r_J A__Surface_Small_Package_(SSP).pdf

JUSTIFICATION AND APPROVAL

USTRANSCOM JUSTIFICATION FOR OTHER THAN FULL AND OPEN

COMPETITION

SURFACE SMALL PACKAGE (SSP)

1. CONTRACTING ACTIVITY.

United States Transportation Command, Directorate of Acquisition, Specialized Transportation and Support Division, 508 Scott Drive, Building 1900W, Scott AFB, IL 62225-5357 .

. 2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED.

Justification for other than full and open competition for the acquisition of services to transport Defense Logistics Agency's (DLA) surface small package shipments within the Continental United States (CONUS), Alaska, Hawaii, and Puerto Rico.

3. DESCRIPTION OF THE SERVICES REQUIRED TO MEET THE AGENCY'S

NEEDS.

Military Surface Deployment and Distribution Command (SDDC) is responsible for providing for the transportation needs of the DoD including the movement of U.S. Government shipments ofFMS material. SDDC has a continued requirement for a contractor to provide the services required to meet D LA's needs. This requirement is for the contractor to provide all personnel, equipment, tools, materials, supervision, and other resources and services necessary to provide transportation services for surface small package shipments of a non-expedited (routine) nature from DLA depots and Vendor Shipment Module (VSM) origin vendor shipment locations to all points within CONUS, Alaska, Hawaii, and Puerto Rico. Services include the movement of DLA' s routine small package ( 150 lbs. or less) ground shipments and provide the standardization necessary for the routing of Department of Defense (DoD) freight traffic and U.S. Government shipments of foreign military sales (FMS) material. This Justification and Approval authorizes services to continue for two (2) additional months from 1 November 2012 to 31 December 2012 and increases the contract ceiling from $69M to $72M. The execution ofthis option is necessary to bridge the gap between the expiration of the current contract and award of the follow-on contract. The extension will be executed via a modification to the current contract for the additional two month period of performance. Executing the extension will increase the contract ceiling by $3M.

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION.

The statutory authority permitting the use of other than full and open competition is 10 U.S.C.

2304( c)(l) and Federal Acquisition Regulation (FAR) 6.302-1-0nly One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. DEMONSTRATION THAT THE NATURE OF THE ACQUISITION REQUIRES USE

OF THE AUTHORITY CITED.

Defense Logistics Agency utilizes the Surface Small Package program to provide for the transportation needs of the Department of Defense (DoD) through the movement of general cargo, Freight All Kinds (F AK), and shipper certified hazardous material (HAZMA T) shipments of a non-expedited (routine) nature within the Continental United States (CONUS), Alaska (AK), Hawaii (HI), and Puerto Rico (PR). Extending the current contract for 2-months is the most economical and expedient option to meet DLA's requirements as a new solicitation for a two month contract will result in substantial duplication of cost to the Government which will not be recovered through competition of a 2-month requirement. Procuring the services for the 2-month period will ultimately result in a break in service to DoD customers as acquisition resources will be focused on the 2-month requirement and not the full follow-on requirement. In addition, the system requirements and the learning curve cannot be overcome in a 2-month period. Any delay in fulfilling DLA's needs are unacceptable as the service directly supports the military Services and ultimately the warfighter.

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICAL.

On 9 March 2012, USTRANSCOM posted synopsis (HTC711-12-ZR06) on Federal Business Opportunities (FedBizOps) to notify potential offerors of the pending re-competition for Surface Small Package services. The solicitation for full and open competition was posted to FedBizOps on 4 June 2012. On 12 Oct 2012, USTRANSCOM posted a notice of intent synopsis (HTC711- 08-R-0015) for this extension on Federal Business Opportunities (FedBizOps).

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE.

The base year and option year prices to provide transportation services for the SSP contract were determined fair and reasonable at the time of award based on a comparison between each offeror's competitively proposed prices and the Independent Government Cost Estimate (ICGE).

Based on our market research the surface small package market conditions have not changed since the contract was initially awarded. Therefore, the Option Year 3 prices which were determined fair and reasonable at the time the contract was initially awarded are still fair and reasonable for this 2-month extension.

8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS.

Market research was not conducted for this two month extension due to the short period of time to implement the extension and due to TCAQ's decision not to compete a requirement of such brief duration. However, market research was conducted for the follow-on requirement in accordance with FAR Part 10. TCAQ posted synopsis (HTC711-12-ZR06) on FedBizOps to notify potential offerors of the pending re-competition for Surface Small Package services on 9 March 2012. The objective of the market research was to gather information on surface small package services to help define the requirement and formulate an acquisition strategy that is appropriate for the Surface Small Package (SSP) requirement. A Request for Information (RFI) was posted on FedBizOps on 9 March 2012 with responses due by 16 March 2012. Seven companies responded to the RFI posted on FedBizOps with six identifying themselves as small businesses. All six small businesses stated they are capable of meeting the surface small package requirements. However, our analysis indicated the small businesses were not capable of meeting the requirements. As a result of the market research, a determination was made that the Government's needs can be met through the commercial market and that competition will be full and open. No small business submitted an offer in response to the solicitation.

9. OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION.

None.

10. A LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN

INTEREST IN THE ACQUISITION.

Reference paragraph 8.

11. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE ANY

SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES REQUIRED.

USTRANSCOM is currently completing the follow-on competitive procurement. The two month extension will allow the continuation of services until a new contract is awarded.

12. CONTRACTING OFFICER CERTIFICATION.

I certify that the data supporting the use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

DATE

TECHNICAL/REQUIREMENTS PERSONNEL CERTIFICATION.

I certify that the data supporting the recommended use of other than full and open competition is knowledge and belief.

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EDWARD G. LILLY DATE

Traffic Management Specialist, SDDC-G9

CONTRACTING ACTIVITY: USTRANSCOM TCAQ-R

PROGRAM/PROJECT: Surface Small Package (SSP)

AUTHORITY: 10 U.S.C. 2304(c)(l) and FAR 6.302-1

ESTIMATED CONTRACT COST: $3M

REVIEW AND APPROVAL:

acting Officer Chief, Multi-Modal Trans rtation Services Branch

MICHELLE M. MENDEZ

Acting Chief, Specialized Transportation and Support Division fLAR~i

TCJA

usiness Support and Policy Division

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