SSJ- USNA NAAA.pdf

DEPARTMENT OF THE NAVY

NAVSUP FLEET LOGISTICS CENTER NORFOLK

1968 GILBERT STREET SUITE 600

NORFOLK VA 23511-3392

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Identification of Agency and Contracting Activity.

Requiring Activity: United States Naval Academy (USNA)

1 Rd

Annapolis, Maryland 21402

Contracting Activity: Naval Supply Systems Command (NAVSUP)

Fleet Logistics Center Norfolk (FLCN)

Contracting Department, Code 200

1968 Gilbert Street

Norfolk, Virginia 23511

2. Description of the Action Being Approved.

This is a sole source action to be awarded as a new firm fixed price (FFP) contract to Naval

Academy Athletic Association (NAAA). The proposed contract action is for athletic support services at the United States Naval Academy (USNA) in Annapolis, Maryland.

This requirement is currently performed under contract number N0018917CZ061, which expires

30 September 2022. N0018917CZ061 is a FFP contract and was awarded on a sole source basis to NAAA. NAAA does not certify as a small business but does certify as a non-profit association. This requirement will be awarded in accordance with FAR Part 12 Acquisition of

Commercial Items and FAR Part 15 - Contracting by Negotiation.

3. Description of Supplies/Services.

USNA requires services in support of the 31 non-revenue generating National Collegiate Athletic

Association (NCAA) varsity sports programs and the Naval Academy's physical mission, facility management and commissioning week support provided at the Navy-Marine Corps Stadium.

The base period of performance for these services is from 01 October 2022 to 30 September

2023. The solicitation and resultant contract will include four (4) one-year option periods and one (1) six-month extension in accordance with FAR 52.217-8, which could extend services to

31 March 2028. The total estimated value with all options including the FAR 52.217-8 extension is $19,852,307.61.

Estimated Dollar Value FY23 FY24 FY25 FY26 FY27 52.217-8 Total

O&MN $3,253,319.00 $3,318,386.00 $3,384,754.00 $3,452,449.00 $3,521,497.00 $1,795,963.97 $18,726,368.97

Gift Funds

$195,609.00 $199,521.00 $203,511.00 $207,581.00 $211,733.00 $107,983.64 $1,125,938.64

Total $3,448,928.00 $3,517,907.00 $3,588,265.00 $3,660,030.00 $3,733,230.00 $1,903,947.61 $19,852,307.61

The IGE, developed by the USNA, is based on historical pricing with a 2.0% annual adjustment to account for inflation.

The resultant contract will be funded with FY23 Navy Operations & Maintenance (O&MN) appropriations and gift funds. Options will be funded utilizing appropriations of the fiscal year in which the option year is exercised.

4. Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(5), a statute expressly authorizes or requires that the procurement be made through another agency or from a specified source as implemented by FAR 6.302-5. 10 U.S.C. § 8481 authorizes the Navy to enter into contracts and cooperative agreements with the Naval Academy Athletic Association for the purpose of supporting the athletic and physical fitness programs of the Naval Academy.

Notwithstanding section 3201(e) of this title, the Secretary may enter such contracts or cooperative agreements on a sole source basis pursuant to section 3204(a)(5) of this title.

Notwithstanding chapter 63 of title 31, a cooperative agreement under this section may be used to acquire property or services for the direct benefit or use of the Naval Academy

5. Rationale Justifying Use of Cited Statutory Authority.

Since its founding in 1891, the NAAA has existed solely and exclusively to support athletics at the Naval Academy in furtherance of the Naval Academy's mission "[t]o develop Midshipmen morally, mentally and physically." Today, the NAAA manages the Naval Academy's physical education and intercollegiate athletics programs, to include the funding and administration of 33 varsity sports. As a NCAA-certified program, the Naval Academy's athletic department is considered a model for intercollegiate athletics both in providing athletic opportunities to

Midshipmen and in compliance with NCAA rules. The Naval Academy is able to provide nearly

1600 student athletes the opportunity to compete on the Division I level in over 500 contests a year. This requirement has always been awarded on a sole source basis, and The USNA and

NAAA establishes operating agreements that are valid for 5-year increments and are updated at the expiration of each agreement. There is a current operating agreement between the USNA and

NAAA that was issued on 01 February 2019 and is valid until 01 February 2024.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable, including a Description of Market Research, if applicable, and a List of Interested Sources, if any.

A synopsis of this planned contract was published on 30 March 2022, with a closing date of 15

April 2022. The synopsis stated that the Government intends to solicit and negotiate with only one source as authorized by statute. One other source expressed interest, however, their capability statement was evaluated by the requiring activity and they were not found to be capable. The requiring activity stated that contractor would not be considered capable as no other entity other than NAAA can provide the required services. Although the contractor is a highly respected fitness, wellness and health promotion service-oriented business (from their capability statement), USNA needs a provider such as NAAA that: (1) Is NCAA Certified and can guarantee Compliance with all NCAA Rules and Regulations, (2) Has extensive experience with maintaining Division I Athletic Fields and administering a Large Division I Athletic

Program with over 30 Varsity Sports, and (3) Owns the Football Stadium in Annapolis, MD that is part of the contract to provide Graduation Support to the USNA. Since 1891, the NAAA has existed solely to support Athletic programs at the USNA, and thus is uniquely positioned to provide support into the future.

Additional market research was conducted by reviewing current and historical contracts and well as discussions with the requiring activity, which confirmed that NAAA has been the sole provider of the required services.

Based on the information collected via market research, and for the reasons discussed in paragraph 5 above, it is not practicable for any company other than NAAA to provide the required services.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined that the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

FLC Norfolk has no plans at this time to compete future contracts for the types of services covered by this document. Given the Title 10 legislation that permits sole source contracts with

NAAA, the contract will be issued in accordance with the legislation. If another potential source emerges, FLC Norfolk will assess whether competition for future requirements is feasible;

however, an additional alternate source is unlikely as historically, the NAAA has existed solely and exclusively to support athletics at the Naval Academy.

9. Contracting Point of Contact.

The point of contact at NAVSUP FLC Norfolk is Arianna Williams Code 220, at DSN: 646-

1335, commercial phone number: 757-443-1335 or by e-mail at arianna.m.williams2.civ@us.navy.mil.

mailto:arianna.m.williams2.civ@us.navy.mil