FAR_Part_16_J_A_LSJ_W911RX19F0056_P00008.pdf

Control No:19-F-0056EXT

JUSTIFICATION REVIEW DOCUMENT

FAR PART 16 EXCEPTION TO FAIR OPPORTUNITY JUSTIFICATION

For Actions Exceeding the Simplified Acquisition Threshold (SAT)

Program/Equipment: 1ID Multifunctional Devices (MFDs) for Fort Riley, Kansas

Authority: 10 U.S.C. 3406(c)(2) as implemented by FAR Part 16.505(b)(2)(i)(B) � Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

Amount: $379,404.80

Prepared by: Leah Sauceda-Jeppe Contract Specialist Date: 30 OCT 2024 Email: leah.c.sauceda-jeppe.civ@army.mil

Contracting Officer: Shawn Poyser Contracting Officer Date: 30 OCT 2024 Email: shawn.r.poyser.civ@army.mil

Reviews: I have reviewed this justification and find it adequate to support an exception to fair opportunity.

Date: See Digital Signature

FAR Part 16 Exception to Fair Opportunity Justification Under Multiple Award Indefinite Delivery Contracts

For Actions Exceeding the Simplified Acquisition Threshold (SAT)

1. Contracting Activity: U.S. Army Mission and Installation Contracting Command (MICC)-Fort Riley, 1792 12 Street, Fort Riley, Kansas 66442-4160.

2. Description of Action: 1st Infantry Division (1ID) at Fort Riley, KS requests to extend contract W911RX-19-F-0056 P00008 with Microtechnologies LLC at 8330 Boone Blvd, Ste 600, Vienna, VA 22182-2658. This sole source bridge will extend performance under the existing Firm-Fixed-Price (FFP) contract for 12 months, at an estimated additional cost of up to $379,404.80. The Government projects award of the extension prior to 1 November 2024 with performance through 31 October 2025 and fiscal year 2025, Operations & Maintenance, Army funds will be used. An acquisition plan is not required because this procurement does not meet the threshold at Defense Federal Acquisition Regulation Supplement 207.103(d)(i)(B).

3. Description of Supplies/Services: The 1ID at Fort Riley, KS requires an extension of 12 months for the continued services of MFDs with the ability to reproduce documents with quality and reduce consumable costs. The contract service requirements include all service (including full maintenance) and supplies for a quantity of 200 each color MFD-copier with the technical capabilities of: Floor Standing, Level II, Min.25,000 per month, 30 cpm: CAC/PKI equipped, 512 MB min. EPEAT compliant, Energy Star certified, zoom feature, must have collator, stacker, stapler, binder, Max media size-A4/letter/legal-capable, A3/11X17, Must support cards, envelopes, labels, plain paper to include re-cycled, transparencies-Size-legal, letter, tabloid etc., Color, Color Duplex B/W, B/W duplex. This contract service requirements also include 10 additional relocations in excess of those covered in the Full-Service Maintenance Plan.

There is no change to existing service requirements between the basic contract and additional work to be obtained by the proposed modification except for the extension of performance. The total estimated dollar value of this extension is $379,404.80 over 12 months.

Extension Period: 01 NOV 202 � 31 OCT 202 Value: $379,404.80

Total: $379,404.80

4. Authority Cited: 10 U.S.C. 3406(c)(2) as implemented by FAR 16.505(b)(2)(i)(B) � Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

5. Reason for Authority Cited:

a. As described at FAR 16.505(b)(2)(i)(B), only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized. Microtechnologies LLC, the incumbent contractor, is the only known source capable of satisfactorily providing services at the required full performance level for the performance period for which this award is being requested.

b. Alternatives: There are four possible alternatives � three of which would not satisfy the need underlying the requested award. Only the fourth alternative, a sole source award to the current contractor under Other than Full and Open Competition, fully meets the need and is the most beneficial to the Government.

1) Suspension of Services: Suspension of services is not a viable option. It would require the MFDs equipment and supplies to be removed from each 1ID unit building as well as force 1ID soldiers to seek other avenues of mission critical functions. The logistics and manpower required to remove the 200 MFDs during a period of suspension until a resolution is reached would be costly and may deter unit leadership from utilizing their duty hours for training purposes. More importantly, removing needed equipment from 1ID could result in disgruntled soldiers and lead to a deterioration in morale. Suspending the services (to include the maintenance of machines and ability to relocate the MFDs on post) without a clear return or cease date would also result in further breakdown of public trust between the Government and industry.

2) Use of In-House Resources: Any existing printers on Fort Riley are antiquated and significantly raise costs related to obtaining necessary supplies such as paper, ink, and more. Existing and outdated printers at Fort Riley were proven to be a historical issue costing the Government several hundreds of thousands of dollars per year for unit level reproduction equipment and materials at the time the requirement was identified. This was a main driving force in implementing the requirement in FY 2019. Further, there is no guarantee that any existing in-house resources would have the same capabilities needed for 1ID as listed previously in Section 3 of this document such as collator, stacker, stapler, binder, page size requirements, and more. The use of existing printers would also result in additional costs and efforts to locate, use, and perform quick turnaround maintenance on any existing printers.

