JA Unusual and Compelling Urgency.pdf

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition >$750K)

Solicitation: 36C10F21R0043

1. Contracting Activity: Department of Veterans Affairs, Office of Construction and Facilities Management, Central Region Contracting. Project location is Veterans Health Administration, VAMC St Louis John Cochran Division, 915 Grand Avenue, St Louis, MO, 63106.

2. Nature and/or Description of the Action Being Processed: This action is for a contract for the demolition of a dilapidated building that is owned by the VA and considered to be a safety hazard.

The estimated award amount is $1,391,594.21. A firm fixed price contract with a 124 calendar days period of performance is planned. Contract will be negotiated with and awarded to a responsible contractor in accordance with FAR 9.1. Per FAR 6.302 2 an unusual and compelling urgency precludes full and open competition.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

VAMC St Louis John Cochran Division has an urgent need for a contractor to perform demolition of an existing two story building. The building, known as the Palladium, was built in 1914 and has been occupied under several purposes since. The Palladium is currently vacated and in the possession of the VA. Located at 3617 Delmar Blvd, St. Louis, MO 63108, the Palladium is directly across the street from the VAMC John Cochran division, and adjacent to a private entity and public roads. The condition of the building will continue to deteriorate over time, rendering the Palladium prone to a catastrophic failure.

4. Statutory Authority Permitting Other than Full and Open Competition:

Statutory authority is prescribed under 10 U.S.C. 2304(c)(2), & 41 U.S.C. 3304(a)(2) Governing regulation is FAR 6.302 2

10 U.S.C. 2304 reads as follows:

(a)(1) Except as provided in subsections (b), (c), and (g) and except in the case of procurement procedures otherwise expressly authorized by statute, the head of an agency in conducting a procurement for property or services (A) shall obtain full and open competition through the use of competitive procedures in accordance with the requirements of this chapter and the Federal Acquisition Regulation; and (B) shall use the competitive procedure or combination of competitive procedures that is best suited under the circumstances of the procurement. (a)(1) Except as provided in subsections (b), (c), and (g) and except in the case of procurement procedures otherwise expressly authorized by statute, the head of an agency in conducting a procurement for property or services (c) The head of an agency may use procedures other than competitive procedures only when (1) the property or services needed by the agency are available from only one responsible source or only from a limited number of responsible sources and no other type of property or services will satisfy the needs of the agency; (2) the agency's need for the property or services is of such an unusual and compelling urgency that the United States would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals;

41 U.S.C. 3304(a)(2) reads as follows:

(a) When noncompetitive procedures may be used. An executive agency may use procedures other than competitive procedures only when (1) the property or services needed by the executive agency are available from only one responsible source and no other type of property or services will satisfy the needs of the executive agency; (2) the executive agency's need for the property or services is of such an unusual and compelling urgency that the Federal Government would be seriously injured unless the executive agency is permitted to limit the number of sources from which it solicits bids or proposals;

FAR 6.302 2 derives its authority from 10 U.S.C.2304(c)(2) and 41 U.S.C.3304(a)(2) and states the following:

(a) Authority (1) Citations: 10 U.S.C.2304(c)(2) or 41 U.S.C.3304(a)(2). (2) When the agency’s need for the supplies or services is of such an unusual and compelling urgency that the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals, full and open competition need not be provided for: (b) Application. This authority applies in those situations where-(1) An unusual and compelling urgency precludes full and open competition ; and (2) Delay in award of a contract would result in serious injury, financial or other to the Government.

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

Current condition of the Palladium Building: 1.) The existing building has multiple locations of failures of the wood roof framing. These failures have created large openings in the roof and have left the interior of the building open to the elements. This has allowed the wood, steel and masonry structural components of the building to deteriorate and further diminish the structural integrity of the building. 2.) Due to the existing condition of the building with the partial collapses and the structure exposure to the elements, this building is considered a safety risk to the public and property in the vicinity of the building. 3.) The partially collapsed roof areas mean portions of the multi wythe exterior brick walls are not braced at the top and are more susceptible to failures common with that type of wall construction. 4.) It is possible for persons to enter the building since the building is not sealed up. There is severe risk to personal injury to anyone occupying the building in its current state from even a minor disruption of a deteriorated structure. 5.) The continued exposure to weather, water and potential events (i.e. high winds, seismic) increases the need for action as the structural condition will continue to decline and the chances of another failure increases.

The condition of the building will continue to deteriorate over time, rendering the Palladium prone to a catastrophic failure. The current condition of the Palladium is an unusual and compelling urgency as defined in FAR 6.302 2 Unusual and Compelling Urgency. Any further delay in the award of a contract could result in serious injury, financial or other, to the Government.

Randy Kinder Excavating, Inc.(RKE) of Dexter, MO is proposed to perform the scope of work under this justification. Upon receiving the recommendation of the VAMC in St Louis , MO, the Contracting Officer confirmed RKE's interest and availability to perform. The Contracting Officer has reviewed RKE's technical solution to complete the scope of work, resources available, management qualifications, laborers available, and proposed demolition schedule. The Contracting Officer concludes that RKE is capable of performing the scope of work under this justification immediately upon receipt of award, with highly capable management and laborers, and executed with a priority for the safety of all personnel involved and the adjacent community.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Competition is not practical given the timeframes involved. VACFM needs this contract awarded as soon as possible to meet the facilities need to mitigate safety risk of patient safety, visitors and the general public.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable: All cost will be reviewed for cost reasonableness in the areas of OH/Profit, and in the areas of total labor and material cost in comparison to the IGE. An AE of Record developed the plans and specifications as well as the government independent cost estimate. The AE is located within the city of St Louis and very knowledgeable about construction costs in the local market. A technical analysis of the contractor’s cost will also be provided by the VA CFM PM.

The Contracting Officer will evaluate the pricing IAW FAR 15.404 1(b) (ii). The proposed cost will be compared with the profit and overhead pricing received on other projects. This comparison will allow the Contracting Officer to determine whether the pricing is fair and reasonable.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons

Market Research Was Not Conducted: Limited market research was conducted given the timeframes involved. VACFM needs this contract awarded as soon as possible to meet the facilities need to mitigate safety risk of patient safety, visitors and the general public.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: Immediate action to demolish the building is needed to mitigate risks to patient safety, visitors, and public due to significant deterioration and spalling of the existing building. Time is of the essence.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: An unusual and compelling urgency precludes competition. The Contracting Officer has engaged Randy Kinder Excavating, Inc. of Dexter, MO pursuant to this agreement and will negotiate award upon approval of this J&A.

11. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required: N/A as this is a safety hazard.

12. Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

Chanda Joshi Date VA CFM Project Manager Central Region

Gerald Brusaw Date VA CFM Contracting Officer Central Region

13. Approvals in accordance with FAR 6.304 (a)(2).

Dr Zebulon Fox Date VA CFM Associate Executive Director IAW FAR 6.304(a)(2) Head of the Procuring Activity

03/07/2022

03/07/2022

Gerald F Brusaw 1088086

Digitally signed by Gerald F Brusaw 1088086 Date: 2022.03.07 10:37:47 -05'00'

Chandrashekha r P Joshi 741598

Digitally signed by Chandrashekhar P Joshi 741598 Date: 2022.03.07 12:05:56 -06'00'

Zebulon P Fox 131099 Digitally signed by Zebulon P Fox 131099 Date: 2022.03.07 14:23:12 -05'00'