J&A No. 2610

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity - The contracting activity is the Commanding Officer, Naval Facilities Engineering Systems Command Europe Africa Central (NAVFAC EURAFCENT), Naples, Italy.

2. Description of the Action Being Approved – NAVFAC EURAFCENT intends to modify Design-Bid-Build (DBB) construction contract N33191-21-C-0003 competitively awarded to Conti Federal Services, Inc. (Conti Federal) for Design-Bid-Build (DBB) construction to repair critical building systems at the C4I building (Bldg. #440) at Naval Support Activity (NSA) Naples, Italy. The proposed modification is to add work to urgently replace the electrical transformers supporting Bldg. #440 which is currently under construction - i.e., eProject Work order Number (WON) 1907387, Replace Transformer Inside Electrical Substation USS#1. This modification is determined to be outside the existing scope of the current construction contract;

thus, this Justification and Approval Memorandum (J&A) is necessary to authorize an exemption from competitive procedures under the circumstances described herein. N33191-21-C-0003 was awarded 30 March 2021 for $30,333,211 with various subsequent modifications having increased the total contract value to $44,120,777.00. Performance is currently approximately 85% complete.

3. Description of Supplies/Services – NAVFAC EURAFCENT urgently requires replacement of three utility substation (USS) transformers, USS #1, #2, and #3 supporting Bldg. #440 in order to pursue and complete the critical construction underway on Bldg. #440. The existing transformers were commissioned over 20 years ago and are at risk of critical failure due to age, increased usage, and lack of maintenance. On or about 16 October 2025, USS #1 failed catastrophically and, upon subsequent review, both USS #2 and #3 were found to be similarly at risk, creating a need to replace all three substation transformers. The total estimated value of this action upon solicitation is $400,000. This action will utilize FY26 O&M funds.

4. Statutory Authority Permitting Other Than Full and Open Competition - This acquisition is conducted under the statutory authority of 10 U.S.C. 3204(a)(2), as implemented by FAR 6.302- 2, which authorizes contracting without providing for full and open competition when the agency's need for the supplies or services is of such an "unusual and compelling urgency" that delay in award of a contract would result in serious injury, financial or other, to the Government.

This justification is further supported by DFARS PGI 206.302-2(b)(i)(B), which provides

DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING SYSTEMS COMMAND EUROPE AFRICA CENTRAL

PSC 817 BOX 51

FPO AE 09622-0051

INDIRIZZO ITALIANO:

Viale Porto, Box 51 Aeroporto Capodichino 80144 Napoli, Italia guidance on urgent acquisitions necessary to support combat operations or address unforeseen events.

5. Rationale Justifying Use of Cited Statutory Authority –

a. What has changed: The C4I facility at NSA Naples is a critical infrastructure hub housing and supporting the missions of Commander Naval Forces Europe/Africa (NAVEUR/AF) and Commander Sixth Fleet (C6F), as well as their subordinate commands.

These missions rely on the uninterrupted electrical reliability and resilience of this facility. The recent start of significant military operations in the EURAFCENT area of operations and significant increase in operational tempo due to heightened military activity and ongoing major combat operations has created a pressing need to ensure the resilience of the facility’s electrical systems. The electrical substation transformers combined with increased demand on the electrical system, significantly increased the risk of power disruptions. Replacement of these transformers is critical to maintaining operational readiness, minimizing risks to mission-critical systems, and ensuring that ongoing combat operations are not compromised. A disruption of power would severely impact the ability of NAVEUR/AF, C6F, and subordinate commands to conduct their missions, posing an unacceptable risk to U.S. national security and combat operations.

At the time of failure, replacement of the transformers were considered outside the scope of the electrical work on N33191-21-C-0003, and the Government originally sought to timely replace these transformers via soliciting a competitive task order (solicitation #N33191-24-D-9906- X010) under the Indefinite-Delivery Indefinite-Quantity (IDIQ) Multiple Award Construction Contract (MACC) established for general construction projects at Naples, Italy. Proposals were received from the MACC holders on March 5th, 2026, but have not yet been evaluated.

