Atch 5 - ACC BITC P3 CSDP Part 1.doc

Preliminary Planning

OMB Circular A-76

Air Combat Command

Base Information Transfer Centers

(BITC)

Competitive Sourcing Decision Package Part 1: Summary 14 December 2007

Table of Contents 1Project Summary

1Execution Summary

11. Project Scope

2. Service Identification

3. Preliminary Labor Market Research

4. Preliminary Market Research

5. Workload Data and Systems

6. Baseline Costs Risks and Assessments Decision

Project Summary The preliminary planning process is being performed in accordance with the Office of Management and Budget Circular Number A-76 (Revised May 29, 2003), AFCAP-I, and the Air Force Commercial Activities A-76 Preliminary Planning Guidebook.

Program Budget Decision (PBD) 729 levied bogey of 5,800 FTEs on ACC in FY04 to compete by FY09. The Base Information Transfer Center (BITC) function was submitted for A-76 consideration. On March 29, 2006 the Department of the Air Force notified Congress that the Base Information Transfer Center (BITC) functions at eleven Air Combat Command (ACC) installations performed by 45 military personnel were being considered for competitive sourcing.

Subsequently, on 16 Dec 2005, prior to receiving approval from Air Staff, Nellis AFB submitted an ACR to realign two positions from Nellis AFB to stand up an OLA at Creech AFB. In August, 2006, ACC/A1MR approved a request from Cannon AFB to remove 4 positions performing BITC functions that would be transferred to AFSOC by 1 October 2007. This BITC competition final submission contains 39 military personnel positions being considered for competitive sourcing.

The decision to pursue an A-76 Competition – the “Go” decision – was based upon results from the research below and meets OMB Circular A-76 for preliminary planning, as well as the additional Air Force requirement to conduct preliminary labor market research.

Warden Associates, Inc. (WAI) was contracted to provide Preliminary Planning Support to ACC for the BITC functions. Points of contact for ACC include Ms. Ella McNeil, ACC/A1MRC, DSN 575-8113, and Mr. Butch Heath, ACC/A1MRC, DSN 575-8102.

Execution Summary

1. Project Scope

The initial scope of the review was based on a pull of the Unit Manning Document (UMD) for ACC installations to identify positions performing the Base Information Transfer Center (BITC) function. The initial scope totaled 45 enlisted, 0 officers, and 0 civil servants. Final scope for study competition totals 39 enlisted, 0 officers, and 0 civil servants. The four Cannon positions were approved for removal. In addition two more positions, originally assigned to Nellis AFB are being removed from competition based on an Authorization Change Request (ACR) submitted and processed December 2005. This ACR realigned two positions to Creech (99CS OL-A). Creech AFB has never been allocated any authorizations or manpower credit for BITC support. Workload associated with Creech BITC (delivery and pick up mail at Creech from central collections points) are performed by Nellis manpower personnel are included in this scope. The following positions were determined to be performing activities that are equal to, or closely related to the BITC functions during Preliminary planning process by the WAI (Contractor) hired to P3:

· (1) Pubs Manager, TSGT, Minot AFB, ND

· (1) Functional Manager, SMSgt, Whiteman AFB, MO

Preliminary planning has captured two civilian positions. However, ACC 3A Functional Manager disagrees that the Pubs Manager and Functional Manager duties are at all related to the BITC functions. Recommend scope including two civilian authorizations at Barksdale and DM be removed. No civilian authorizations are being offered as part of this project.

Nellis AFB originally included eight positions in the initial scope. Two of those original eight positions were realigned/reassigned to 99 CMN SQ, OL 000A, located at Creech AFB, NV. The work performed at Creech AFB is only partially related to the BITC functions and will be captured in the Performance Work Statement (PWS) document and solicitation, but the two positions will not be turned in to help fund study outcome. The two positions at Creech workload consist of Communications/Customer Service/Working Group Manage/Troubleshooting/Systems management with only 10% dedicated to BITC.

· (1 )Information Journeyman, SSgt, Nellis AFB, NV

· (1) Information Journeyman, SRA, Nellis AFB, NV

The Preliminary Planning Team reviewed all current contracts in support of BITC activities to determine if they were severable from the functions performed or if they were integral to the functions in-scope and should be included in the competition. Service Contracts supporting personal mail delivery to dormitories were reviewed but not included. Additional contracts supporting equipment leasing and maintenance were reviewed but found that regardless of the service provided, it would remain a wash item.

The recommended scope for competition includes 39 enlisted, 0 officers, and 0 civil service employees.

Nellis AFB, NV

Totals

2. Service Identification

Based upon interview and discussion with the functional point of contact, it was determined that the output, work drivers, performance objective and performance standard for the BITC activities were performed by the identified positions for review:

· Mailroom Operations

· Postage Meter Monitoring and Operation

· Classified and Accountable Mail Handling

· Defense Courier Service

3. Preliminary Labor Market Research

The results of the labor market research and analysis support the finding that there is sufficient labor available at all of the ten BITC sites. In addition to this labor market research, it should be noted that the market research surveys received indicate a high level of interest from special interest companies, including AbilityOne. These companies have a history of obtaining the necessary employee skills throughout the country.

