J&A6117water.doc

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

(J&A)

HSFE03-09-U-6117

Pursuant to the requirements of the Competition in Contracting Act (CICA), as implemented by FAR Subpart 6.3 and in accordance with the requirements of FAR 6.302-1, the justification for the use of statutory authority under FAR 6.3 is justified by the following facts and rationale required under FAR 6.302-1 (b)(3) as follows:

1. Agency and Contracting Activity:

Department of Homeland Security (DHS), Federal Emergency Management Agency (FEMA), Joint Field Office (JFO), 216 RHL Blvd., Dudley Farms Plaza, S. Charleston, WV 25309 proposes to enter into a contract on a basis other than full and open competition.

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

FEMA has a requirement for water utility service for temporary housing for disaster applicants. These circumstances dictate that FEMA procure this utility on a sole source basis, at an anticipated not-to-exceed price of $135,000.00. The proposed contractor is Mingo County PSD.

3. Description of Supplies/Services:

The Government requires water for the temporary housing for disaster applicants.

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

The statutory authority permitting only one responsible source when no other supplies or services will satisfy agency requirements is 10 U.S.C. 2304(c)(1) or 41 U.S.C. 253 (c)(1), as implemented by FAR 6.302-1, entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Demonstration That the Nature of the Acquisition Required Use of the Authority Cited:

Since the events of May 15, 2009 there has been a need for the Government to provide temporary housing to disaster applicants in West Virginia. The Government leased temporary mobile home pads. These pads did not have water or electricity service. Thus the Government must provide these utility services under separate orders/contracts.

FAR Subpart 41.101 defines franchise territory as a geographical area that a utility supplier has a right to serve based upon a franchise, a certificate of public convenience and necessity, or other legal means. The water companies in each West Virginia county are assigned to a geographical grid, i.e. franchised territory. These assignments are provided through the State Board or a Public Commissioner. Only one electric company is allowed to serve a geographical grid. Therefore, only one responsible source may provide the required sources.

6. Description of Efforts Made to Ensure That Offers Are Solicited From As Many Potential Sources As Is Practicable:

In accordance with FAR 5.202 (a)(5) , the contracting officer need not submit the notice required by FAR 5.201 when the contracting officer determines that the proposed contract action is for utility services other than telecommunications and only one source is available.

7. Determination by Contracting Officer that the Anticipated Cost To The Government Will Be Fair and Reasonable:

Price is determined to be fair and reasonable based on pre-established rates and rate schedules. The rates charged to the Federal Government are the same rates charged to all customers within the geographical territory including their most favored customer.

8. Description of Market Research:

No market research has been performed due to the territories being franchised. There is only one source available in the franchised territory.

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

None

10. A listing of Sources, If Any, That Express, In Writing, an Interest in the Acquisition:

N/A

11. Planned Actions to Remove Barriers to Competition for Similar, Subsequent Requirement:

Due to the territory being franchised, these barriers to competition cannot be removed unless the utility service becomes unregulated.

12. Contracting Officer’s Certification:

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Carnell Mosley

DATE

Contracting Officer