BRIDGE JA 22R4056 GUAM Redacted.pdf

J&A N105-22-R-4056

JUSTIFICATION AND APPROVAL (J&A)

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Department of the Navy, Military Sealift Command (MSC), Expeditionary Fast Transportation Program Office, PM8.

2. Description of the Action Being Approved.

Award of a sole-source contract for the Operation & Maintenance (O&M) of USNS GUAM to Seaward Services, Inc. (Seaward). The extension is for a total period of seven months (Period of Performance (PoP): 01 July 2022 to 31 January 2023).

3. Description of the Supplies/Services.

Contract N00033-13-C-5303, provides for the O&M of USNS GUAM (HST 1). The contract is currently in a bridge period that ends on 30 June 2022, and Seaward is the contractor. The MSC Executive Director approved the current bridge.

MSC required the ongoing bridge period to award the follow-on contract. The follow-on contract, N32205-22-C-4210, was awarded to TOTE Services, Inc. on 23 February 2022.

However, on 7 March 2022, a protest was submitted to the Government Accountability Office (GAO). In accordance with FAR 33.104(f), the GAO must issue its recommendation on a protest within 100 days from the date of filing of the protest with the GAO. Therefore, the anticipated date of GAO’s decision is 15 June 2022.

Under this J&A, the contractor shall provide personnel, operational and technical support (ashore and afloat), equipment, tools, provisions, and supplies to operate the Government-owned vessel.

The total estimated value of this bridge action is . The estimate for the bridge action was developed using the current period rates with an escalation. The estimate is broken out by fiscal year as follows:

Estimated Dollar Value

FY22 FY23 Total Total $

J&A N105-22-R-4056 GUAM Bridge

4. Statutory Authority Permitting Other Than Full and Open Competition.

This justification is prepared under the provisions of 10 U.S.C. 2304(c)(1), One source or limited sources, as implemented by FAR 6.302-1 (Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements).

5. Rationale Justifying Use of Cited Statutory Authority.

Contract N32205-22-C-4210’s base PoP was scheduled to begin on 01 July 2022.

However, based on GAO’s timeline, a decision will be issued only 15 days prior to 01 July 2022. Seaward is currently the only contractor with a USCG-approved type rating for the USNS GUAM (type rating is discussed below). The contract allows for the awardee to have up to 6-months to develop and obtain the required USCG approved type rating curriculum, implement, and certify a crew prior to taking over operation of the vessel. Therefore, if GAO rules in MSC’s favor, TOTE would have until 15 December 2023 for completing turn-over with Seaward. USNS GUAM’s FY23 Regular Overhaul (ROH) is scheduled to begin on 18 October 2022 and end on 08 January 2023, and Seaward is already in the planning phases for this period. Issuing a bridge contract for the operation of USNS GUAM for the period 01 July 2022 through 31 January 2023 will allow TOTE to complete their requirements under the new contract while allowing Seaward to complete the FY23 dry-docking and return the vessel to Naha, Okinawa, where the turn-over will take place.

Seaward is currently the only company capable of operating and maintaining USNS GUAM without jeopardizing the mission and causing serious harm to the government while the protest is being adjudicated. While other contractors may have general ship operating experience, they do not have the ability to meet the transition functions and phase-in requirements for this contract within the necessary timeframe. MSC had a plan in place to allow TOTE time to obtain the required type rating. However, due to the protest and obligatory stop-work order issued on 08 March 2022, TOTE will not have time to obtain the type rating before the end of the current contract period.

All licensed mariners assigned to the USNS GUAM are required to obtain a special, ship-specific endorsement on their USCG Merchant Marine license to comply with International Maritime Organization’s requirements which have been codified in 46 CFR

11.821 and USCG NVIC 20-14. Seaward is the only USCG-approved provider of the training program for this class of ship. Achievement of USCG curriculum approval is detailed in NVIC 2014, Enclosure 2, and typically takes up to 10 weeks after it has been developed and received by USCG. Seaward’s current curriculum includes 96 hours of classroom instruction and 40 hours of hands-on underway execution aboard the ship, both of which are conducted or overseen by a certified Qualified Individual (QI). At this time, there are only three QIs for the USNS GUAM, and all are employed by Seaward. Based on the extensive time required to develop the mandatory training program curriculum, have it approved, and successfully conduct training for license endorsements for a new crew, a six-month turn-over period would be required for a new contractor. Therefore, Seaward is the only responsible source that could operate USNS GUAM beginning 01 July 2022.

The USNS GUAM supports the III Marine Expeditionary Force (III MEF) in the Far East, MSC considered the following six Courses of Actions (COAs) to continue the operation of USNS GUAM:

1) Issue a bridge contract under FAR Part 6.

2) Use MSC Civilian Mariners (CIVMARs) to crew the vessel. MSC determined it would take MSC a year to fully crew the vessel with CIVMARs due to fleet-wide crewing shortages.

3) Use an Expeditionary Fast Transport (EPF) vessel to meet mission requirements.

No EPFs are available that could meet mission requirements.

4) Execute Continuity of Operations Clause- FAR 52.237-3. The clause can only be used for up to 90 days, which is not enough time for the new contractor to obtain type-rating and for the ROH to be completed.

5) Layup the ship. MSC could not abandon the vessel (government capital asset), and as such, a reduced crew would be required to maintain the vessel and keep it safe.

6) Competitively solicit a new short-term contract to cover the protest resolution time period.

There is insufficient time to synopsize, issue a competitive solicitation, receive and evaluate proposals, and award prior to 30 June 2022. Furthermore, due to the USCG type-rating requirement, Seaward is the only company capable of operating the USNS GUAM. Thus, an interim award to any source other than Seaward is not an option.

Therefore, upon review, MSC has determined that executing a bridge contract under FAR 6.302-1 (Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements) is the only plausible COA.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

As detailed in section 5, only Seaward has the required license endorsement to operate USNS GUAM. Therefore, Seaward is the only capable offeror.

7. Determination of Fair and Reasonable Cost.

Before award of the bridge action, the Contracting Officer will determine the rates to be fair and reasonable at the time of award.

8. Actions to Remove Barriers to Future Competition.

As detailed above, MSC awarded a contract from a competitive solicitation to operate the USNS GUAM, thus removing the barriers to competition addressed in the prior bridge extension for USNS GUAM.

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein are complete and accurate to the best of my knowledge and belief.

Signature Name (Printed) Phone No. Date

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

CONTRACTING OFFICER CERTIFICATION

I certify that this Justification is accurate and complete to the best of my knowledge and belief.

EXECUTIVE DIRECTOR, MILITARY SEALIFT COMMAND

Upon the basis of the above justification, I hereby approve, as Executive Director of the Military Sealift Command, the solicitation of the proposed procurement described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1).

Steven Cade Date