Research and analysis was conducted to determine if the necessary knowledge, skills, and abilities are available to staff Civil Service positions, if the performance decision of the competition is to implement the Government’s Most Efficient Organization (MEO). A comparison was performed between the knowledge, skills and abilities required to perform this work and the equivalent labor categories in both the private sector and civil service. Predominantly, the labor category equivalents are entry level. The MEO therefore would be implemented primarily through new hires. The MEO therefore would have the same access to the local labor pool as the private sector offerors. A comparison of the equivalent private sector pay scales with appropriate civil service grades indicates that the civil service positions generally are higher than the private sector. Therefore, given the same access to a labor pool, the Government is more attractive, and should not have difficulty recruiting labor.

4. Preliminary Market Research There was an above average response to the Market Research for the BITC function. This was determined by using a general statement of the service listed above and releasing a RFI on FEDBIZOPPS website with an attached survey for interested vendors to complete and submit. In addition, internet research identified companies that were contacted directly. Companies were asked to respond to the survey. Analysis of the Market Research Surveys indicates that there is more than sufficient capacity and capability in the private sector to perform the BITC functions. It is important to note, that there was significant interest shown by AbilityOne. As a result of that interest, ACC AMIC/PKC, Langley AFB, VA received a capability briefing on Friday, September 21, 2007 from an AbilityOne provider representative.

On 12 October 2007, The Ability One Manager responded that the scope of requirements for BITC functions had been reviewed and concur that they are well within the capabilities of their Non Profit Agencies. They are very interested in providing the service under the Ability One Program (formerly JWOD).

The result of the briefing indicated that the AbilityOne providers could perform the BITC functions at some or all of the locations. Market research has been thoroughly conducted for this function and it can be determined that the services for the upcoming competition are commercially available, grouped consistently with industry practices, and have garnered interest in the private sector for potential bidding. A streamlined competition may be performed at the locations in accordance with the AFI 38-203 Competitive Sourcing Program.

5. Workload Data and Systems

Workload data and availability of workload systems was determined through the use of a survey provided to each site. Analysis of the surveys indicates that the workload is being collected for all sites for most requirements. However, the workload indicators vary from site to site. Some sites count mail by piece, while others count pounds or containers. We recommend that a standard workload indicator be adopted by all sites.

Express mail log

Metering Machine count

Meter machine fund usage

6. Baseline Costs

The Preliminary Baseline Cost is prepared in accordance with OMB Circular A-76 (May 29, 2003), the DoD Costing Manual, the USAF Commercial Activities A-76 Preliminary Planning Guidebook and the Office of the Secretary of Defense (OSD) Memorandum “Baseline Costing for Public-Private Competitions” (August 4, 2005). The Preliminary Planning Team utilized the required COMPARE software (version 3.2) to calculate costs.

The Preliminary Baseline Cost is based upon the approved final scope report for ten (10) Air Combat Command locations (Barksdale AFB, LA; Davis Monthan AFB, AZ; Dyess AFB, TX; Ellsworth AFB, TX; Minot AFB, ND; Mountain Home AFB, ID; Nellis AFB, NV; Seymour Johnson AFB, NC; Shaw AFB, SC; and Whiteman AFB, MO) that perform the Base Information Transfer Center (BITC) function. This report summarizes the process and results of the Preliminary Planning Baseline Cost effort for the Base Information Transfer Center (BITC), and provides a narrative explanation of data sources and relevance to the Preliminary Baseline Cost. The Preliminary Planning Baseline Costs are calculated for the period of April 1, 2006 to March 31, 2007.

Costing for personnel, materials and supplies were costed in the following manner. Line 1, Personnel cost includes 39 military positions. Line 2, Supplies and Materials were costed based on information gathered from the field. Since the competition has been identified as Streamlined, Line 3, Other Specifically attributable reflects no input regarding contracts because the contracts are not directly related to personnel cost.

The Preliminary Planning Baseline Costs are:

Risks and Assessments

Any competitive sourcing decision carries inherent risks. This table provides an assessment of each risk identified during preliminary planning.

Based on the preliminary planning research and analysis, there is low risk associated with performing a competition for the BITC functions, except for positions that will require security clearances. However, there is a high degree of market interest. Therefore, with sufficient labor availability having been identified, this should be a commonly competed function in both public and private sectors.

Decision

Go decision – On 26 December 2007, after careful review of the findings, assessments and recommendations, ACC determined that the activities within the project scope are viable for competitive sourcing and, upon Air Staff approval, will pursue a streamlined competition (for all locations) under the OMB Circular and the AFCAP-I.