IDIQ Contract 19JA8021D0006 - JOFOC - SAM.pdf

Reference DOSAR 606.303-2

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION, PRICE JUSTIFICATION

(JOFOC)

ACQUISITION OF TRANSPORTATION SERVICES IN SUPPORT OF SENIOR HIGH

LEVEL USG VIP VISIT

1. I recommend that the Department of State use other than full and open competition for the acquisition of transportation services in support of high-level delegation visiting Japan in July through September 30, 2021. The total amount is for 1 contract award. The estimated cost for the contract is not to exceed $853,454.55 (or ¥93,880,000 @¥110/$1.00).

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

Senior High Level USG Principal traveling with a delegation inclusive of support elements in: Security, Communications, Logistics and Operations.

3. A description of the supplies or services required to meet the agency’s’ needs.

Transportation services will be contracted to support the visit. The services include sedans, buses, trucks, vans, gas, OT, tolls, drivers, and parking.

Kinki Nippon Tourist Corporate Business Co. Ltd. (NTE: $853,454.55)

4. An identification of the statutory authority permitting other than full and open competition.

[ X ] 41 U.S.C. 253 (c) (2), FAR 6.302-2; Unusual and Compelling Urgency; (Based on the available time and urgency of the requirement as detailed below)

Security concerns prohibit sufficient advanced notification of VIP travel to allow for sufficient time to conduct full and open competition. The Department of State can only communicate with the staff at Posts abroad when authorization is given due to security concerns. They have an extremely short turnaround time when authorization has been granted for negotiations to commence and site selections to be finalized with both the local vendors and Posts before the actual Senior High Level USG VIP visit occurs.

Security and logistical teams make determinations during the site survey as to which transportation services are most suitable for the Senior High Level USG VIP and their traveling staff to in support of the visit. Consideration of the Senior High Level USG

Principal and the location are taken into consideration as a determining factor.

The types of events, meetings, locations and availability of venues to support the Senior

High Level USG VIP and the delegation are often times designated by the host countries.

Unique requirements for communications support are under severe time limitations and always a determining factor in the selection process as its capacity to be augmented to the unique requirements necessary to support certain Senior High Level USG Principals.

Many of the arrangements for hotel and transportation are often not confirmed until just before the actual visit. In addition to supporting a large delegation within a short time frame, last minute and frequent changes of itineraries for supporting personnel often result in significant changes in how Posts work with the vendors. With the exception of a few trips, contracts are not permitted to be signed until the Department of State (Post) has written confirmation from all supporting agencies, which enables collection of funds from said agencies in the event of cancellation. This results in an unusual and compelling urgency in accordance with 41 U.S.C. 253 (c) (2), FAR 6.302-2.

The following transportation service company will be contracted for this visit:

Kinki Nippon Tourist Corporate Business Co. Ltd. (NTE: $853,454.55)

Address: Sumitomo-shoji Kanda-Izumi-cho Bldg.,13F, 1-14, Kanda-Izumi cho, Chiyoda-ku, Tokyo 101-0024

Tel: 03-6891-9550

Fax: 03-6891-9411

These unique Senior High Level USG VIP travel requirements result in only a single or a very limited number of responsible sources with no other supplies or services capable of satisfying agency requirement in accordance with 41 U.S.C. 253 (c ) (2), Far 6.302-2.

Moreover, as these visits are taking place during the Tokyo Olympic and Paralympic

Games, many vehicle contractors have already been booked by other customers far in advance and are not available.

In addition, due to severe COVID-related restrictions imposed by the host government, a pre-advance visit was not authorized, combined with the ongoing quasi-state of emergency limiting business interactions, we were severely limited in our ability to further survey the market.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

Security and logistics are the Department of State’s primary considerations when procuring hotel and transportation services. The Department of State must be able to provide a safe and secure environment for VIP visitors. Frequently VIP visits are not announced or confirmed in sufficient time to conduct a competition, creating an urgent and compelling need. At other times, the security requirements and/or requirements of the host country government limit the acquisition to one or a small number of predetermined hotels and transportation services.

[ X ] The VIP visit information was not available in sufficient time thereby creating an urgent and compelling need.

[ X ] The proposed contractor has the following unique qualifications which meet the

Department of State’s security and logistical requirements.

[ X ] Size, number, and type of vehicles available

[ X ] Communications (able to install equipment/lines at dispatch locations)

[ X ] Accommodating to security needs (100% personnel identification)

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

Due to urgency and exception in FAR 25.401(a)(5) this solicitation cannot be posted but the

JOFOC will be published in FedBizOpps within 30 days after the event.

The following other transportation services were reviewed but were not adequate because of the following:

Hinomaru, Heisei, and Trancierge: Resources are limited because of advance bookings by other organizations for use during the Olympic and Paralympic Games.

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

Post conducted a survey of rental costs from Hinomaru, Heisei, and Trancierge, and although those companies did not have available vehicles, they provided prices that are in the same range as offered by Kinki Nippon Tourist (Kintesu). Costs in Tokyo are driven by demand and very limited supply in the area.

Kintesu sedans = $945 - $975/9hrs and vans = $859 - $1,361/9hrs

Kintesu buses = $1,361/9hrs and tour bus = $1,453/9hrs

Cancellation for all vehicles:

Before 15:00 one day before the service day

No cancellation fee

After 15:00 one day before the scheduled service day

100% of Unit Price

On the scheduled service day

100% of Unit Price

In previous VIP visits in Tokyo, tourist bus rates were approximately $1,100 per day. Sedans were $600 per day. Vans were $750 per day. In the case of the Olympics, prices are greatly increased because of the limited supply and the high demand for vehicles.

Based on these comparative prices and the commercial similarities for the cost for vehicles rentals during the 2019 G20 events, the cost to the USG is determined to be fair and reasonable.

8. Any other facts supporting the use of other than full and open competition.

NONE

9. A listing of sources, if any, that expressed, in writing, an interest in the acquisition. NONE

10. 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.

Post will consider performing an assessment for competing future IDIQs for transportation services.

CERTIFICATIONS

I certify that the information in this justification is accurate and contains complete data necessary to support the recommendation for other than full and open competition to the best of my knowledge and belief.

_July 8, 2021 _ /signed/ .

Date: Director PTS

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

Based on my assessment, I conclude that other than full and open competition is justified and the proposed price is fair and reasonable.

__July 9, 2021__ /signed/ .

Date: Contracting Officer, Tokyo

(If over $500,000 add)

As the Competition Advocate at post, I approve this justification:

__July 9, 2021__ /signed/ .

Date: Management Counselor, Tokyo