HT0011-21-F-0098 DHA MEDLOG VAM Study LSJ Final signed Redacted.pdf

FOR OFFICIAL USE ONLY - Source Selection Information – See FAR 2.101 and 3.104

DHA PGI 208.405-6, Attachment 1 (06-21-2018)

ATTACHMENT 1

LIMITED SOURCE JUSTIFICATION TEMPLATE

for

Acquisitions Conducted Under Federal Acquisition Regulation (FAR) Subpart 8.4 Federal Supply Schedules

(September 2, 2021)

Limited Source Justification

Federal Acquisition Regulation (FAR) 8.405-6

1. Identification of the agency and contracting activity:

Defense Health Agency Professional Services Contracting Division – Falls Church 7700 Arlington Boulevard Falls Church VA 22042

The Defense Health Agency, Contracting Office - Falls Church (CO-FC), plans to place an order, on a limited source basis, against a General Services Administration (GSA) Federal Supply Schedule (FSS) contract.

2. Nature and/or Description of Action being approved: This is a Justification and Approval (JA) pursuant to Federal Acquisition Regulation (FAR) 8.405-6. The action approved is intent to seek only one source for award of a firm-fixed price contract to . to perform a Vehicle Allocation Methodology (VAM) study for the DHA non-tactical vehicle (NTV) fleet of approximately 2400 vehicles assigned in the Continental United States (CONUS) and Outside the Continental United States (OCONUS). The Contractor shall provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to accomplish tasks as defined in this Performance Work Statement (PWS). Contract service providers shall be accountable solely to the Contractor who, in turn, is responsible to the Government.

3. Description of Supplies/Services: This award provides for services to perform a VAM study for the DHA, MEDLOG, Environmental Services Division, Transportation Management Branch to determine the optimal fleet inventory via rightsizing and right-typing fleet vehicles to meet DHA’s mission requirements and identify resources necessary to operation those fleets effectively and efficiently. DHA, MEDLOG, Environmental Services Division, Transportation Management Branch is assigned principal responsibility as DHA single manager for NTVs. This responsibility includes implementation of all policies, guidelines and regulations pertaining to the management of NTVs including, but not limited to, requirements determination, acquisition programming and budgeting, establishment of utilization criteria, as well as oversight of maintenance and operations programs. The CONUS and OCONUS inventory of DHA-owned and leased vehicles is estimated to be approximately 2,400. These vehicles are dispersed across the globe at over 400 Medical Treatment Facilities (MFSs). The requested action will have a period of performance of twelve (12) months 30 September 2021 to 29 September 2022. The total estimated value of this effort is The contract will be funded utilizing Fiscal Year (FY) 2021, Operations and Maintenance (O&M) funds.

DHA PGI 208.405-6, Attachment 1 (06-21-2018)

FOR OFFICIAL USE ONLY - Source Selection Information – See FAR 2.101 and 3.104

4. This acquisition is conducted under the authority of the Multiple Award Schedule Program, 41 U.S.C. 152(3) and 40 U.S.C. 501, and Regulatory Authority: FAR 8.405-6(a)(1)(i)(A) – An urgent or compelling need exists, and following the Federal Supply Schedule ordering procedures would result in unacceptable delays.

5. Rationale Justifying Use of the Statutory Authority Cited: Based on the authority of FAR 8.405-6, the timeline for this requirement is urgent due to the transfer of MTF transportation management from the Service Components to the DHA on 1 October 2021 and the need to remain compliant with all required regulations. DHA MEDLOG requires immediate support to the DHA MEDLOG Environmental Services Transportation Branch to ensure compliance to support the Military Treatment Facilities’ (MTFs) transition from the Service Components to DHA on 1 October 2021. The required VAM study is IAW the GSA Bulletin Federal Management Regulation (FMR) B-30. This mandate directs that agencies perform a Vehicle Allocation Methodology study and provides the considerations and requirements for completing a VAM Study. This bulletin provides guidance to the Executive Branch agencies on conducting an annual VAM to determine the optimal fleet inventory via Right-sizing and Right-typing fleet vehicles to meet the agency’s mission requirements and identify resources necessary to operate those fleets effectively and efficiently. The elements of the DHA use various types of non-tactical vehicles (NTVs) to perform their respective missions. In order to be in compliance with the FMR B-30 DHA must conduct a VAM. It is urgent to ensure federal compliance in support of the MTF transition to DHA.

On May 24, 2011, the President issued Presidential Memorandum – Federal Fleet Performance. In the memorandum, the President states that the Federal Government owes “a responsibility to American citizens to lead by example and contribute to meeting our national goals of reducing oil imports by one-third by 2025 and putting one million advanced vehicles on the road by 2015. The President directed the General Services Administration (GSA) to develop and distribute to agencies a Vehicle Allocation Methodology (VAM) within 90 days of the date of the memorandum. GSA, through a collaborative process with the Motor Vehicle Executive Council (MVEC), developed a VAM Guidance and Process for Federal Agencies to achieve our national economic, energy, and environmental goals. The GSA Bulletin Federal Management Regulation (FMR) B-43 directs that agencies perform a VAM study and provides the considerations and requirements for completing a VAM study. The bulletin provides guidance to Executive Branch agencies on conducting an annual VAM study to determine the optimal fleet inventory via rightsizing and right-typing fleet vehicles to meet the agencies’ mission requirements and identify resources necessary to operate those fleets effectively and efficiently.

