J&A_WEP_Bridge_Contract_-_JOFOC_v14_24_2019.pdf

Justification for Other than Full and Open Competition United States Department of Agriculture

Federal Acquisition Regulation (FAR) Part 6.3

1. Identification of the agency and the contracting activity.

United States Department of Agriculture, Rural Development Procurement Management Office (PMO), Strategic Acquisitions Division, 1400 Independnece Ave, SW, Washington, DC 20250.

2. The nature and/or description of the action being approved.

To establish a bridge contract that will provide continuity of service while this action (The Circuit Rider Program) is being negotiated. The period of performance (POP) for the bridge contract will be six (6) months..

Continuity of service requires that the current contractor, National Rurual Water Association (NRWA), continues to perform during the proposed six-month bridge contract. Maintaining continuity of services (for the Circuit Rider Program) is critically important because this program is mandated by federal law under the Agricultural Improvement Act of 2018 (Farm Bill) Section 6405.

As statutorily required, it is crucial for RUS to maintain the same services and performance as it has historically achieved prior to the reauthorization of the Farm Bill in December 2018. The 2018 Farm Bill legally obligates/compels the USDA to provide these services when appropriations are available.

A gap in contract service could pose serious health risks and deficiencies in Rural Utilities Service (RUS) Water & Environmental Programs WEP program’s mission to:

1. Deliver assistance to rural water and wastewater systems, and

2. Provide access to crucial support that affects their operational continuity in providing clean drinking water, especially during emergencies (i.e., bacterial contamination) and disasters.

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

It should be noted that the following services identified below are mandated by federal law under the Agricultural Improvement Act of 2018 (Farm Bill) Section 6405:

It is the mission of RUS & WEP to ensure that rural communities with population of 10,000 or less have affordable access to clean drinking water. This is achieved through the delivery of direct loans, loan guarantees, and grants to construct, upgrade, and maintain rural water and wastewater systems in these communities. Not having access to clean water could have dire and catastrophic consequences to the rural population our WEP utility borrowers are intending to serve. It is also WEP’s mission to ensure that these rural water and wastewater systems are sustainable and have the ability to maintain services by having sufficient access to various training and essential technical assistance.

As required by the Agricultural Improvement Act of 2018 (Farm Bill) Section 6405, the Secretary shall continue a national rural water and wastewater circuit rider program that is “consistent with the activities and results of the program conducted before the date of the enactment of this clause,” as determined by the Secretary, and receives funding from the Secretary, acting through the Rural Utilities Service (RUS). As statutorily required, it is crucial for RUS to maintain the same services and performance as it has historically achieved prior to the reauthorization of the Farm Bill in December 2018. The Circuit Rider contract must provide and meet the following objectives:

• 20% Support to sustainability & effective implementation and access to WEP assistance

• 20% Professional Management and financial support through training and technical assistance

• 60% Hands-on operational support, repair, and maintenance in accordance with each state requirements including system regulatory compliance with EPA and USDA requirements

The following identifies the estimated 6 month contract value (no options):

(*) FY2019 Appropriations allow for approximately $10,000,000 in funding for this six (6) month bridge contract.

Total Estimated Value: $10,000,000

4. The statutory authority permitting other than full and open competition.

41 U.S.C. 3304(a)(1), as implemented by FAR 6.302-1, titled "Only one responsible source and no other supplies or services will satisfy agency requirements."

5. A statement demonstrating the unique qualifications of the proposed contractor or the nature of the action requiring the use of the authority.

In compliance with the Circuit Rider Program’s statutory and regulatory requirements, its program objectives, and the needs of rural water and wastewater systems and the population they serve, only the NRWA has the technical capabilities, national footprint and prior related experience to meet the requirements under this program.

It should be noted that USDA’s ongoing market research efforts were also unable to identify any private sector or small business organization capable of meeting all of the statutory and regulatory requirements and that can also meet the technical requirements and performance objectives on a national level as mandated per the Agricultural Improvement Act of 2018 (Farm Bill) Section 6405.

Please reference the Circuit Riders Program’s detailed Technical Capability Requirements below:

• Technical Capability:

1. State by State Presence: NRWA is the only organization with a state by state presence, able to immediately comply with the government’s requirement to deliver services and assist state and rural water and wastewater systems. NRWA is the only organization with the relationships with each of the state rural water associations with immediate access to deploy qualified, well-experienced, and certified water professionals or Circuit Riders for hands-on and onsite assistance

2. Onsite System Assistance: NRWA is the only organization with the ability to not only deploy qualified Circuit Riders in each state, but they also have the ability to equip and monitor them and their services (via GPS tagging), monitor utility status for each state, maintain communication, and immediately access systems to deliver requirements in accordance with each state’s requirements, especially during emergencies and disasters.

3. Onsite Training and Technical Assistance: NRWA is the only organization that can provide technical and professional expertise on utility management, system operations, financial sustainability, and WEP program knowledge while also enabling utility boards and managers to implement succession planning and participate in apprenticeship program in partnership with the Department of Labor, Community Colleges, and other key stakeholders. Ensuring sufficient leadership and human capital at every rural utility system is crucial in maintaining sustainability and well-managed operations.

