JOFOC_FMC_FT_Worth_FY_19_FBO.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

Federal Correctional Institution (FMC) Fort Worth, TX

Water and Wastewater Treatment Utility Services – FY 2019

Pursuant to the Federal Acquisition Regulation (FAR) 6.302-1 (a) (1) and 6.302-1 (b) (3), and Bureau of Prisons Acquisition Policy 6.304 (b), the Federal Bureau of Prisons (BOP) has determined that the procurement of water and wastewater treatment utility service for the Federal Correctional Institution (FMC) located in Fort Worth, Texas, meets the criteria established for other than full and open competition. It is further determined that only one responsible source and no other supplies and/or services will satisfy agency requirements. This limitation on competition is justified as supported by the following information:

1. Agency:

Department of Justice Federal Bureau of Prisons Federal Medical Center 3150 Horton Road Fort Worth, Texas 76119

2. Nature and/or Description of Action being Approved:

This justification for other than full and open competition is for the acquisition of water and wastewater treatment utility service for FMC Fort Worth located in Fort Worth, Texas from the only responsible and authorized provider of such services in the Fort Worth area.

3. Description of Supplies or Services Required to Meet the Agency Needs:

FMC Fort Worth requires water and wastewater treatment utility services in a manner that is consistent with all applicable laws, rules, codes, industry standards, permits and regulations, promulgated by any and all governmental authorities having jurisdiction in the State of Texas. Services shall be provided on a dependable and adequate daily basis (365) days per year. The City of Fort Worth will be responsible to maintain and/or repair all associated water and wastewater treatment pipelines and equipment, including associated costs for such repair, up to the delivery point or meters of FMC Fort Worth. Pursuant to FAR Part 41.202, the contractor is required to provide the “entire water and wastewater treatment utility service” (i.e., capacity, standby or backup service, transmission and/or distribution service, quality transportation, assurance, system reliability, system operation and maintenance, metering, billing, etc.).

Water and wastewater treatment utility service from April 1, 2019 thru September 30, 2019 is subject to funds availability (FAR Clause 52.232-18). The services will be procured by way of purchase order.

Contract Line Item Number Performance Period Estimated Cost ($)

Total Estimated Cost:

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

This justification to award as an only responsible source is prepared pursuant to the exception to full and open competition requirements in accordance with the statutory authority for these services that is found at 41 U.S.C. § 3304 (a) (1), when the supplies or services required by the agency are available from only one responsible source. The application which permits use of the cited statutory authority is stated at FAR 6.302-1 (b) (3),”When acquiring utility services (see FAR 41.101), circumstances may dictate that only one supplier can furnish the service (see FAR 41.202) or when the contemplated contract is for construction of a part of a utility system and the utility company itself is the only source available to work on the system. When a public utility supplier refuses to execute a tendered contract the agency may proceed with the acquisition and pay for the utility service under the provisions of 31 USC§ 1501(a)(8).

5. Determination that Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Requires Use of the Authority Cited:

The City of Fort Worth is a government-owned, only responsible provider of water and wastewater treatment utility service to FMC Fort Worth. The City is an entity of the State of Texas, the only agent authorized by rules and regulations to provide water and waste water treatment services in the Fort Worth area. The City of Fort Worth is authorized through established and adopted ordinances, as the sole authorized provider water and wastewater utility service in the Fort Worth service area. All rates are regulated by city ordinance which are passed and adopted as law for all residential, commercial, and industrial users in the Tarrant County.

6. Efforts Made to Solicit from as Many Sources as Practicable Including Whether or

Not a Notice Was or Will be Publicized as Required by FAR Part 5.2:

As stated in FAR 5.202 (a) (5), “the proposed contract action is for utility services other than telecommunications services and only one source is available.” Therefore, a notice is not required in the Government wide point of entry (GPE).

7. Contracting Officer’s Determination that the Cost to the Government Will be Fair and Reasonable:

Utility rates are enacted by resolution by the City Council. The City, which is charged under State of Texas law to ensure that rates be just and reasonable.

current rates offered by The City of Fort Worth have been approved by the City Council and adopted as law through the passage of Ordinances. The water and wastewater treatment prices have been deemed fair and reasonable through market research performed by the Contracting Officer and as shown in supporting documentation. A formal decision in the form of periodic rulings, reviews, or similar actions of a governmental boy, or embodied in the laws, are sufficient to set pricing (see FAR 15403-1[c][2]. The establishment of the current supply and delivery of services began when the original service connections were installed. As such, the Contracting Officer has determined the anticipated cost to the Government will be fair and reasonable. Water and wastewater bill prices will be analyzed by the Facilities Manager with the assistance of the Supervisory Contracting Officer on a monthly basis in accordance with F.A.R. 41.401 in order to ensure price reasonableness and accuracy.

8. Description of the Market Survey Conducted:

The contracting officer reviewed the GSA Areawide Contract listing and there are no current contract opportunities in the Fort Worth service area at this time. FMC Fort Worth has a present and continuing need for water and wastewater treatment utility services. FMC Fort Worth does not have an onsite water supply or wastewater treatment system; therefore, the need for water and wastewater treatment utility services has to be found and supplied by a contractor in the local market. Market Research has revealed the presence of city ordinances which establish the City of Fort Worth as the only legal provider of water and wastewater treatment service with the physical, mechanical, and operational capabilities to process the magnitude of service required by FMC Fort Worth. Market Research has also revealed that the North American Industrial Classification System (NAICS) code for water utility service as 221310 with a size standard of $27.5M and the NAICS code for wastewater treatment and/or Sewage

Treatment Facilities are 22320 with a size standard of $20.5M. The NAICS industry description for code 221310, “Water Supply and Irrigation Systems” has detailed that establishments with this code are primarily engaged in operating water treatment plants and/or operating water supply systems. The water supply system may include pumping stations, aqueducts, and/or distribution mains. The water may be used for drinking, irrigation, or other uses. The NAICS industry description for code 221320, “Wastewater/Sewage Treatment Facilities” has detailed that establishments with this code are primarily engaged in operating sewer systems or sewage treatment facilities that collect, treat, and dispose of waste. Since the City of Fort Worth has demonstrated that they are engaged in the operation of such systems, NAICS codes 221310 and 221320 are applicable to this acquisition.

9. Other Facts Supporting the Use of Other Than Full and Open Competition:

Federal and state regulations, as well as, local ordinances limit the provider of service to the City of Fort Worth.

10. List of Sources, Expressing in Writing, Interest in the Acquisition:

There were no other sources which expressed an interest in this acquisition or that would be able to provide the service to meet the minimum utility requirements of FMC Fort Worth.

11. Actions Taken by the Agency to Remove or Overcome Barriers to Competitions:

FMC Fort Worth will continue to monitor the market trends in the water and wastewater treatment utility industry to seek competition or sources that may be able to meet the minimum needs of the FMC and its utility requirements. Should opportunities arise in the future, the BOP will take appropriate action to procure these services in a more efficient manner.

12. Contracting Officer’s Certification:

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

Submitted by:

//SIGNED// 03/12/19

Shakira Fisher, Supervisory Contract Specialist Date FMC Fort Worth, Texas

Technical or Requirement’s Personnel Certification:

I hereby certify that this request for Justification and Approval of Other than Full and Open Competition is made in good faith that the supporting data and information are accurate and complete to the best of my knowledge and belief:

_____//SIGNED//_______________________ ____03/13/19_____

Robert Welpdale, Facility Manager Date FMC Fort Worth, Texas

Approved by:

//SIGNED// 03/14/19

Darrell McKeel, Contracting Officer Date Field Acquisition Office