19-40_Bridge_J_A_HTC71116FD032_Redacted.pdf

LIMITED SOURCE JUSTIFICATION

THIS ACQUISITION IS BEING CONDUCTED UNDER THE AUTHORITY OF THE

MULTIPLE AWARD SCHEDULE PROGRAM

FINANCIAL IMPROVEMENT AND AUDIT READINESS (FIAR) AND FINANCIAL

SYSTEMS SUPPORT

1. CONTRACTING ACTIVITY.

United States Transportation Command (USTRANSCOM), Directorate of Acquisition, IT Programs & Support Services Division (TCAQ-D), 508 Scott Drive, Scott AFB, IL 62225.

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

USTRANSCOM Program Analysis and Financial Management Directorate (TCJ8), requires an extension for the FIAR support services contract. A firm-fixed priced and labor-hour contract, HTC711-16-F-D032, was awarded to Ernst & Young LLP (EY), which included one 5-month base period (1 May 2016 – 30 September 2016) and two 1-year option periods (1 October 2016 - 30 September 2017, 1 October 2017 - 30 September 2018). The extension of services clause was exercised to extend the task order to 31 March 2019. A four month extension was used to extend the task order to cover 1 April 2019 – 31 July 2019. Another four month extension is required to ensure uninterrupted support for 1 August 2019 – 30 November 2019 in order to resolve a pre-award protest and make award on the follow-on contract.

3. DESCRIPTION OF SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS.

The scope of this acquisition is to provide TCJ8’s Joint Finance Center (JFC) expert advice, assistance, and technical accounting and auditing in support of audit readiness and business improvement effort. The scope includes: technical guidance, integration, risk management, issue resolution, integrated schedule management, communication management, strategic and technical FIAR program analyses and reports to support the full range of USTRANSCOM Operational and Financial Systems. Core objectives related to this engagement involve an efficient JFC that is agile to address, remediate, and implement core findings identified through FIAR efforts. Specifically:

• Ensure operational business processes and internal control activities are designed and operating effectively to limit the risk of material misstatement of the financial statements by meeting Financial Reporting Objectives; and

• Develop supporting documentation to address all relevant financial statement assertions for all material transactions and balances as defined by Key Supporting Documents.

The total estimated value of this extension is for four months of performance (a one month bridge and three 1-month option periods); each month being an estimated

4. AUTHORITY AND SUPPORTING RATIONALE AND A DEMONSTRATION OF

THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS TO PROVIDE THE

REQUIRED SERVICE.

Federal Acquisition Regulation (FAR) 8.405-6(a)(1)(i)(A); an urgent and compelling need exists, and following the procedures would result in unacceptable delays that would not be in the best interest of the United States.

TCAQ-D is currently resolving a pre-award protest amidst execution of the required actions for the follow on award. A break in service would have a significant impact on TCJ8. Specifically, they would not be able to timely respond and coordinate with the Independent Public Accountant (IPA) on the USTRANSCOM Financial Statement Audit. Without immediate contract support, TCJ8 would not be able to respond to all the audit requests. Progress in remediating corrective action plans to the IPA’s Notice of Findings and Recommendations would be halted. The Office of the Secretary of Defense Comptroller has created metrics for tracking progress, and USTRANSCOM would not be in compliance with those metrics. Lack of a contract would also affect daily accounting and accounting system operations, and completion of quarterly reporting would be delayed, which would affect mandatory reporting requirements. IT system controls and the Management Internal Control Program would not be able to complete the necessary testing and monitoring of the program affecting the annual Statement of Assurance.

5. DETERMINATION BY THE ORDERING ACTIVITY CONTRACTING OFFICER

THAT THE ORDER REPRESENTS THE BEST VALUE CONSISTENT WITH FAR

8.404(d).

TCAQ has determined that this extension represents the best value for the Government consistent with FAR 8.404(d) because the additional administrative cost and time to award a new contract would be significantly greater than to extend the current task order for four months.

TCAQ has previously determined the current GSA rates to be fair and reasonable.

6. 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 for the current contract as well as for the current source selection. In both cases General Services Administration Professional Services Schedule was utilized; four quotes were received in response to the solicitation for the current contract, and three quotes were received in response to the solicitation for the follow on award.

7. ANY OTHER FACTS SUPPORTING THE JUSTIFICATION.

When the solicitation for the follow on award was issued on 24 April 2018, it was presumed that award would be made prior to 1 October 2018. Due to receipt of the first pre-award Government Accountability Office (GAO) protest, a two month extension pursuant to FAR 52.217-8, Option to Extend Services was put into place to cover the period 1 October – 30 November 2018. An Agency protest was then received, followed by a Court of Federal Claims protest shortly thereafter, which resulted in an additional four month extension in accordance with FAR 52.217-8 to cover the period

1 December 2018 – 30 March 2019. After receipt of the latest GAO protest, another four month extension was finalized to cover the period 1 April 2019 – 31 July 2019 in order to avoid a break in service. Based on the findings of the latest GAO protest, and in an effort to avoid a break in service, another four month extension is required to cover the period 1 August 2019 – 30 November 2019.

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

REMOVE OR OVERCOME ANY BARRIERS THAT LED TO THE RESTRICTED

CONSIDERATION BEFORE ANY SUBSEQUENT ACQUISITION FOR THE

SERVICES IS MADE.

The Government anticipates the four month extension period will be sufficient to resolve the impending GAO protest and follow on source selection process.

9. THE ORDERING ACTIVITY CONTRACTING OFFICER’S CERTIFICATION

THAT THE JUSTIFICATION IS ACCURATE AND COMPLETE TO THE BEST OF

THE CONTRACTING OFFICER’S KNOWLEDGE AND BELIEF.

I certify that the justification is accurate and complete to the best of my knowledge and belief.

HELLMANN.MATT

Digitally signed by

HELLMANN.MATTHEW.J

Date: 2019.07.11 12:48:17 -05'00'

MATTHEW J. HELLMANN

Contracting Officer

10. TECHNICAL OR REQUIREMENTS PERSONNEL CERTIFICATION.

I certify that the supporting data which forms the justification are complete and accurate.

USTRANSCOM Audit Management Team Chief

11. WRITTEN DETERMINATION OF THE APPROVING OFFICIAL IDENTIFYING

THE CIRCUMSTANCE THAT APPLIES TO THIS LIMITED SOURCE

JUSTIFICATION.

Based on the above cited justification, I hereby determine the circumstance in FAR 8.405- 6(a)(1)(i)(A) applies to this limited source justification.

HEMKEN.ADAM. Digitally signed by

HEMKEN.ADAM.Q.

Q. Date: 2019.07.11 16:27:40 -05'00'

ADAM HEMKEN

Competition Advocate

HEW.J.