14-72_NTS_Ext_Mod_J A_Redacted.pdf

JUSTIFICATION AND APPROVAL

USTRANSCOM JUSTIFICATION FOR

OTHER THAN FULL AND OPEN COMPETITION

NON-TEMPORARY STORAGE

(W81 GYE-07-D-0021)

1. CONTRACTING ACTIVITY

The contracting activity is the United States Transportation Command (USTRANSCOM), Directorate of Acquisition, Specialized Transportation and Support Division, 508 Scott Drive, Building 1900W, Scott AFB IL 62225-5357.

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

Modify firm fixed price contract W81GYE-07-D-002 to allow for an additional period of performance of up to twelve months (1 September 2014- 31 August 2015). The extension includes a three month base period followed by nine (9) one-month options, if needed. In November 2013, the follow-on requirement was provided to USTRANSCOM for acquisition and is currently being procured through a competitive procurement. However, a pre-award protest was received on 1 August 2014.

The protest will need to be resolved before any contract award. The Government Accountability Office's (GAO) timeline for a decision is 100 days, which exceeds the performance period remaining under the current contract. The protest resolution is anticipated to take more than 30 days, in which time the current contract will expire. Military members will be left without continued support for the non-temporary storage (NTS) services.

Therefore, in order to continue services for this Quality of Life (QOL) initiative, an extension to the current contract is necessary under the authority of the Federal Acquisition Regulation (FAR) 6.302-2, Unusual and Compelling Urgency, is necessary.

A contract extension to avoid a lapse in service was necessary to support this continued requirement for retrograde containerized storage which benefits military service members. On average, there is 500,000 to 1 million pounds handled in and out of the East Coast facility on a monthly basis. Without non-temporary storage services, the Government would not be able to accommodate service members by storing their House Hold Goods (HHG) and Unaccompanied Baggage (UB) during change of assignments and/or re-assignments. Additionally, the exclusivity to provide traffic management administrative functions within the Transportation Operational Personal Property System (TOPS) requires a personnel background investigation, Common Access Card (CAC) issuance, TOPS access, and training to support the retrograde storage. Due to unforeseen time constraints and with no other contractor available to perform the services .without inte~ption, ~ extension of the current services with Guardian Moving and Storage is deemed cnt1cal and m the Government's best interest.

3. DESCRIPTION OF THE SERVICES REQUIRED TO MEET THE AGENCY'S

NEEDS

As a component of USTRANSCOM, the Military Surface Deployment & Distribution Command (SDDC) has a requirement for comprehensive non-temporary storage services for the containerized storage of personal property and related services to include services necessary for non-temporary storage of retrograde containerized shipments of entitled Department of Defense (DoD) military and civilian personnel household goods and unaccompanied baggage entering the Eastern United States (CONUS) from Europe, the Middle East, and Africa. This requirement was being performed by Guardian Moving and Storage Co., under contract W81GYE-07-D-0021.

This contract expired on 31 August 2014.

The total estimated value of this proposed action is based on historical and current market pricing and estimated storage volume for the final period of performance. The Government modified the existing contract by adding an additional twelve month period (3 month option and nine (9) one month options).

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

The statutory authority is 10 USC 2304(c)(2), as implemented by FAR 6.302-2, Unusual and Compelling Urgency.

5. DEMONSTRATION THAT THE NATURE OF THE ACQUISITION REQUIRES

USE OF THE AUTHORITY CITED

A protest for the follow-on acquisition for these services was filed on 31 July 2014 and the Contracting Officer was notified on 1August2014. As a result of this protest, GAO has 100 days to render a decision which is beyond the expiration date of the contract. The existing services contract was set to expire 31 August 2014, no contract or tender of service (TOS) agreement was available to provide continued support for NTS requirements. After an analysis of alternatives, a decision was made to continue services under the FAR based contract in-lieu of the TOS. Retrograde HHG shipments continue to arrive in the Eastern United States on a regular schedule as they are shipped to CONUS according to DoD service members and civilians entitlement. Approximately 25,000 lbs are anticipated to be handled in and out daily which would be costly to accommodate via a short term contract versus using the incumbent. This notwithstanding, if the contracted NTS are not continued the Government may be liable for full replacement value of HHG shipments lost or damaged. No alternate facilities are available for the storage and associated administration of these HHG shipments. In light of the protest, maintaining status quo until resolution of the protest is necessary to avoid potential Government liability. Other alternative solutions are not feasible on such short notice given the specific requirements and the time necessary for an alternative service provider to train and prepare to support the NTS requirement. The training alone could potentially take months and would be duplication in efforts resulting in the Government paying for an unnecessary duplication of costs.

