Intercontinental_JOFOC_version_for_FEBBIZ.doc

Reference DOSAR 606.303-2

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION, PRICE JUSTIFICATION (JOFOC)

ACQUISITION OF HOTEL ACCOMMODATIONS IN SUPPORT OF VIP TRAVEL

1. I recommend that the Department of State use other than full and open competition for the acquisition of hotel rooms for this VIP visit. The estimated cost is $397,925.00 with a ceiling of $500,000.

2. Nature and/or description of the action being approved.

[ X ] Senior VIP Travel

3. A description of the supplies or services required to meet the agency’s needs.

Embassy San Jose is informed that the Real Intercontinental Hotel, S.A. (dba Real Interncontinental Hotel and subsequently indentified as “Real Intercontinental Hotel”) San Jose, Costa Rica was selected by the respective security advance teams to provide required rooms, including the RON, and conference facilities up to and during the VIP visit on May 3 and 4, 2013. The Embassy anticipates needing up to 372 hotel rooms per night during the visit. In addition to rooms, the Embassy has also identified conference spaces, parking areas, and other areas of the hotel to support logistical needs, including baggage, control rooms, press rooms, offices, meeting rooms, etc.

4. An identification of the statutory authority permitting other than full and open competition.

[ X ] 41 U.S.C. 253 (c) (2), FAR 6.302-2; Unusual and Compelling Urgency; (Based on the available time and urgency of the requirement as detailed below) Security concerns prohibit sufficient advanced notification of VIP travel to allow for sufficient time to conduct full and open competition. The Department of State can only communicate with the staff at Posts abroad when authorization is given from the appropriate authorities. They have an extremely short turnaround time when authorization has been granted for negotiations to commence and site selections to be finalized with both the local vendors and Posts before the actual visit occurs. The security and logistical teams make determinations during the site survey as to which hotels are most suitable for the VIP and the VIP’s traveling staff to remain overnight. Obvious consideration of the VIP and the VIP’s staff’s location are taken into consideration as a determining factor.

The types of events, meetings, locations and availability of venues to support the delegation are often times designated by the host countries. In this case, the proximity of the support staff to the VIP is crucial and often requires the Department of State to react quickly to accommodate.

Unique requirements for communications and audiovisual support made by the U.S. Government agency under severe time limitations are always a determining factor in the selection process of vendors.

Many of the arrangements for hotel and transportation are often not confirmed until just before the actual visit. In addition, to supporting a large delegation within a short time frame, last minute and frequent changes of itineraries for supporting personnel often result in significant changes in how Posts work with the vendors. With the exception of few trips, contracts are not permitted to be signed until a written confirmation from all supporting agencies is signed, which enables collection of funds from said agencies in the event of cancellation. This results in an unusual and compelling urgency in accordance with 41 U.S.C. 253 (c) (2), FAR 6.302-2.

In addition to the Real Intercontinental Hotel, Embassy San Jose will be contracting with the Costa Rica Marriott Hotel, San Jose and the Crowne Plaza Corobici Hotel, San Jose to provide additional rooms to support the visit.

These unique travel requirements result in a very limited number of responsible sources with no other supplies or services capable of satisfying agency requirement in accordance with 41 U.S.C. 253 (c ) (2), FAR 6.302-2.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

Security and logistics are the Department of State’s primary considerations when procuring hotel rooms for such personnel. The Department of State must be able to provide a safe and secure environment for VIP visitors. Frequently VIP visits are not announced or confirmed in sufficient time to conduct a competition, creating an urgent and compelling need. At other times, the security requirements and/or requirements of the host country government limit the acquisition to one or a small number of predetermined hotels.

[ X ] The VIP visit information was not available in sufficient time thereby creating an urgent and compelling need.

The host country government requires the use of this/these hotel(s).

[ X ] The proposed contractor has the following unique qualifications which meet the Department of State’s security and logistical requirements.

[ X ] Set-back (hotel is safe distance from the street)

[ X ] Location (able to secure building, travel route; distance to and from event)

[ X ] Size and number of rooms (able to house everyone in one hotel)

[ X ] Conference facilities (adequate space for meetings, press conferences)

[ X ] Communications (able to install equipment/lines, command center)

[ X ] Accommodating to security needs (hotel will allow DOS to occupy the desired top two floors of the hotel)

6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable.

Due to urgency and exception in FAR 25.401(a)(5) this solicitation cannot be posted but the JOFOC will be published in FedBizOpps.

The following other hotels were reviewed but were not adequate because of the following:

Additional hotels considered for the visit RON included the Costa Rica Marriott and the Crowne Plaza Corobici. Neither hotel had the room availability that visit guidelines require. The Real Intercontinental Hotel, however, was able to offer an adequate number of rooms and the appropriate types of rooms as outlined by the visit guidelines.

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

I reviewed the rates of comparable hotels and/or conference accommodations in San Jose during the time of the visit and found these rates to reasonable in comparison. Additionally, per diem rates for San Jose allow for lodging of $141 per night. Post has negotiated a nightly rate or $155 per night, but the increase is necessary and due to the inability of the hotel to use certain space, security requirements, and related considerations. Finally, the hotel prices are considered fair and reasonable due to the restricted competition created unique security needs of the visit.

8. Any other facts supporting the use of other than full and open competition.

None.

9. A listing of sources, if any, that expressed, in writing, an interest in the acquisition.

No other hotels expressed an interest in writing to the Embassy regarding this acquisition.

10. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

Because of the unique and urgent nature of visits and the limited hotel options currently available in San Jose that can meet visit guidelines, there are no other actions that could have been taken to overcome the barriers to competition for this event.

CERTIFICATIONS

I certify that the information in this justification is accurate and complete to the best of my knowledge and belief as the Director.

Date:

Jeanne F. Bull

Director

I certify that this justification is accurate and complete to the best of my knowledge and belief. Based on my assessment, I conclude that other than full and open competition is justified and the proposed price is fair and reasonable.

Date:

Andrew Nelson

Contracting Officer

Overseas Contracting

Version – October 19, 2010