Tab 1 - JA Addendum - Medical Freight Transportation - Redacted.pdf

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Redacted J&A - Medical Freight Transportation Federal contract opportunity
Solicitation number
Not on record
Issued by
Defense Logistics Agency

About this file

This is a Justification and Approval (J&A) document from the Defense Logistics Agency (DLA) Contracting Services Office in Philadelphia that authorizes Other Than Full and Open Competition for air freight transportation services. The document outlines the need for Medical Freight Transportation (MFT) Indefinite Delivery, Indefinite Quantity (IDIQ) contracts to provide door-to-door delivery services for worldwide heavyweight medical shipments over 300 pounds.

The J&A specifies that contracts will be restricted to Civil Reserve Air Fleet (CRAF) participants who are CARB-approved and FAA-certified air carriers. The contracts will have three-year ordering periods and include the addition of 16 new shipping lanes to the existing 19 lanes. Market research from February 2020 indicated seven of thirteen CRAF participants expressed interest in similar requirements. The document notes that competition is maintained amongst CRAF participants and pricing will be determined fair and reasonable through comparison of offers, published commercial rates, and Independent Government Cost Estimates. All U.S. flagged carriers have the opportunity to join the CRAF program, though participation is voluntary.

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CUI

Controlled Unclassified Information (CUI)

Source Selection Information – See FAR 2.101 & 3.104

Medical air freight requirements.

3. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET

THE AGENCY’S NEEDS, INCLUDING THE ESTIMATED DOLLAR

AMOUNT:

CRAF participation is required to meet DLA Troop Support – Medical air freight transportation requirements. Establishing the proposed MFT IDIQ contracts is critical to the timely and reliable movement of medical materiel worldwide.

The proposed MFT IDIQ contracts will enable DLA to procure door-to-door delivery services for worldwide, heavyweight shipments of medical freight over 300 pounds. Each IDIQ contract will contain a three-year ordering period. The aggregate total maximum contract value for all IDIQ contracts, including task orders, is projected to be .

ADDENDUM:

DLA requires support to the current MFT IDIQ contracts to incorporate sixteen additional shipping lanes to the nineteen lanes utilized for the IDIQ contracts. This support will allow DLA to maintain global mission readiness by offering more direct shipping lanes to the areas of need. These sixteen lanes are not currently available which can create a delay in needed supplies for our end users. This is required to address the emerging military operational requirements, while offering a more efficient method of shipment in these areas. DLA needs the ability to deliver medical supplies directly to these new locations to support wounded, ill, or injured warfighters during contingency operations. These additional lanes are projected to be an additional .

Only the current contracted CRAF transportation vendors under the MTF IDIQ can provide the required additional support at the level required without causing a delay in the support for DLA Troop Support Medical Customers. This is required to tremendously improve the ability to support and agility to maintain mission readiness. This additional support adds shipping lanes required to aide with the ever-changing needs of the end users. The current contract holders have an in-depth understanding of what is required and needed to support this scope of work.

This exception is necessary to engage vendors with specialized expertise of the current requirement and ensure immediate capability. The current MTF IDIQ transportation vendors are uniquely qualified to support these efforts based on their knowledge of the requirement and proven past performance in support of this program.

Also, the anticipated use of these IDIQ contracts was unknown at time of award and to date the support provided is approximately as of 25 October 2024. That would make the average use in transportation costs under these IDIQs. With that, the expectation is the maximum of will be exceeded prior to contract performance completion and would require an increase. The ceiling increase proposed adjusts the total ceiling of the IDIQ, for the original nineteen lanes awarded, from to account for the remaining months and the increased usage since contract award. With the previous

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS

ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS

PRACTICABLE:

All CARB-approved, FAA-certified, CRAF air carriers are eligible to receive MFT IDIQ awards. All existing CRAF carriers will be solicited. Notice will be published on the System for Award Management (SAM) website for this solicitation. Interested parties may access the SAM website at www.SAM.gov.

All U.S. flagged air carriers have the opportunity to join the CRAF program. Deciding whether to join the CRAF program is an internal business decision made by the air carrier.

While this solicitation is restricted to CARB-approved, FAA-certified, CRAF air carriers, the Government may periodically review the total number of MFT IDIQ contract holders to assess whether it is in the Government’s best interest to initiate a solicitation open period to solicit proposals from new or additional MFT IDIQ awardees.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE:

Historically, similar requirements have garnered between two and twelve offers in response to solicitations for air transportation services. This level of response to solicitations is expected to continue. Several CRAF air carriers maintain a commercial network to regularly provide commercial passenger and cargo services and have published commercial rates. As competition is maintained amongst CRAF participants, and published commercial rates are available for comparison, the anticipated cost to the Government is expected to be determined fair and reasonable through comparisons of prices received in response to the solicitation, comparison of prices with the Independent Government Cost Estimate (IGCE), and comparison of prices with published price lists.

8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS OR A STATEMENT OF THE REASONS MARKET RESERACH WAS

NOT CONDUCTED:

In February 2020, the U.S. Transportation Command (USTRANSCOM) sent out a Request for Information (RFI) to all CRAF air carriers for a similar MFT requirement to establish the Category (CAT) A III IDIQ contract. At that time, seven of thirteen CRAF participants expressed interest in the acquisition. Since then, more air carriers have joined the CRAF program. The seven CRAF participants who expressed interest are as follows:

transportation of items Outside the Continental United States (OCONUS) and overseas.

10.A LISTING OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING,

AN INTEREST IN THE ACQUISITION:

No sources have expressed interest in this requirement in writing. However, the Government finds the market research described in Section 8 to be representative of the current interest in this requirement.

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

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE

MAKING ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR

SERVICES REQUIRED:

As demonstrated above, the Government requires the use of Other Than Full and Open Competition to satisfy DLA Troop Support – Medical air freight transportation requirements. The DoD relies on the U.S. air transportation industry to provide airlift services in time of emergency or war. A mobilization base for these airlift services, committed to DCSO-P by contracts, is essential to ensure the prompt and effective response of this industry when needed.

Restrictions on competition for subsequent acquisition of medical air freight transportation services occurring after the IDIQ contracts’ ordering periods expire will be evaluated at that time.

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