As such, failure to extend the current contract would have caused a lapse in service and would have resulted in receipt of incoming retrograde HHG shipments with no available storage destination.

Performance of this service requires the contractor to provide DoD-approved storage facility space sufficient to continually store up to fifteen million (15,000,000) gross pounds of personal property, to include the performance of administrative functions related to receiving and shipping HHG/UB IA W the Defense Transportation Regulation (DTR), DoD Personal Property Consignment Instruction Guide (PPCIG), and other applicable Government regulations. If a break in service would have occurred, the DoD would not have been able to support all military Services, for retrograde containerized storage. In the absence of a NTS retrograde containerized contract extension there would not be services available to support retrograde storage on the East Coast which averages 500,000 to 1 million lbs handled in and handled out each month. The potential financial damages associated with not extending the contract were detrimental. The loss of irreplaceable personal property and the costs associated with replacing the property due to handling claims would have been damaging. The contractor also provides support for tracking and verifying storage and shipment entitlement IA W the Joint Federal Travel Regulation (JFTR), Joint Travel Regulation (JTR) and all related DoD military service supplements. The contractor is also required to utilize the Transportation Operational Personal Property Standard System (TOPS), developed by the DoD, to process non-temporary storage of HHG/UB into and out of storage, produce non-temporary storage contractor invoices, produce required DD Forms 1164, and book shipments with the lowest-cost freight transportation service providers pre-approved by

SDDC.

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE

This action was not synopsized in accordance with FAR 5.202(a)(2) due to time constraints associated with the unusual and compelling urgency nature. Based on the information contained in paragraph five of this document, it is in the Government' s best interest to extend the current contract to avoid a lapse in service. The follow-on effort was synopsized in accordance with FAR 5.201 (b )( 1 )(i) on 8 April 2014 and the Government is competing this requirement as a 100% Small Business Set-Aside.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The current contract was priced through Option Period 6; however, the rates were subject to change and were negotiated IAW FAR 15.404-l(b)(2)(ii)(v)(vi). Unilateral extensions have been exhausted. At time of contract award, prices will be determined fair and reasonable by negotiating prices based on historical pricing, current market pricing for similar services and the IGCE. Accordingly, the cost to the Government was determined to be fair and reasonable by the Contracting Officer.

8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS

Market research was not conducted for this J&A; however, market research was conducted for the original acquisition and recently for the follow-on acquisition currently under protest. The Government was able to utilize past market research due to the short time that had elapsed since the last follow-on procurement.

9. OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION

None.

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

INTEREST IN THE ACQUISITION

None. This action did not require a synopsis which might identify interested sources due to the unusual and compelling urgency.

11. 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

USTRANSCOM is currently working the follow-on competitive procurement. The extension allowed the continuation of services until a new contract is awarded. Market research, which included proposals and inquiries received in response to the TOS Agreement posted by SDDC and responses to the RPI posted by USTRANSCOM on 3 March 2014 indicated multiple firms were interested in competing in the follow-on procurement and given appropriate time for operational establishment could compete for the follow-on contract award. The solicitation for the follow-on contract was issued on 2 July 2014 (HTC711-14-R-R011) as a small business set aside.

12. CONTRACTING OFFICER CERTIFICATION

I certify that the data supporting the use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

0~As C. ESLINGER Contracting Officer

/8 Se p If

DATE

13. TECHNICAL/REQUIREMENTS PERSONNEL CERTIFICATION

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Program Man:ge;s:c;p

/j/j£/'/;/

DATE

CONTRACTING ACTIVITY: USTRANSCOM

PROGRAM: Non-Temporary Storage (NTS)

AUTHORITY: FAR 6.302-2, Unusual and Compelling Urgency

ESTIMATED CONTRACT COST:

TYPE OF J&A: Individual

REVIEW AND APPROVAL:

ISTINARSCHNEIDER

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Chief, Specialized Services Branch

Date: I f &r ll/ alized Transportation and Support Division

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JEFFERY T. BEYER - -~

A~hief, Business Support & Policy Division

Date: t9~ \Y

MICHELLE M. MENDEZ __:)

Competition Advocate

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