140A1224P0021_J_A_1.docx

United States Department of the Interior Office of the Assistant Secretary - Indian Affairs Washington, DC 20240

SINGLE SOURCE DETERMINATION USING

SIMPLIFIED ACQUISITION PROCEDURES (SAP) UNDER THE

SIMPLIFIED ACQUISITION THRESHOLD (SAT)

AUTHORITY: FAR 13.106-1(b)(1)

CONTRACT # 140A1224P0021

CONTROL #____________________________

1. Contracting Activity: This document is a justification for single source determination under Simplified Acquisition Procedures (SAP) under the Simplified Acquisition Threshold (SAT) for the Department of the Interior, Bureau of Indian Affairs, Northwest Regional Office, Colorado River Agency.

2. Description of supplies or services required to meet agency needs.

· Downstream Seal Ring Inserts and Compression Springs

· First delivery within 45 Days ARO, Complete delivery 120 Days ARO

· The estimated value of the proposed action is

3. Identification of the single source to be solicited.

Voith Hydro, Inc 760 East Berlin Road York, PA 17408-8701

(469) 401-8462

4. Reason for authority cited. The contracting officer has determined the circumstances of the contract deem only one source reasonably available.

Urgency: The nature of the requirement has been deemed urgent and following competitive procedures would result in unacceptable delays. Two of the current rings are failing and require a shortened lead time to reduce the risk of catastrophic failure of the dam’s electrical systems. Voith Hydro, Inc can provide 2 of the required rings within 45 days of receiving the order.

5. Rationale: Provide an explanation that supports the reason cited in #4.

This is an urgent and compelling need for the Headgate Rock Hydro Generation Station (HG-EGS). The output shaft seal assemblies have begun leaking river water badly. This type of leak could halt generation and could cause catastrophic failure to the plant and operations. Additionally, the recent hike in energy costs place the BIA Power Programs at high risk. A loss of generation will have a huge impact to the BIA, the program, and program customers. The seals are a specialty item designed by Voith Hydro Inc. to meet the form, fit, function of the existing hydro turbines at the HG-EGS. Voith Hydro Inc. owns the intellectual property for identified items. The required parts hold the waters of the Colorado River back from flooding the HG-EGS. The plant has flooded in the past due to the failure of a seal on the turbines. There was a direct impact of approximately $7M to the BIA and loss of 3 years of power generation. Most of the repair costs were captured by the contractor who installed the turbines as the unites were still under warranty. Current estimated cost to the BIA if a flood were to happen again is ~$76 M. This figure is based on the current energy market cost of $250 per MWh, current energy requirement 89,000 MWh annual, three (3) years to complete all previously required repairs, and ~$10 M in parts and materials. Without power generation capabilities the BIA will have to purchase all its power at current market rate

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.

There are only a few known turbine manufactures and engineering companies that are able to provide these items in the needed specifications. Voith Hydro, Inc is the only entity with the needed components available to be provided with a short lead time. The exception under FAR 5.202(a)(2) applies to this action.

7. Requirements personnel certification.

I certify that the technical data which forms a basis for this justification is complete and accurate and meets the Government’s minimum needs.

8. Under the authority of FAR 13.106-1(b)(1), the undersigned hereby determines the circumstances of this action deem only one source is reasonably available as supported herein.

VERSION 11/15/2022

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