JOFOC_for_Bridge_Contract_for_Aviation_Maintenance_Services.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

NATIONAL NUCLEAR SECURITY ADMINISTRATION

OFFICE OF SECURE TRANSPORTATION

AVIATION OPERATIONS DIVISION

CONTRACT NUMBER 89233118CNA000036

I. AGENCY IDENTITY AND CONTRACTING OFFICE

The Office of Secure Transportation (OST) of the U.S. Department of Energy (DOE), National Nuclear Security Administration (NNSA) plans to contract for Aircraft Maintenance and Support Services (AMSS) by means of other than full and open competition. The contracting activity is the NNSA Non-M&O Contracting Operations Division, Services Acquisition Branch, Field Program Section (NA-APM-124.2). This document sets forth the justification and approval for the use of one of the exceptions to full and open competition allowed under the Competition in Contracting Act (CICA) of 1984, Public Law 98-369.

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

This is a sole-source, short-term bridge contract intended to ensure the continuity of the current AMSS effort under Contract No. DE-NA0003669 which NNSA awarded as a sole-source on June 1, 2017. The anticipated period of performance is a base period of four (4) months. The contractor is AAR Aircraft Services, Inc. (AAR), located at 6611 S Meridian Ave., Unit 59100, Oklahoma City, OK 73159-1111. The North American Industry Classification System (NAICS) code for this acquisition is 488190 “Other Support Activities for Air Transportation” with a size standard of $32.5M. The current bridge contract ceiling value is $4,333,000.00. The estimated cost for this new bridge contract effort is approximately $1.5M per each four month period.

III. DESCRIPTION OF SUPPLIES AND/OR SERVICES

The NNSA OST Aviation Operations Division (AOD) is responsible for the safe and secure transport of nuclear weapons, special nuclear materials (SNM), and weapons components between DOE/NNSA production facilities and Department of Defense (DOD) facilities via ground and air modes of transportation in accordance with NNSA’s Life Extension Program (LEP) and Stockpile Stewardship and Management Program (SSMP). The OST AOD owns two (2) 737 COMBIs, one (1) DC-9 COMBI, and various ground support equipment (GSE) to accomplish this mission. The aircrafts and GSE require routine maintenance and non-routine maintenance. In order to support a viable quality and safe maintenance program, the effort also requires administrative support (records management, logistics, inventory management, updating manuals, etc.) and the purchase of parts to support these aircraft.

IV. AUTHORITY

The statutory authority permitting other than full and open competition is 41 USC §3304(a)(1), as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302-1(a)(2) entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements”.

V. APPLICATION OF AUTHORITY

Section 303(c)(1) of the CICA, P.L. 98-369, allows the use of procedures other than competition when the property or services needed are available from only one responsible source and no other type of property or services will satisfy the requirements. In particular, FAR Subpart 6.302-1(b)(1) specifies full and open competition need not be provided for when there is a reasonable basis to conclude that that the Agency’s minimum needs can only be satisfied by unique supplies or services available from only source or only one supplier with unique capabilities. In this case, the incumbent contractor, AAR is the only responsible source at this time who possesses a Federal Aviation Administration (FAA) Federal Aviation Regulation Part 145 Repair Station Certificate for the NNSA/OST/AOD Hangar 481 located at Kirtland Air Force Base, Albuquerque, New Mexico. Specifically, AAR is the only entity at this time with a FAA Part 145 Repair Station Certificate that meets OST/AOD’s FAA approved Part 125 Letter of Deviation Authority, Maintenance Program Document (MxPD), and Policy and Procedure Manual (PPM).

Given that AAR provides OST/AOD with mission essential routine and non-routine aircraft maintenance services, including Cabin Safety Specialist (CSS) duties, AAR is the only source capable of providing these services within the timeframe required. The current contract expires on May 31, 2018 and the OST/AOD requires continued support without a break in contract services. The additional four (4) months will provide ongoing critical maintenance services to the OST/AOD while this requirement is being re-competed to award a new contract vehicle.

