MACC IDIQ Ceiling Increase - Justification and Approval_Redacted.pdf

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Multiple Award Construction Contract Indefinite Delivery Indefinite Quantity (MACC IDIQ) Notice of Proposed Contract Action
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FA283519D0007_FA283519D0008_FA283519D0009
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This justification and approval document and related notice propose increasing the combined ceiling of three multiple award construction contract indefinite delivery indefinite quantity contracts held by Cornerstone Construction Services, LLC., Maron Construction Co., Inc., and Tantara Associates Corporation. The contracts were awarded by the Air Force Materiel Command Lifecycle Management Center to provide maintenance, sustainment, repair, and minor construction projects at several installations in Massachusetts and New Hampshire. The justification cites eleven new projects valued at $15.5 million requiring the specialized services under the contracts. Increasing the combined ceiling by $15 million to $35 million would allow continuity of services through the remainder of the ordering period ending in September 2024 while a new multiple award contract is competed. A public notice of the proposed action was issued for fifteen days in July 2021.

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Justification and Approval (J&A) for Other Than Full and Open Competition

CONTROLLED UNCLASSIFIED INFORMATION

April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 2 of 5April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 2 of 5

I. Agency and Contracting Activity.

AFLCMC/PZIA

16 Eglin Street Building 1604 (B1604) Hanscom Air Force Base (AFB), Massachusetts 01731

II. Nature and/or description of the action being approved.

This action is an out of scope bilateral contract modification to the three (3) existing Multiple Award Construction Contract Indefinite Delivery Indefinite Quantity (MACC IDIQ) Contracts to increase the combined overall contract ceiling for contracts;

FA2835-19-D-0007 with Cornerstone Construction Services, LLC.; FA2835-19-D-0008 with Maron Construction Co., Inc.; and FA2835-19-D-0009 with Tantara Associates Corporation pursuant to the authority of 10 U.S.C 2304(c)(1) as implemented by FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.

Award of the existing MACC IDIQ Contract was made on the basis of full and open competition (FAR 6.203).

III. Description of supplies/services required to meet agency needs (including the estimated value).

The existing Multiple Award Construction Contract Indefinite Delivery Indefinite Quantity (MACC IDIQ) is a Multiple Award IDIQ (MAIDIQ) type contract in which the three (3) MACC IDIQ Contract Holders shall provide all management, labor, material, equipment, transportation, supervision, and Architectural Engineering Services (as required) to accomplish maintenance, sustainment, repair, and minor construction projects located on the following Air Force Installations: Hanscom Air Force Base (HAFB) - Bedford, MA; HAFB FAMCAMP - Bedford, MA; Patriot Golf Course - Bedford, MA; Sagamore Hill Solar Observatory - Hamilton, MA; Fourth Cliff Recreation Annex - Hummarock, MA; Cape Cod Air Force Station

- Sagamore, MA; and New Boston Air Force Station - New Boston, NH. The existing MACC IDIQ Contract was awarded with a five (5) year ordering period and a combined overall contract ceiling of $20,000,000.

The MACC IDIQ Program gives AFLCMC/PZIA a vehicle to execute construction projects for the 66th Air Base Group Civil Engineering (66 ABG/CE) that are complex in nature, require multiple trades, and may require detailed engineering design to be performed by registered / licensed Engineers and Architects. During the first two (2) years of the MACC IDIQ Ordering Period the Government awarded twelve (12) Fair Opportunity Orders with a total combined order value of $18,155,199.

The MACC IDIQ also provides 66 ABG/CE with a vehicle to provide for unexpected customer funded projects that are currently not included in the programmed project list. These complex projects are funded by customers throughout the fiscal year. These customer requests are high profile, large dollar value, and complex projects which are necessary to ensure the customer's work space is able to maintain current and future mission capabilities. To date two (2) of the twelve (12) orders executed under the existing MACC IDIQ have been unexpected customer funded projects. The acquisition process for both projects commenced during the beginning of Fiscal Year 2021 (FY21). The MACC IDIQ allowed the Government to streamline the acquisition of these two (2) complex requirements resulting in awards for these orders being made during the third quarter of FY21 with a combined value of $8,242,470. If the Government did not have the MACC IDIQ vehicle or ceiling to support the project; and had to execute these acquisitions or types of acquisitions using either FAR Part 15 "Source Selection", FAR Part 14 "Sealed Bid", or FAR 36.3 "Two-Phase Design-Build Selection" procedures the timeline for award of these acquisitions would have likely extended later into FY21 or into Fiscal Year 2022 (FY22) resulting in delays and impacts to the customer's mission and funding.

