JA Addendum 2 Medical Freight Transportation Redacted.pdf

CUI

Controlled Unclassified Information (CUI)

Source Selection Information – See FAR 2.101 & 3.104

3. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET

THE AGENCY’S NEEDS, INCLUDING THE ESTIMATED DOLLAR

AMOUNT:

CRAF participation is required to meet DLA Troop Support – Medical air freight transportation requirements. Establishing the proposed MFT IDIQ contracts is critical to the timely and reliable movement of medical materiel worldwide.

The proposed MFT IDIQ contracts will enable DLA to procure door-to-door delivery services for worldwide, heavyweight shipments of medical freight over 300 pounds. Each IDIQ contract will contain a three-year ordering period. The aggregate total maximum contract value for all IDIQ contracts, including task orders, is projected to be .

ADDENDUM:

DLA requires support to the current MFT IDIQ contracts to incorporate sixteen additional shipping lanes to the nineteen lanes utilized for the IDIQ contracts. This support will allow DLA to maintain global mission readiness by offering more direct shipping lanes to the areas of need. These sixteen lanes are not currently available which can create a delay in needed supplies for our end users. This is required to address the emerging military operational requirements, while offering a more efficient method of shipment in these areas. DLA needs the ability to deliver medical supplies directly to these new locations to support wounded, ill, or injured warfighters during contingency operations. These additional lanes are projected to be an additional .

Only the current contracted CRAF transportation vendors under the MTF IDIQ can provide the required additional support at the level required without causing a delay in the support for DLA Troop Support Medical Customers. This is required to tremendously improve the ability to support and agility to maintain mission readiness. This additional support adds shipping lanes required to aide with the ever-changing needs of the end users. The current contract holders have an in-depth understanding of what is required and needed to support this scope of work.

This exception is necessary to engage vendors with specialized expertise of the current requirement and ensure immediate capability. The current MTF IDIQ transportation vendors are uniquely qualified to support these efforts based on their knowledge of the requirement and proven past performance in support of this program.

Also, the anticipated use of these IDIQ contracts was unknown at time of award and to date the support provided is approximately as of 25 October 2024. That would make the average use in transportation costs under these IDIQs. With that, the expectation is the maximum of will be exceeded prior to contract performance completion and would require an increase. The ceiling increase proposed adjusts the total ceiling of the IDIQ, for the original nineteen lanes awarded, from to account for the remaining months and the increased usage since contract award. With the previous addendum to add lanes and this increase maximum request, the total contract maximum will increase from . The total increased ceiling adjustment amount is for

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND

OPEN COMPETITION:

The statutory authority permitting Other Than Full and Open Competition is 41 USC § 3304(a)(5), as implemented by FAR 6.302-5(a)(2)(i).

ADDENDUM 2

FAR 6.302-1(a)(2)(iii)(B) allows for the use of other than full and open competition where services are only available from the original sources in the case of follow-on contracts for the continued provision of highly specialized services because the award of any other source would result in unacceptable delays in fulfilling the agency’s requirements.

5. DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUISITION REQUIRES

USE OF THE AUTHORITY CITED:

Pursuant to 41 USC § 3304(a)(5) and FAR 6.302-5(a)(2)(i), competition for DLA Troop Support – Medical air freight transportation requirements must be restricted to CARB-approved, FAA-certified air carriers participating in the CRAF program because this restriction on competition is expressly required by 10 USC § 9516 and 49 USC § 41106.

CRAF is a voluntary program through which air carriers provide aircraft that are allocated, or identified for allocation, to the DoD pursuant to 50 USC § 4511, or aircraft that are made available, or that have been agreed to be made available, for use by the DoD under contracts issued IAW 10 USC, Chapter 961, to augment DoD airlift capability through the use of civil aircraft. The CRAF program was formalized through a series of presidential executive orders and memoranda of understanding, the first of which was signed December 15, 1951.

The National Airlift Policy, issued in June 1987 by President Reagan, reinforced the need for, and use of, the CRAF program.

