NE_Z1_J A_Redacted.pdf

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SAIC -NORTHEAST REGION - ZONE 1

MAINTENANCE, REPAIR, AND OPERA TIO NS (MRO) PROGRAM

l . Defense Logistics Agency (DLA) Troop Support, Construction and Equipment Supply Chain, is the contracting activity.

2. The action being approved is the ability to solicit for DLA requirements on an other than full and open competition basis.

3. The proposed acquisition is for a bridge contract for a period of ninety-two (92) days to provide for the purchasing of facilities, MRO supplies and associated incidental services. The Tailored Logistics Support Prime Vendor (TLS PV) contract provides for MRO materials and other supplies including, but not limited to: Heating, Ventilation and Air Conditioning (HV AC); plumbing supplies (including bath and shower items); electrical products (including generators, wire, connectors, sockets, outlets, lights, etc.); tools of various kinds; chemical, lubricating, and rubber products and products including same;

construction supplies (including but not limited to cement, lumber and plywood, bricks, blocks, steel, aluminum, and other metal products, conduits, prefabricated structures, etc.); perimeter security items such as barriers, barbed wire, concertina wire, and sand bags (also used for erosion prevention);

communication devices (such as walkie-talkies, two-way radios, etc. used by maintenance personnel); and various other MRO supplies needed by war-fighters stationed in the Northeast Region of the United States. The maximum dollar value is $19 .8 million for the period of ninety-two (92) days, based on current sales data. The original contract, SPM500-04-D-BP24, was awarded to SAIC on August 31 , 2004 to support military customers with MRO requirements in the Northeast Region, Zone 1. The contract was issued with a two (2) year base period and eight (8) one-year options; included an implementation period of ninety (90) days and expired August 30, 2014. The current bridge contract with SAIC is due to expire on December 30, 2014 and the follow-on contract has not yet been awarded. The proposed action will result in the award of a second bridge contract for a period of ninety-two (92) days with SAIC effective December 31 , 2014 through April 1, 2015 . Should a competitively awarded contract be issued ahead of the projected timeframe and the contract guaranteed minimum of $100,000.00 is satisfied, delivery orders will no longer be placed under this bridge contract.

4. The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(l), as implemented by FAR 6.302-1 , Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. This J&A addresses coverage for the Northeast Region, Zone 1. Coverage for Zone 2 will be addressed in a separate J&A. The use of this authority is necessary because SAIC is the only contractor that can provide the requisite MRO products and associated incidental services in the required time frame for the Northeast Region, Zone 1. The current bridge contract with SAIC expires December 30, 2014 and the follow-on competitive procurement has not yet been awarded; therefore a second bridge contract is necessary to maintain uninterrupted support of military customers in the Northeast Region, Zone 1.

Award to any other source would result in unacceptable delays in fulfilling the Agency' s requirements.

The current bridge contract was necessary because of delays in awarding the follow-on competitive procurement due to numerous changes in the acquisition and pricing strategies.

The complexity of the proposals as well as the complexity of the evaluation criteria

(evaluation of 200 PEL price points, a sixty ( 60) price point distribution table, consisting of twenty (20) tiers per pricing period, and two pricing scenarios from the offerers) resulted in a protracted evaluation r"\

Page 2of3 process that has delayed the award of the follow-on solicitation. Further suspension in progress of Zone 1 of the Northeast follow-on contract resulted from prioritization of acquisitions to support Operation United Assistance (OUA), the Ebola relief effort.

The proposed second bridge is required to allow for negotiations, reverse auction, final evaluations, preparation of award documents, contract review and approval, as well as to provide contract coverage during the thirty (30) day "ramp up" or transition period. Award of the follow-on contract is expected by March 2, 2015 with full contract implementation April 1, 2015.

It is essential that DLA Troop Support maintain the ability to purchase MRO supplies and associated incidental services, in the period from December 31, 2014 through April 1, 2015. This proposed bridge contract will ensure continuous contract coverage providing for an uninterrupted supply of vitally needed MRO supplies and incidental services throughout the Northeast Region, Zone 1. If this contract is not awarded and coverage lapses, DoD and DLA's ability to provide much-needed supplies will be significantly impaired

SAIC is the only established firm capable of providing continued support for these vital MRO items in the Northeast Region, Zone 1 while the follow-on competitive acquisition is being completed.

A new contractor would require at least a thirty (30) day "ramp-up" period to form relationships with local suppliers and manufacturers located in the Northeast Region, Zone 1, identify potential delivery service and transportation requirements, establish adequate purchasing, distribution and quality control systems, hire local customer support representatives, and implement systems that would interface with DLA Troop Support.

6. This requirement will be synopsized in FedBizOpps as required by FAR Subpart 5.2. In addition, this justification will be made available for public inspection after award, in accordance with FAR 6.305 .

7. As the Contracting Officer, I hereby determine that the anticipated cost to the Government will be fair and reasonable based on price analysis, including comparison to available commercial pricing, General Services Administration (GSA) pricing, and other Government contracts.

8. The requirement for this bridge contract will be synopsized. No other firms will be solicited since the required supplies and services are only available from the incumbent contractor in the required timeframe.

9. Considering the high volume of demands currently being experienced and the ability to reduce the logistics response time, the current contract with SAIC is determined to be the most feasible vehicle to support customer requirements until a follow-on initiative is competitively awarded. The current contract with SAIC allows DLA Troop Support to support the Northeast Region, Zone 1 by reducing customer wait time, improving logistics response time, managing suppliers rather than managing supplies, avoiding depot operation costs for managing, storing, shipping, handling, and transporting MRO materials, and improving product availability.

10. SAIC is the only established source to express an interest in this bridge contract.

11. The proposed bridge covers the MRO Northeast Region, Zone 1. The solicitation for the follow-on initiative was solicited on April 1, 2014 on a full and open competition basis and future solicitations are expected to be issued competitively. The estimated date of award of the follow-on contract is March 2, 2015.

12. As the Contracting Officer, I hereby certify that this justification is accurate and complete to the best of my knowledge and belief.

.. . ·- Page 3of3 l~tl/ BJJ14

DATE

Contracting Officer

I hereby certify that the requirements which form the basis of this justification are accurate, that these supplies and incidental services meet the Government's needs in accordance with applicable specifications and that this justification is accur\!Sd~ coIJlPlete tot~ best of my knowledge and belief.

td./ 11\1 t t

DATE

IST Chief/MRO Regional Manager

I have reviewed this justification and recommend

1~.;;iotf

DATE 1CHEYEV ANITSKY

MRO Division Chief

I have reviewed this justification and recommend approval.

19--111 !&-014' DATE v RALPH UND

Director of Supplier Operations Construction and Equipment Supply Chain

I have reviewed this justification and recommend approval.

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\ E I ROBERT J. PANICHELLE

DLA Troop Support Competition Advocate

I have reviewed this justification for legal sufficiency.

D'A(TE I I

ply Chain Counsel, A Counsel - Troop Support

. I have reviewed and hereby approve this justification.

~~\}6\\'\ DATE\: \ h!~sl~

Executive Director DLA Troop Support Contracting and Acquisition Management