The 66ABG/CE has a valid mission need for executing Fair Opportunity orders under the MACC IDIQ through the remainder of the MACC IDIQ Ordering Period. 66 ABG/CE has eleven (11) projects with combined estimated value of $15,508,490 programmed for execution under the MACC IDIQ during the next three (3) fiscal years. The increase to the combined overall contract ceiling for the MACC IDIQ Program is necessary to maintain continuity of services

April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 3 of 5April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 3 of 5 for programmed projects. The increase to the combined overall contract ceiling for the MACC IDIQ gives 66 ABG/CE and AFLCMC/PZIA the continued ability to support and streamline acquisitions for unexpected requests for complex requirements, funded by customers until the follow-on MACC IDIQ effort is awarded.

The anticipated dollar value of the MACC IDIQ combined overall contract ceiling increase is $15,000,000. Based on the combined estimated value of the eleven (11) projects that 66 ABG/CE have programmed for ordering under the MACC IDIQ during the next three (3) years; a $15,000,000 increase to the existing $20,000,000 ceiling would result in $1,336,311 of the ceiling increase being available for unexpected customer funded projects. The projected available ceiling of $1,336,311 will enable 66 ABG/CE to continue streamlining unexpected customer funded projects for execution under the MACC IDIQ throughout the remainder of the MACC IDIQ Ordering Period.

IV. Statutory authority permitting other than full and open competition.

10 U.S.C 2304(c)(1) as implemented by FAR 6.302-1, Only one responsible source and no other supplies or services will satisfy agency requirements, and required by FAR 6.303-2(b)(4). FAR 6.302-1(a)(2), states when supplies or services required by the agency are available from a limited number of responsible sources and no other type of supplies or services will satisfy agency requirements, full and open competition need not be provided for.

V. Demonstration that the contractor's unique qualifications or the nature of the acquisition requires use of the authority cited above (applicability of authority).

The MACC IDIQ Program gives AFLCMC/PZIA and the 66ABG/CE Engineering Flight a highly specialized vehicle to execute both Design-Bid-Build and Design-Build construction projects that are complex in nature, require multiple trades, and may require detailed engineering design to be performed by registered / licensed Engineers and Architects. The MACC IDIQ Program is advantageous to both 66 ABG/CE and AFLCMC/PZIA, as it enables the Government to obtain competitive pricing for all orders issued under the MACC IDIQ. The MACC IDIQ Program does not utilize a pre-priced bid schedule or unit pricing guide (UPG) such as e4clicks, thus allowing the Government and the MACC IDIQ Contract Holders to benefit from the competitive local New England construction market.

Design-Bid-Build and Design-Build construction projects programmed for execution under the existing MACC IDIQ Program are currently under various stages in the requirement development process. An increase to the MACC IDIQ combined overall contract ceiling of $15,000,000 will support the eleven (11) program projects anticipated for execution under the MACC IDIQ Contract through the remainder of the ordering period and is necessary to maintain current 66 ABG/CE workload requirements until a follow-on MACC IDIQ Contract can be developed, solicited, and competitively awarded by 66 ABG/CE and AFLCMC/PZIA.

Unacceptable delays in fulfilling the agency's requirements during the remainder of the ordering period would be incurred if AFLCMC/PZIA and the 66 ABG/CE Engineering Office and their agents have to re-program these complex requirements for execution as competitive acquisitions using FAR Part 15 "Source Selection", FAR Part 14 "Sealed Bid" or FAR 36.3 "Two Phase Design-Build" procedures; or if AFLCMC/PZIA and the 66 ABG/CE Engineering Office were to re-compete the MACC IDIQ Contract this early into the ordering period. This would not be in the best interest to the Government, as the 66 ABG/CE will be delayed in providing the capabilities needed to their customers at the following Air Force Installations: Hanscom Air Force Base (HAFB) - Bedford, MA; HAFB FAMCAMP - Bedford, MA; Patriot Golf Course - Bedford, MA; Sagamore Hill Solar Observatory - Hamilton, MA; Fourth Cliff Recreation Annex - Hummarock, MA; Cape Cod Air Force Station - Sagamore, MA; and New Boston Air Force Station - New Boston, NH. The projects programmed for execution under the existing MACC IDIQ that the Government anticipates would be delayed are as follows: Building 1624 (B1624) Replace Chilled Water Pumps; B1612 Replace Emergency Generator; B1825 Repair CE Admin Facility; Repair Mechanical Rooms Multiple Buildings; B1112 Repair NAF Logistics Facility; B1726 Repair SC Admin Facility; B1721 Repair HVAC Fire Station; B1722 Repair HVAC Aero Club; B1118 Repair CE Electric Shop; Construct/Repair Steam Meters, Multiple Facilities; B1606 Repair Water Treatment Facility. The projects programmed for execution during the remainder of the ordering period are complex requirements that involve repairing; replacing; constructing; and/ or sustaining vital Mechanical, Electrical, Plumbing (MEP), Architectural, Structural, and Civil building systems that are the backbone to operations on Hanscom AFB and the other AF installations that 66ABG/CE supports. Delays in