4. Rapid Response During Emergencies & Disasters: NRWA is the only organization with proven ability to minimize disruption to water and wastewater services during emergencies and disasters by facilitating assessments and emergency plans, regional partnerships among utilities, and development/execution of mutual agreements (i.e.

FEMA Emergency Management Assistance Compact) between systems and/or state rural water associations for continuity of water and wastewater services during emergencies and disasters

5. Strategic Customer Service: NRWA is the only organization with access to over 30K systems and experience working with a diversity of systems and structure including municipalities, water districts, county districts, regional water, private non-profit, private for-profit, cooperative, AND tribally owned and operated rural water and wastewater systems.

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

Efforts have been made to identify other sources that might have the technical capabilities of performing the services required under the Circuit Riders Contract. Per FAR 5.2 The USDA released RFI/Sources Sought Notices; and a Notice of Intent to Sole Source via FedbizOpps:

Following are the results:

#1. An RFI/Sources Sought Notification was posted February 19, 2019.

The Sources Sought Notification resulted in two responses. Responses were received from two businesses: (1) the National Rural Water Association (NRWA) and (2) Stability Staffing & Consulting. From the evaluation of the capabilities statements it was determined that NRWA has the capability; however Stability Staffing & Consulting did not. This company merely sent a two pager indicating they were a “supplyer of professional support services” or a staffing company.

#2. A Notice of Intent to Award a Sole Source Contract to NRWA was posted on www.fbo.gov on April 4, 2019. Interested entities were requested to submit their capabilities for future procurement.

There were no responses received from the April 4, 2019 Notice of Intent.

http://www.fbo.gov/

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

The Contracting Officer will use the guidance provided under FAR15.404-1(b)(2)(ii) (see below) to determine that the anticipated cost to the Government will be fair and reasonable.

“(ii) Comparison of the proposed prices to historical prices paid, whether by the Government or other than the Government, for the same or similar items. This method may be used for commercial items including those “of a type” or requiring minor modifications.”

8. A description of the market research conducted and the results or a statement of the reason Market Research was not conducted.

In accordance with FAR 10.002 Procedures, The Circuit Rider program office and various contracting officials have performed the following market research techniques as described under

FAR 10.002(2):

1. Contacted knowledgeable individuals within the Government and industry regarding market capabilities to meet requirements:

2. Published formal requests for information in appropriate technical or scientific journals or business publications:

USDA Posted RFI/Sources Sought Notifications AND Notice of Intent to Sole Source in FedbizOpps: See discussion of results in paragraph 6 above.

3. Queried the Governmentwide database of contracts and other procurement instruments intended for use by multiple agencies:

4. USDA reviewed the Catalog of Financial Domestic Assistance (CFDA);

5. USDA reviewed GSA’s eLibrary for contract award information for GSA Multuple Award Schedules (MAS): GSA Environmental Services Schedule 899

6. USDA reviewed GSA’s State and Local Disaster Purchasing program’s information. This program allows state and local governments to buy supplies and services directly from all GSA Schedules to facilitate disaster preparation, response, or major disaster recovery. Purchases made in support of recovery must be in response to a Stafford Act Presidential declaration.

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

N/A

10. A listing of the sources, if any, that expressed a written interest in the acquisition.

The following companies expressed a written interest in this competition via their response to the RFI/Sources Sought Notification that was posted in Fedbizopps on February 19, 2019 and the Notice of Intent to Sole Source on April 4, 2019:

1. Stability Staffing and Consulting (RFI Sources Source Notice - February 19, 2019).

2. There were no responses (Notice of Intent to Sole Source – April 4, 2019)

11. A statement of actions, if any, the agency may take to remove or overcome any barriers to competition if subsequent acquisitions are anticipated.

Prior to negotiating any new long-term contract, the agency will continue to seek other sources using the market reseach tools such as: publishing formal Requests For Information (RFIs) on Fedbizopps, and posting a draft Request for Proposal with draft contract on fbo.gov as a Notice of Intent to Sole Source, if appropriate.

Certifications & Approvals

Supporting data that form the basis for and included in this justification are certified accurate and complete.

Penny Douglas, Program Technical Point of Contact USDA Rural Development Water & Environmental Programs

The information contained in this Justification for Other Than Full and Open Competition is certified accurate and complete to the best of my knowledge and belief.

Brian Johnson Contracting Officer

In accordance with FAR 6.304(a)(2) and agency procedures, proposed actions exceeding $700,000, but not exceeding $1 million, must be approved by the Procuring Activity Competition Advocate. This authority is not delegable.

Scott Beckstrand Competition Advocate

In accordance with FAR 6.304(a)(3) and agency procedures, proposed actions exceeding $1 million, but not exceeding $68 million, must be approved by the Head of the Contracting Activity Designee (HCAD).

Insert Name of Head of Contracting Activity Designee Head of Contracting Activity Designee

In accordance with FAR 6.304(a)(4), proposed actions exceeding $68 million must be approved by the Senior Procurement Executive. This authority is not delegable.

N/A Senior Procurement Executive United States Department of Agriculture