NB192030-26-00188 JOFOC Final Signed 2026 01 28.pdf

Justification for Other than Full and Open Competition Purchase Request No. NB192030-26-00188

I. IDENTIFICATION OF THE AGENCY AND CONTRACTING ACTIVITY

U.S. Department of Commerce National Institute of Standards and Technology (NIST) Acquisition Management Division (AMD)

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

This is a justification for award of a noncompetitive contract for commercial transit subsidy payment services for NIST employees that work at the NIST campus in Gaithersburg, Montgomery County, Maryland (which is within the National Capital Region (NCR)).

III. A DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS (INCLUDING THE ESTIMATED VALUE)

Executive Order (E.O.) 13150 of April 21, 2000 requires, among other things, that Federal agencies implement a transportation fringe benefit program that offers qualified Federal employees the option to exclude from taxable wages and compensation, consistent with section 132 of title 26, United States Code, employee commuting costs incurred through the use of mass transportation and vanpools, not to exceed the maximum level allowed by law (26 U.S.C. 132 (f)(2)). These agency programs shall comply with the requirements of Internal Revenue Service regulations for qualified transportation fringe benefits under section 1.132–9 of title 26, Code of Federal Regulations, and other guidance.

The E.O. encourages federal agencies to use any nonmonetary incentive that the agencies may otherwise offer under any other provision of law or other authority to encourage mass transportation and vanpool use, as provided for in section 7905(b)(2)(C) of title 5, United States Code. Sec. 2. Federal Agencies in the NCR. Federal agencies in the NCR are required to implement a ‘‘transit pass’’ transportation fringe benefit program for their qualified Federal employees by no later than October 1, 2000, and that requirement remains in place. Under this program, agencies shall provide their qualified Federal employees, in addition to current compensation, transit passes as defined in section 132(f)(5) of title 26, United States Code, in amounts approximately equal to employee commuting costs, not to exceed the maximum level allowed by law (26 U.S.C. 132(f)(2)). The NCR is defined as the District of Columbia;

Montgomery, Prince George’s, and Frederick Counties in Maryland; Arlington, Fairfax, Loudon, and Prince William Counties in Virginia; and all cities now or hereafter existing in Maryland or Virginia within the geographic are

To comply with the E.O., NIST requires a contractor to provide transit subsidy payments to eligible NIST employees that commute to work at the NIST campus in Gaithersburg, Maryland.

The period of performance for the contract will be for a one (1) year Base Period from February 1, 2026 to January 31, 2027, with four one (1) year option periods, plus a possible 6-month option to extend services. The estimated value, including options, is $6,735,300.00.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

The authority for this justification is Revolutionary FAR Overhaul (RFO) 12.102, Restricting Competition, and 41 U.S.C. 1901 and is based on only one responsible source and no other supplies or services will satisfy agency requirements. The applicable procedures are in RFO 12.201-1 Simplified Procedures, as implemented by Department of Commerce Class Deviation to FAR Parts 1 through 53 (PM 2026-06).

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE

QUALIFICATIONS OR NATURE OF THE ACQUISITION REQUIRES THE USE OF

THE AUTHORITY CITED

During the implementation of EO 13150 (April 21, 2000), the transportation subsidy (SmartBenefits) program was developed at NIST. At that time, there were no other existing subsidy programs within federal agencies located in the Maryland or Washington D.C. area;

subsequently, the Washington Metropolitan Area Transit Authority (WMATA) was the only service provider available to purchase fare media products for employees to use toward their transportation costs.

Procedures for the subsidy program at NIST were developed around the WMATA SmarTrip program and NIST developed an in-house participant database to track employee application information and process the monthly billing. These processes, to include the NIST database, continue to be utilized today.

The WMATA SmarTrip card system is heavily integrated into the NIST SmartBenefit program, and no other system currently works with the NIST SmartBenefit program.

WMATA provides funding allocations through the SmartTrip card to eligible employees.

Employees set the allocation to their existing SmartTrip card, or to the agency issued SmartTrip card. No registration is required.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE

Sources Sought Notice (SSN) SS26-04 was posted to SAM.gov on January 8, 2026, with responses due January 16, 2026. The SSN requested respondents to provide their capabilities, socioeconomic status, and whether the services offered included a fee for fares. No responses were received.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The estimated cost is based on historical data for the current participants in the NIST program, current costs for eligible public transportation, and the contracting officer’s professional judgment. The contracting officer will only award the contract if they determine the price to be fair and reasonable at the time of award.

Recent market research indicates that the Washington Metropolitan Area Transit Authority (WMATA) is the only source that is capable of providing the required services directly. The WMATA is responsible for handling and providing transportation to the NCR. The WMATA fee-free SmartBenefits Commuter Benefits Program is similar to a Health Savings Account for commuting. Employees at participating employers can use public transportation to commute tax-free and save up to $1,800 per year. Employers may also receive tax benefits. Therefore, the contracting officer determines that the anticipated cost to the Government will be fair and reasonable.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10)

AND THE RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH

WAS NOT CONDUCTED

There are two known service providers in the NCR for the required transit services, WMATA and TRANServe. TRANServe is sponsored by the Department of Labor (DOL) to provide the media fare for agencies (via interagency agreement) within the NCR via WMATA, for a fee.

Additionally, the TRANServe debit card is a Visa-branded debit card and requires users to apply for use of the card with no guarantee of approval, which would put NIST employees at risk of being excluded from the program.

Based on market research, WMATA is the only known provider of authorized fare media products for the payment to employees of NIST in Gaithersburg, Maryland in support of the Federal Workforce Transportation Subsidy program. WMATA is the one and only fee-free source provider of this approved fare media for the area. In addition, WMATA does not require users to apply for a Visa-branded debit card. WMATA provides monthly fare for riders of area mass transportation (METRO, MARC, commuter buses, and vanpools) in an electronic form through their SmartBenefits website.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND

OPEN COMPETITION

The NIST SmartBenefits Program exists to meet the requirements of the E.O., as well as to meet Department of Commerce (DOC) Administrative Order (DAO) 217-8, Employee Parking, Ridesharing, and Mass Transit Benefit Program.

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED INTEREST IN THE

ACQUISITION

None.

XI. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE MAKING

SUBSEQUENT ACQUISITIONS FOR THE SUPPLIES OR SERVICES REQUIRED

The Acquisition Management Division will carefully review any request for subsequent acquisition of the required services and will ensure that any restrictions to competition are adequately supported and documented.

Currently, the NIST SmartBenefit program is working to expand their ability to utilize TRANServe as a provider through a pilot program to address the needs of personnel outside the NCR commuting area. This pilot program could expand into further changes to the SmartBenefit program, allowing other providers to be accepted.

XII. CONTRACTING OFFICER’S CERTIFICATION THAT THE JUSTIFICATION

IS ACCURATE AND COMPLETE TO THE BEST OF THE CONTRACTING

OFFICER’S KNOWLEDGE AND BELIEF

The Contracting Officer has determined this document to be both accurate and complete to the best of his knowledge and belief.

Tony Schmidt

APPROVAL

Joseph Widdup Competition Advocate