Limited_Sources_Justification_-_811_PSA_Paid_Radio_Campaign_(FINAL-REDACTED).pdf

U.S. Department of Transportation (U.S. DOT) Solicitation #DTPH5614Q00015 Pipeline and Hazardous Materials Safety Administration (PHMSA) Limited Sources Justification

LIMITED SOURCES JUSTIFICATION

Solicitation #DTPH5614Q00015 Paid Radio Placement of PHMSA 811 Public Service Announcement

This acquisition is being conducted under the authority of the Multiple Award Schedule Program.

Following the format prescribed at FAR Subpart 8.405-6(c)(2), this document serves as the limited sources justification for paid media placement of PHMSA’s 811 Public Service Announcement by Stratacomm, LLC.

1. Agency & Contracting Activity:

This acquisition is for the U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration (PHMSA). The contracting activity is the Acquisition Services Division, PHA-30.

2. Nature/Description of Action Being Approved:

The action submitted for approval covers the acquisition of the services of Stratacomm, LLC for paid radio placement of PHMSA’s 811 Public Service Announcement (PSA). The PSA was produced by Stratacomm under Delivery Order #DTPH56-12-F-000004, for marketing/advertising services in support of the PHMSA 811 campaign.

Acquisition Objective:

The objective of this acquisition is to provide the Government with the most cost efficient and effective use of resources by leveraging the functional and technical expertise gained under Delivery Order

DTPH56-12-F-000004.

Project background:

Delivery Order DTPH56-12-F-000004 was competed under GSA Schedule 541 (SIN 541-5) and was awarded to Stratacomm, LLC on January 10, 2012 as a firm-fixed price order for marketing/advertising services in support of PHMSA’s 811 campaign. The delivery order contained three primary items: (1) the development and production of a television and radio public service announcement; (2) web-based and editorial calendar-driven efforts; and (3) campaign measurement. Modifications were later executed to incorporate paid media (radio) placements of the PSA that was produced under the original order during August of 2012 and 2013. The delivery order included an option period of January 16, 2013 through January 15, 2014, which was exercised accordingly. The order concluded on January 15, 2014 with acceptance of all deliverables.

3. Description of Supplies or Services:

The Common Ground Alliance (CGA) developed the 811 logo and campaign tools (see www.call811.com) that are used by stakeholders across the country to promote the use of 811 through a variety of methods, including paid advertising, public relations events, etc. Because the use of 811 is critical to improving pipeline safety by preventing excavation-related accidents, the U.S. DOT makes it a priority to promote 811 through a campaign that makes use of the 811 logos and complements existing efforts to improve damage prevention.

http://www.call811.com/

An important component of the PHMSA 811 campaign is the purchase and placement of the PSA through paid media. The August 2012 and August 2013 paid radio campaigns generated a total of nearly 93 million media impressions – that is, nearly 93 million individuals were exposed to this important safety message during these campaigns. The incumbent contractor, Stratacomm, LLC was able to procure numerous bonus airings in addition to the paid media for both the 2012 and 2013 campaign.

The contractor was also able to strategically place the radio spots in markets across the country that have experienced serious excavation-related incidents or were otherwise appropriate for targeting with this important safety message.

PHMSA now requires a longer-term contract vehicle by which to place its annual radio media PSA during the month of August. The contractor must purchase radio spot placements of PHMSA’s 811 PSA for a national radio campaign to occur on and around August 11, which is known as National 811 Day.

PHMSA intends to issue a delivery order containing one base and four option years; the estimated cost is $50,000 in the base year and up to $100,000 in the option years, for a total potential value of $450,000 over the life of the order. The $50,000-$100,000 yearly estimate is based on PHMSA’s anticipated budget for paid media, which may or may not fluctuate over the years.

4. Authority and Supporting Rationale:

In accordance with FAR 8.405-6(a)(1)(i)(C), PHMSA has determined that “in the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order.” The original order (DTPH56-12-F-000004) was placed in accordance with the applicable FSS ordering procedures, and was not previously issued under sole-source or limited-sources procedures.