3) Award a New Competitive Contract: It is neither cost effective nor realistic to expect another contractor to perform services at the level currently being provided by the incumbent contractor for the period of performance for which the sole source extension is being requested. A new competition would take time and significant effort (including the suspension of performance from the incumbent contract that includes necessary procedures and guidance from MICC) on top of the full acquisition lifecycle timeframe to solicit and award a competitive contract for the contract office to complete. A new competitive contract would require a suspension of services and would lead to the issues previously listed in alternatives 1 and 2. Further, there is no guarantee that a new contractor could smoothly transition their equipment in each unit building including obtaining base access, transporting supplies, and providing quality equipment to the Government before 1 NOV 24. Further, the new contractor may not provide the same next day support services available for the repair and replacement of the MFDs or warranty work as currently being done by the incumbent contractor.

4) Award an Extension to the Current Contract: The incumbent contractor, Microtechnologies LLC, is performing MFD services consistent with the requirement and already possesses the personnel, equipment, and capital necessary to continue providing these services over the abbreviated period of performance without incurring start-up costs or additional costs to maintain this performance. There is an established relationship among the incumbent contractor with the Fort Riley NEC as well.

d. Impact if justification not approved: Each unit within the 1ID houses the leased MFDs in their respective buildings and each unit performs functions that benefit the 1ID.

Each unit would be forced to delay their administrative functions until the award of a contract is in place or attempt to find other solutions that will prove to be costly, redundant, and disorganized. The amount of time attempting to find other MFDs with the needed technical capabilities will be taken from training and duty hours that each soldier partakes in each day. Delays in information and communication among units and in the 1ID could result in unintended consequences such as OPSEC risks. Without accessible and quality MFDs in each unit building of the 1ID, the following may occur:

(1) information traveling among soldiers without the need-to-know, (2) reproducing documentation from external sources outside of Fort Riley that may or may not be classified, (3) mishandling of Army mandated resources and information, and/or (4) relying on personal technology to share, copy, and scan documents threatens the security of each document. Further, the critical ability of the 1ID to reproduce documents allows for training resources, critical communication, and other mission essential details to be distributed among soldiers in a formidable way. Thus, if each unit lost the ability to reproduce documents with quality while also reducing consumable costs, it will result in ceasing/serious delay of critical functions performed by each unit which will result in weakening of the 1ID. Failure to favorably endorse this justification and approval and the subsequent loss of these services is contrary to the interest of the Government.

6. Actions to Increase Competition: As indicated above, this is an extension of a bridge contract to ensure uninterrupted MFD services performed for Fort Riley 1ID.

7. Market Research: As mentioned earlier, the requirements at the time of acquisition planning detailed a �base plus 4 option year (60 months) contract including all service and supplies for a quantity of 200 Each. MFD-copier, Floor Standing, Level II, Min.

25,000 per month, 30 cpm: CAC/PKI equipped, 512 MB min. EPEAT compliant, Energy Star certified, zoom feature, must have collator, stacker, stapler, binder, Max media size A4/letter/legalcapable, A3/11X17, Must support cards, envelopes, labels, plain paper to include re-cycled, transparencies-Size-legal, letter, tabloid etc., Color, Color Duplex B/W, B/W duplex. Full maintenance included. Response time for service calls to 8 Hours per SOW, 5.1.6.7. Performance threshold of 90% per Technical Exhibit I page 31 of SOW.� The original contract specialist and contract officer determined the contract would be awarded to the lowest priced technically acceptable after determination of responsibility and responsiveness. Additionally, at the time of contract origination for W911RX-19-F-0056, Army organizations were required to use guidance of AFARS 5139.101-90(a)(1) which stated, �The Army�s Computer Hardware, Enterprise Software and Solutions (CHESS) program, under the Program Executive Office Enterprise Information Systems, is the mandatory source for commercial information technology (IT) hardware and software purchases.� The subsequent CHESS search for MFDs found that Microtechnologies LLC offer with total proposed price of $1,737,840.00 fully met the requirements of the service unlike the other two contractors located in CHESS.

The other two contractors that responded were (1) Government Acquisitions, Inc. with a total proposed price of $2,211,720.00, and (2) Intelligent Decisions, Inc. with a total proposed price of $1,328,489.00. In addition to the nature of the services needed, this requirement could not be fulfilled through DLA due to fiscal constraints and DLA backlog and determination. Further, DLA allows tactical units an exception to their use and 1ID is considered a tactical unit. The previous original contracting officer determined the use of leasing MFDs versus purchasing MFDs proved to be cost favorable to the Government. See section �Pre-Award� in Paperless Contract File for W911RX-19-F- 0056 for more.

8. Other Facts: As noted below, the procurement history reflects current contract W911RX-19-F-0056 which was awarded to Microtechnologies LLC on 01 February 2019. There are no other contracts in local or MICC procurement history that reflect the same exact requirements needed.

a. Procurement History:

Contract: W911RX-19-F-0056 Contractor: Microtechnologies LLC Award Date: 01 February 2019 Competitive Status: Other than full and open competition Authority: FAR 6.302-2

9. Technical Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Date: See Digital Signature

10. Requirements Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Date: See Digital Signature

11. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable.

This determination will be made using the following: cost analysis price analysis should cost IGCE audit: identify the audit type other: comparison to pricing that was determined fair and reasonable previously for the same or similar requirements for this installation

As a part of this basis, certified cost or pricing data:

will be required.

will not be required and the following exception applies (FAR 15.403):

Prices that will be agreed upon are based on adequate price competition.

Prices that were established during the original competition that are not subject to negotiation.

A commercial item is being acquired.

A waiver has been granted by the head of the contracting activity (HCA) in accordance with DFARS PGI 215.403-1.

The contract action is a modification to a contract or subcontract for commercial item(s).