Memo for File - Limited Source Justisfication Memo Final.pdf

DEFENSE LOGISTICS AGENCY

DISTRIBUTION

430 MIFFLIN AVENUE SUITE 3102A

NEW CUMBERLAND, PENNSYLVANIA 17070-5007

MEMORANDUM FOR RECORD

SUBJECT: Sole Source Solicitation /Contract # SP3300-17-P-0779

REFERENCE: FAR 13.106(b)(1)(i)

1. Identification of the Agency and Contracting Activity

DLA Distribution, DLA Distribution J7 430 Mifflin Ave., Suite 3102A New Cumberland PA 17070-5007

2. Describe the contract action, to include the dollar value and the type of limited justification.

This is a sole source action to be awarded as a modification to extend the period of performance of Firm Fixed Price (FFP) contract SP3300-17-P-0779 to:

Corky Hull Medical Associates, Inc.

13592 Heidi Way Truckee, California 96161

Estimated value:

Period of Performance: 01 August 2022 through 31 January 2023

3. Description of the Supplies/Services

This acquisition action is for Industrial Hygiene (IH) and Ergonomic Program Support Services currently provided at DLA Distribution San Joaquin, CA (DDJC). This action would extend the contract for up to an additional six (6) month period, pursuant to FAR 52.217-8 Option to Extend Services. DLA Distribution intends to re-compete the services and anticipates award date by December 1, 2022.

The required contractual support services include providing DDJC with the necessary IH and Ergonomic Program services for approximately 1,700 DLA civilian personnel and approximately 20 active-duty military personnel. Within these numbers, approximately 1,500 are on the medical surveillance program and

430 MIFFLIN AVENUE SUITE 3102A

NEW CUMBERLAND, PENNSYLVANIA 17070-5007

approximately 1,200 of the 1,500 maintain a material handling equipment license.

Additionally, approximately 64 facility and equipment maintenance personnel will require IH and Ergonomic Program support services.

4. Justification Rationale for Use of Sole Source

This contract was awarded as a FFP type contract to Corky Hull Medical Associates, Inc. on 31 July 2017. Contract SP3300-17-P-0779 is in its fourth and last year and expires on July 31, 2022. The contractor is currently performing the required service at a satisfactory or above level. The prior year’s Contractor Performance Assessment Report included Satisfactory ratings in all the evaluation areas.

Performance to date for the current period is consistent with the previous year evaluation.

Pursuant to the exception under FAR 6.302-1(a)(2)(iii), only Corky Hull Medical Associates, Inc. can provide the services at this time; award to any other source will result in unacceptable delays and would preclude DLA from reacting timely to requirements in support of the mission at DDJC. This action could not have been overcome by advanced planning given the nature of this contract and the unexpected notification by DLA of exclusion of the required services on an Integrated Enterprise-wide contract, just a few months prior DLA Distribution’s contract expiration.

A follow-on procurement package is being developed for the recompete of the required services. Utilizing the existing contractor will save the Government time and the cost of additional training and obtaining security clearances. To fulfill DDJC’s mission requirements for the remaining period until the competitive follow-on contract is awarded, an extension of the period of performance up to six months would be required. Corky Hull Medical Associates, Inc. has the necessary management, personnel, and expertise to perform the requirements while the competitive follow-on contract is awarded. The time it would take to compete this requirement would preclude DLA from reacting timely to an urgent request for support, which could potentially result in mission failure.

The extension will be in accordance with FAR 52.217-8, “Option to Extend Services” clause that is included in the contract but was not evaluated as part of the original contract award.

430 MIFFLIN AVENUE SUITE 3102A

NEW CUMBERLAND, PENNSYLVANIA 17070-5007

Due to the short timeframe for the expiration of the current contract, dollar value of the contract, personnel certifications, Facility Clearance for access to personal information/DoD systems, personnel clearances, level of expertise, knowledge, and familiarity with the work required; it is expected that the IH and Ergonomic Program Support Services contract for DDJC will be extended on a sole source basis to ensure continuity of services while the competitive procurement is awarded. If the contract is not extended to accommodate the known and anticipated requirements of this contract, DLA Distribution would not have a contract vehicle to receive necessary services within the scope of this contract to support DDJC and its mission.

5. Market Research and Interested Sources Market research was conducted for the initial procurement that resulted in contract SP3300-17-P-0779. Market research is being currently conducted for the follow-on acquisition. Sources identified during market research will be contacted by Acquisition Planning to confirm technical capability and interest to participate in the recompete action.

6. Determination It is the Contracting Officer’s determination that the modification to extend services represents the best value, consistent with 13.106(b)(1)(i).

Therefore, this extension will be awarded as a Sole Source procurement.

7. Other Supporting Facts N/A.

8. Fair and Reasonable Pricing will be evaluated utilizing available price lists, GSA schedule comparisons, and analysis to historical pricing, if available, for the same or similar services. The pricing for this extension is the same as pricing for option year four within the limits and at the rates specified in the current contract, pursuant to FAR 52.217-8 Option to Extend Services. The Contracting officer will determine the price fair and reasonable at time of modification award based on an informal market survey, included as a supplement to the Determination and Findings (D&F) for Option to Extend Services.

9. Certification, Review, and Approval The following endorsements/approvals are to be provided for the Justification.