A bridge contract is the most economic and efficient method to obtain the required services because AAR is intimately familiar with and is currently performing these services. Awarding a new contract to another contractor for four months would require additional time and cost to allow them to become familiar with the OST/AOD aircraft maintenance requirements and processes which would also include obtaining the proper FAA Part 145 Certification at the OST/AOD Hangar 481 in accordance with OST/AOD’s FAA Part 125 LODA, MxPD and PPM to maintain the aircraft. Such delays would significantly and negatively impact the mission of the OST/AOD with possible grounding of the fleet, which undermine NNSA’s ability to maintain and enhance the safety, security, and reliability of the United States nuclear weapons stockpile under the NNSA LEP and SSMP. This contract action is a logical follow-on, which will allow continuation of the work scope AAR currently performs under Contract No. DE-NA0003669.

VI. EFFORTS TO IDENTIFY ADDITIONAL SOURCES

NA-APM and OST took a number of steps to identify additional sources starting in August 2015. Between August 2015 and May 2016, NA-APM issued two Sources Sought, held an Industry Day in early January 2016, consulted with the FAA regarding the Part 145 Certificate requirement, and worked with the Small Business Administration’s Procurement Center Representative (PCR) in an attempt to resolve a number of small business issues and concerns. Based on the market research data, the Contracting Officer (CO) decided that it was in the best interest of the Government to issue a solicitation under full and open competition procedures. Accordingly, in August 2016, the CO submitted a request for a small business waiver to DOE’s Office of Small Disadvantaged Business Utilization (DOE OSDBU). Initially, the DOE OSDBU rejected the CO’s request but after the CO provided additional clarifying information, the DOE OSDBU reversed his decision in September 2016 and recommended that the small business waiver be approved. Despite this action, the SBA PCR issued a Form 70 Recommendation in November 2016 requesting that the Contracting Officer (CO) issue the solicitation as a total small business set-aside. The CO rejected the Form 70 Recommendation on December 1, 2016 and the PCR appealed the CO’s rejection to NNSA’s Head of Contracting Activity (HCA) on December 5, 2016. On December 14, 2016, the HCA responded to the PCR’s appeal and agreed with the CO that the rejection was justified based on the record. Subsequently, the HCA resolved the issue with SBA and SBA withdrew its Form 70 appeal on January 4, 2017.

NNSA posted a solicitation that closed August 25, 2017. The Integrated Project Team (IPT) expert completed the technical evaluations at the end of January 2018. In mid-March 2018, NA-APM-12 requested a review from NNSA’s Office of General Counsel (OGC). NA-APM received OGC’s comments towards the end of April 2018 and has been actively working with the IPT to address the OGC comments.

VII. DETERMINATION OF REASONABLENESS OF COST OR PRICE

The CO determined the rates to be fair and reasonable as these prices were compared to historical rates on the previous two contracts.

VIII. MARKET RESEARCH

See discussion in Section VI.

IX. OTHER FACTS

The CO anticipates that award of the re-competed effort will occur sometime in the summer of 2018. The base period of four – months provides time for NNSA to finalize the evaluations and make award to include a two-month transition period.

X. INTERESTED SOURCES

Electronic communications between NA-APM-124.2 and AAR reflect AAR’s interest in continuing to perform the aircraft maintenance services at the rates and conditions specified in the contract for a new short-term 4-month contract period.

XI. STEPS TO FOSTER COMPETITION

NNSA is actively re-competing the requirement and hopes to complete its technical evaluations and make contract award within the next 60 to 90 days.

XII. CERTIFICATIONS

FAR 6.303-2(a)(12), Contracting Officer certification that the justification is accurate and complete to the best of the contracting officer’s knowledge and belief.

Contracting Officer (Preparer):

I certify that the facts and representations under my cognizance, which are included in this justification and which form a basis for this justification, are complete and accurate.