The Vendor, ., is uniquely qualified to provide these services in the urgent time frame required by the government. They currently hold a GSA Multiple Award Schedule (MAS) GS- 33F-0022U, SIN: 541614VC – Supply and Value Chain Management effective through June 29, 2023.

Their consultants have worked with a wide array of governmental jurisdictions, with fleets ranging in size from fewer than 10 to more than 200,000 vehicles and pieces of equipment. They have provided services to the Army, Navy, Air Force, and Marine Corps; 13 of 16 executive branch departments (Defense, Energy, Homeland Security, Interior, Transportation, State, etc.); and the General Services Administration, NASA, the US Postal Service, and the Smithsonian Institution. No other firm but can supply this service within the required timeframe. has the consulting, analytical, technical, coordination, presentation, and general management analyst experience required for successful performance and the necessary skillsets to complete this effort without a loss of efficiency and impact to the DHA for performance of the tasks and activities required to complete the DHA, MEDLOG, Environmental Services Division, Transportation Management Branch mission as directed by the

DHA PGI 208.405-6, Attachment 1 (06-21-2018)

FOR OFFICIAL USE ONLY - Source Selection Information – See FAR 2.101 and 3.104

President of the United States. It will be time effective and cost efficient to utilize the resources available through GSA Schedule to complete these requirements and is the least costly choice for the Government.

Although there are other sources available that can meet the Government’s requirements, none would have the infrastructure or expertise available to support the services needed for the DHA, MEDLOG, Environmental Services Division, Transportation Management Branch’s mission without significant delays, lead-time, incurred costs, duplication of efforts and substantial investments of time and resources by the Government. This is a short term 12-month contract.

6. Determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 8.404(d): The anticipated cost to the Government for the short term 12-month contract will be reviewed for fair and reasonable pricing based price negotiations and comparison of previous awarded contracts. The Contracting Officer may opt to utilize market research, such as comparisons with GSA OASIS pricing and publicly available pricing information, in order to make a fair and reasonable determination and illustrate the quoted prices represent the best value to the Government.

7. Description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted: Market Research was conducted in May 2021, interviews/meetings were requested from four companies, three large businesses responded. All three companies, ., and are large business and have GSA contracts which could be utilized to fulfill this requirement. In addition, an email inquiry was submitted to an 8a Women-Owned Small Disadvantaged Business, , on June 23, 2021 to determine if they were capable of providing these services for the short-term 12 month contract. provided past performance information as a sub-Contractor to but does not currently possess a GSA Schedule. However, although has experience as to: requirements determination, acquisition programming and budgeting, establishment of utilization criteria, as well as oversight of maintenance and operations; this requirement is for extensive Fleet Management experience and conducting VAM studies which does not possess as stated by

, . However, as part of the requirement development process the Government will issue a Request for Information (RFI) or Sources Sought Synopsis as part of its market research and as a routine course of action in pursuit of a logical follow-on contract. While adequate competition is likely, a competitive procurement at this time would result in unacceptable delays in fulfilling the Agency’s requirement. Bids, proposals, or quotations for this requirement have not been solicited because of the short term of the effort; however, quotes will be solicited for the follow-on contract which is currently in the pre-solicitation process. It is anticipated the contract award will be completed no later than September 2022. For the 12-month contract, contract award notification along with a redacted copy of the approval for other than full and open competition will be posted in accordance with FAR 8.405-6(a)(2)(i).

8. Other Facts: This sole source 12-month contract is being implemented in order to meet the President’s mandated deadline of 1 October 2021 to ensure compliance in support of the Military Treatment Facilities’ (MTFs) transition from the Service Components to DHA on 1 October 2021 while the Government completes the requirements development and solicits proposals for a competitive follow-on contract which the Government anticipates will be solicited using FAR 8 procedures. Failure to award the 12-month contract has the potential to significantly delay the transition of MTFs from the Service Components to the DHA amid managing a response to the COVID-19 pandemic. Any delay to this effort, which will inform, shape and define the MHS response is untenable.

DHA PGI 208.405-6, Attachment 1 (06-21-2018)

FOR OFFICIAL USE ONLY - Source Selection Information – See FAR 2.101 and 3.104

9. Actions to overcome barriers: The agency is continuing to develop the requirements necessary for a new solicitation. The agency intends on soliciting proposals for a follow-on contract. The follow-on requirement will be solicited through GSA. The Contracting Office and the program office have discussed with the need to be proactive in submission and follow-up to funding actions requiring continuing contractor support.

COORDINATION:

12. Technical/Functional Representative: I certify that the information provided in this justification, is accurate and complete to the best of my knowledge and belief.

13. Requirements Certification: I certify that the information provided in this justification, is accurate and complete to the best of my knowledge and belief.

14. Best Value Determination: I have determined that this contract action represents the best value to the Government and that the anticipated cost to the Government is fair and reasonable, in accordance with FAR 8.404(d).

I have determined that the anticipated cost to the Government for this contract action is fair and reasonable.

DHA PGI 208.405-6, Attachment 1 (06-21-2018)

15. Legal Review: I have reviewed this justification and have found it to be legally sufficient.

APPROVAL:

16. Contracting Officer: I certify that this justification is accurate and complete to the best of my knowledge and belief.