April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 4 of 5April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 4 of 5 executing these projects may result in failing or inadequate building systems that are past their expected system life not being able to support the loads applied to these building systems as a result of daily operations. If these projects are delayed and the systems fail or are inadequate the AF would be have to expend additional funding to provide temporary building systems or facilities to in order to maintain AF operations and adequate work space conditions.

VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under

FAR 5.202 applies.

The notice required by FAR Subpart 5.2 was publicized to the Government Point of Entry (GPE) on 26 July 2021 and was publicized for fifteen (15) calendar days. Sources that responded to the notice and expressed and interest, in writing are listed below in Section X.

Based on the rationale provided in this J&A, it is not practicable to solicit additional sources for this immediate requirement.

The increase to the existing MACC IDIQ Ceiling will continue to provide Fair Opportunity to the three (3) MACC IDIQ Contract Holders for all orders issued. Award of Fair Opportunity Orders under the MACC IDIQ will continue to be selected in accordance with the procedures stated in the Fair Opportunity Instruction to Offerors provided to the MACC IDIQ Contract Holders with each Fair Opportunity Proposal Request.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

As this contract action is to increase the combined overall contract ceiling for the MACC IDIQ Contracts; FA2835-19-D-0007 with Cornerstone Construction Services, LLC.; FA2835-19-D-0008 with Maron Construction Co., Inc.; and FA2835-19-D-0009 with Tantara Associates Corporation, a fair and reasonable determination for the $15,000,000 increase to the combined overall contract ceiling for the MACC IDIQ will not be made. AFLCMC/PZIA in conjunction with the 66ABG/CE Engineering Office substantiated the $15,000,000 increase by developing a complete program list requirements that will be executed under the MACC IDIQ Program through the remainder of the ordering period.

For all Fair Opportunity Orders issued under the MACC IDIQ, the Government will conduct Price Analysis in accordance with FAR 15.404-1. Comparison of proposed prices among offerors in response to each Fair Opportunity Proposal Request is the preferred and intended price analysis technique. The Contracting Officer will make a determination of price fair and reasonable for each Fair Opportunity Order awarded under the MACC IDIQ Contract.

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

Appropriate Market Research based on the circumstances and intent of this acquisition was conducted. Sources that responded to the publicized noticed were reviewed to see if any of the interested sources showed clear and convincing evidence that competition of the work would be advantageous to the Government. Based on the results of the Market Research it was determined that awarding this effort to any other Contractor(s) would not be advantageous to the Government and would lead to unacceptable delays. However increase the existing MACC IDIQ combined overall ceiling will continue to allow for the same level of fair opportunity to all three (3) of the MACC IDIQ Contract Holders to compete on future Fair Opportunity Orders.

IX. Any other facts supporting the use of Other Than Full and Open Competition.

None at this time

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X. List of any sources that expressed, in writing, an interest in the acquisition.

Sterling & Kole Realty (Sterling & Kole); CAGE: 8JMB9

- The Government assessed the capability statement that was provided in response to the publicized notice. The capabilities and past performance demonstrated by Sterling & Kole did not provide the Government with confidence that Sterling & Kole has the ability to successfully perform orders under the MACC IDIQ. In addition to assessing the capability statement provided by Sterling & Kole, the Government searched the Dynamic Small Business Search (DSBS) and Contractor Performance Assessment Reporting System (CPARS) databases. Utilizing the criteria indicated by Sterling & Kole on the capability statement the Government was unable to obtain records or results from the DSBS or CPARS databases. Relying upon the assessment of the capability statement as well as the search results from the DSBS and CPARS database the Government determined that Sterling & Kole did not show clear and convincing evidence that competition of the work would be advantageous to the Government.

XI. 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.

None at this time.

XII. Certification by the Contracting Officer.

As evidenced by my signature above, I have determined this document to be both accurate and complete to the best of my knowledge and belief.

XIII. Certification by the technical/requirements personnel.

As evidenced by my (our) signature(s) above, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.

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