However, due to the advent of Operation Epic Fury on February 28, 2026 and current operational commitments resulting from ongoing combat operations, the Government’s needs significantly changed such that replacement of the transformers has now become so urgent as not to stop or delay critical construction under N33191-21-C-0003. Because time is now of the essence regarding critical work underway on Bldg. #440, it is determined that it is in the Government’s best interests to cancel the recently closed MACC solicitation and instead urgently pursue replacement of the transformers via modification to N33191-21-C-0003 as the Navy believes, for the reasons expressed below, that replacement can be accomplished more expeditiously by Conti Federal, the construction contractor already in place and with existing knowledge of the electrical system requirements.

b. Impact of Delay on Mission Readiness: The immediate replacement of the transformers is essential to mitigate the risk of electrical failure during heightened mission activity. Delays in replacing the transformers would result in widespread operational impacts, including:

i. Decreased Mission Effectiveness: Power disruptions would directly hinder C4I facility operations, which are critical to the command and control functions of NAVEUR/AF and C6F during ongoing combat operations.

ii. Increased Costs: The delay would impede Conti Federal’s current contract

(N3319121C0003) on the C4I facility, which is now tied to the complete restoration of the electrical plant. A work stoppage of 180 days or more would result in increased costs to the Government of $4,000 per day, totaling approximately $720,000. These delays would also compound the risk of further operational degradation.

c. Conti Federal is the Only Source Capable of Meeting the Government’s Urgent

Delivery Schedule: As the incumbent contractor for the C4I facility's comprehensive electrical plant restoration (N3319121C0003), their team is already mobilized on-site and possesses an unparalleled, up-to-the-minute understanding of the system's precarious state as Conti Federal has been involved with both the transformer failure, the reviews of the state of the remaining transformers, and in the re-work of Bldg. #440’s electrical system under the current construction contract. Critically, all assigned Conti Federal personnel are fully vetted with the requisite clearances, base access approvals, and general construction submittals, allowing them to take immediate action and circumvent the months-long delays required to clear a new contractor's workforce and plans. This unique combination of site-specific knowledge and pre-cleared personnel means Conti Federal can begin procurement and installation immediately, whereas awarding to any other source would introduce unacceptable operational delays and fail to meet the Government's compelling and urgent needs.

d. The immediate and unforeseen nature of this requirement, compounded by the operational demands of combat readiness and heightened military activity, constitutes an unusual and compelling urgency as defined by FAR 6.302-2 and DFARS PGI 206.302-2(b)(i)(B). Delays in replacing the failed transformers would result in serious injury to the Government by compromising national security, operational effectiveness, and military operations. The urgency of this requirement necessitates the use of other than full and open competition to award this work to Conti Federal via modification of their existing construction contract as they are the only source capable of meeting the Government's immediate timeline and mission-critical needs.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable - The requirement to replace the transformers was initially solicited through Naples MACC.

Importantly, preliminary proposal inquiries revealed that even the originally intended proposed period of performance solicited before the need became compelling was unacceptable to offerors. At that time, Offerors indicated that they would require an additional 150 days beyond the Government's originally required 270-day performance period. Such delays are significantly incompatible with the urgent need to restore and ensure electrical functionality and would exacerbate risks to combat operations.

Furthermore, awarding this requirement to a contractor other than Conti Federal would also require additional time for both following administrative competitive procedures to evaluate proposals and make award, plus extensive coordination, mobilization, and integration efforts for the new contractor, further delaying the project by at least an estimated 180 days. These delays would not only increase costs but also jeopardize ongoing military operations, which rely on the uninterrupted functionality of the C4I facility.

7. Determination of Fair and Reasonable Cost - The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition - For the reasons set forth in Paragraph 5, NAVFAC EURAFCENT has no plans at this time to compete future contracts for the types of supplies/services covered by this document.

CERTIFICATIONS AND APPROVAL SIGNATURE PAGE

TECHNICAL/REQUIREMENTS CERTIFICATION: I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein, are complete and accurate to the best of my knowledge and belief.

Lacie Beemer Date Project Manager

NAVFAC EURAFCENT

LEGAL SUFFICIENCY REVIEW: I have determined this Justification is legally sufficient.

Kevin Bolin Date Associate Counsel

CONTRACTING OFFICER CERTIFICATION: I certify that this Justification is accurate and complete to the best of my knowledge and belief.

Matthew Lewis Date Supervisory Contracting Officer

ACTIVITY OFFICER APPROVAL: Upon the basis of the above justification, I hereby approve, as Chief of Contracting, the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 10 U.S.C.

3204(a)(2).

Jennifer Mattivi Date Chief of Contracting

NAVFAC EURAFCENT

BOLIN.KEVIN.E.1393

687939

Digitally signed by

BOLIN.KEVIN.E.1393687939

Date: 2026.03.12 14:30:50 +01'00'

BEEMER.LACIE.A.1538961

Digitally signed by

BEEMER.LACIE.A.1538961260

Date: 2026.03.12 14:43:36 +01'00'

LEWIS.MATTHEW.R.1

523113425

Digitally signed by

LEWIS.MATTHEW.R.1523113425

Date: 2026.03.12 15:42:27 +01'00'

MATTIVI.JENNIFER.L

ISA.1267340222

Digitally signed by

MATTIVI.JENNIFER.LISA.1267340222

Date: 2026.03.12 15:46:16 +01'00'