At this time, PHMSA intends to proceed with a national paid media (radio) purchase to run the 811 PSA on and around August 11, 2014. PHMSA’s requirement for this task will align closely with the requirements of the two previous media purchases completed under DTPH56-12-F-000004. In the interest of economy and efficiency, PHMSA believes the task is a logical follow-on to the original (competed) order. PHMSA has worked closely with Stratacomm, LLC since January 2012 in developing, producing and distributing the 811 PSA. During this period, the Stratacomm staff acquired in-depth knowledge of the goals and strategies for the 811 campaign, built rapport with PHMSA staff and external 811 stakeholders and demonstrated knowledge of the procedures and resources required to perform this task. Additional understanding of PHMSA’s goals was acquired through in-depth research and analysis, strategic planning, outreach, and a variety of additional activities completed during the previous delivery order. This knowledge will be invaluable to the timely and effective launch of the 2014 paid media purchase.

Successful placement of the PHMSA 811 PSA requires an understanding of the stakeholder community, geographic areas and networks appropriate for targeting and a true understanding of the many and varied efforts and initiatives relating to damage prevention and 811. Without such knowledge, PHMSA efforts could be unnecessarily duplicative of other damage prevention stakeholder efforts. Stratacomm has an understanding of the areas that need attention, where to go to get additional information about excavation damage incidents for researching potential media placement, and appropriate points of contact for outreach and information. PHMSA’s already-limited resources would be needed to educate a new contractor about the complexities of damage prevention in the various states. The team’s knowledge of the task requirements will enable them to deliver within a reasonable timeframe and without resulting in substantial duplication of cost to the Government which would not likely be recovered through competition.

PHMSA has determined that it would be in the Government’s best interest to award the delivery order as a logical follow-on; competing this requirement would cause critical delays in fulfilling the Government's needs, as well as costly and inefficient redundancies. An award to Stratacomm LLC will allow the Government to retain the knowledge and skills gained under the original order, and to leverage its buying power to gain best value and receive high quality services. For the aforementioned reasons, PHMSA determines that the circumstances cited at FAR 8.405-6(a)(1)(i)(C) are applicable to this requirement, and that the Stratacomm team represents the Government’s best value as a source for providing the required services.

5. Determination of Best Value:

The General Services Administration (GSA) has already determined the prices under schedule contracts to be fair and reasonable pursuant to FAR 8.404(d). Also, as alluded to in Section 4, the administrative costs of re-competing the requirement and training a new contractor would be duplicative and result in inefficiencies. Based on these factors, the Contracting Officer has determined that this order represents the best value for the Government.

6. Market Research & Results:

Market research was not conducted for this task, except to confirm that Stratacomm’s GSA schedule contract (GS-23F-0070N) remains active for the purpose of issuing orders.

7. Other Facts Supporting the Justification:

Issuing a limited-source logical follow-on to Order DTPH56-12-F-000004 is advantageous to the Government because Stratacomm, LLC has already gained and demonstrated institutional knowledge of management expectations, preferences, and mechanisms for delivery, as well as technical expertise in understanding the requirements of the 811 media campaign. Their understanding and demonstrated contract execution is critical to the mission and could not be replaced in a reasonable time period by any other source without duplicating efforts achieved during the current task order.

8. Actions to Remove or Overcome Barriers:

The proposed delivery order will be issued on a limited sources basis in accordance with the authority provided at FAR 8.405-6(a)(1)(i)(C). This authority may only be used once, given the provision that the original order must not have been previously issued under sole-source or limited-sources procedures.

Therefore, after the completion of the proposed order, PHMSA will re-open the requirement for competition.

9. Contracting Officer Certification:

The Contracting Officer’s signature below certifies that the justification is accurate and complete to the best of his/her knowledge and belief.