6358.11_Final_JA_revised_Oc_2016_Redacted.pdf

Justification for Other Than Full and Open Competition Under 10 U.S.C. 2304(c)(1) and 41 USC 1901

Only One Responsible Source and No Other Services Will Satisfy Agency Needs

RFQ HSCG85-17-Q-P45005

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by Federal Acquisition Regulations (FAR) Subparts 6.3 Other than Full and Open Competition and

13.5 Simplified Procedures for Certain Commercial Items using the format at 6.303-2 modified to reflect the procedures in FAR Subpart 13.5, the justification for the use of the statutory authority is justified by the following facts and rationale as follows:

(1) Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), Surface Forces Logistics Center (SFLC) proposes to enter into a firm fixed price contract on a basis other than full and open competition.

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

The SFLC has a requirement to dry dock the US Coast Guard Cutter (USCGC) GASCONADE (WLR 75401) a 75 foot class River Buoy Tender and barge for planned maintenance and repair.

The cutter is home ported in Omaha, NE.

The type of action proposed is a firm fixed price contract with an Independent Government Estimate (IGE) of $567,900.00 to include definite and options items utilizing Fiscal Year 2017 Operation and Maintenance (O&M) funding. It is proposed to limit sources based on the information contained in this justification and approval.

(3) Description of Supplies/Services.

This requirement is for the contractor to provide all necessary facilities, materials, equipment, personnel and other such things as necessary to perform dry dock repair services to USCGC GASCONADE. The scope of this acquisition is to dry dock the cutter and complete definite and option work items, as exercised in accordance with the Schedule of Supplies and Services and Work Specification.

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is 10 USC 2304(c) (1) and 41 USC 1901 implemented by Federal Acquisition Regulation (FAR) Subpart 6.302-1 there is only one responsible source and no other services will satisfy the needs of the agency and

13.501 special documentation requirements.

(5) Demonstration that the nature of the acquisition requires use of the authority cited.

FAR 6.302-1, only one responsible source (s) and no other supply or service will satisfy agency needs is appropriate because we are limiting sources based on the geographical restriction and the period of performance. The USCGC GASCONADE is scheduled for planned dry dock repair availability from 10 January 2017 to 28 February 2017. In accordance with LANTAREAINST 3100.1D, the USCGC GASCONADE is restricted to the Western Rivers of the United States, to a transit distance no greater than 1150 river (statue) miles for the cutter’s homeport and no open water transits. WLR tenders are not designed for open ocean or coastal transit due to stability design. As such, there are a limited number of resources that can perform this drydock availability within the geographical restriction.

(6) A description of the efforts made to ensure that offers are solicited from as many potential sources as is practicable.

Two sources sought notices were posted to FedBizOps on 23 June 2016 and again 28 July 2016 to ensure industry understood SFLC was seeking all interested small and large businesses. Three

(3) responses were received. One response was received from , who met the available period of performance and geographical restriction. The second response was received from which is located outside the geographical restriction. The third response was received by , which was within the geographical restriction, but could not meet the period of performance due to the Melvin Price Lock and Dam (more details below).

Three (3) additional dry dock vendors were contacted:

to determine additional interest for this availability. These vendors were not interested in working on this availability and did not have dry docks that were certified to Coast Guard standards.

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

The Contracting Officer will determine that the anticipated price(s) will be fair and reasonable based on historical prices paid/previous awards, and price analysis.

(8) Description of market research.

Market research included a sources sought notice, a review of SFLC’s drydock certification database, along with the contracting officer's previous experience and knowledge of the dry docks in the region. Market research also included internet searches, emails and phone calls to drydock and ship repair vendors found in the Small Business Administration’s (SBA’s) dynamic small business search (DSBS).

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

The cutter cannot transit through the Melvin Price Lock and Dam (north of St. Louis, MO) between November 1 and March 15 of any given year. The period of performance for this availability is from 10 January 2017 to 28 February 2017, making it impossible to drydock at

. The cutter would have transit north of the Lock and Dam prior to November 1 in order to drydock north of St. Louis, MO. Knowing these facts, the geographic restriction and the period of performance was reviewed to see if they could be changed.

Expanding the geographic restriction further would not be economical and would increase risk to the cutter by having to transit more miles. The period of performance could not be changed due to scheduling conflicts with operational needs and the cutter is required back at the station for the spring 2017 season.

(10) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

Although three (3) companies responded stating that they were capable of performing the drydock, only one is available to perform within the geographical restriction and the period of performance. That company is .

As stated above, s responded to the sources sought notice but it has been determined they cannot meet the requirements of the restriction and/ or period of performance.

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

The USCG SFLC will continue to monitor the marketplace for additional commercial ship repair yards in this region and make outreach attempts to increase interest and competition for repair and dry dock requirements in and around the Omaha, NE and St. Louis, MO areas. For future availabilities, changing the period of performance to Spring through Fall may increase the number of vendors capable of performing this type of work; since the colder weather limits some types of work that can be done in that region’s climate. Extending the geographical restriction may increase the opportunity for additional shipyards to compete for this ship repair project.

However, for this requirement the geographical restriction and the period of performance cannot be changed based on schedule and operational needs.