Redacted_JOFOC_FAR_6.302_-_Helo_IDIQ_-8.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION AUTHORITY:

FAR 6.302, 41 U.S.C. 253(c)

IDIQ Contract D13PC00222

FAR Clause 52.217-8 – “Option to Extend Services”

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by FAR 6.3 and in accordance with the requirements by FAR 6.303-1, the justification for the use of the statutory authority under FAR

6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

1. Identification of the agency and the contracting activity, and specific identification of the document as a “Justification for other than full and open competition.”

This document is a justification for other than full and open competition for the Department of the Interior (DOI), Interior Business Center (IBC), Acquisition Services Directorate (ASD), Division IV, Branch II, in support of the US Navy’s Naval Sea Systems Command (NAVSEA) Program Executive Office (PEO) for Integrated Warfare Systems (IWS) Test and Evaluation (1TE).

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

The action being approved is a modification to exercise Option Period 5 pursuant to FAR clause 52.217-8 – “Option to Extend Services,” under Indefinite Delivery/Indefinite Quantity (IDIQ) contract D13PC00222 with Air Center Helicopters, Inc. (ACHI).

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

NAVSEA PEO IWS 1TE has a continuing need for contractor-operated and contractor-maintained, Exclusive Use (EU), medium-type II helicopter and flight support services currently being performed under ACHI IDIQ contract D13PC00222. Specifically, the need relates to the transport of cargo and government/contractor personnel in support of military offshore requirements, including shipboard landings; drone/target recovery support; aerial photography;

aerial reconnaissance; external load transfers; weapons system testing; and other related administrative activities.

The Government estimates that extended services will be approximately $1,339,416.00 for a 6-month period of performance, 8/1/2018 through 1/31/2019.

The current overall total contract price, inclusive of a 12-month Base Year and four 12-month Option Years, is $10,366,576.00.With the inclusion of extended services (6-month Option Period 5), the overall total contract price is estimated to be $11,705,992.00.

4. An Identification of the statutory authority permitting other than full and open competition.

FAR 6.302-1 – “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements,” 41 U.S.C. 3304(a)(1), as identified by IBCM-AQD-6900-058, item 7.4.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

ACHI is intimately familiar with the services required by NAVSEA PEO IWS 1TE, currently being performed under IDIQ contract D13PC00222. NAVSEA PEO IWS 1TE events involve the coordination of many military assets (i.e. ships, submarines, other aircraft, drones, other support contractors, and naval personnel), costing millions of dollars per day to conduct. Due to the nature and magnitude of this particular requirement, failure to extend services would not only impact the NAVSEA PEO IWS 1TE mission, but would also impact their customers and a variety of other military and/or government agency missions.

To date, the Base Year is complete and all Option Years have been exercised, and the contractor’s performance and services received by the Government have been favorable. Furthermore, NAVSEA PEO IWS 1TE has requested that the 6-month Option Period be exercised to mitigate the risks associated with the onboarding process for a potential new awardee under the new [pending] contract vehicle.

D13PC00222 -- FAR 52.217-8 J&A

The Federal Awardee Performance and Integrity Information System (FAPIIS) and Past Performance Information Retrieval System (PPIRS) were checked 7/13/2018. PPIRS revealed a ratings span of Satisfactory to Exceptional under all evaluation areas, while FAPIIS revealed one [partial] Termination for Cause record for the United States Department of Agriculture (USDA) Forest Service (FS) Basic Ordering Agreement (BOA) AG-0120-C-14-9002, which was a mutual agreement of the parties. To date, performance under IDIQ contract D13PC00222 has been favorable.

Additionally, the System for Award Management (SAM) verified that ACHI’s registration is active with no active exclusion records or any delinquent debt as of 7/13/2018. FAPIIS, PPIRS, and SAM will be re-checked prior to award.

6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by Subpart 5.2 and, if not, which exception under

5.202 applies.

Solicitation D13PS00116 was issued as full and open competition via FedBizOpps and FedConnect on 5/8/2013, in accordance with the policies and procedures of FAR Part 12 - “Commercial Items” and FAR Part 15 - “Negotiated Acquisitions.” As a result, IDIQ contract D13PC00222 was awarded on 8/1/2013 to ACHI for an overall total contract price of $12,506,010.00, inclusive of a 12-month Base Year and four 12-month Option Years, exercisable in accordance with FAR clause 52.217-9 – “Option to Extend the Term of the Contract.” The overall total contract price was later decreased to $10,366.576.00 due to reducing aircraft from two to one, via Mod 4 awarded on 12/22/2015.

Request for Proposal (RFP) 140D7018R0004 to re-procure services under a new contract vehicle is currently pending issuance and will solicit two medium type II helicopter (one EU, one On Call (OC)) and one Optional light type I helicopter. Sources Sought Notice D17PS00935 was issued via FedBizOpps and FedConnect on 9/15/2017, receiving a total of seven responses; two small business, three large business, and two businesses with undetermined size standards under the identified NAICS code (481211 – “Nonscheduled Chartered Passenger Air Transportation,” a size standard of $28M). Additional Market Research identified 58 DOI IBC ASD Div. IV, Br. III OC helicopter Blanket Purchasing Agreements (BPA) and 57 USDA FS Call When Needed (CWN) helicopter BOAs, where all awardees are small businesses. In addition to the material change to the current scope of work (two/three aircraft vs one), competition will be totally set-aside for small businesses.

