JA for HUBZone MACC GRP 0104 Contract Bridge_FINAL_REDACTED.pdf
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- Solicitation number
- N6247321D1025-P00003
About this file
This is a Justification and Approval (J&A) document for a 12-month bridge contract extension by the Department of the Navy, Naval Facilities Engineering Systems Command Southwest (NAVFAC SW).
The contracting activity seeks approval to extend three HUBZone Small Business General Construction (GC) Indefinite Delivery Indefinite Quantity (IDIQ) Multiple Award Construction Contracts (MACC) without full and open competition. The three eligible contractors—I.E. Pacific, Inc., Peter Vander Werff Construction, Inc., and SGS, LLC—will have their periods of performance extended 12 months from June 8, 2026 through June 7, 2027 under contract numbers N62473-21-D-1019, N62473-21-D-1021, and N62473-21-D-1025. The original nine-contractor MACC was awarded June 8, 2021 with an aggregate contract value of $495,000,000 including one exercised three-year option period. The extension requires no increase to the contract ceiling as existing capacity is sufficient. The contracts support new construction, renovation, and repair of Commercial and Institutional (C&I) facilities including office buildings, communications facilities, vehicle maintenance facilities, armories, barracks, fire stations, hospitals, warehouses, schools, and retail facilities, executed primarily through Design-Bid-Build (DBB) methodologies within the NAVFAC SW Area of Responsibility.
The bridge contract is justified under 10 U.S.C. Section 3204(a)(1) and 3204(b)(B) based on unacceptable delays in follow-on competitive solicitations caused by the October 2025 government shutdown, furlough of personnel, reduced staffing across agencies, and preawarded protest delays affecting Cybersecurity Maturity Model Certification requirements. The extension prevents critical gaps in mission capability while NAVFAC SW finalizes competitive follow-on MACCs planned for award in the latter portion of fiscal year 2026, maintaining portfolio coverage in the $3,000,000 to $9,000,000 task order range. The Contracting Officer determined costs are fair and reasonable, and the document confirms the incumbent contractors have demonstrated successful performance histories.
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One (1) three-year option period was exercised and awarded to all firms in their respective IDIQ contracts. The aggregate contract value, including the option period, is $495,000,000 and the current contract completion date is 07 June 2026.
A recent search in the System Award Management System and Small Business Search Tool was conducted to verify the SB size status of the nine (9) original MACC contractors. The findings confirm that three (3) of the nine (9) firms retain their small business size status and HUBZone SB certification. Those three (3) contractors are I.E. Pacific, Inc., Peter Vander Werff Construction, Inc., and SGS, LLC.
This proposed action will extend the period of performance for these three (3) eligible contracts by 12 months, from 08 June 2026 through 07 June 2027. According to the MACC capacity report dated 06 May 2026, the total amount awarded to date is approximately against the $495,000,000 aggregate contract value. Because the existing contract capacity is sufficient to support projected requirements during this 12-month extension, no additional capacity or increase to the overall contract ceiling is required.
The incumbent contractors have demonstrated a history of successful performance on their respective contracts. Therefore, it is recommended to continue executing general construction requirements using the incumbent contractors to ensure uninterrupted mission support.
4. Statutory Authority Permitting Other Than Full and Open Competition.
The statutory authority permitting other than full and open competition is 10 U.S.C. Section 3204(a)(1) and 10 U.S.C. Section 3204(b)(B), as implemented by the Federal Acquisition Regulation (FAR) 6.103-1(c)(2), only one responsible source and no other supplies or services will satisfy agency requirements, which provides that when awarding a follow-on contract for the continued development or production of a major system or highly specialized equipment and, for DoD, NASA, and the Coast Guard, for the continued provision of highly specialized services, would result in: substantial duplication of cost to the Government that is not expected to be recovered through competition; or unacceptable delays in fulfilling the agency's requirements.
5. Rationale Justifying Use of Cited Statutory Authority.
A bridge contract is essential for the continued provision of highly specialized construction services under the HUBZone GC MACC to prevent a critical gap in mission capability while NAVFAC SW finalizes follow-on procurements for the required work. Currently, NAVFAC SW utilizes several mini-MACCs covering the $100,000 to $7,000,000 task order range, the earliest of which expires in June 2026, and SB GC MACC covering the $8,000,000 to $15,000,000 range, which expires on 20 September 2026. To maintain portfolio coverage for the $3,000,000 to $9,000,000 range currently provided by the HUBZone GC MACC, NAVFAC SW is actively developing full and open competitive solicitations:
across the NAVFAC SW AOR. All MACCs are planned for award in the of fiscal year .
The follow-on contracts have encountered significant, unforeseen delays that jeopardize continuous coverage and threaten the Government's ability to award general construction projects in the $3,000,000 to $9,000,000 range that are vital to ensuring the Government accomplishes important military missions. The delays are caused by several compounding systemic issues, including the historically long Government shutdown and furlough of Government personnel in October 2025 and reduced staffing across multiple agencies resulting from the 2025 Deferred
The planned action covered by this J&A meets an exception to the presolicitation notice pursuant to FAR 5.101(b)(2). The approved J&A will be made publicly available in accordance with FAR 6.301.
7. Determination of Fair and Reasonable Costs.
The Contracting Officer has determined the anticipated cost to the Government of the services covered by this J&A will be fair and reasonable.
8. Actions to Remove Barriers to Future Competition.
To remove barriers to future competition and ensure long-term mission support, NAVFAC SW has initiated competitive follow-on solicitations designed to restore and expand the competitive base across its AOR. These efforts include the MACCs for projects in the range and MACC for task orders in the range previously mentioned. This bridge contract mitigates risk to range operations by providing sustained coverage during the transition to successor contract vehicles.
File details come from the government source that posted it. Updated .