JOFOC Follow-on SAM_Redacted.pdf

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International Recovery - Mexico (Follow-On)
Solicitation number
83310127Q0012
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This is a Justification and Approval for Other Than Full and Open Competition (J&A) document issued by the Export-Import Bank of the United States (EXIM), Office of Contracting Services, located at 811 Vermont Avenue, NW, Washington, D.C. 20571. The document authorizes a Firm Fixed Price (FFP) purchase order award to Garza Gomez y Asociados S.C. to provide legal recovery services for EXIM's efforts to collect outstanding amounts owed by obligors and guarantors in Mexico. The services include asset searches, site visits, negotiations, litigation, documentation of agreements, embargoing assets, and executing upon assets. This is a follow-on contract replacing expiring contract no. 83310122P0009 (lapsing 12/31/2026) for a total buyer debt amount not disclosed in the redacted document. The period of performance is five years, with an estimated contract value not disclosed due to redaction, representing recovery fees as a percentage of recovery.

The contracting officer justified the non-competitive award under FAR 13.106-1(b) and FAR 6.302-1 (Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements). The justification emphasizes that Garza Gomez y Asociados possesses unique qualifications essential for collecting claims in Mexico, including specialized expertise in locating hidden assets, drafting restructuring agreements, litigating collection matters in Mexican courts at all levels, handling collection matters for foreign government entities, familiarity with EXIM Bank's policies and procedures, and certification under Mexican law. The document notes that the contractor requires no familiarization period and that swift assignment of claims to an experienced contractor is critical, as debtors may hide, relocate, change operations, transfer assets, or experience financial deterioration during claim processing delays. Market research confirmed the services are commercial in nature. No other sources expressed written interest in the acquisition. Both the Recovery Officer (Carlos Camacho) and Contracting Officer (Travis Finkle) certified the justification as accurate and complete.

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one source. FAR 13.106-1(b) does not require that the ContracƟng Officer select only one of the listed authoriƟes, as is the case when the CompeƟƟon in ContracƟng Act applies.] For acƟons exceeding the simplified acquisiƟon threshold procedures in FAR subpart 13.5 were used in accordance with 41 U.S.C.

(x) (1) Only One Responsible Source and No Other Supplies or Services Will SaƟsfy

Agency Requirements per FAR 6.302-1;

5. DemonstraƟon that the Contractor’s Unique QualificaƟons or Nature of the AcquisiƟon Requires the Use of the Authority Cited Above (applicability of authority):

The contract acƟon involves collecƟng on EXIM Bank’s claim in a foreign country. It is imperaƟve to hire local counsel in Mexico where the claims are to be monitored/liƟgated with experience in: locaƟng assets, especially potenƟal hidden assets, and embargoing and execuƟng upon such assets; draŌing and negoƟaƟng restructuring agreements appropriate for debtors of the type in this maƩer; and liƟgaƟng the collecƟon maƩer in all levels of courts throughout the debtor’s country. It is also imperaƟve that the local counsel have experience handling collecƟon maƩers of this sort on behalf of foreign enƟƟes, and especially foreign government enƟƟes such as EXIM Bank, because such representaƟon oŌen raises issues and creates legal risks for the foreign government enƟty. These risks include the risk of counter-suits, referrals for criminal prosecuƟon, and withholding tax quesƟons. AddiƟonally, it is imperaƟve to hire local counsel that is familiar with EXIM Bank’s policies and procedures so as to avoid problems with payment procedures, handling of funds, facilitaƟon of payments, and fraud.

The firm of Garza Gomez y Asociados is uniquely qualified to pursue these cases in Mexico. The Contractor has extensive experience in dealing with the complex U.S. Government administraƟve requirements. The contractor is cerƟfied to complete this type of work under the law of Mexican jurisdicƟons.

Garza Gomez y Asociados is registered in SAM. Finally, Garza Gomez y Asociados S.C. has experience in recovery maƩers in Mexico. The contractor possesses a comprehensive understanding of work under this procurement. Garza Gomez y Asociados will not require a familiarizaƟon period or training prior to immediately commencing performance of the Performance Work Statement. Accordingly, Garza Gomez y Asociados is the only firm capable of providing the services described in SecƟon 3 above without EXIM Bank experiencing duplicaƟon of cost for familiarizaƟon/training nor unacceptable delays in fulfilling its requirements.

Geƫng a quick start in assigning a new claim to a contractor in a foreign country is key.

By the Ɵme an insured files a claim with EXIM Bank and the Ɵme that it is reviewed by the Claim Processing unit and paid by the OCFO a few months at least may have lapsed, not taking into consideraƟon the Ɵme from the last shipment to the buyer, which could very well add nine months to the process. By the Ɵme the RO receives the claim for collecƟon close to one year may have gone by before any aƩempt is made to collect from the foreign buyer, a definite disadvantage to the taxpayer. A debtor may be in hiding, it could have sold the company/operaƟng under a different name, it may have transferred assets to avoid collecƟon, its financial condiƟon may have suddenly changed and/or its local currency may have depreciated. There’s only a handful of contractors that understand the scope of recovery work required by EXIM Bank.

6. DescripƟon of Efforts Made to ensure that offers are solicited from as many potenƟal sources as deemed pracƟcable:

In accordance with 41 U.S.C. 3304, the Bank has sought to idenƟfy as many potenƟal sources as pracƟcable under the circumstances. The specialized knowledge required to minimize the risks and maximize the chances of success in EXIM Bank’s execuƟng its rights under the Finance Documents and the need for confidenƟality, limits the likelihood of idenƟfying mulƟple firms possessing the requisite skill set. Offerors are located through SAM registry, U.S. Embassy contacts, conferences, with the ability to work in recovery maƩers in Mexico.

7. DeterminaƟon by the ContracƟng Officer that the AnƟcipated Cost to the Government will be Fair and Reasonable:

The ContracƟng Officer has determined that the anƟcipated cost to the Government for the supplies/services covered by the J&A will be fair and reasonable based upon prior experience with this contractor, comparison to rates and collecƟon percentages assessed by similar firms in the same and similar jurisdicƟons, and by review of published rates publicly available.

8. DescripƟon of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:

AMD confirmed that the types of services to be undertaken by the Contractor are commercial in nature.

These services are provided to private and public sector enƟƟes without disƟncƟon. EXIM Bank has worked with Garza Gomez y Asociados and demonstrated a high degree of competence in the advisory/documentary role. A review of legal support for EXIM indicated that Garza Gomez y Asociados is uniquely posiƟoned to provide the services required for this instance. No other firms were idenƟfied that possess similar knowledge of EXIM, its transacƟons, and legal experience with projects situated in Mexico.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

Garza Gomez y Asociados S.C. legal firm provides seasoned collection specialist(s) who have been involved both in the private and public sectors in Mexico. In addition, the firm is fully cognizant of the process of litigation within Mexican courts.

10. LisƟng of Sources that Expressed, in WriƟng, an Interest in the AcquisiƟon:

No other sources expressed interest, in wriƟng, in this acquisiƟon.

11. A Statement of the AcƟons, if any, the Agency May Take to Remove or Overcome any Barriers to CompeƟƟon before Making subsequent acquisiƟons for the supplies or services required:

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