Final_Redacted.pdf

DEFENSE LOGISTICS AGENCY

ENERGY

8725 JOHN J. KINGMAN ROAD

FORT BELVOIR, VIRGINIA 22060-6222

SOURCE SELECTION INFORMATION - SEE FAR 2.101 AND 3.104

October 12, 2016

<17-0006>

Justification for Other than Full and Open Competition

1. Introduction (FAR 6.303-2(b)(1):

The Defense Logistics Agency – Energy, a subcomponent of the Department of Defense, plans to contract by means of other than full and open competition. This document sets forth the justification and approval for use of one of the exceptions to other than full and open competition allowed under Competition in Contracting Act (CICA) of 1984. Contract , awarded to is set to expire October 31, 2016. DLA- Energy hereby submits justification in accordance with FAR 6.302-1.

The period of performance will be November 1, 2016 – April 14, 2017, with and estimated contract value increase of $111,200 from $1,296,323.99 to $1,407,523.99.

2. Nature and/or description of the action being approved (FAR 6.303-2(b)(2):

Contract will be extended for a period of five month and 14 days via mutual agreement with , as a bridge until a follow-on contract can be awarded using competitive procedures as

The current bid sheet prices will remain the same as that of the last option period. The bridge contract is needed for continued CONUS Lab testing service operations within multiple CONUS locations. Fiscal year 2017 Defense Working Capital Funds will be allocated for the bridge contract.

3. Description of supplies or services required to meet the agency’s need (including estimated value) (FAR 6.303-2(b)(3):

for the period of November 1, 2016 – April 14, 2017.

. A further requirement of the award includes system calibration equivalent of ISO 10012-1 Quality Assurance Requirements for Measuring Equipment and requirements for ISO 17025 General Requirements for the Competence of Testing of Calibration Laboratories. Additionally, 15 locations are required to perform secure testing in accordance with set testing handling procedures. All samples tested will be documented with a detailed report which reflects standardized American Petroleum Institute/Institute of Petroleum (API/IP) format when available. Total cost is estimated not to exceed $111,200 and will allow

Justification for Other than Full and Open Competition (Cont’d)

4. Identification of the statutory authority permitting other than full and open competition (FAR 6.303-2(b)(4)):

This J&A is based upon the authority of 10 U.S.C. §2304(c)(1), as implemented by Federal Acquisition Regulation (FAR) 6.302-1. The services required by the agency are only available from one responsible source and no other type of services will satisfy agency requirements. More specifically FAR 6.302-1(a)(2); when the supplies or services required by the agency are available from only one responsible source, or, for DoD, NASA, and the Coast Guard, from only one or a limited number of responsible sources, and no other type of supplies or services will satisfy agency requirements, full and open competition need not be provided for.

5. Demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited (FAR 6.303-2(b)(5)):

Extending the term of this contract will allow to continue providing is uniquely qualified to handle the

A follow-on solicitation for CONUS Lab services, , was issued on June 09, 2016. Offers received prior to the closing were evaluated but all were found unacceptable. After initial evaluations, review of the solicitation by the program office, specifically the testing requirements within the PWS, highlighted that a revision was needed for clarity and deletion of duplicated requirements. Currently, the PWS revisions are in final review for an amendment to the current solicitation. As a result, the follow-on procurement has been unexpectedly delayed.

Although its proposal in response to the follow-on solicitation was also unacceptable, is dor currently providing services successfully to the 18 sampling locations needed to support 25 different DFSPs; therefore, making them the only responsible source available to provide the testing and sampling services to satisfy DLA requirements. Without assurance of on-specification products as required by Military Standards and commercial standards cited in supporting contracts, The new period of performance will remove all obstacles to award the follow on contracts for the requirement within the 5 month 14-day period.

6. Description of the efforts made to ensure that offers are/were solicited from as many potential sources as is/was 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 (FAR 6.303- 2(b)(6)):

DLA-Energy FESBC posted solicitation for the CONUS laboratory requirement on FedBizOpps on June 09, 2016, and it remained open for 34 days.

