A15 Chiller 3 Sole Source Doc..pdf

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Chiller Repair
Solicitation number
D-26-NE-0100
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This is a Sole Source Justification (SSJ) document for a task order placed against a Federal Supply Schedule (FSS) contract by the Drug Enforcement Administration's Office of Acquisitions for the El Paso Intelligence Center (EPIC). The action is governed by Executive Order 14275 and FAR Class Deviation 25-20, which authorizes innovative approaches to FSS acquisitions.

The requirement is for emergency repair services to replace a malfunctioning pump with motor in Chiller #3 at EPIC, which provides cold water to two air conditioning units serving the DEA Command Center Area, Watch Area, Air Watch Area, Auditorium, and Training Room. The task order will be placed against FSS Contract GS-21F-016GA, with a period of performance from August 28, 2026 through August 27, 2027. PC Automated Controls, Inc. is identified as the sole source contractor. The justification cites the need as exceeding the Minimum Purchase Threshold (MPT) but not exceeding the Simplified Acquisition Threshold (SAT), based on unusual urgency under GSAR 538.704-3(b)(i). PC Automated Controls, Inc. currently holds the preventive maintenance contract for EPIC's entire HVAC system, has technicians cleared by EPIC's Security Office and Fort Bliss, can deliver the compressor timely, and has provided an itemized cost estimate including materials, shipping, installation, and environmental disposal. The justification notes that no additional market research was conducted due to urgency and that engaging an alternative vendor would result in warranty complications and additional security clearance delays. The contracting officer determination indicates the order represents best value and that a price evaluation is attached.

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SSJ (GSAR 538.71 & Part 8.4) Control No. XX-XX

Procurement Sensitive - See FAR 2.101 and 3.104 For Official Use Only

SOLE SOURCE JUSTIFICATION

FOR ORDERS PLACED OR BPAS ESTABLISHED AGAINST FSS CONTRACTS

UNDER GSAR 538.7104-3; FAR 8.401

This action is governed by Executive Order (E.O.) 14275, Restoring Common Sense to Federal Procurement, signed April 15, 2025, and the resulting regulatory changes implemented by the Federal Acquisition Regulatory Council’s model deviation text to Federal Acquisition Regulation (FAR) Part 8, specifically by FAR Class Deviation 25-20. The stated purpose of these updates is to empower acquisition professionals to use innovative approaches to acquire products/services/solutions under the Federal Supply Schedule (FSS) program. (Per GSAR 538.71; FAR 8.401).

1. Identification of the Agency, Contracting Activity, and Requiring Activity.

(a) Agency: Drug Enforcement Administration

(b) Contracting Activity: Office of Acquisitions (FA)

(c) Requiring Activity: El Paso Intelligence Center (NE)

2. Nature and Description of the Action Being Approved:

(a) Type of Action: Task Order

(b) Estimated Amount:

(c) Recurring Requirement: Yes No (double-click to check; under “Default value” choose “checked”)

(d) FSS Contract Number: GS-21F-016GA

(e) Period of Performance: From: 8/28/2026 To: 8/27/2027

3. Description of Supplies or Services: Emergency repair to replace a malfunctioning pump with motor in Chiller #3. Chiller #3 provides cold water to: A/C #7 (DEA Command Center Area, Watch Area and Air Watch Area), and A/C #8 (Auditorium and Training Room)

4. Identification of the Sole Source Consideration Rationale:

Exceeding MPT, but not exceeding the SAT. GSAR 538.7104-3(a) Exceeding MPT, but not exceeding the SAT. The ordering activity contracting officer must determine in writing that the circumstances of the acquisition deems only one source reasonably capable of providing the products, services, or solutions (e.g., urgency, exclusive licensing agreements, items particular to one manufacturer);

Exceeding the SAT. GSAR 538.704-3(b)(1) Statutory Exceptions. The statutory exceptions supporting the placement of an order or establishment of a FSS BPA that exceeds the SAT on a sole source basis are:

GSAR 538.704-3(b)(i) The need is of such unusual urgency that following the procedures would result in unacceptable delays in fulfilling that need;

GSAR 538.704-3(b)(ii) Only one source is capable of providing the products, services, or solution required at the level of quality required because the products, services, or solutions are unique or highly specialized;

https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(a)%20Exceeding%20MPT%2C%20but%20not%20exceeding%20the%20SAT https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(b)%20Exceeding%20the%20SAT.%20(1)%20Statutory%20exceptions.%20The%20statutory%20exceptions%20supporting%20the%20placement%20of%20an%20order%20or%20establishment%20of%20a%20FSS%20BPA%20that%20exceeds%20the%20SAT%20on%20a%20sole%20source%20basis https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(i)%20The%20need%20is%20of%20such%20unusual%20urgency%20that%20following%20the%20procedures%20would%20result%20in%20unacceptable%20delays%20in%20fulfilling%20that%20need%3B https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(ii)%20Only%20one%20source%20is%20capable%20of%20providing%20the%20products%2C%20services%2C%20or%20solution%20required%20at%20the%20level%20of%20quality%20required%20because%20the%20products%2C%20services%2C%20or%20solutions%20are%20unique%20or%20highly%20specialized%3B

GSAR 538.704-3(b)(iii) The order should be issued on a sole source basis in the interest of economy and efficiency because it is a logical follow-on to an FSS order already issued on a competitive basis;

GSAR 538.704-3(b)(iv) It is necessary to place the order with a particular FSS contractor to satisfy a minimum guarantee established in the FSS BPA; or

GSAR 538.704-3(b)(v) A law expressly authorizes or requires that the purchase be made from a specified source.

