HHSP233201600036I__M0007_JA_REDACTED.pdf

1. Identification of the agency and contracting activity.

a. Federal agency and contracting activity.

Department of Health and Human Services Program Support Center Acquisition Management Services

b. Requiring activity.

Department of Defense Defense Travel Management Office (DTMO) 4800 Mark Center Drive, Suite 04J25-01 Alexandria, VA 22340

c. Requiring Activity Point of Contact (POC) information.

Mr. David Poirier, Chief, Contracts Branch 4800 Mark Center Drive, Suite 04J25-01 Alexandria, VA 22340 david.b.poirier.civ@mail.mil 571-372-1199

Nate Dowdle Contracting Officer Representative Defense Travel Management Office 4800 Mark Center Dr., Suite 04J25-01 Alexandria, VA 22350-9000 Phone: (571) 372-1184

2. Nature and/or description of the action being approved.

a. Acquisition purpose and objectives.

The purpose of this Justification and Approval (J&A) is to justify the modification of contract HHSP233201600036I to extend the period of performance an additional six (6) months for continued support by the incumbent in providing official travel management services for Defense Travel Area 11 (DTA 11); Army & Air Force Exchange Service (AAFES) and Navy Exchange Command (NEXCOM) CONUS and OCONUS locations.

b. Project background.

The DTMO requires the continuation of official travel management and related additional services on a point of sale basis for Department of Defense (DoD) mailto:david.b.poirier.civ@mail.mil travelers assigned to DTA 11 AAFES and NEXCOM CONUS and OCONUS locations.

These contract services are currently awarded to the incumbent contractor:

Vendor: Omega World Travel Contract #: HHSP233201600036I Period of Performance: 01 March 2016 to 31 August, 2018 Contract Amount: Estimated: $522,762.76 Competition Type: IDIQ Sole Source

The incumbent contract was awarded by the U.S. Department of Human Health Services (HHS) Program Support Center. In the summer of 2011, Army Contracting Command – National Capital Region (ACC-NCR) informed the DTMO that their organization was directed to re-focus their support on core Army customers and would no longer provide contracting support to Non-Army customers. Additionally, ACC-NCR formally announced their closure, effective July 2013, making continuation of any existing support impossible.

HHS issued the current bridge contract on March 1, 2016 to provide ample time to re-compete the DTA 11 requirement on a full and open basis to the entire vendor community. An extension to DTA 11’s commercial travel services is necessary due to the current backlog of TMC contracts needing new awards caused by multiple protests on similar DTMO Commercial Travel procurements and a change in the procurement approach from an Indefinite Delivery/Indefinite Quantity (IDIQ) to a Blanket Purchase Agreement (BPA for future travel service contracts.

The estimated base value of this proposed action is $128,437.50, bringing the new estimated value of this contract to $651,200.26.

3. Description of the supplies or services required to meet the agency’s needs (including the estimated value).

a. Project title.

Commercial travel services for Defense Travel Area 11 (DTA 11) AAFES and NEXCOM CONUS and OCONUS locations.

b. Project description.

The DTMO requires continued support by the incumbent in providing official travel management services for Defense Travel Area (DTA) 11, AAFES and NEXCOM CONUS and OCONUS locations.

These TMC services are to support official travel activities of authorized DoD travelers who are under the authority of the referenced locations. Official travel is travel (e.g., TDY, PCS, evacuation, travel by Reserve Component members, and civilians on invitational travel orders) in connection with official business of the United States Government and performed under orders at the expense of federal appropriated funds. These TMC services shall be provided using both traditional methods, such as reservations and ticketing for all modes of travel, commercial lodging reservations, rental car arrangements, ticket delivery, and support services, in addition to automated methods using the Defense Travel System (DTS) web portal.

• Requirement type.

Research & development (R&D) R & D support services Support services (non-R&D) Supplies/equipment Information technology (IT) Construction Architect-engineer (A & E) services Design-build Other (specify): ____________________

• Proposed contract/order type.

Firm-fixed-price Other fixed-price (specify, e.g., fixed-price award-fee, fixed-price incentive-fee): __________ Cost-plus-fixed-fee Other cost reimbursement (specify, e.g., cost-plus-award-fee, cost-plus-incentive-fee): ___________ Time and materials Indefinite delivery (specify whether indefinite quantity, definite quantity, or requirements): IDIQ Other (specify): ___________ Completion Form Term form

• Acquisition identification number.

