Water_Servies_JOFOC_FY18_FBO.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

Federal Correctional Institution – Dublin, CA – FY 2018

Water Utility Service

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 utility services for the Federal Correctional Institution located in Dublin, CA 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 Correctional Institution

5701 8th Street – Camp Parks Dublin, CA 94568

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

This justification for other than full and open competition is for the acquisition of water services for the Federal Correctional Institution located in Dublin, CA from the sole provider of such services in the Dublin, CA area.

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

The Federal Correctional Institution in Dublin, CA requires water 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 California. Services shall be provided on a dependable and adequate daily basis (365) days per year. Dublin San Ramon Services District will be responsible to maintain and/or repair all associated water pipelines and equipment, including associated costs for such repair, up to the delivery/transport point or meter of FCI Dublin. Pursuant to FAR Part 41.202, the contractor is required to provide the “entire water utility services” (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 services are required from October 1, 2017 through September 30, 2018.

All funding is subject to Funds Availability (FAR Clause 52.232-18).

CLIN 0001 10/01/2017 - 09/30/2018 $551,432.77

Total Estimated Cost:

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

This justification to award as a sole 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) and FAR 6.302-1 (b) (3) which states “When acquiring utility services (see FAR 41.101), circumstances may dictate that only one supplier can furnish the service (see F.A.R. 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. Analysis of the market indicates that the Dublin San Ramon Services District has proprietary rights up to the meters at FCI Dublin. In order for another provider to be capable of providing the service, significant capital improvements would be needed. The Bureau would be required to pay for the capital improvements, but it would not recover the costs of duplication of services, connection fees, and infrastructure installation costs through competition. The current requirement is for follow-on services and does not include funding for capital improvements.

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

Dublin San Ramon Services District is the local community services district and is in the business of providing water and sewer services to the local community in the Dublin, California area. Additionally, the Dublin San Ramon Services District has been the sole provider of water services to FCI Dublin since the construction of the institution. Dublin San Ramon Services District is the sole provider of water service for the Dublin, CA area and all classes of end users in that service area. Dublin San Ramon Services District has an approved tariff by the District Board. The District Board is empowered by the laws of the State of California to enact and approve such tariffs for their service territory. Dublin San Ramon Services District is the sole authorized provider of water service in the Dublin area. All rates are regulated and approved by Dublin San Ramon Services District Board.

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:

The Dublin San Ramon Services District is established and operated in accordance with California Government Code 61000 et. seq. This act provides a community services district, such as the Dublin San Ramon Services District, the broad authority to provide public services, such as water, to a local municipality, Cal. Gov. Code § 610001 (c) (1).

It has been given exclusive authority to set rates by the Alameda County Local Area Formation Commission, a county entity authorized by California Government Code 56000

et. seq. to decide boundary decisions for local government entities such as service districts.

8. Description of the Market Survey Conducted:

The Dublin San Ramon Services District is the sole provider of water services for the cities of Dublin and San Ramon. As a services district, it is authorized to be the sole provider of water to the City of Dublin. As a result, this requirement cannot be conveniently or economically obtained by contracting to a private source. Market Research revealed that the Dublin San Ramon Services District is the only authorized water utility supplier capable of and authorized to provide these services. FCI Dublin is physically located within the Dublin San Ramon Services District’s service area of Alameda County. Additional Market Research has also revealed that the North American Industrial Classification System (NAICS) code for 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. Since the Dublin San Ramon Services District has demonstrated that they are engaged in the operation of such systems, code 221310 is applicable to this acquisition.

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

A GSA area-wide contract does not currently exist for water services in the Alameda County area. FCI Dublin has an ongoing need for these services and would not be able to operate the facility in an orderly fashion if services were interrupted or not provided.

Interruption of water services would interfere with the normal operations for the staff and the continuity of care for the inmate population at FCI Dublin.

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 requirements of FCI Dublin’s water service utility requirements. Dublin San Ramon Services District is the only source available to provide the requested services.

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

FCI Dublin will continue to monitor the market trends in the utility industry to seek competition, deregulation of established laws or ordinaces which would allow or the introduction of responsive and responsible sources that may be able to meet the minimum needs of FCI Dublin’s water utility requirements. Should competitive opportunities arise in the future FCI Dublin will take appropriate action to procure those services in a manner which represents the best value to the government.

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// _07/25/17_____

Sharon Fernandez, SCS Date

FCI Dublin, CA

//SIGNED// __07/27/17______

Darrell McKeel, Contracting Officer Date Field Acquisition Office

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//__________ _07/25/17______

Douglas Ricks, Facilities Manager Date

Concurrence of:

//SIGNED// __07/25/17_____

Charleston C. Iwuagwu, Warden Date

Approved by:

//SIGNED// ___07/28/17____

Al Rauschuber Jr., Acting Chief Date Field Acquisition Office