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FBO DAILY ISSUE OF SEPTEMBER 26, 2010 FBO #3228
SOLICITATION NOTICE

74 -- Sortation System

Notice Date
9/24/2010
 
Notice Type
Justification and Approval (J&A)
 
NAICS
333319 — Other Commercial and Service Industry Machinery Manufacturing
 
Contracting Office
U.S. Department of State, Office of Logistics Management, Acquisition Management, P.O. Box 9115, Rosslyn Station, Arlington, Virginia, 22219
 
ZIP Code
22219
 
Point of Contact
JoAnn B Carroll, Phone: 703-875-6038
 
E-Mail Address
carrolljb@state.gov
(carrolljb@state.gov)
 
Small Business Set-Aside
N/A
 
Award Number
SAQMMA10SORTA
 
Award Date
9/27/2010
 
Description
Justification for Other than Full and Open Competition The following information is provided consistent with part 6.303-2 of the Federal Acquisition Regulation: (1) Identification of the agency and the contracting activity, and specific identification of the document as a "Justification for other than full and open competition." The U.S. Department of State (DoS), Bureau of Administration, Office of Logistics Management (A/LM) has a mission to support U.S. diplomacy by providing efficient, economical, high quality logistic services to customers worldwide, so they, in turn can create a more secure, prosperous and democratic world for the benefit of the American people. A/LM provides the logistics support needed to sustain its personnel in carrying out that mission. Its customers primarily are embassies, consulates, DoS domestic offices, as well as other agencies involved in foreign affairs and operations. Part of this support is Diplomatic Pouch and Mail Services that interfaces with the air cargo industry, the U.S. Postal Service, the Department of Defense Military Postal Service Agency, citizens, and private suppliers. Manual processing of inbound materials is no longer an option within the current space of the existing facility. It is estimated that we would require an additional 20,000 square feet of warehouse space at the existing facility to continue processing the mail in the current fashion. Currently the government is paying $16.86 per square foot in rental charges for the building; therefore without the addition of this automation the rent would increase $337,200 per year. This cost does not include the upfront construction costs to build the additional 20,000 square foot addition to the existing building. Furthermore the addition of this automation will provide a significant savings in labor associated with mail processing and ensure a much more efficient and timely mail service to the entire Department. It is estimated that 10 less positions would be required upon installation of automated parcel sortation equipment. This equates to an annual savings of $509,668. Parcel sorters do not come "off the shelf" like other equipment. Each must be customized to meet the mission. The particular sorter in question will meet the specific and unique mail sorting requirements of the diplomatic pouch facility. Furthermore, this sorter fits within the space allotted within the existing building with no modification required to other building infrastructure (electricity, low pressure air systems, IT network, structural weight allowances, etc). This sorter has also been considered due to its ability to read, recognize and process the unique types of mail (FedEx, UPS, USPS, freight, etc) and address hygiene associated with the department's unique organizations and mission. This particular sorter as envisioned will also integrate with existing letter mail sorting equipment and future flat and magazine sorting equipment planned for future installation to ensure a smooth and efficient mail flow throughout the processing facility. (2) Nature and/or description of the action being approved. Pitney Bowes will provide a mail sortation system as a means of providing significant process improvements to A/LMs diplomatic pouch and mail operation services. (3) A description of the supplies or services required to meet the agency's needs (including the estimated value). Overall layout of the mezzanine shoe parcel sorter includes 3 induction stations, 24 available storage slides, 12 discharge belts with friction shoots, and ability to detect/identify/divert oversized mail onto one of three discharges for oversized mail. The system must have the capability of scanning Intelligent Mail Barcodes (IMB), Postnet, FedEx, UPS and other industry recognized barcodes. The system must also have the latest Optical Character Recognition (OCR) software, the latest handwriting recognition software, and must be capable of operator video encoding of mail that is unrecognizable by other methods. The system must be capable of processing numerous logarithms in order to match the address to the database and reference the sort plan to determine the routing of various types of mail. A mail sortation system is being acquired. This includes the purchase of an existing sorter located at Pitney Bowes facility in Atlanta, Georgia which has become excess to their needs, dismantling the sorter, making software modifications, if needed, as well as possible configuration changes to meet State's needs, providing transportation and other services, and re-installing it at State's Sterling, Virginia location. The estimated value of this action is (4) An identification of the statutory authority permitting other than full and open competition. The authority for this action is 6.302-1 - Only one responsible source and no other supplies or services will satisfy agency requirements. (41 U.S.C 253(c)(1)) (5) A demonstration that the proposed contractor's unique qualifications or the nature of the acquisition requires use of the authority cited. Pitney Bowes is uniquely qualified to provide the needed equipment and services. Piney Bowes currently provides the full range of mail management and operational services to fulfill A/LM requirements for diplomatic pouch and mail needs. As such they possess a very comprehensive and detailed understanding of A/LM mail operations including the volume of mail, the special aspects of DoS mail requirements, and all the other aspects of DoS mail management. As part of their requirement to continuously examine the work process for potential improvements, Pitney Bowes found a sorter system at a facility in Atlanta Georgia that became excess. The sorter was designed for an operational environment extremely similar to the DoS A/LM one, which is very rare. Because these two operations are so similar, Pitney Bowes can reconfigure, re-install, and program the sorter with only minimal effort, time and expense. Due to this fact as well as that it is immediately available, there is no other sorter, new or used, that meets DoS's needs and timeframe requirements. (6) A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by Subpart 5.2 and, if not, which exception under 5.202 applies. The notice required by subpart 5.2 of the Federal Acquisition Regulation will be publicized. (7) A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable. A price analysis memorandum has been prepared for the Contracting Officer's determination that the anticipated price/cost is fair and reasonable. (8) A description of the market research conducted (see Part 10) and the results or a statement of the reason market research was not conducted. Market research has not been conducted. However any source responding to the notice required by subpart 5.2 the Federal Acquisition Regulation will be considered. (9) Any other facts supporting the use of other than full and open competition, such as: N/A (10) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition. To date, no other firm has expressed interest in the acquisition - see paragraph 8 (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. N/A (12) Contracting officer certification that the justification is accurate and complete to the best of the contracting officer's knowledge and belief.
 
Web Link
FBO.gov Permalink
(https://www.fbo.gov/notices/261e6526da61af89b22b5ffdf142cf4a)
 
Place of Performance
Address: Washing DC (Main State - HST (SA-32)), Arlington, Virginia, 22209, United States
Zip Code: 22209
 
Record
SN02295573-W 20100926/100924234657-261e6526da61af89b22b5ffdf142cf4a (fbodaily.com)
 
Source
FedBizOpps Link to This Notice
(may not be valid after Archive Date)

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