JA19-0023B_FHP&R_Supt_Svcs_(19-02449)_(public_release).pdf

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

Limited Source Justification Federal Acquisition Regulation (FAR) 8.405-6

J&A Tracking No. JA19-0023B

1. Identification of the agency and contracting activity: The Defense Health Agency (DHA), Professional Services Contracting Division, 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: Request approval under an individual justification for award of a Firm Fixed Price sole source Bridge Contract to Knowesis, Inc., for services required by the DHA Assistant Director, Combat Support Agency, Operations, and supporting the Director, DHA; Deputy Assistant Secretary of Defense (DASD), for Health Readiness Programs and Oversight (HRP&O); Principle Deputy Assistant Secretary of Defense for Health Affairs (PDASD(HA)); Office of the Assistance Secretary of Defense for Health Affairs; and subordinate Program Directorates. This action continues services competitively awarded under contract GS-10F-0165W, order HT0011-13-F-0016, which ends January 6th, 2019, with no new work or change of scope. The action being approved is for a 6-month base period of performance and additional extensions of up to 6 months under the clause at FAR 52.217-8, Option to Extend Services.

3. Description of Supplies/Services required to meet the agency’s needs: This requirement is for administrative, analytical and consulting services to support, analyze, and investigate issues related to military public health, force health protection, and health service support during deployments, extended training missions, and operational testing. Services also support organizational planning for deployment activities and medical readiness. The period of performance will be January 7th, 2019, through January 6th, 2020, if the full extension of 6-month extension is exercised. Based period performance will end July 6th, 2019. The total estimated value of this effort is , including the value of extension under the clause at 52.217-8, Option to Extend Services.

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)(C) – In the interest of economy and efficiency, the new work is a logical follow-on to a FSS order, placed in accordance with FSS ordering procedures, and the original order or BPA was not a sole-source or limited-source acquisition.

5. Rationale Justifying Use of the Regulatory Authority Cited: For the competitive follow-on, the requiring activity undertook significant revisions to the requirement as currently reflected in HT0011-13-F-0016. These included realignment of requirements to reflect the new structure of supported offices, increased level of effort related to Military Health System transformation, and addition of surge capability to address contingencies. Additionally, the current award underwent 20 modifications, resulting in a patchwork of performance requirements in need of streamlining into a coherent structure. The requiring activity submitted initial procurement documents for review on August 14th, 2018, for an award in 2019. The contracting office deferred action on the requirement until after the end of the fiscal year due to the priority of effort on completing actions requiring expiring funds. Based on this delay and complexities of the acquisition, the contracting officer projects an award decision no earlier than for performance starting no earlier than . The estimated value of the competitive follow-on exceeds and is expected to be set aside for 8(a) concerns. With an average annual value exceeding , offerors will likely form teams. This presents opportunities for companies historically performing contracts funded by the agency, but otherwise ineligible to submit a proposal. Such teaming arrangements will require scrutiny not only for compliance with limitations on subcontracting, but also for potential organizational conflicts of interest emerging from performance of other DHA contracts. The contracting officer will need to work closely with the to-be-appointed Source Selection Authority, to navigate the evaluation and arrive at a defensible award decision.

6. Determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 8.404(d): In determining fair and reasonable pricing, the contracting officer will use price analysis techniques at FAR 15.404-1 in lieu FAR 8.404(d).

Proposed price will be compared to the historical price paid for the same items under HT0011- 13-F-0016 with adjustments for escalation as demonstrated by the Bureau of Labor Statistics indices for cost of labor by industry and metropolitan area. Certified cost and pricing data will not be required since the services to be procured meet the definition of a commercial item.

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 performed in support of the planned competitive award applies to the action requested for approval under this justification. The requiring activity’s market research report, dated August 8th, 2018, summarized reviews of DHA contracts for known performers and of GSA schedules for other capable small businesses. The report identified with successful past performance for similar services. While adequate competition is likely, a competitive procurement at this time would result in unacceptable delays in fulfilling the Agency’s requirement.

8. Other Facts: The incumbent, Knowesis, Inc., currently possesses the required operational infrastructure and knowledge and therefore is the only source capable of providing continuing services at the level of quality required in the required timeframe. Attempting to compete the bridge effort at this juncture would result in unacceptable delays and an extended lapse in service since such a competitive effort would require a technical proposal and evaluation process to evaluate the qualifications of potential contractors to perform the work.

9. Actions to overcome barriers:

(a) Efforts to Obtain Competition. The current contract includes one incumbent performer with two subcontractors, one of which is a small business concern. No other firms were solicited for this requirement.

(b) Actions to Increase Competition. The agency plans a competitive follow-on to HT0011- 13-F-0016 with an award decision no earlier than for performance starting no earlier than . It conducted two separate Industry Day events where the competitive requirement was presented by the Contracting Officer Representative.

Preparations will include release of a draft solicitation for industry comment.

(c) Follow-on Order. The competitive follow-on solicitation will be issued under full and open completion, set aside for 8(a) concerns.

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.

Digitally signed by

Date: 2019.01.04 11:43:41 -05'00'

Date

01/04/2019

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

Date: 2019.01.04 11:43:54 -05'00'

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).

Contracting Officer

Date: 2019.01.04 13:47:17 -05'00'

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

Associate General Counsel

Date: 2019.01.04 16:05:53 -05'00'

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

Contracting Officer

Date: 2019.01.04 13:47:36 -05'00'

APPROVAL:

17. Competition Advocate: Based on the foregoing justification, I hereby approve the procurement of administrative, analytical and consulting services on a limited or restricted consideration basis pursuant to the authority of FAR 8.405-6(a)(1)(i)(C), subject to availability of funds, and provided that the supplies and/or services herein described have otherwise been authorized for acquisition.

Date: 2019.01.04 17:56:07 -05'00'

Competition Advocate (J-4)