JA Only One Responsible Source A-E Code Criteria Review Redacted.pdf

Controlled Unclassified Information (CUI)

JUSTIFICATION REVIEW DOCUMENT

JA 25-002

Program/Equipment: Architect-Engineer (A-E) Other Architect-Engineer Services in Support of Code/Criteria Review Design Documents DPW EHMS

Authority: 10 U.S.C. 2304(c)(1 ), as implemented by FAR 6.302-1 (a)(2) and 6.302-1 (c), Only one responsible source and no other supplies or services will satisfy agency requirements.

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Reviews: I have reviewed this justification and find it adequate to support Justification for Other Than Full and Open Competition

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NUMBER: 25-02

4. Authority Cited: 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1(a)(2) and 6.302-1(c), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Reason for Authority Cited: This requirement is a follow-on award to CH2M HILL HDR JV (750V1) The requirement was previously negotiated and awarded via task order W912LR21F0002. That award included Type A and B services for the design of Project No. 431850 Engineering Housing Maintenance Shop (DPW) at Camp Santiago Joint Training Center (CSJTC). The type A services included the basis of design (specifically the design intent), the development of the project concept, and associated site investigations. The type B services included the design narrative and the development of the construction documents.

CH2M HILL HDR JV (Cage # 750V1) designed and certified the drawings and specifications approved in July 2023 and is liable for the quality of their design and specifications. The CH2M HILL HD2 JV is overseen by CH2M Hill Inc. as the managing partner of the CH2M Hill-HDR JV.

The CH2M HILL HDR JV is active in System of Award (SAM) and is the primary legal liable entity for the design and specifications of the EHMS/DPW Project at CSJTC. Per 52.236-23(d), , CH2M Hill Inc., its owner Jacobs, and HDR, are subject to this liability.

There is tremendous performance and liability risk associated with another A-E firm taking over the Architect-Engineering Code and Criteria Review services for a project that was designed by a different firm. Furthermore, 52.236-23 assigns liability to the Architect-Engineer Contractor and Designer of Record, and in the event of the A-E contractor being comprised of more than one legal entity, each entity is jointly and severally liable (52.236-23(d)). Furthermore, since there is a possibility of requiring an update to the plans and specifications due to changes to local, federal, and military codes and regulations, such changes to the design are required to be performed by the A-E Contractor and Designer of Record to maintain professional A-E responsibility over the design documents.

Having the original designer, CH2M HILL HDR JV (750V1), on contract to perform the Architect-Engineering Code and Criteria Review is necessary for the Government to ensure responsibility for their design, including ensuring the design is constructible, maintainable and operable, that the project documentation is clear, sufficiently detailed, accurate and coordinated, and contains minimal errors.

An award to a new A-E other than CH2M HILL HDR JV (750V1) would increase the risk a rights under FAR 52.236-23, Responsibility of the Architect-Engineer Contractor, if another A-E were to represent or attempt to revise the current drawings and/or specifications. This clause professional quality, technical accuracy, and the coordination of all designs, drawings, specifications, and other

A contractual risk transfer, including delegated design, may not completely absolve the Architect/Engineer of responsibility and can impact and potentially erode the build ability to rely on the owner's implied warranty of the adequacy of the plans and specifications (Spearin Doctrine). It may also require a release and indemnity of the previous Architect-Engineer Designer of Record for design errors, omissions, changes, alterations, deletions incurred by a designer other than the designer of record. Under most Professional Regulation (PR) laws, an architect or engineer cannot legally stamp and seal design documents that were not prepared by them or under their direct supervision. This practice is considered unethical and potentially illegal, as it implies responsibility for work, they did not create, without assuming full control and responsibility for all designed work.

If a new A-E Designer were to make recommendations during the Architect-Engineering Code and Criteria Review to revise or deviate from the original drawings or specifications, any liability resulting from those changes could not be attributed to the original A-E. This could potentially create a dangerous and complicated scenario if the Government needed to hold the responsible A-E party liable for any errors or deficiencies in the designs, drawings, and/or specifications. Moreover, this could result in a complex court dispute to determine, attribute to, and adjudicate, liability for errors or deficiencies, jeopardizing and complicating and capacity to hold the Architect-Engineer accountable for errors or deficiencies.

6. Efforts to Obtain Competition: No efforts were made to obtain competition for this one-time requirement due to the rationale described in paragraph 5. This Justification Document will be made public after the award through the Government Point of Entry in accordance with FAR 6.305.

7. Actions to Increase Competition: No actions were taken to increase competition since this is a one-time requirement following on to a previously competed contract action requirement.

8. Market Research: There are many large and small businesses, including firms of all socioeconomic categories, capable of fulfilling this need for the Government.

Unfortunately, all firms, other than CH2M HILL HDR JV (750V1), would likely carry more cost and performance risk than CH2M HILL HDR JV (750V1).

A review of System of Award (SAM) Entity Registration Records indicates that CH2M HILL HDR JV (750V1) is still active as a legally liable entity, with a registration active until 6 Jan 2026. It was further discovered that CH2M HILL HDR JV is owned and managed by CH2M HILL, who is subsequently owned and managed by JACOBS.

CH2M HILL INC. is a wholly own subsidiary company of Jacobs. CH2M HILL is the managing partner of the CH2M HILL-HDR JV and was and is responsible for the PRARNG EHMS project. This is shown in the SAM.gov Registration for CH2M HILL-

HDR JV. Since Jacobs has acquired CH2M Hill, Jacobs is now responsible for work completed by CH2M Hill. As such, for follow-on contracts where extended services are required, contracts that Jacobs hold (e.g., AE Next Pool 4) CH2M Hill, and by consequence the active entity CH2M HILL HDR JV, should be included in efforts pertaining the original design and specification documents.

Since CH2M HILL HDR JV (750V1) previously completed the Type A services which included the basis of design (specifically the design intent), and the development of the project concept, and associated site investigations as well as the Type B services which included the design narrative and the development of the construction documents for the forthcoming construction project, this document has been prepared to justify a sole source award to CH2M HILL HDR JV (750V1).

9. Interested Sources: A listing of interested sources was not solicited or received for this acquisition.

10. Other Facts: Procurement History

(1) Contract numbers and dates of the last several contracts for these same requirements:

The following requirements have been procured by the contracting office within the last 12 months:

Contract Vehicle Order Number Description Contractor Value Award Date Competition or Authority if Not

Competed

FA890321D0008 W912LR25F0001 PRNG JFHQ

Design JACOBS $1,426,369.23 15 Nov 2024 Fair Opportunity

(2) The competitive status of these actions: Competed under Fair Opportunity

(3) Authority previously cited if less than full and open competition was used: None.

(4) If a justification was prepared to support the procurement made before this one, a summary of the contents of paragraph 7 of the justification for that procurement and an explanation of the results: No previous justifications.

(5) If any prior contract for this requirement was accomplished using full and open competition. Include a detailed explanation of the changed circumstances causing this action to now limit the sources.

The original design and specifications were procured and acquired under Task Order W912LR21F0002 for which a complete set of plans, designs and specifications was submitted to the Government. Due to the inherent nature of the Architect-Engineer Responsibility described in FAR Part 36 and its applicable clauses placed on the Designer of Record for the plans, designs, specifications, including clarifications on the