DLA-Energy FE Quality team reviewed each offer and determined there is adequate competition to provided services for the CONUS Labs requirement. However, all of the offers were determined to be technically unacceptable. Prior to the posting of the solicitation, a Sources Sought was posted on March 22, 2016 to identify potential sources and promote competition small business participation.

During the solicitation phase efforts were made to open all questions received and provide clarity to the posted requirement. Three amendments were posted. Amendment 0001 was posted on June 15, 2016 to revise the PWS. Amendment 0002 posted on June 29, 2016 to answer questions and provide clarity to vendor submitted questions. Amendment 0003 was posted on July 11, 2016 to extended the solicitation due date as the result of further changes in the PWS.

Each effort was made address vendor concern and provide clarity in hopes to ensure acceptable offers would be submitted prior to the closing date.

7. Determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable (FAR 6.303-2(b)(7)):

The total estimated value for a five month and 14-day bridge contract is $111,200.00. Current contract prices will remain in effect for the bridge contract period. Market Research conducted at option year yielded 50% increase in vs. current contract price, as well as a 51% increase in secure fuel prices in comparison to current contract prices. In addition, at the execution of the last option year a 32% cost savings was negotiated in the transportation CLINs for multiple locations. The Contracting Officer has determined the current contract prices are fair and reasonable and will extend through the bridge contract.

8. Description of the market research conducted and the results or a statement of the reason market research was not conducted (FAR 6.303-2(b)(8)):

Market research was conducted by DLA-Energy FESBC and the DLA-Energy FN Market Research to identify available sources and to evaluate the availability of the marketplace to meet the requirement as follows:

DLA-Energy’s Market Research office identified 24 available sources that could provide services for the requirement. In addition, DLA-Energy FESBC identified 37 potential vendors that were able to provide services for the requirement. From the identified sources only 6 responded to the solicitation expressing interest in the posted requirement. Based on these market research results, the Government has determined that there is a limited number of interested vendors. Based on the submitted proposals, it was determined that none of the offerors demonstrated the capabilities to successfully provide services without causing a break in service and a financial burden incurred by not using stored fuel at operational DFSP’s.

9. Any other facts supporting the use of other than full and open competition, such as (FAR 6.303-2(b)(9):

The contract bridge contract is necessary to

An open competition to complete the work would cause intolerable delay to the laboratory service contract and pose a break in service to the Government.

(i) Explanation of why technical data packages, specifications, engineering descriptions, statements of work, or purchase descriptions suitable for full and open competitor have not been developed or are not available.

Not applicable.

(ii) When 6.302-1 is cited for follow-on acquisitions as described in 6.302-1(a)(2)(ii), an estimate of the cost to the Government that would be duplicated and how the estimate was derived.

Not applicable.

(iii) When 6.302-2 is cited, estimated cost, or other rationale as to the extent and nature of the harm to the Government.

Not applicable.

10. A listing of the sources, if any, that expressed, in writing, an interest in the acquisition (FAR 6.303-2(b)(10):

A solicitation, , for the follow-on CONUS Lab testing requirements was issued on FedBizOpps on June 09, 2016, requesting parties express their interest in writing to the Contracting Officer.

11. Actions that may be taken to remove or overcome barriers to competition before any subsequent acquisition for the supplies or services are required (FAR 6.303-2(b)(11)):

No further barriers are obstructing competition. The Government has a current solicitation that will ensure award utilizing full and open competition by the time this bridge contract expires.

Awards will be made via negotiation at a fair and reasonable price.

I hereby certify that the data which forms the basis for this justification is accurate and complete to the best of my knowledge and belief.

Contracting Specialist Date:

I hereby certify that the data which forms the basis for this justification is accurate and complete and that the purchase request covers only the minimum requirements to satisfy the needs of the Government.

Chief, DQA Quality Operations Division

I have reviewed and concur with this Justification

Assistant Counsel DLA Counsel-Energy

Approved:

Contracting Officer