Justification and Approval (JA) SP330020C5001 Redacted.pdf
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- Solicitation number
- SP3300-20-C-5001(Modification-P00019)
- Issued by
-
Defense Logistics Agency Distribution
About this file
This document is a Justification and Approval (JA) for a sole source contract modification. The JA justifies modifying an existing contract, SP3300-20-C-5001, with Bowhead Operations & Maintenance Solutions LLC to provide a 2-month extension of Work in Process Control Area Labor Support Services at the Defense Logistics Agency (DLA) Distribution Corpus Christi, Texas. The extension is necessary due to unanticipated delays in the competitive recompete of the follow-on contract. Bowhead is the only contractor capable of providing the services without a break, as they currently possess the required security clearances and expertise. The estimated value of the 2-month extension is aligned with the current contract pricing. This modification will allow for an effective transition to the new competitively awarded contract.
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4. IDENTIFICATION OF STATUTORY AUTHORITY:
The statutory authority permitting other than full and open competition is:
_X__ 10 U.S.C. 2304(c)(1) or 41 U.S.C. 3304(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements (FAR 6.302-1, DFARS 206.302-1)
Due to unanticipated post award administration requirements and necessary process delays, it has become necessary to modify existing contract SP3300-20-C-5001 to provide an extension of necessary services for a two (2) month period to provide DLA Distribution Corpus Christi, Texas the time needed to transition to a new competitive contract. Pursuant to the exception under FAR 6.302-1(a)(2)(iii), only Bowhead Operations & Maintenance Solutions LLC is capable of providing the services; award to any other source will result in unacceptable delays and cause disruption to the mission at DLA Distribution Corpus Christi, Texas. Moreover, for other potential sources to fulfill this immediate need through a competitive solicitation, an acquisition lead-time of 255+days, to include a 90-day transition period, would be required. Accordingly, the most effective course of action is to issue a modification to contract SP3300-20-C-5001 utilizing the contract clause FAR 52.217-8. Doing so will ensure continuation of these critical services while allowing adequate time for DLA Distribution to establish a competitive environment for these services.
Bowhead Operations & Maintenance Solutions LLC is a responsible source that currently understands the service requirements of the performance work statement and will ensure an effective transition of necessary services to a new source, obtained through competitive solicitation process, currently in progress.
5. DEMONSTRATION OF CONTRACTOR'S UNIQUE QUALIFICATIONS OR
NATURE OF ACQUISITION THAT REQUIRES USE OF THE CITED AUTHORITY:
Bowhead Operations & Maintenance Solutions LLC is the only source capable of realistically providing this requirement without a break in services. This proposed contract continuation action is for non-personal services whereby the current contractor, Bowhead Operations & Maintenance Solutions LLC, already possesses personnel with necessary clearances. Maintaining this staff will save the Government the cost of additional training and security clearances as well as time. As stated previously, to fulfill this immediate need through a competitive solicitation, an acquisition lead-time of 255+days, to include a 90-day transition period, would be required.
Bowhead Operations & Maintenance Solutions LLC has been performing the current effort and has the necessary management and expertise to continue to perform services and provide continuity until a contract awarded competitively can be put in place.
6. SYNOPSIS ANNOUNCEMENT/POTENTIAL SOURCES:
On 03 October 2024, a notice of the Government’s intent to issue a sole source modification as required by FAR 5.201 and in accordance with procedures at FAR 6.302-1(d) was performed.
7. DETERMINATION OF FAIR AND REASONABLE COST:
To determine whether the contractor’s proposed price is fair and reasonable, the Acquisition Specialist and Contracting Officer will review the proposed price against current market research information available as well as government estimated costs. The price to the Government for the two-month extension is ; and is aligned with current contract costs. Additionally, option year four (4) contract prices were determined fair and reasonable at time of contract award. The costs associated with this extension are merely a continuation of current option year four (4) schedule pricing. The direct labor rates and indirect rates for the proposed extension of services reflects those rates.
8. DESCRIPTION OF MARKET RESEARCH:
The Acquisition Specialist performed an informal market survey to ensure that the prices for the extension are the best available prices in the current market. Salaries for non-exempt employees are controlled by the local wage determination established by the DOL for Corpus Christi, TX area. Salary information from independent salary surveys for the exempt position were analyzed and compared to the pricing from Bowhead Operations & Maintenance Solutions LLC. The analysis determined that the price for the modification from Bowhead Operations & Maintenance Solutions LLC is the best available price.
Additionally, market research was also already performed by DLA Distribution as part of the procurement process for the follow-on competed action. Bowhead Operations & Maintenance Solutions LLC is the only company capable of performing this effort without any break in services, providing continuity and stability to the Government. Bowhead Operations & Maintenance Solutions LLC’s staff have their security clearances and are fully trained. While other companies can perform labor support services, they would require a phase-in period of 90-days to meet security and training requirements.
9. OTHER SUPPORTING FACTS:
N/A
10. LISTING OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN
INTEREST IN THE ACQUISITION:
Multiple offers have been received in response to the follow-on solicitation. Additional market research does not have bearing on the extension of the Option Year Four period of performance, as the need is immediate and no other potential sources for this additional work can support it in the short timeframe and duration required.
11. ACTIONS THE AGENCY MAY TAKE TO REMOVE/OVERCOME BARRIERS
BEFORE ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES/SERVICES IS
REQUIRED/MADE:
This procurement action is for an extension modification of existing contract SP3300-20-C-5001, pursuant to FAR 52.217-8 entitled “Option to Extend Services (Nov 1999). Actions to increase future competition are being developed for the services required by this modification. Contract SP3300-20-C-5001 was competed as a full and open competition after the exclusion of sources
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