FY24-00120 JA Redacted Version.pdf

OPOAM 3016.505-90(a)(2)(ii) Justification for Exception to Fair Opportunity

Exceeding the SAT pursuant to FAR 16.505(b)(2)(ii)(B)

JEFO No.: FY24-00120 Rev. 6/2021 - 1 -

JEFO No.: FY24-00120

Date: 3/26/2024 PR Number: 192124R11GRDP0161

1. Agency and Contracting Activity. Identification of the agency and the contracting activity, and specific identification of the document as a “Justification for an Exception to Fair Opportunity.”

The Department of Homeland Security (DHS), Office of Procurement Operations (OPO), Federal Protective Service Acquisitions Division (FPSAD), prepared this Justification For an Exception to Fair Opportunity.

2. Nature and/or description of the action being approved.

DHS/OPO/FPS AD intends to extend task order 70RFP220FREC00119 under Contract 70RFP218DEC000016 without considering other awardees under contract numbers 70RFP218DEC000012, 70RFP218DEC000014, 70RFP218DEC000015, and 70RFP218DEC000018 pursuant to FAR 16.505(b)(2)(ii)(B).

3. A description of the supplies or services required to meet the agency’s need (including the estimated value).

Protective Security Officer (PSO) services are required at the Nebraska Avenue Complex (NAC) (detailed in Paragraph 5 below) in Washington, DC. The estimated value for a 6-month period of performance (04/01/2024 – 09/30/2024) is approximately $3.8 million.

4. Identify the exception to fair opportunity and supporting rationale, including a demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the exception cited.

FAR 16.505(b)(2)(ii)(B). Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

Rationale:

Task Order 70RFP220FREC00119 was awarded to Master Security Company, LLC (Master Security) on September 11, 2019 under contract 70RFP218DEC000016 for PSO services at the NAC in Washington, DC covering the period of performance of 10/01/2020-9/30/2023. All Multiple Award Contract (MAC) awardees were given a fair opportunity to be considered for the original order.

A Class Determination and Findings (D&F) was approved by the Procuring Activity Advocate for Competition (PAAC) on 09/13/2023 to exercise the 6-month option period pursuant to

JEFO No.: FY24-00120 Rev. 6/2021 - 2 -

Federal Acquisition Regulation (FAR) 17.207, “Exercise of Options,” and clause FAR 52.217-8, “Option to Extend Services” for five MAC Contracts (70RFP218DEC000012, 70RFP218DEC000014, 70RFP218DEC000015, 70RFP218DEC000016, and 70RFP218DEC000018). The period of performance covered under the D&F is October 1, 2023- March 31, 2024.

A Class Justification & Approval (J&A) (FY 24-00106) for Other than Full and Open Competition was approved by the Head of the Contracting Activity on March 26, 2024 to extend the five MAC Contracts from April 1, 2024 – September 30, 2024.

Once the ordering periods under the MAC IDIQ contracts have been extended and the Justifications for an Exception to Fair Opportunities have been approved for the existing task orders, the TOs need to be extended for a period not to extend six months to continue PSO services allowing time to recompete the TOs (providing fair opportunity to the new MAC awardees), and to provide new awardees an appropriate transition period.

Due to extensive screening, training, health, licensing, and transition requirements for PSOs under the FPS program, award to another PSO firm cannot immediately be made. If a new PSO firm were to immediately replace Master Security under this effort, a significant and severe drop in overall security would result and Federal Government personnel, visitors, and assets would be put in jeopardy. Another contractor would need to complete a transition period to obtain all necessary licenses, training, and other requirements for its PSOs in order to be able to stand post.

The estimated cost for an additional six (6) months of service under this task order is $3.8 million. If the task order is not extended, FPS AD will suffer potential dollar impacts over and above $3.8 million. Issuance of a short-term task order to another company would result in substantial delay and duplication of startup costs, including new weaponry, uniforms, weapons permits and other equipment that is best amortized over longer service periods. Master Security is familiar with the post requirements and these locations and is the only contractor at this time that can immediately fulfill the requirement without delay and financial injury to the Government.

5. Determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.

The existing task order (70RFP220FREC00119) that needs to be extended is reflected in the chart below to include its current awarded hourly rate, total current value, and estimated value for the 6-month extension.

Contract/ Task Order

Contractor Address /Building

PSO

Rate

Supervisory PSO Rate

Current Total & Estimated

Value

70RFP218DEC000016

70RFP220FREC00119

Master Security

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The price analysis table below shows comparison in pricing from different contracts that were awarded for PSO Armed Guard Services for FPS Region 11 (i.e. NCR) to the prices established within the existing MAC task order for Master Security. The hourly rates for Basic PSO services under the existing MAC task order were evaluated prior to the award of the contracts and/or modifications and were determined fair and reasonable based upon competition at the time of award. All contracts have similar statements of work as they are all for Armed Protective Security Officer (PSO) Services and predominantly operate within the National Capital Region

(NCR).

Contractor Contract / Task Order Numbers

Locations PSO Services Hourly Rate

Difference

Master Security (Current Contract)

70RFP218DEC000016

(Task Order

70RFP220FREC00119)

DC

Simmons & Golden 70RFP223DEC000002 MD Kerberos

International

70RFP222DEC000003 MD & VA

Master Security’s anticipated price (based on the existing task order) was compared to the rates established under similar contracts supporting FPS Region 11 (i.e. PSO contracts in the NCR).

The hourly rate for basic PSO services being performed by Simmons and Golden under Contract 70RFP223DEC000002 is higher than the anticipated hourly rates for PSO services for the six (6) month extension under 70RFP218DEC000016.

higher than the anticipated hourly rates for PSO services for the six (6) month extension under

70RFP218DEC000016.

Overall, based on the detailed analysis above, the basic hourly rates are in line with the current range of prices for similar services across the region and the anticipated cost to the Government is determined to be fair and reasonable.

6. Any other facts supporting the justification.

Due to unexpected delays throughout the pre-solicitation process, the government requires additional time to complete the procurement prior to issuing the award of the follow-on task order, which requires a minimum of a 30-day transition period. Unexpected and unavoidable delays occurred due to the following circumstances: While the Program Office submitted the original requirements package to the contracting office in it had to be revised several times and the final requirements package was just recently received in For

JEFO No.: FY24-00120 Rev. 6/2021 - 4 -example, the follow-on MAC TO includes several new requirements (Post Tracking System (PTS), Training and Academy Management System (TAMS), etc.) that are not included under the existing contract. These are significant changes to the requirements. As a result, the program office had to revise the requirements and post exhibit to include PTS locations, special TO requirements, etc. Therefore, the circumstances listed above necessitates extensions of the incumbent task order to allow for the solicitation and award of the follow-on MAC task TO and the required transition period.

7. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the exception to fair opportunity before any subsequent acquisition for the supplies or services is made.

FPS AD is in the process of soliciting a competitive task order for this requirement under the new MAC which was awarded in December 2023. The follow-on TO requirement is estimated to be awarded on or before July 31, 2024, with an anticipated performance start date on or before October 1, 2024.

8. DHS intends to post this requirement on SAM.gov pursuant to FAR 16.505(b)(2)(ii)(D).