HHSP233201600036I_M0007

c. Total estimated dollar value and performance/delivery period.

The estimated base value of this proposed action is $128,437.50 with a period of performance of Sept 1st 2018 through Feb 28th 2019. The estimated base value of this proposed action is $128,437.50, bringing the new estimated value of this contract to $651,200.26.

4. Identification of the statutory authority permitting other than full and open competition.

Federal Acquisition Regulation (FAR):

6.302-1 Only one responsible source and no other supplies or services will satisfy agency requirements. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(1) or 41 U.S.C.

3304(a)(1).

6.302-2 Unusual and compelling urgency. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(2) or 41 U.S.C. 3304(a)(2).

6.302-3 Industrial mobilization; engineering, developmental, or research capability; or expert services. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(3) or 41 U.S.C.

3304(a)(3).

6.302-4 International agreement. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(4) or 41 U.S.C.

3304(a)(4).

6.302-5 Authorized or required by statute. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(5) or 41 U.S.C. 3304(a)(5).

6.302-6 National security. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(6) or 41 U.S.C.

3304(a)(6).

6.302-7 Public interest. This acquisition is conducted under the authority of United States Code (U.S.C.) 10 U.S.C. 2304(c)(7) or 41 U.S.C. 3304(a)(7).

13.501(a)(1)(ii) Sole source, including brand name, under Simplified

Procedures for Certain Commercial Items. This acquisition is using this justification format, modified to reflect that the procedures in FAR subpart 13.5 were used in accordance with 41 U.S.C. 1901 or the authority of 41 U.S.C. 1903.

5. Demonstration that the proposed contractor(s) unique qualifications or the nature of the acquisition requires use of the authority cited.

a. Name and address of the proposed contractor(s).

Omega World Travel, Inc.

3102 Omega Office Park, Suite 1 Fairfax, VA. 22031-2400

b. Demonstration that the proposed contractor(s) unique qualifications or the nature of the acquisition requires use of the authority cited.

The incumbent, Omega World Travel is able to provide uninterrupted travel services immediately for the continued provision of highly specialized services when it is likely that award to any other source would result in unacceptable delays in fulfilling DoDs requirements.

The TMC support services currently provided to the Government by Omega World Travel is unique and highly specialized due to the requirement of familiarity with extensive travel regulations, including, the Joint Travel Regulations (JTR), the Defense Travel Management Regulation, and local Business Rules developed by each site that DoD travelers are required to follow. The TMC must have knowledge of these regulations and Business Rules to ensure that traveler’s reservations are managed correctly. Further, this knowledge must be utilized on day one of the period of performance. The requirement does not allow for a learning curve.

In addition, DoD travelers often use a centrally billed account (CBA) to pay for travel.

The Contractor provides assistance in reconciling these accounts monthly. The procedures for reconciling vary by service and also require knowledge of the procedures in place by the Defense Finance and Accounting Service (DFAS). This is unique requirement to DoD that is not part of the travel requirements for the rest of the Federal government. DoD travelers are mandated to use the Defense Travel System (DTS) to book all TDY travel, which also requires familiarity by the Contractor.

Further, the Contractor must be prepared to ramp up and support DoDs requirements immediately upon Government notification to support surge requirements. Surge support is somewhat specific to DoD and responds to contingencies including, but not limited to, national emergencies, accident investigations, aircraft recovery teams, evacuations, rescue operations, EXODUS travel, civil disturbances, disasters, military peacetime and wartime contingency operations, exercises, personal emergencies, holiday travel and mass causalities (human remains). Historically, the incumbent has provided satisfactory support in this area with immediate response and the ability to continue consistent services to all activities under the contract. This validated that they have the resources needed to maintain continuity services to both the event at hand and normal day-to-day-operations at all sites on contracts.

It is imperative that these TMC services be continued with the incumbent. Awarding to any source other than the incumbent will impact the continued provision of highly specialized services. It is likely that award to any other source would result in unacceptable delays in fulfilling the agency’s requirements. Further significant negative impact to critical agency operations are a concern should continuity of services be impacted by awarding to other than the incumbent. To ensure that TMC services for the DTA 11 AAFES and NEXCOM CONUS and OCONUS locations are uninterrupted, TMC services must be obtained from the incumbent TMC provider, Omega World Travel, Inc.

