J and A for SAM.pdf

CUI//SP-SSEL

Control Number: SPK24-121

CUI//SP-SSEL

(Source Selection Information - See FAR 2.101 and 3.104-4)

3 SEP 2021

Sole Source Justification and Approval Under FAR 13.501

1. Contracting Activity: US Army Corps of Engineers, Sacramento District

2. Description of Action: This request is for a new purchase order to provide services currently provided under W91238-23-P-0049, a purchase order with Supplemental Funding (Construction General).

3. Description of Supplies/Services: The service required is the rental of a temporary system to augment the under-designed Auxiliary Dam toe drain pump system. Rented equipment includes pumps, water storage tanks, fuel tanks, and all necessary piping, hoses, couplings, adapters, and telemetry alarms. The monthly rental cost is approximately $11,000, with the pump alone accounting for approximately half of this cost.

4. Authority Cited: The statutory authority permitting other than full and open competition for the proposed action is 41 USC § 3304(b)(B) as implemented in Federal Acquisition Regulation 6.302-1, Only one responsible source and no other supplies or services will satisfy agency requirements. FAR 6.302-1(a)(2)(iii) states that services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in (A) Substantial duplication of cost to the Government that is not expected to be recovered through competition; or (B) Unacceptable delays in fulfilling the agency’s requirements.

5. Reason for Authority Cited: The incumbent contractor (Western Oilfields Supply Co/Rain for Rent) has been providing this service for six months under another contract, and as this is a temporary need, mobilizing another contractor will result in duplication of the mobilization/demobilization costs associated with the service. During market research for this prior contract, four other companies either did not respond to requests for quotes or declined to bid. To find another contractor would require significant travel and higher mobilization/demobilization costs.

Rain for Rent is the only contractor that is able to provide continuity of services to the Sacramento District based on the mobilization/demobilization time required to establish a new contract. During the mobilization/demobilization timeframe, there will be insufficient pumping capacity at the Auxiliary Dam should seepage rates through the toe drain system exceed 115 gallons per minute (GMP) provided by the Government-owned and operated pumps. Recent experience has shown that even a small rain event can rapidly increase seepage in excess of 115 GPM which, without the supplemental capacity of the contractor-owned pumps, could result in damages to properties adjacent to the dam.

CUI//SP-SSEL

Control Number: SPK24-121

CUI//SP-SSEL

(Source Selection Information - See FAR 2.101 and 3.104-4)

4 SEP 2021

6. Efforts to Obtain Competition: In September 2023 when the Project Team conducted market research for temporary pump systems, five potential vendors were contacted. The incumbent contractor was the only vendor to provide a quote. Notice was not posted but rather the five contractors were contacted by email since it was under the Simplified Acquisition Threshold.

7. Actions to Increase Competition: There are no appropriate actions available to increase competition. The equipment rented is highly specialized and not something commonly rented, and there are often challenges obtaining services at Lake Isabella due the remote location.

8. Market Research: In September 2023 five vendors were contacted. One vendor did not answer, a message was left, and the call was not returned. A second vendor declined to bid as the area was outside their market. A third vendor, United Rentals, one of the largest equipment rental companies in the U.S., would only rent the pump, not the entire system. A fourth vendor visited the site but declined to submit a bid. As this research was completed approximately six months ago, it was considered current, accurate, and relevant.

9. Interested Sources: A Notice of Intent was posted on 26 March 2024 and due on 5 April. No responses were received.

10. Other Facts: This pump is providing a temporary solution while the permanent upgrades to the dam pumps are designed. Construction is expected to start in late FY24 or early FY25. This contract will include a base period and options to ensure the equipment is rented only as long as needed.

Mobilization/demobilization costs are approximately equal to one month of rental.

The original contract was awarded in September 2023 for a period of four months and had been extended once.

Due to Lake Isabella’s remote location, there are significant challenges in obtaining various services due to companies not wishing to travel. This has been something documented in multiple market research memos for the Isabella Resident Office in relation to Government Purchase Card requests.