Items peculiar to one manufacturer GSAR 538.7104-4(b) The particular brand name, product, or feature is essential to the ordering activity’s requirements, and market research indicates other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the need.

5. Description of the Sole Source Rationale: Why is this the only source? (e.g., proprietary technology, compatibility, unique expertise). Explain the contractor’s unique qualifications and capabilities to support your requirement. Are there other like/similar products that meet this requirement and why you are precluding them for this acquisition? PC Automated controls, Inc.

has the preventive maintenance contract for the entire HVAC System to include all associated equipment at EPIC for five years. All of PC Automated Controls, Inc. technicians are clear by EPIC's Security Office and Fort Bliss to provide maintenance on EPIC's HVAC System and can have the new compressor on site on a timely manner. PC Automated Controls, Inc. has provided an itemized coast estimated for the complete compressor replacement project including the materials, shipping, installation and proper environmental disposal.

6. Contracting Officer’s Determination that the Order Represents the Best Value: Explain how this price is fair and reasonable (e.g., comparison to GSA schedule price, price analysis).

I hereby determine that:

The order represents the best value to DEA consistent with the requirements of FAR 8.401 and (price evaluation is attached); and, If a particular brand name, product feature is requested, I hereby determine that it is essential to the Government’s requirements, and as demonstrated by the attached market research, or other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the Department’s need.

7. Market Research Description: repair will be made by the company that has the current maintenance agreement no other market research was conducted due to the urgency of the requirement.

8. Other Facts Supporting the Sole Sources Justification: Market research was not conducted due to the urgent nature of this project to replace the burn out compressor in Chiller No. 3. PC Automated Controls, Inc. can get the new compressor to EPIC on a timely manner without delays. PC Automated Controls, Inc. to include all technicians are clear by EPIC's Security and Fort Bliss to come and work at EPIC: If another vendor installs this new compressor PC Automated Controls, Inc. will not accept the warranty of the new compressor because they didn't install it making things very difficult for EPIC to have two different vendors on the HVAC System. Any additional market research could result in further expenses to this project and will potentially add more time to clear new vendors/employees to an already urgent and necessary procurement.

https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(iii)%20The%20order%20should%20be%20issued%20on%20a%20sole%20source%20basis%20in%20the%20interest%20of%20economy%20and%20efficiency%20because%20it%20is%20a%20logical%20follow%2Don%20to%20an%20FSS%20order%20already%20issued%20on%20a%20competitive%20basis%3B https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(iv)%20It%20is%20necessary%20to%20place%20the%20order%20with%20a%20particular%20FSS%20contractor%20to%20satisfy%20a%20minimum%20guarantee%20established%20in%20the%20FSS%20BPA%3B%20or https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(v)%20A%20law%20expressly%20authorizes%20or%20requires%20that%20the%20purchase%20be%20made%20from%20a%20specified%20source https://www.acquisition.gov/fss-ordering-procedures#%3A%7E%3Atext%3D(1)%20The%20particular%20brand%20name%2C%20product%2C%20or%20feature%20is%20essential%20to%20the%20ordering%20activity%E2%80%99s%20requirements%2C%20and%20market%20research%20indicates%20other%20companies%E2%80%99%20similar%20products%2C%20or%20products%20lacking%20the%20particular%20feature%2C%20do%20not%20meet%2C%20or%20cannot%20be%20modified%20to%20meet%2C%20the%20need%3B

9. Actions Taken to Remove Barriers to Competition: There are no statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

10. Program Office Official’s Certification: I certify that the information provided in this justification is complete and accurate to the best of my knowledge and belief.

Signature Date

11. Approvals: The required levels of approval of this Sole Source Justification depend on the estimated total value of the procurement. Approval must be obtained for that level and each previous level.

Contracting Officer (for actions ≤ $900,000)

Bureau Procurement Chief (for actions over $900,000)

Bureau Competition Advocate (for actions greater than $900,000 up to $20 million)

Head of the Contracting Agency of Designee (for actions of $20 million to $90 million)

Senior Procurement Executive (for actions over $90 million)

SOLE SOURCE JUSTIFICATION
1. Identification of the Agency, Contracting Activity, and Requiring Activity.
2. Nature and Description of the Action Being Approved:
4. Identification of the Sole Source Consideration Rationale:

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