P03 Sole Source Justification Parking as a Service 11 July 2025_HCA Signed_REDACTED.pdf

VHAPG Part 813.5 Simplified Acquisition Procedures for Certain Commercial Items Attachment 1: Request for Sole Source Justification >SAT-$7.5M under FAR13.5

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Acquisition ID#: 36C248-25-AP-4236

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR

CERTAIN COMMERCIAL ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C248-25-AP-4236

1. Contracting Activity: Department of Veterans Affairs, VISN 8, Network Contracting Office (NCO) 08, located in San Juan, Puerto Rico, in support of station 672, VA Caribbean Healthcare System (VACHS) located at 10 Casia St., San Juan, Puerto Rico 00921. The applicable purchase request is .

2. Nature and/or Description of the Action Being Processed: This procurement is for procuring Parking as a Service in accordance with FAR 13.303, Blanket Purchase Agreements (BPAs), FAR 13.5, Simplified Procedures for Certain Commercial Items and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR Part 6, but still require a justification using the format of FAR 6.303-2.

The estimated value of this acquisition is . The government intends to award a new Blanket Purchase Agreement (BPA) with an ordering period of four (4) years, upon the BPA award date. The estimated award date is July 18, 2025.

FITARA approval is not required since Product/Service Code X1LZ, Lease/Rental of Parking Facilities is not listed as IT Product Service Codes (PSC) Requiring FITARA Approval (see VA OIT PSC Codes).

The proposed contractor is: Autoridad Metropolitana de Autobuses (AMA) Bo. Monacillos 37 Ave De Diego San Juan, PR 00919

A Situation, Background, Assessment, and Recommendation (SBAR) was approved in the amount of . Parking spaces are needed because the Major Project Phase V Parking Garage is ongoing and not expected to be completed before the end of 2027. However, even after the project is completed, the need for parking will still exist, as the garage currently under construction will not meet the required parking capacity. Therefore, it is recommended to issue the BPA with a four-year ordering period to ensure that adequate parking is available to meet continued demand during and after the completion of the Phase V project.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The BPA holder shall provide Parking as a Service for the VACHS. The parking facility shall have at least 685 parking and be located up to ½ mile walking distance from VACHS. The BPA holder shall perform to the standard of the PWS.

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Acquisition ID#: 36C248-25-AP-4236

The resulting solicitation/BPA will include the following line item:

Line Item Description 0001 The BPA holder shall provide Parking as a Service for the VACHS. The parking facility shall have at least 685 parking spaces and be located within ½ mile walking distance from VACHS. The service shall include maintenance and miscellaneous costs per space.

The parking spaces will be ordered as needed, through individual BPA Calls/task orders issued by the contracting officer. No minimum or maximum guarantees are provided under the resulting BPA.

4. Statutory Authority Permitting Restricted Competition: FAR 13.5 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. § 1901 and is implemented by FAR 13.106-1(b)(2) for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

(x) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

( ) Unusual and Compelling Urgency ( ) Industrial Mobilization, Engineering, Developmental or Research

Capability or Expert Services ( ) International Agreement ( ) Authorized or Required by Statute ( ) National Security ( ) Public Interest

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): As documented in the Market Research Report, the Autoridad Metropolitana de Autobuses is the only source capable of fulfilling the government need.

AMA is the only organization capable of providing the required parking spaces for the exclusive use of VACHS, located within a ½-mile walking distance from the facility.

Moreover, AMA currently has a paved parking lot that is striped and lighted, and it has a perimeter fence that provides security for vehicles. The AMA facility also provides a bridge that offers direct access to the VACHS facility and has designated areas for the use of either government-owned or private/contractor shuttles.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Sources Sought. A sources sought

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Acquisition ID#: 36C248-25-AP-4236 notice was posted on SAM on June 18, 2025, with a response due date of June 23, 2025. One response was received from Parking Management Company LLC.

However, upon reviewing the company’s SAM registration, the following note was found: “This entity has an unvalidated Unique Entity ID. A validated Unique Entity ID means the entity has confirmed in SAM.gov that it is a legal entity with a valid physical address.” Moreover, according to the response from Parking Management Company LLC, the parking will be available only during the night shift, from 6:00 PM to 6:00 AM, and the spaces will be shared, not for the exclusive use of Veterans Affairs. This does not comply with the published sources sought specifications and the draft Performance Work Statement posted along with the sources sought notice.

AMA did not respond to the sources sought; however, during the development of the market research, the government contacted and visited several entities, including AMA, Autoridad de Transporte Integrado (ATI), and a lot located between De Diego Avenue and PR 21. AMA was the only organization that demonstrated interest in this requirement and had the capability to fulfill it.

Other Actions: The government made multiple attempts to contact the owners of several lots adjacent to the VACHS facilities; however, these efforts proved unsuccessful as the owners were either not interested or their lots were already under commercial contracts. Additionally, following the posting of a sources sought notice, an intent to sole source notice was published on June 23, 2025. Unfortunately, no responses were received to this notice.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: This acquisition will be conducted under FAR 13.303 and 13.501(a). Since there will be no competition, the contracting officer has several alternatives to ensure that the awarded prices are fair and reasonable, including a comparison of proposed prices with prices found reasonable on previous purchases, market research, and a comparison to the Independent Government Cost Estimate, among others.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: Extensive market research, including the issuance of a sources sought notice, was conducted (see paragraph 6 above for sources sought results). The Autoridad Metropolitana de Autobuses (AMA) expressed interest in this requirement. As part of the market research, the government identified that AMA has several hundred parking spaces and/or areas that can be used as parking spaces. AMA is a government-owned corporation and a public transport bus service under the Puerto Rico Department of Transportation and Public Works.

AMA’s headquarters are located across the street from VACHS. Currently, AMA holds VA contract 36C24823L0003 for the lease of 1,018 parking spaces. However, as documented above, the GSA has implemented an "acquisition pause" on most new lease actions and obligations of funds. Therefore, given the need VACHS has for additional parking spaces and as authorized by 41 C.F.R. § 102–73.240, the best course of action is to procure the parking spaces as a service contract.

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Acquisition ID#: 36C248-25-AP-4236

Furthermore, a query in the SBA VetCert now known as Dynamic Search (SDBS) was conducted using NAICS 812930 (result is in the briefcase). However, no other company, including SDVOSB, VOSB, and/or small business, was identified as capable of fulfilling this requirement.

The Buy American Act is not applicable since the government is procuring services.

As described in Section 6 above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

Full and open competition is not feasible since market research clearly demonstrates that AMA is the only capable organization to fulfill this requirement. AMA's available parking is the only known facility that complies with all the following requirements:

a. The parking facility shall be located within ½ mile walking distance from VACHS and shall have a capacity of at least 685 parking spaces to accommodate the personnel listed in PWS paragraph 1.1. The parking facility shall not be in a flood zone and must properly drain during rain events.

b. Parking spaces shall be available from 6:00 AM to 7:00 PM.

c. The parking facility shall be paved, striped, and lighted. Lighting shall meet minimum lighting level requirements for parking lots or garages by authorities having jurisdiction. The minimum illuminance level for parking structures is 5 foot-candles, as measured on the floor, with a uniformity ratio of 10:1.

d. The parking facility shall be available for immediate use.

e. The parking perimeter shall be enclosed either by a fence or a garage. The parking facility shall have an access control system to prevent unauthorized entry.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

a. Autoridad Metropolitana de Autobuses

b. Parking Management Company LLC

11. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required: As previously mentioned, the facility is in the process of constructing a new parking garage, currently scheduled for completion by the end of 2027. However, based on information provided by VACHS FMS, the project