JA 21-33 TX SRTS_Redacted.pdf

CUI

Controlled by: USTRANSCOM Controlled by: Directorate of Acquisition CUI Category/ies: CUI Limited Dissemination Control: FED ONLY

POC:

CUI

SOURCE SELECTION INFORMATION – See FAR 2.101 and 3.104

JUSTIFICATION AND APPROVAL (J&A)

USTRANSCOM JUSTIFICATION FOR

OTHER THAN FULL AND OPEN COMPETITION

PORTS OF BEAUMONT, PORT ARTHUR, AND CORPUS CHRISTI TEXAS

HTC711-15-D-R037

CONTROL NUMBER: 21-33

1. CONTRACTING ACTIVITY

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

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

This action will result in a modification to extend the Period of Performance of the firm-fixed price Indefinite Delivery Indefinite Quantity (IDIQ) contract HTC711-15-D-R037 supporting Stevedoring and Related Terminal Services (S&RTS) at the Ports of Beaumont, Port Arthur, and Corpus Christi, Texas. The Period of Performance for this extension will be from 3 April 2021 through 2 July 2021, and will include three (3) three-month options for a possible end date of 2 April 2022. As a result of this extension, the ceiling will be increased by $36,845,893.00 from $70,000,000.00 to $106,845,893.00 to accommodate anticipated operations and maintain security and military readiness.

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

NEEDS

The 842nd Transportation Battalion requires continued S&RTS support to maintain and sustain current and future terminal operations at the Ports of Beaumont, Port Arthur, and Corpus Christi, Texas. S&RTS includes vessel loading, vessel discharging, cargo receipt and disposition, cargo staging, transfer of cargo, tallying and checking, customs clearance, yard management, handling of Government provided securing material, and management expertise. S&RTS are required to move and track Department of Defense (DoD) sponsored cargo through the Ports of Beaumont, Port Arthur, and Corpus Christi, Texas in support of national and strategic military interests of the United States of America throughout the world.

4. STATUTORY AUTHORITIY 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)(2) Unusual and Compelling Urgency, as implemented under FAR 6.302-2.

5. DEMONSTRATION THAT THE NATURE OF THE ACQUISITION REQUIRES USE

OF THE AUTHORITY CITED

In accordance with FAR 6.302-2(a)(2)(b), an unusual and compelling urgency precludes full and open competition, and delay in award of a contract would result in serious injury, financial or other, to the Government. Any approach to fulfilling this requirement other than extending the Period of Performance of the current contract would result in serious injury to the mission of the 842nd Transportation Battalion and strategic initiatives of the United States.

A firm-fixed price IDIQ contract, HTC711-15-D-R037, was awarded to Shippers Stevedoring Co. (SSC) effective 13 March 2015. SSC was purchased by Cooper/Ports America, LLC (CPA), and a novation modification was issued on 22 December 2016. The contract is currently in a six-month extension under the authority of FAR 6.302-2, which expires on 2 April 2021. The follow-on Three Port Texas S&RTS contract, HTC711-20-D-R050, was awarded on 28 July 2020, with a then effective start date of 3 October 2020. However, a post-award protest was filed with GAO on 10 August 2020 (B-419000.1). On 29 September 2020, USTRANSCOM submitted a notice of corrective action to the GAO. On 9 October 2020, a protest of agency corrective action was filed with GAO (B-419000.2). On 27 October 2020, GAO dismissed the initial post-award protest (B-419000.1) due to the agency’s intent to take corrective action. On 15 January 2021, GAO denied the protest of agency corrective action (B-419000.2). Until receipt of GAO’s 15 January 2021 denial, the agency could not pursue its intended corrective action without jeopardizing the competitive positions of the offerors. Therefore, additional time is needed to finalize the follow-on Three Port Texas S&RTS contract. No other approaches are available to maintain services without interruption.

This Justification and Approval (J&A) supports an additional twelve (12) months of performance of contract HTC711-15-D-R037 to be divided into four (4) three-month options to permit the Agency time to perform its corrective action, issue or affirm a new source selection decision, and allow the successful offeror to begin performance. The incumbent, CPA, has the equipment and labor in place, and the Government needs the S&RTS services immediately and on a continuing/on-going basis. The current incumbent contract is due to expire on 2 April 2021, and a delay in contract award would result in serious injury to the Government.

The Government’s need for S&RTS at the Ports of Beaumont, Port Arthur, and Corpus Christi, Texas is vital because:

(1.) It provides critical specialized transportation services that include, but are not limited to:

vessel loading, vessel discharging, cargo receipt and disposition, cargo staging, transfer of cargo, tallying and checking, customs clearance, yard management, handling of Government provided securing material, and management expertise;

(2.) Government personnel are not available in sufficient number, nor do they possess the specific capability to perform the S&RTS services required under the Ports of Beaumont, Port Arthur, and Corpus Christi, Texas contract without jeopardizing other aspects of the S&RTS mission;

(3.) Services at the three ports are continuing and ongoing and are required to continue without interruption to ensure the warfighters’ continued readiness as the Government performs corrective action as a result of the protest; and

(4.) It will allow the incoming contractor time to coordinate a transition with the outgoing contractor. It will also allow time for the incoming contractor to coordinate with labor and stage its gear and equipment to ensure seamless operations to prevent a break in service until the transition is complete.

Failure to extend the Period of Performance would degrade the 842nd Transportation Battalion’s capability to provide support for military unit deployments and exercise execution. The services being provided are in support of the 842nd Transportation Battalion’s enduring mission to ensure the warfighters continued readiness in the Texas Gulf region as well as overseas operations. A break in service would negatively impact readiness and cannot occur. An unacceptable delay or interruption of services jeopardizes support and the secure deployment of military personnel and cargo during missions and unforeseen emergencies. This Period of Performance extension is in order to avoid direct financial and operational injury to the Government.

Support of current and ongoing missions is a necessity, and there must not be an interruption in service. This extension provides the required services and support to ensure mission success and mitigates the possibility of negative impact on the transportation of mission critical cargo.

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE

Due to unusual and compelling urgency, offers were not solicited from other sources for this extension. However, offerors submitted proposals in a full and open competitive environment for the follow-on Three Port Texas S&RTS contract for which corrective action is currently being conducted. A current and ongoing need exists for uninterrupted services while the Agency performs its corrective action for the ongoing solicitation and up until the new contract can begin performance.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The Contracting Officer will negotiate the proposed labor and commodity rates to ensure they are fair and reasonable. Modification P00009 to HTC711-15-D-R037 incorporated a revised Schedule of Rates dated 22 September 2019. CPA’s revised prices were determined to be fair and reasonable based on the Contracting Officer’s analysis of the proposal, taking into consideration technical analysis and the Independent Government Cost Estimate, IAW FAR