A04-Sole Source Justification - Delta V Requirement_Redacted.pdf

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

WHS-2023-870

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES

FOR CERTAIN COMMERCIAL ITEMS

UNDER FEDERAL ACQUISITION REGULATION (FAR) 13.106-1(b)(1)(i)

1. AGENCY AND CONTRACTING ACTIVITY: The Department of Defense, Washington Headquarters Services, Acquisition Directorate (AD), Enterprise Security

Services Directorate (ESSD). The requiring agency is Raven Rock Mountain Complex

(RRMC).

2. DESCRIPTION OF ACTION: This requirement requests the approval to issue a sole source direct award contract to acquire services from Process HVAC Solutions, LLC.

(102 Commerce Blvd., Suite #300, Lawrence, PA 15055, Cage Code: 64BQ3).

WHS/AD proposes to issue a Firm-Fixed-Priced (FFP) contract utilizing Fiscal Year

(FY) 2023 Operations and Maintenance (O&M) funding. The estimated value of this contract is $675,671.00 for a twelve (12) month base period and four (4)-twelve (12) month option periods.

Performance

Periods

Performance Period Dates Amount

Base Period May 24, 2023 to May 23, 2024 $124,999.00

Option Period I May 24, 2024 to May 23, 2025 $129,835.00

Option Period II May 24, 2025 to May 23, 2026 $134,930.00

Option Period III May 24, 2026 to May 23, 2027 $140,216.00

Option Period IV May 24, 2027 to May 23, 2028 $145,691.00

3. DESCRIPTION OF SUPPLIES/SERVICES: Currently RRMC is using a Custom

Designed Supervisory Control and Data Acquisition (SCADA) System, called Delta V, which was purchased a couple of years ago as a competitive award to Process HVAC

Solutions (PHS LLC.). PHS designs, integrates, and builds turnkey automated Delta V systems, based on Emerson Control Studio software. The system manages automates and manages multiple facility systems that interface with existing chiller plant and air filtering operations. With Delta V, facility operators can centrally monitor and control chiller plant operations in real time, receive alarms, record operational data and produce performance reports. Automation and monitoring provide quick response to problems and secures facility chiller plant and air filtration operations. The design program to this system is proprietary to Delta V Inc. Any software upgrades, reprogramming, trouble shooting, and technical support must be provided by PHS LLC. The Operations and

Maintenance of RRMC has a requirement for additional service on the Service

Agreement for their Delta V System.

4. AUTHORITY CITED: This action is under the procedures of Federal Acquisition

Regulation (FAR) 13.106-

5. REASON FOR AUTHORITY CITED: Raven Rock Mountain Complex (RRMC) requires facility maintenance support services. These services consist of regular service inspections, maintenance, replacement of parts, maintenance of instrumentation

(hardware and software), software updates, and services. Process HVAC Solutions installed the current Delta V system for the Raven Rock Mountain Complex (RRMC).

Subsequently, all maintenance to the system has been performed by PHS as the registered service agreement holder. Therefore, PHS is the only company capable of performing maintenance and services to the current Delta V system under the valid service agreement. If services are provided by another company, the current service agreement becomes void and null.

Failure to approve this justification and deploy another vendor to assist with these services would result in the increased risk to improperly install the software upgrade, unnecessary delays, and increased costs due to inadequate knowledge of the software upgrade and as a result would severely impact the RRMC mission of contract support.

6. EFFORTS TO OBTAIN COMPETITION: Efforts were made during market research to obtain competition for this requirement. A Notice of Intent (NOI) to sole source this requirement was issued via Sam.gov s website for 2 days from April 18, 2023 to April

20, 2023. No responses were received from industry.

7. FAIR AND REASONABLE COST DETERMINATION: The Contracting Officer determines that the anticipated prices will be fair and reasonable by using the techniques identified at FAR 13.106-3(a) Basis of Award, more specifically, FAR 13.106-

3(a)(2)(vi) Comparison of proposed prices with independent Government cost estimates, to ensure award will be at fair and reasonable prices. Certified Cost and

Pricing Data will not be obtained.

8. MARKET RESEARCH: Market research was conducted by reviewing the previous

Contract HQ0034-18-C-0039 for similar/same services and by surveying the commercial marketplace to locate vendors capable of providing Emerson Delta V System

Maintenance Support Services. After conducting discussions with Process HVAC

Solutions, the Government was able to determine that Process HVAC Solutions is the only vendor capable of performing the required services since Process HVAC Solutions installed the current Emerson Delta V system and they are the only registered authorized maintenance service agreement holder. Additionally, market research was conducted on

April 18, 2023 by submitting a Notice of Intent (NOI) to sole source this requirement via

Sam.gov s website for two days. No responses were received from industry.

9. ANY OTHER FACTS SUPPORTING THE USE OF SOLE SOURCE: N/A

10. INTERESTED SOURCES: N/A

11. ACTIONS TO INCREASE COMPETITION: Is this acquisition for a non-competitive follow-on acquisition previously awarded on a non-competitive basis?

Yes. A copy of the previous justification is attached. The actions to remove any barriers to competition cited on the previous justification were were not completed [ ].

No. The original acquisition was conducted on a competitive basis.

Not Applicable. This is a new requirement.

CERTIFICATION

I, hereby, certify that the supporting data under my cognizance included in this justification are accurate and complete to the best of my knowledge and belief.

Kealon Wallace, Contracting Officer