08._SSJ_Posted_with_Award_notice.docx

Single Source Justification Western Area Power Administration FAR 13.106-1(b)(1), Simplified Acquisitions

Purchase Requisition # 16WA118709

1. Identification of the agency and the contracting office.

Western Area Power Administration (WAPA), Rocky Mountain Region (RMR) J1500.

2. Description of supply or service required to meet the agency’s needs.

Replacement and proper servicing of the cooling media for the Virginia Smith Sidney Converter Station (HVDC inter-tie connection between the National Eastern and Western electrical grid). This Converter Station is an essential and necessary asset enabling WAPA to supply up to 200 million watts of energy between these two electrical systems. To accomplish this, up to 5 million watts of heat energy has to be dissipated through a liquid cooling media, Ethylene Glycol. 3,200 gallons of Ethylene Glycol was originally put into service in March of 1986, and has not been serviced since. The Ethylene Glycol has degraded to the point of compromising the valve cooling system as a whole. WAPA has incurred significant costs for maintenance of cooling media pump repairs, and also outages related to the degradation of this cooling media, due to its excessive abrasiveness and acidic properties not being able to perform properly during extremely hot summer months.

3. The rationale or circumstances for limiting competition.

The Ethylene Glycol service required for the Virginia Smith Converter Station is a very specialized service; more complex than just draining the old Ethylene Glycol and re-servicing the system with fresh Ethylene Glycol. This service will require specialized equipment, chemicals, procedures, and the ability to process the handling and disposal of approximately 20,000 gallons of waste material in accordance with environmental regulations. Market research performed by the customer and Contract Specialist has identified only one company that has the capability to successfully accomplish the required services: Gly-Tech Services, Inc. of Louisiana. Gly-Tech is familiar with this type of requirement. WAPA is not aware of any other company that can properly drain, chemically flush, re-service, commission and dispose of this quantity of waste material. To have to reverse-engineer this project at this point is not feasible and would delay this critical service by many months at an exponential cost and significant risk to WAPA.

4. A description of the Market Research (MR) conducted and the results or a statement of the reason MR was not conducted Internet market research was conducted to determine if there were any other companies that could provide the services necessary. A variety of search terms were utilized, but did not return any results.

Based on this market research, a Notice of Intent to Sole Source was posted on Fed Bizz Opps (www.fbo.gov) on July 8, 2016 with a response date of July 13, 2016 at 3:00 p.m. MDT. No responses were received.