CRAF participants provide civilian airlift assets needed to support military operations and mobilization requirements. This fleet of civilian aircraft is available to the military to meet peacetime requirements, surge needs, and mobilization requirements for major crises. The utilization of the CRAF program to meet DLA Troop Support – Medical air freight transportation requirements is expressly required by 10 USC § 9516 and 49 USC § 41106. 10 USC § 9516 requires DoD to use CRAF air carriers for freight transportation between the United States and foreign locations, and transportation between foreign locations (whenever such air carrier is reasonably available), unless the exception at § 9516(d) – no air carrier holding a certificate under 49 USC § 41102 is capable of providing, and willing to provide, the air lift service required – applies. 49 USC § 41106 mandates the same. Accordingly, the exception at FAR 6.302-5(a)(2)(i) applies and permits the use of Other Than Full and Open Competition to fulfill DLA Troop Support – MFT requirements.

Based on the foregoing, the use of Other Than Full and Open Competition to fulfill DLA Troop Support – Medical air freight transportation requirements is authorized because this restriction on competition is expressly required by statute.

ADDENDUM 2

In accordance with FAR 6.302-1(a)(2)(iii)(B), services are only available from the original sources in the case of follow-on contracts for the continued provision of highly specialized services because the award of any other source would result in unacceptable delays in fulfilling the agency’s requirements. Due to delays in the follow-on acquisition, only the incumbent contractors have the immediate capability, personnel, and knowledge to continue performance.

This includes their existing security clearances, established routes, knowledge of government systems and shipping sites, and a trained workforce already in place. A new contractor could not mobilize, hire, and train staff in time, which would result in unacceptable delays and negatively impact the mission.

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS

ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS

PRACTICABLE:

All CARB-approved, FAA-certified, CRAF air carriers are eligible to receive MFT IDIQ awards. All existing CRAF carriers will be solicited. Notice will be published on the System for Award Management (SAM) website for this solicitation. Interested parties may access the SAM website at www.SAM.gov.

All U.S. flagged air carriers have the opportunity to join the CRAF program. Deciding whether to join the CRAF program is an internal business decision made by the air carrier.

While this solicitation is restricted to CARB-approved, FAA-certified, CRAF air carriers, the Government may periodically review the total number of MFT IDIQ contract holders to assess whether it is in the Government’s best interest to initiate a solicitation open period to solicit proposals from new or additional MFT IDIQ awardees.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE:

Historically, similar requirements have garnered between two and twelve offers in response to solicitations for air transportation services. This level of response to solicitations is expected to continue. Several CRAF air carriers maintain a commercial network to regularly provide commercial passenger and cargo services and have published commercial rates. As competition is maintained amongst CRAF participants, and published commercial rates are

DoDI 4500.57 recognizes the partnership between the DoD and U.S. civil commercial air carriers as critical to mobilization, deployment, and sustainment of military forces, and that the alliance is embodied in the CRAF program. The policy specifies, IAW 49 USC § 41106 and 10 USC § 9516, DoD Components will ensure that all DoD acquisitions of commercial air transportation services require CRAF participation as a prerequisite for award to the maximum extent possible unless there is a documented negative critical mission impact. Carriers not eligible for CRAF may be used only when CRAF-participating carriers cannot meet mission requirements.

The Defense Federal Acquisition Regulation Supplement (DFARS) also supports the policy of acquiring air transportation services through CRAF air carriers. DFARS 247.206 provides that evaluation factors concerning an offeror’s commitment of transportation assets to the CRAF program be considered when acquiring transportation-related services. DFARS 247.301-71 provides similar guidance for supply contracts that include a significant requirement for transportation of items Outside the Continental United States (OCONUS) and overseas.

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

AN INTEREST IN THE ACQUISITION:

No sources have expressed interest in this requirement in writing. However, the Government finds the market research described in Section 8 to be representative of the current interest in this requirement.

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

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE

MAKING ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR

SERVICES REQUIRED:

As demonstrated above, the Government requires the use of Other Than Full and Open Competition to satisfy DLA Troop Support – Medical air freight transportation requirements. The DoD relies on the U.S. air transportation industry to provide airlift services in time of emergency or war. A mobilization base for these airlift services, committed to DCSO-P by contracts, is essential to ensure the prompt and effective response of this industry when needed.

Restrictions on competition for subsequent acquisition of medical air freight transportation services occurring after the IDIQ contracts’ ordering periods expire will be evaluated at that time.