Justification_and_Approval_redacted.pdf

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

“Source Selection Information -- See FAR 2.101 and 3.104.”

March 2018 “Source Selection Information -- See FAR 2.101 and 3.104.” Page 1 of 3

NOTE: If a Justification and Approval was approved for the preceding acquisition, a copy of the approved J&A for the predecessor action must be included in the staff package for approval of the instant J&A. This applies to all J&A staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor J&A will be used as a reference document by the approving official.

Is this a new or amended J&A Document? New Amended ( Prior to Award Only! )

Is this a Bridge Action as defined in the AF Bridge Action Reduction Plan? Yes No

Funding level for this acquisition:

Contracting Activity: 673 Contracting Squadron

Purchase Request / Local ID Number:

Program / Project (and PE, if applicable): JBER - Richardson Electric Utility Services

Program Type (PEO or Other Contracting): Other Contracting

Authority: 6.302-1 – 10 USC 2304(c)(1), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

Estimated Contract Cost (including options): J&A Type: Class Individual

COORDINATION (AFFARS 5306.304(a) )

Date

31 May 2019

Project Lead / Program Mgr / Requiring Activity Griffith B. Turpin

673 CES/CENPE/ 907-384-2763

Signature

Date

03 Jun 2019

Contracting Officer Anthony Torres

673 CONS PKD/ 907-552-5314

Signature

Date

03 Jun 2019

Local Legal Reviewer Capt Brianne Seymour

673 ABW/JA/ 907-552-3048

Signature

Date

05 Jun 2019

Chief of the Contracting Office (COCO) Gina Parks

673 CONS/DBO/907-552-2810

Signature

APPROVAL (AFFARS 5306.304(a) )

Date

11 Jun 2019

Competition Advocate BRIAN V. UCCIARDI, Col, USAF Director of Contracting (OL-PAC)

AFICC/KH/808-449-8569

Signature

TURPIN.GRIFFITH.B.128

8926421

Digitally signed by

TURPIN.GRIFFITH.B.1288926421

Date: 2019.05.31 14:34:33 -08'00'

SEYMOUR.BRIANNE.LEI

GH.1026680782

Digitally signed by

SEYMOUR.BRIANNE.LEIGH.1026680782

Date: 2019.06.03 11:21:38 -08'00'

TORRES.ANTHONY.E.11

55109102

Digitally signed by

TORRES.ANTHONY.E.1155109102

Date: 2019.06.03 16:39:11 -08'00'

PARKS.GINA.J.1105899

Digitally signed by

PARKS.GINA.J.1105899994

Date: 2019.06.05 15:05:19 -08'00'

UCCIARDI.BRIA

N.V.1045911477

Digitally signed by

UCCIARDI.BRIAN.V.1045911477

Date: 2019.06.11 13:26:05 -10'00'

March 2018 “Source Selection Information -- See FAR 2.101 and 3.104.” Page 2 of 3

I. Contracting Activity.

673d Contracting Squadron 10480 Sijan Ave.

Joint Base Elmendorf-Richardson (JBER), AK 99506

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

The 673d Contracting Squadron (PACAF), joint Base Elmendorf-Richardson (JBER) Air Base Wing, Alaska, proposes to issue a sole-source, firm-fixed price, indefinite contract (on a month-to-month basis), as prescribed in DFARS PGI 241.205, to Municipal Light and Power (ML&P) for electric utility services for JBER-Richardson for a period of less than one year. The current contract that provides power to JBER-Richardson expires on 14 June 2019. This bridge action is necessary to provide sufficient procurement lead time for a 10-year, firm-fixed price contract for electric utility services for all of JBER.

III. Description of supplies/services required to meet agency needs.

The contractor shall provide electric utility services to JBER-Richardson in accordance with the specifications provided on AFPAM 32-10144, which will be incorporated into the contract.

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

The authority for this request is 10 USC 2304(c)(1), only one responsible source, as implemented by FAR 6.302-1(b)(3).

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

Alaska energy utilities are regulated through the issuance of Certificate of Public Convenience and Necessity (CPCN), which designates service territories under different utilities. Currently, ML&P owns the CPCN for JBER-Richardson, meaning they are the designated utility service provider for that area. Furthermore, it also currently owns the substations, which are the points of electrical distribution. Therefore, in order for another utility service provider or power company to be able to service JBER-Richardson, it will have to work out a wheeling agreement with ML&P and request RCA approval of the transfer of the CPCN for this area. Considering that the Government requires a fully functioning utility service provider in less than 60 days, it will not be economically or administratively plausible for any other utility service provider to be postured properly to provide power to JBER-Richardson; just the Regulatory Commission of Alaska's approval process alone takes at least 45 days (assuming no complications).

VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable.

This bridge action is in the best interest of the Government as it will maintain continuity of mission-essential services and allow time for a proper procurement of consolidated electric utility services for all of JBER and maximize competition, because available vendors will have more time to propose and undergo the regulatory hurdles that are required.

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

ML&P is a regulated public utility. The Contracting Officer anticipates that the price will be fair and reasonable based on the fact that proposed tariff rates are reviewed and approved by RCA, thus meeting the definition of "prices set by law or regulation" and "are a valid basis on which prices can be determined fair and reasonable" in accordance with DFARS 241.201(3).

March 2018 “Source Selection Information -- See FAR 2.101 and 3.104.” Page 3 of 3

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

A sources sought was issued in August 2018 to determine availability of electric utility service providers for the competitive procurement of the 10-year term FFP contract, therefore, market research specific to this short-term power requirement was not necessary as the initial research had already identified three main large business electric utility service providers: ML&P, Chugach Electric Associtation (CEA) and Matanuska Electric Association (MEA). However, these providers would not be able to satisfy the current short-term requirement as there is not sufficient lead time to put the proper administrative arrangements in place to be able to supply electricity services to JBER-Richardson by mid-June considering the regulatory requirements. This is consistent with the industry feedback the Government received following the initial sources sought - one of the utility companies communicated to the Government that it would be hard to produce an adequate proposal in the short-term considering the need for wheeling arrangements and regulatory filings.

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

None.

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

Prior to the Government's decision to execute this sole-source bridge contract, the following sources expressed interest in the 10-year term contract for electric utility services: ML&P, CEA and MEA.

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.

Regulatory barriers to competition are inherent in the procurement of utility services and cannot be mitigated. The only thing that the Government can do is allow maximum response time for proposals so that companies can make the necessary regulatory and administrative arrangements, thus the need for this bridge contract action.

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 signature above, I certify that any supporting data contained herein, which is my responsibility, is both accurate and complete.