SAMM_JA_To_Add_Option_Period_Five__Redacted.pdf

MILITARY SEALIFT COMMAND NORFOLK

Bldg. SP 64, 471 EAST C STREET

NORFOLK, VA 23511-2419

N102-14-D-8005-1

JUSTIFICATION AND APPROVAL

TO ADD AN OPTION PERIOD

1. Contracting Activity: Department of the Navy, Military Sealift Command (MSC), Norfolk, VA

2. Description of the Action Being Approved:

Adding an Option Period to the conformed contract will facilitate a later contract modification to potentially exercise that additional option period. Additionally FAR 52.217-9 - Option to Extend the Term of the Contract will be amended to reflect 60 months vice 36 as previously stated. The Base Period and Option Periods One through Three were in the Base award. Option Period Four was exercised as a bridge under Modification N32205-14-D-8005 P00024. The periods of performance are reflected below:

Period of Performance Duration (Start Date - End Date) Base Period 20 November 2013 - 19 November 2014 Option Period One 20 November 2014 - 19 November 2015 Option Period Two 20 November 2015 - 19 May 2016 Option Period Three 20 May 2016 - 19 November 2016 Option Period Four 20 November 2016 - 19 May 2017 Option Period Five 20 May 2017 - 19 May 2018

The addition of Option Period Five would make the term of the contract 54 months.

Amending FAR 52.217-9 - Option to Extend the Term of the Contract will be amended to reflect 60 months would potentially allow for an extension under FAR 52.217-8 - Option to Extend Services. The addition of Option Period Five will increase the total cost by (Labor, Travel and ODCs). The Contracting Officer will exercise the option by written notice to the Contractors within 14 days before task order completion.

3. Description of Services:

The modification to add the Option Period Five will permit provision of required, continuous Shipboard Automated Maintenance Management System (SAMM) support for Military Sealift Command (MSC) in Norfolk, Virginia. There is no funding required for the addition the additional option periods, as the minimum order has been fulfilled.

4. Statutory Authority: The authority permitting the addition of an option period is FAR 52.243- 2.

rickey.turner Sticky Note Accepted set by rickey.turner

N102-14-D-8005-1

5. Rationale Justifying Use of Cited Statutory Authority:

Justification for using 52.243-2 -- Changes -- Cost-Reimbursement was based on the following:

a) Option Period Four, extension of period of performance, was awarded on 20 November 2016, for a 6-month period. This was a cost plus fixed-fee effort that conformed to the terms of the base contract. MSC has been using this contract for the execution Shipboard Automated Maintenance Management System (SAMM) support for MSC, U.S. Navy, and NOAA assets as well as supporting shore facilities.

Emprise Corporation is the incumbent.

b) The current option period will expire on 19 May 2017, and the intent to add two additional option periods will ensure continuity of service until the requirements for a new contract action can be finalized. Despite diligent efforts, and as a result of manpower shortages and workload burdens, the requirements were not finalized in time to support a fully competitive acquisition effort. That necessitates this modification and extension.

c) The familiarity of the incumbent with MSC’s requirements and their experience and knowledge of the system provides the desired result to ensure continuity of service to ensure all maintenance actions are properly identified and appropriate machinery history properly recorded. No other party has the practical experience and technical expertise on the MSC systems in question to achieve successfully a transition in the extremely short time available before the current term of the contract expires. There are no other viable alternatives to extending the contract at this time.

d) Based on the aforementioned, the addition of an additional twelve (12) month Option Period of the Shipboard Automated Maintenance Management System (SAMM) is requested.

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

No effort was made to solicit offers from other contractors since we are currently in the final Option Period Four which expires on 19 May 2017.

7. Determination of Fair and Reasonable Cost:

The value of the additional periods of performance are based on prices previously determined to be fair and reasonable at time of award. As mentioned previously in section 5(d), the total value of the additional periods of performance will be based on the value of the last option period.

8. Action to Remove Barriers to Future Competition:

The current six month extension provides MSC Contracting Department with the additional time needed to formalize the scope SAMM requirement that has expanded over the life of the SAMM contract. This project is scheduled to be completed by 19 May 2017. Adding Option Periods Five and Six will facilitate continuing operationally critical service under the SAMM contract and will allow for any delays that may occur with the identification and finalization of the new SAMM requirements.