JA Redacted.pdf

UNITED STATES MARINE CORPS

MARINE CORPS INSTALLATIONS PACIFIC-MCB CAMP BUTLER

OPC 557 BOX 10

FPO AP 96371-9001

J&A No. 25-SSBN-01

JUSTIFICATION AND APPROVAL

FOR USE OF SOLE SOURCE

1. Contracting Activity.

MCIPAC RCO, Camp Foster, Okinawa, Japan

2. Description of the Action Being Approved.

This J&A is to authorize the out-of-scope modification P00003 of contract M67400-24-P-0063 for aggregate delivery in Okinawa, Japan to include Flag Waver services pursuant to criteria in FAR 13.5 in accordance with 41 U.S.C.1901.

3. Description of Supplies/Services.

Flag Wavers to support aggregate deliveries from 1 Feb 25 to 31 Jan 26 with two 6-month options.

CLIN JPY USD Conversion Rate 3001 ¥42,000,000 $288,200 145.7323 4001 ¥21,000,000 $144,100 (Est. w/ current rate. Will change with new rate at time of exercise) 5001 ¥21,000,000 $144,100 (Est. w/ current rate. Will change with new rate at time of exercise) Total ¥84,000,000 $576,399

Appropriation: O&MMC

CLIN 3001 will be FY25 funded.

CLINs 4001 and 5001 will be FY26 funded as required.

4. Statutory Authority Permitting Other Than Full and Open Competition.

41 U.S.C. 1901(e)(2) – a sole source acquisition under the authority of the Simplified Procedures for Certain Commercial Items, as implemented by FAR 13.501(a).

5. Rationale Justifying Use of Cited Statutory Authority.

As defined in FAR 13.501(a): Only one responsible source and no other supplies or services will satisfy agency requirements. Use of full and open competitions would lead to unacceptable delays in fulfilling the agency’s requirements.

The current contract for aggregate delivery to Ie Shima Training Facility (ISTF) is a supply type firm-fixed price contract. The current contract began deliveries on 12 December 2024 which will continue until completion estimated for up to 3 years if all options are exercised. The current aggregate delivery contract includes complex multi-national logistics between the USG and Government of Japan (GOJ) to coordinate the procurement of the material from local quarries, delivery via barge from Okinawa proper to the closely-located island of Ie Jima, and further delivery via truck from Ie Port to ISTF.

During the process of coordinating between the USG and GOJ, it was identified that flag wavers were required to be posted at Ie Port and Ie Jima’s local school crossing as directed by the local Japanese

ANNEX 1 – JUSTIFICATION AND APPROVAL

government. These high-traffic areas are at risk of incident without this additional safety measure due to the increased number of delivery trucks trafficking the roadways for the USG’s contracted aggregate delivery. The flag waver requirement was not originally included in the solicitation for the contract and is considered an out-of-scope modification to the aggregate delivery contract. Due to the nature of the aggregate deliveries, the USG understands that the flag wavers need to appropriately time their services with the delivery schedule.

The current contractor has the only means to synchronize and manage the flag waver services with the aggregate delivery schedule. The constantly changing delivery schedule caused by the weather and complex logistics process for mining and moving the aggregate does not allow for a separate contractor to perform this requirement. This service is also deemed a critical service as part of the delivery process as the local and prefecture governments have directed this service to be in place or deliveries will be halted.

Allowing a separate contractor to perform this service would jeopardize the delivery schedule and risk the overall construction plan for the ISTF runway repair. This has countless additional resources including materials, personnel, equipment, and other commercial services that would be at risk to these schedule delays.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

5.202 (a)(12), The proposed contract action is by a Defense agency and the proposed contract action will be made and performed outside the United States and its outlying areas, and only local sources will be solicited. This exception does not apply to proposed contract actions covered by the World Trade Organization Government Procurement Agreement or a Free Trade Agreement (see subpart 25.4);

According to GOJ points of contact, only one vendor was willing to quote for the flag waver services due to the challenges associated with transiting the ferry to and from the location during the lengthy period of performance.

7. Determination of Fair and Reasonable Cost. The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A are fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

For future contracts of this type, USG will either coordinate for traffic control through the prefecture government or include the services in the solicitation. This includes known upcoming similar requirements for Heavy Equipment leasing and delivery to the Ie island and Military Equipment movements. During technical review of the PWS for like requirements, the MCIPAC RCO will ensure to screen for this requirement within the PWS prior to solicitation and discuss this with the customer.