signed_JA_-_12918_Hardies_JA_thru_31_Aug_18.pdf

Control Number: HDEC02-17-09 Amendment 0002

Signature: MCDOUGAL.RHONDA.V.1229535605 Date: DN:

JUSTIFICATION REVIEW DOCUMENT

Description of Acquisition: Modification P00017 to extend the contract performance period for HDEC02-11-D-0010 with Hardies Fruit and Vegetables Company, to provide uninterrupted delivery of fresh fruits and vegetables to thirty-three (33) commissary store locations assigned to the Defense Commissary West Area.

Statutory Authority: 10 U.S.C. §2304 (c) (1)/FAR 6.302-1(a) (2)

Performance Period: March 1, 2018 – August 31, 2018

Estimated Contract Amount:

Prepared By: Star Skelton Contract Specialist Phone: 804-734-8000 X86359 Date/Initials: 1/29/18/SLS

Technical: Tracie Russ Director, Sales Phone: 804-734-8000 X48855 Date/Initials:

Requirements: Tracie Russ Director, Sales Phone: 804-734-8000 X48855 Date/Initials:

PCO: Kimberly A. Cooper Contracting Officer Phone: 804-734-8000 X48920 Date/Initials: 1/29/2018/kac

Required Review Signatures: We have reviewed this J&A and find the justification adequate to support other than full and open competition.

Program Manager: Tracie Russ Phone: 804-734-8000 x48855 Signature: Date:

Legal Counsel: Brian M. Lucero Phone: 804-734-8000 x48207 Signature:

Digitally signed by LUCERO.BRIAN.M.1171623010 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=LUCERO.BRIAN.M.1171623010 Date: 2018.01.30 15:32:07 -05'00' Date:

Division Chief: Rhonda V. McDougal Phone: 804-734-8000 x48893

Digitally signed by MCDOUGAL.RHONDA.V.1229535605 c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=MCDOUGAL.RHONDA.V.1229535605 Date: 2018.01.30 09:13:04 -05'00' 1/29/18

J&A Original Amount: $12,731,769.68 Amendment 0001 Amount: $ 9,094,120.00 Amendment 0002 Amount: $10,912,944.00

TOTAL $32,738,833.68

LUCERO.BRIAN.M.1171623010

russt Stamp russt Stamp russt Typewritten Text 1-31-2018

Typewritten Text ou=DECA, Competition Floyd Kirkland Phone: 804-734-8000 x86223 KIRKLAND.FLOYD.L.JR.106 Digitally signed by KIRKLAND.FLOYD.L.JR.1067833224 Advocate: Signature: 7833224 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, cn=KIRKLAND.FLOYD.L.JR.1067833224

Date:

Date: 2018.01.29 16:11:59 -05'00' January 29, 2018

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Office – Defense Commissary Agency (DeCA), Resale Contracting Division (LEAR), 1300 E. Avenue, Fort Lee, Virginia 23801-1800

2. Type of Contract Action – Modification of contract HDEC02-11-D-0010 with Hardies Fruit and Vegetable Company. The proposed modification will extend the period of performance six

(6) months from March 1, 2018 to August 31, 2018. The contract type is a requirements contract. The Resale Stock Fund Activity, Defense-Wide Working Capital Fund provides funding.

3. Description of Supplies/Services – This action will provide fresh fruits and vegetables for resale in thirty-three (33) commissary store locations within the West Area of the Defense Commissary Agency (DeCA). The proposed six (6) month modification would increase the estimated contract value by $$10,912,944.00 for a new total estimated contract amount of $32,738,833.68 and extend the contract performance period until August 31, 2018. The estimated contract extension amount was derived from the estimated quantities of High Volume Core Items (HVCI) that are expected to be delivered to the 33 commissary store locations between March 1, 2018 and August 31, 2018. ($1,818,824 x 6 months = $10,912,944.00).

4. Authority Cited - 10 U.S.C. §2304(c)(1), in accordance with FAR 6.302-1(a)(2), only one responsible source and no other supplies and services will satisfy Agency requirements.

5. Reason for Authority Cited - Contract HDEC02-11-D-0010 will expire on February 28, 2018. Only the incumbent contractor can provide full uninterrupted service to the commissaries until the new award is in place.

Solicitation HDEC02-16-R-0003 was issued on May 30, 2017 and was extended indefinitely due to the receipt of questions from the potential offerors in regards to the requirement. These questions required coordination with Sales and Store Operations and is an ongoing review of responses that will result in a solicitation amendment.

Additional time is required for review of the amended solicitation by the Program Manager and the Division Chief. Once finalized, the amended solicitation will be issued in FBO with a projected closing date of February 28, 2018. Sufficient time will be needed for technical evaluations for all offers received, conduct negotiations, if required, document the decision, and to complete Agency level contract reviews, conduct senior management briefings/approvals, execute contract award, and allow for approximately 45-60 day startup period for the contract awardee(s). The projected award date is June 28, 2018, with a performance start date of September 1, 2018.