Taking into consideration the interest of economy, efficiency, continuity of services, and in accordance with FAR 5.202 (a)(11), exercise of Option Period 5 per FAR clause 52.217-8 is in essence a logical follow-on to a contract that was previously synopsized and competed; and will be again upon issuance of RFP 140D7018R0004.

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

Per FAR clause 52.217-8, the Government may require continued performance of any service within the limits and at the rates specified in a contract. These rates may be adjusted only as a result of revisions to prevailing labor rates provided by the Secretary of Labor.

Rates were established and determined fair and reasonable at time of the basic award; and then again under Mod 4, particularly for the Base Year and Option Years 1 through 4. As such, the rates established for Option Year 4 under IDIQ contract D13PC00222 will be utilized for Option Period 5.

While FAR 52.217-8 was included in solicitation D13PS00116 and award of IDIQ contract D13PC00222, Option Period 5 was not formally evaluated for price of the overall contract performance period. IBCM-AQD-6900-058 item 7.2 requires that a Justification and Approval (J&A) for Limited Competition be completed and pricing evaluated for fair and reasonableness. Since Option Period 5 rates will be carried over from Option Year 4, no inflation is applied, reflecting a saving in itself. An analysis of IDIQ contract D13PC00222 rates and an informal comparison against current DOI IBC ASD Div. IV, Br. III OC helicopter BPA and USDA FS CWN helicopter BOA rates was also conducted and may be found in Attachment A for further detail. As such, rates are considered to be fair and reasonable for Option Period 5.

8. A description of the market research conducted (see FAR Part 10) and the results or a statement of the reason market research was not conducted.

Market Research was performed prior to issuing solicitation D13PS00116 and awarding D13PC00222.

Prior to drafting RFP 140D7018R0004, Market Research was also performed, to include issuing a Sources Sought Notice [D17PS00935] via FedBizOpps and FedConnect; a broad review of the Small Business Administration (SBA) Dynamic Small Business Search; a search of the Interagency Contract Directory Portal; and an assessment of DOI IBC ASD Div. IV, Br. III OC helicopter BPAs and USDA FS CWN helicopter BOAs.

9. Any other facts supporting the use of other than full and open competition; such as:

As previously mentioned, the solicitation to re-procure services under a new contract vehicle is currently pending issuance. Due to the highly specialized nature and magnitude of this particular NAVSEA PEO IWS 1TE requirement;

soliciting services, evaluating technical approaches and proposed prices, and making an award is not anticipated to be completed prior to the current contract/Option Period 4 end date (7/31/2018). Failure to extend services would impact the mission of NAVSEA PEO IWS 1TE, its customers, and a variety of other military and/or government agency missions.

Exercising Option Period 5 per FAR clause 52.217-8 is in essence a logical follow-on contract, since services are deemed available only from the original source, where a substantial duplication of cost to the Government is not expected to be recovered through competition, at this time; and would create an unacceptable delay in fulfilling NAVSEA PEO IWS 1TE requirements.

10. A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

Sources Sought Notice D17PS00935 was issued via FedBizOpps and FedConnect on 9/15/2017 and received a total of seven responses; two small businesses (the incumbent, ACHI; and Aspen Helicopters, Inc.), three large businesses (AAR Airlift Group, Inc.; Construction Helicopters, Inc.; and Tenax Aerospace, LLC.), and two businesses with undetermined size standards under the identified NAICS code of 481211 – “Nonscheduled Chartered Passenger Air Transportation,” a size standard of $28M (Airbus Helicopters, Inc.; and Deltex). Additionally, it’s reasonable to expect interest from any of the 58 DOI IBC OC helicopter BPA and 57 USDA FS CWN helicopter BOA awardees.

11. A statement of any actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

The Government will be issuing a new solicitation (RFP 140D7018R0004) via the open-market (FedBizOpps and FedConnect) as a total small business set-aside to re-procure services under a new contract vehicle.

Barriers to competition include the immediate need for continued EU medium type II helicopter and flight support services; obtaining required Federal Aviation Administration (FAA), DOI Office of Aviation Services (OAS), Air Mobility Command (AMC), and US Navy clearances and operating authorizations for pilot and aircraft; and the process of acquiring and modifying commercial aircraft for unique support services.

In an effort to alleviate these barriers, the Government is attempting to establish an onboarding period between the end of the current contract vehicle and start of a new contract vehicle.

12. Contracting Officer certification that the justification is accurate and complete to the best of the Contracting Officer’s knowledge and belief.

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

_____________________________________ 6/29/2018 Tanya N. Bealmer Date Contracting Officer

DOI IBC ASD D.IV B.II

13. Requirements personnel certification.

I certify that the technical data which forms a basis for this justification is complete and accurate and meets the Government’s minimum needs.

_____________________________________ 7/3/2018 Heather J. Arthur Date Contracting Officer’s Representative

NAVSEA PEO IWS 1TE

14. Reviews and Approvals

Concur

_____________________________________ 6/29/2018 Charles Mann Date Branch Chief

DOI IBC ASD D.IV B.II

_____________________________________ 7/12/2018 Anthony Lomelin Date Procurement Analyst DOI IBC Policy Division

____________________________________ 7/12/2018 Eric Loveridge Date Division Chief

DOI IBC ASD D.IV

_____________________________________ 7/13/2018 Constance Thomas Date ASD Branch Chief

Approve

_______________________________________ 7/16/2018 Glen Savory Date Competition Advocate