J and A for ESP Extension under EPP.pdf

UNCLASSIFIED

JUSTIFICATION AND APPROVAL (J&A)

TO: Julie Ota, Contracting Officer

CC: Deborah Broderick, Agency Competition Advocate

FROM: Sheba Bamutiina, USAID/Afghanistan/Office of Livelihoods

DATE: September 14, 2023

RE: Engineering Support Program (ESP) – AID-306-C-16-00010 – Implemented by Tetra Tech, Inc.

SUBJECT: Justification for Other than Full and Open Competition under the Expedited Procurement Package (EPP) for Afghanistan dated December 9, 2021

We request approval of this justification for use of other than full and open competition pursuant to the authorities under the EPP “Expedited Acquisition and Assistance Procedures for Afghanistan” (the “Expedited Procedures Package”), approved on December 9, 2021. Your approval of this J&A constitutes the justification for other than full and open competition as required by Tab 1 (D&F for the Authorization of Less than Full and Open Competitive Procedures in the Modification or Award of Contracts) of the EPP.

a) Nature and/or description of the action being approved.

This action seeks a limited modification of the Engineering Support Program (ESP), contract number AID-306-C-16-00010, implemented by Tetra Tech, Inc., to extend the period of performance by up to twenty (20) months from January 21, 2024 to September 30, 2025. This no cost time extension will not increase the contract’s total estimated cost. The contractor’s work during the extension period is limited to providing institutional support to USAID for the wind down of certain USAID activities as well as the wind down of ESP itself. Over the past year, with ESP’s support, USAID successfully completed the settlement of five contracts. Some of these settlements took over a year to complete. A settlement in progress and close to completion has taken over 18 months to date. USAID currently has eight more settlements to manage and has an urgent need for continued support from ESP. The settlement process for direct contracts entails technical analyses of proposals, required audits, and preparations for the Mission Equitable Solution Review Board and the Settlement Review Board in Washington, D.C. The settlement process for other USAID commitments varies depending on the nature of the commitment but all involve detailed technical review of voluminous documentation and extensive verification of costs which can include site visits carried out by an ESP subcontractor. Due to the lengthy and unpredictable process of negotiating, reviewing and analyzing termination settlements, an additional twenty (20) months is required to complete the settlement of remaining contracts.

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b) A description of the supplies or services required to meet USAID’s needs (including the estimated value).

ESP has provided quality assurance, monitoring, and other engineering analyses for the implementation of construction projects since 2016. Continued engineering support is required over the next 20 months as USAID continues the process to terminate and wind down its entire infrastructure portfolio in Afghanistan. During the extension period, ESP will continue to support the wind down of USAID’s construction activities, including the verification of past work and ongoing orders and the analysis of industry practice. ESP support will be required to address subsequent actions and due-outs from the findings of the Settlement Review Board. Simultaneously, the contractor will continue to wind down its own operations. ESP has already ended its operations in Afghanistan.

USAID does not expect ESP to have a presence in-country during the extension period.

c) Identification of statutory authority permitting other than full and open competition.

AIDAR 706.302-70(b)(3) and 40 U.S.C. §113; See Action Memorandum entitled “EPP for Afghanistan” approved December 9, 2021. A copy of the approved EPP for Afghanistan is attached.

d) A discussion of the proposed contractor’s unique qualifications or the nature of the acquisition that requires use of the authority cited.

The contractor is uniquely qualified to provide the services described. ESP has provided USAID with quality assurance, monitoring, and other engineering support since 2016. To date, USAID has been satisfied with the quality of these services. ESP management and staff intimately know USAID’s construction activities, the operating environment, the implementing partners, and the relevant issues.

To compete and bring in a new contractor at this stage for a limited 20 month period will result in unacceptable delays, significant additional costs, and undermine successful wind down of USAID’s infrastructure portfolio. A limited extension of ESP provides USAID with the most efficient and effective approach given the current situation in Afghanistan.

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

USAID competitively sourced the 2016 award for ESP and planned a new competitive award for continued engineering support prior to the fall of Kabul. However, after the US withdrawal, the US Government determined that USAID could no longer continue to implement large scale infrastructure projects in Afghanistan. At this time, USAID is primarily focused on the wind down of its infrastructure portfolio.

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

The Contracting Officer has determined that the anticipated cost to USAID will be fair and reasonable based on the estimated budget (attached).

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g) A description of the market research conducted (see FAR Part 10) and the results or a statement of the reason(s) market research was not conducted.

USAID completed market research in connection with the 2016 award for ESP. Since then the contractor has effectively and efficiently implemented the award. No other contractor can effectively and efficiently provide the limited services required by USAID given the current operating environment in Afghanistan.

h) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

None.

i) A statement of the actions, if any, USAID may take to remove or overcome any barriers to competition before any subsequent acquisition of the supplies or services required.

This action is limited to a 20 month extension of the ESP contract without modifying the contract’s scope of work nor increasing the contract’s total estimated cost. USAID will revisit this analysis in light of barriers to competition before it takes any additional non-competitive actions.

RECOMMENDATION

It is recommended that you approve this justification for use of other than full and open competition pursuant to the Action Memorandum “EPP for Afghanistan”, approved on December 9, 2021. Your approval of this J&A constitutes the justification for other than full and open competition as required by Tab 1 (D&F for the Authorization of Less than Full and Open Competitive Procedures in the Modification or Award of Contracts) of the EPP.

CERTIFICATION:

The requirement for technical certification at FAR 6.303-1(c) is fulfilled through:

a. The signature of the Technical Officer below certifying the specific supporting data for this J&A;

and

b. The EPP entitled “EPP for Afghanistan” approved December 9, 2021 (attached).

Technical Officer:

I hereby certify that the supporting data which form a basis for the justification are complete and accurate to the best of my knowledge and belief.

Clear 09/01/2023

Sheba, Bamutiina, Technical Officer Date

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CLEARANCE:

CLEAR 10/03/2023

John Power, RLO Date:

APPROVAL:

Julie Ota, Contracting Officer Date:

Attached:

1) Approved Afghanistan EPP .pdf

2) Estimated Budget

3) Approved ESP J&A - Jan 23 to Jan 24

Clearances:

Paul Bruning, OL, clear Date: 9/25/2023

Lola Hermosillo, OPPD, Clear w/edits Date: 9/28/2023

J. David Stott, OFM, clear Date: 9/26/23