AFH JnA.pdf

DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING COMMAND, ATLANTIC

6506 HAMPTON BLVD

NORFOLK VA 23508-1278

In REPLY REFER TO:

J&A No. NA 21-01 October 25, 2020

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Department of the Navy, Naval Facilities Engineering Command Atlantic (NAVFAC Atlantic), Norfolk, Virginia.

2. Description of the Action Being Approved.

Authorization to limit competition for the Electrical Distribution System (EDS) substation controllers and relay components to Siemens and ABB brand units as required for use on the Army Family Housing project Phases 1 through 4 (P-759, P-91330, P-91331 and P-91332) each having a program amount valued at and , respectively. Other than these indicated brand components, the remaining construction associated with each phase will be procured by full-and-open competition.

3. Description of Supplies/Services.

The Army family housing program work consists of demolishing 249 existing housing units and constructing 478 housing units across four (4) project phases. A part of this work includes all new utilities including a new electrical distribution system that requires compatible control relays across two separate sites. The electrical substations are connected to an Electrical Distribution System (EDS), which is a Supervisor Control and Data Acquisition (SCADA) monitoring and control system. This EDS currently has an Authority to Operate (ATO) required of Industrial Control Systems (ICS) to demonstrate Cybersecurity compliance. This ATO specifies the connected equipment that is authorized to operate on the EDS, which includes controllers and relays that are located in the electrical substations. Additionally, the Siemens brand equipment at Villaggio and the ABB brand equipment at Ederle must be precisely compatible with the other substations on the EDS for that installation because they send and receive signals directly to trigger responses to out-of-tolerance electrical conditions through a pilot wire in Ederle and fiber optic in Villaggio, separate to the EDS. All MC and HMI firmware in each relay must be the same and they need to communicate with SCADA and directly together.

Under the phased contracts, a total of thirteen (13) electrical substations at Villaggio and two (2) electrical substations at Ederle will be installed; This includes six (6) substations in Phase 1, four (4) substations estimated in Phase 2, three (3) substations estimated in Phase 3 and two (2) substations estimated in Phase

4. The approximate increase in cost to provide proprietary Siemens controllers and relay in each Villaggio substation unit is . The approximate cost increase to provide proprietary ABB controllers and relays in each Ederle substation unit is . The total approximate cost for these components across all phases is or in Phase 1, in Phase 2, in Phase 3 and in Phase 4. Labor and installation costs are not included in this total.

The total estimated construction costs for the Army family housing program work is $318,000,000 with an estimated performance period of 750 calendar days for each of four (4) construction contract phases.

Estimated Construction Cost Dollar Value

PHASE /

FUNDING YEAR

PHASE 1 /

PHASE 2 /

PHASE 3 /

PHASE 4 /

Family Housing, Army (FHA) funds.

4. Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority for this acquisition permitting other than full and open completion is 10 U.S.C.

2304(c)(1), as implemented by FAR 6.302-1 and 6.302-1 (c), as only one responsible source and no other supplies or service will satisfy the agency requirements; only the brand name substation controllers and relay components set identified meet the Government’s requirements and other brands cannot therefore be considered.

5. Rationale Justifying Use of Cited Statutory Authority.

Work is comprised of the Army Family Housing recapitalization program that spans over the course of 5+ years with multiple phased master plan construction projects designed to completely redevelop the existing sites. The scope of this project includes new electrical substations that provide electricity to new residential units for utilization. These new electrical substations must contain specialized high voltage electrical equipment to function, indicated herein as medium voltage switchgear (MVS). The electrical substations form a part of the overall base wide electrical system, a ring main loop. The current basewide electrical medium voltage switchgear (MVS) equipment is Siemens MVS at Villaggio base and ABB MVS at Camp Ederle, as a result of a competitive procurement for the original substation. Expanding the existing MVS system or adding new electrical substations with MVS requires using the same components as existing. The new MVS must seamlessly integrate and communicate with the complete basewide electrical system, including the new electrical substations, to function properly and as a unit to supply safe and reliable electricity to the base facilities.

The base electricians are extensively trained on these specific manufactured MVS systems, and are intimately familiar with their complex controls and functions such that when there are power outages or quality issues, the electricians can provide an immediate response team to repair and restore electricity either in part at substations or basewide, when an event occurs.

The medium voltage switchgear (MVS) inside each substation must communicate and function properly with the base master electrical controller, part of the SCADA system, that is located at the main electric shop. This master controller has proprietary communications protocol. Expansion and addition of this system must have the same manufacturer MVS control equipment to function properly.

If other manufacturers’ MVS equipment are installed at each respective base and the MVS equipment is not the same or intermixed, there would be an impact to mission support in several areas; electricians would need to be extensively trained on new manufacturers, the basewide control (SCADA) may not function seamlessly and potential power outages and delayed power restorations could be significantly increased impacting missions and power availability on base, additional parts would need to be purchased and stored and maintained for emergency response of power outages and repairs, there would be an increase in maintenance cost, equipment cost, training and personnel cost due to these additional issues.

For the reasons set forth in Paragraph 5, other than full and open competition is in the government’s best interest. However, in an effort to solicit from as many offerors as practicable, only a portion of this Acquisition is other than full and open competition. Utilization of a brand name will only be for the Electrical Distribution System (EDS) substation controllers and relay components.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

Market Research was conducted in accordance with FAR Part 10. A Request for Information (RFI) was posted on Contract Opportunities on 1 October 2020 to determine if sources capable of satisfying the agency’s requirements exist. One (1) response was received from The respondent did not pose any question(s) or present any information on the capabilities of other manufacturers of electrical relays and controllers that meet the Government’s need. Rather, the respondent shared their expertise acquired on past works, involving ABB and Siemens brand EDS relays and control equipment as well as SCADA systems.

No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any company other than Siemens and ABB to provide the required supplies and services.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

For reasons set forth in Paragraph 5, NAVFAC Atlantic has no plans at this time to compete future contacts for the types of supplies/services covered by this document. If another potential source emerges, NAVFAC Atlantic will assess whether competition for future requirements is feasible.

CERTIFICATIONS AND APPROVAL

This justification covers only the portion of the acquisition, which is brand name or peculiar to one manufacturer. Therefore, in accordance with FAR 6.302-1 (c)(ii)(A), the approval level requirements only apply to that portion.

TECHNICAL AND REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein, are complete and accurate to the best of my knowledge and belief.

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

CONTRACTING OFFICER CERTIFICATION

I certify that this justification is accurate and complete to the best of my knowledge and belief.

ECHELON III ACQUISITION SPECIAL PROGRAMS DIVISION DIRECTOR APPROVAL

Upon the basis of the above justification, I hereby approve the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 10 U.S.C.

2304(c)(1)).