and the actual dollar value of the contract. Should you have any questions or require any additional information, please contact Bernard Durham at (202) 510-0292 or bernard.durham@sba.gov.

Sincerely, Pamela J. Beavers Acting Deputy Director Office of Government Contracting mailto:nmrwaivers@sba.gov mailto:bernard.durham@sba.gov