In the absence of a contract extension, the availability of fresh fruits & vegetables will cease in the commissaries covered under this contract and the service member will be denied their commissary benefit provides to them by statute under 10 USC §2481 and 10 USC §2484. The commissary benefit is the cornerstone of the military quality of life and it is essential that DeCA provides an operational commissary. Fresh fruit and vegetables products are an essential part of our patron’s daily diet and the loss of these products would negatively impact DeCA’s mission to provide for the military and their families.

Hardies Fruit and Vegetable Company has been performing this contract successfully for over five years, providing products that conform to the contractual requirements, terms and conditions. They have systems in place to continue uninterrupted service. Hardies Fruit and Vegetable Company is the only source available that has the necessary infrastructure to provide uninterrupted service in accordance with federal, state and agency requirements to the DeCA commissaries for this extension period.

6. Efforts to Obtain Competition –A sources sought notification was not issued for this requirement due to the fact that a contractor would not be capable of providing service for only a six (6) month period. Support of this effort requires contractors to stage inventory in produce facilities so that the demands of the commissaries can be met on a weekly basis. Any new contractor would require approximately 30-60 days to order and stage these requirements. In order to ensure continuity of service, the requirement to post a sources sought notice is waived by the Head of the Contracting Activity as allowed by DFARS/PGI 206.302-1.

The Justification and Approval (J&A) will be available for public inspection after the completion of the contract modification in accordance with FAR 6.305.

7. Fair and Reasonable Cost Determination and Contracting Officer Certification - The Contracting Officer has determined that the anticipated cost to the Government for the contract modification for the six (6) month extension will be fair and reasonable based on the Market Basket Pricing Surveys which monitors the minimum percentage of patron savings on all core items over the selling price of the same or similar items from comparable commercial supermarkets within a 20 –mile radius of the commissary location. The incumbent contractor has agreed to continue meeting the minimum percentage of patron savings required under the proposed contract performance extension.

8. Market Research and Interested Sources – The Contracting Officer has determined that sources from the previous acquisition history, Google searches, the Small Business Administration Dynamic Search Database, FPDS-NG, will be used to support and document market research for the follow-on requirement. A pre-solicitation notice was published on the FedBizOpps website in June 2016, identifying the government’s intent to procure fresh fruit and vegetable products for the thirty-three (33) commissaries within the West Area covered under the subject contract.

9. Actions to Increase/Foster Competition - It is anticipated that the follow-on acquisition will be solicited on a full and open competition basis.

10. Other Factors – Not applicable.

11. Locations Covered Under Contract HDEC02-11-D-0010:

Area 2, Group1 Area 2, Group 2 Ellsworth AFB, SD Corpus Christi NAS, TX Fort Carson, CO Dyess AFB, TX Buckley AFB, CO Ft bliss, TX USAF Academy, CO Ft Hood 1, TX Peterson AFB, CO Ft Hood 2, TX F.E. Warren AFB, WY NAS Ft Worth, TX Offutt AFB, NE Goodfellow AFB, TX Ft Leavenworth, KS Holloman AFB, TX Ft Riley, KS Kingsville NAS, TX McConnell AFB, KS Lackland AFB, TX Altus AFB, KS Laughlin AFB, TX Cannon AFB, KS Randolph AFB, TX Sheppard AFB, TX White Sands, NM Tinker AFB, OK Ft Sam Houston, TX Vance AFB, OK Ft Sill, OK Kirtland AFB, NM Minot AFB, ND Grand Forks AFB, NB

COOPER.KIMBERLY.A

.1229658227

Digitally signed by COOPER.KIMBERLY.A.1229658227 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=COOPER.KIMBERLY.A.1229658227 Date: 2018.01.29 17:06:33 -05'00'

Technical Certification:

I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Name: Tracie Russ Signature:

Title: Director, Sales Date:

Requirements Certification:

I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Name: Tracie Russ Signature:

Title: Director, Sales Date:

Fair and Reasonable Price Determination and Contracting Officer Certification:

I hereby determine that the price for this contract action will be fair and reasonable. I certify that this J & A is accurate and complete to the best of my knowledge and belief.

Name: Kimberly A. Cooper Signature:

Contracting Officer Date:

1/29/2018

Typewritten Text 1-31-2018 russt Typewritten Text russt Typewritten Text 1-31-2018

APPROVAL

Based on the foregoing justification, I hereby approved the procurement of the continuation of deliveries of fresh fruit and vegetables for the 33 commissaries covered under contract HDEC02- 11-D-0010 for a 6-month contract performance extension, March 1, 2018 – August 31, 2018 on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c)(1), provided funds are available, or will be available, and provided that the services and products herein described have otherwise been authorized for acquisition.

APPROVED:

Signature:

Lawrence P. Hahn Head of the Contracting Activity Defense Commissary Agency

Date:

hahnlp

08 Feb 2018