JOFOC 19AR2023D0002.pdf

SBU - CONTRACTING AND ACQUISITIONS

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN

COMPETITION (OVERSEAS CONTRACTING ACTIVITIES)

I recommend that U.S. Embassy Buenos Aires use other than full and open competition for the acquisition of health insurance services for Locally Employed Staff (LES). The estimated cost is USD 1,990,402.96 to award a contract, with a one-year period of performance April 1, 2023 through March 31, 2024, to Omint S. A. de Servicios.

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

The Government requires health insurance coverage for its employee and has contracted for this health insurance protection, representative of locally prevailing compensation practice, with Omint S. A. de Servicios, a local provider. The current contractual arrangement expires on February 28, 2023.

The U.S. Embassy Buenos Aires is requesting a bridge contract to continue health insurance for employees, provided to its Locally Employed (LE)

Staff under the U.S. Mission to the Buenos Aires Local Compensation Plan, for a performance period of one year. The award date, and services provided under the contract, would need to commence on Apri1, 2023 to permit continuity of the Mission’s health insurance benefit to LE Staff.

This is to provide the requisite time for U.S. Embassy Buenos Aires to solicit and implement a new multiple year contract. The Embassy is working through issues impacting the acquisition of services under a new multiple year contract. The U.S. Embassy Buenos Aires’s timetable for solicitation of bids, and a final award, under this new health insurance model has been delayed a contract will not be in place by April 1, 2023.

Nonetheless, it is imperative that there is no break in continuity of the basic health insurance plan coverage for the Mission’s LE Staff to avoid serious legal and financial implications to the Government resulting in any lapse of health insurance coverage for LE Staff and their dependents.

The U.S. Embassy Buenos Aires requests that the standalone contract to provide continuity in the health insurance protection for performance period of one year. The award date, and services provided under the contract, would need to commence on April 1, 2023 to permit continuity of the Mission’s Health insurance coverage for LE Staff.

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

U.S. Embassy Buenos Aires requires continued health insurance services for its LE

Staff. This bridge contract is necessary to ensure that there is no break in the health insurance coverage. Cognizant personnel are currently discussing the approval of benefit levels for the LE Staff employees so they can move forward to the solicitation phase for the new multiple year contract. The Contractor shall furnish managerial, administrative and direct labor personnel to accomplish all work as required under the contract.

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

41 USC 3304(a)(2) - Unusual and compelling urgency

4. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited (for sole source acquisitions; also required for unusual and compelling urgency where more than one offer will not be solicited).

The incumbent contractor (Omint S. A. de Servicios) is the only entity capable of providing uninterrupted insurance coverage until Post competes and awards a new contract. Continuous health insurance coverage/services are essential to our LES employees and is required by local law. The contractor has been performing satisfactory on their current contract for the last five (5) years.

5. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable. The description should include whether a

FedBizOpps notice was or will be publicized, as required by FAR 5.2, and if not, which exception under FAR 5.202 applies (e.g., blanket waiver provided in DOSAR

605.202-70).

As part of the GMC program, U.S. Embassy Buenos Aires is working towards finalizing agreement of the GMC benefit levels that the Department will authorize.

These levels must be determined before we can solicit. All interested additional sources will be given the opportunity to participate in the solicitation for the new contract under full and open competitive procedures when the solicitation is released on SAM.gov.

6. A determination by the Contracting Officer that the anticipated cost to the

Government will be fair and reasonable.

A detailed price analysis will be conducted following the existing methodology prescribed in the FAR, and if needed they will be negotiated to the best interest of the

Government.

7. A description of the market survey conducted and the results or a statement of the reasons a market survey was not conducted.

Considering that the services required by the Embassy are specific to its population-not entirely consistent with health insurance services offered to the general public- it is not feasible to conduct a market survey that would yield adequate and valid pricing information for this limited period of performance.

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

Performance has been acceptable throughout the life of the contract, and previous prices from the incumbent have been consistently fair and reasonable based on adequate competition.

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

Since the requirement was not advertised nor did we perform any market surveys for this requirement, no sources expressed an interest in this requirement.

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.

After this interim contract is awarded, Post HR and Procurement personnel will conduct market research to identify all potential sources for these services. Also, the upcoming solicitation will be competed and publicized in both SAM.gov and the

Embassy’s local website to provide full and open competition.