Omega World Travel Inc. has successfully provided these services to date and is the only vendor that can meet the extension requirement without substantial disruption to DoD travel. Historically, after competition and source selection, the TMC vendor will require approximately 60 days to transition from the incumbent TMC to a new TMC provider for CONUS locations. During this transition period, the following activities typically take place: request and receive a Billing and Settlement Plan (BSP) and Airline Reporting Corporation (ARC) number to issue tickets if required, which can take up to eight weeks; hire new personnel; organize and arrange telecommunication connectivity with the installation; request and receive a Pseudo City Code (PCC) if required, which can take up to six weeks to obtain; install a Global Distribution System (GDS); submit Passenger Name Record (PNR) validation worksheet with the active PCC to the DTMO 30 days prior to the contract start date; and obtain new Centrally Billed Account travel charge cards.

DoDs travel volume for these DTA 11 AAFES and NEXCOM CONUS and OCONUS locations are substantial and critical to “day to day” mission related activities. During FY 17, approximately 9663 air and rail tickets were booked through the incumbent TMC provider for these DoD Sites. This equates to an average of approximately 805 tickets per month. There is no ready means for DoD to arrange travel of this volume without the aid of TMC provider. Consequently, failure to continue TMC service would be a substantial hardship to DoD and would result in immediate and significant hard warfighter operations, all of which is unacceptable to the department.

6. Description of efforts made to ensure that offers are solicited from as many potential sources as is 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.

No contractor but the incumbent is capable of accomplishing the work without incurring undue injury and hardship that would be caused by delays and unacceptable disruptions in service. It is imperative for the continued provision of highly specialized services to all DoD activities under this contract to avoid unacceptable delays in fulfilling the agency's requirements.

The new solicitation will again be a competitive requirement advertised on FedBizOpps.gov.

However, the extension is required due to insufficient amount of time to complete the re-compete. The incumbent contractor is the only vendor positioned to accomplish the work without incurring a disruption in service and impacting DoD’s warfighter readiness.

The extension is being issued for the shortest time possible to allow the posting of the new solicitation for these services. The new solicitation was synopsized through FBO on 16 May 2018, with an anticipated release date of 26 September 2018.

7. Determination by the Contracting Officer that the anticipated cost/price to the Government will be fair and reasonable.

This is an extension to current point of sale (POS) IDIQ contract HHSP233201600036I. The estimated value is based off the current fee per transaction that was found to be fair and reasonable in the previous contract. If necessary, a price analysis will be conducted on the proposed pricing in accordance with FAR 15.404-1(b)(2)(ii) which allows for comparison of proposed prices to historical prices. As this is a commercial service requirement, we are not requiring certified cost or pricing data.

8. Description of the market research conducted (see FAR Part 10) and the results, or a statement of the reasons market research was not conducted.

This is a sole source requirement to the incumbent Omega World Travel. Omega World Travel is not the only company capable of performing these services, they are however the only company capable of providing continued provision of highly specialized services when it is likely that award to any other source would result in unacceptable delays in fulfilling DoD’s requirements. Other vendors would not be able to perform the services required without unacceptable delays, as they would not have time to get their operation up and running in time, as it typically takes 60 days to transition a new vendor in. The transition process typically involves interviewing agents to hire, sites visits, equipment purchase/delivery, coordination the transfer of phone lines and internet.

This sole source contract will allow HHS the time for reposting of the RFP for these services, allow for the 60-day transition period, and potential protest disposition whilst ensuring no detrimental loss of service to DoD cause by unacceptable delays and service disruptions.

9. Any other facts supporting the use of other than full and open competition.

Providing uninterrupted travel services for the benefit of these sites is critical in sustaining the effort of DoDs civilian staff and preventing the possibility of stranded personnel. The lack of TMC services would severely limit the ability of DoD to meet mission requirements causing both injury and hardship.

A period of 6 months will be just sufficient to allow for solicitation, evaluation, and award of the follow on requirement, which is will be solicited for competition. The requirement includes a transition period of 60 days. With this transition period and the time needed to conduct the solicitation effort, an extension shorter than 6 months is not advisable.

10. Listing of sources, if any, that expressed, in writing, an interest in the acquisition.

It is anticipated that competition will be obtained from the solicitation that is anticipated to be released in late September on FBO due to the questions received from an earlier solicitation that was issued on FBO for this requirement. The earlier solicitation was cancelled due to several changes in the requirements package and a change in the procurement approach.

11. Statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the required supplies or services.

HHS is currently in the process of preparing a full and open solicitation that will include commercial travel services for DOD’s AAFES and NEXCOM CONUS and OCONUS offices.