JA25-38 MCBH P2001 HVAC DDC 13 JUL 2025 - REDACT.pdf

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J&A No. 25-38

DISSEMINATION

CHIEF OF CONTRACTING (ACQ)

EXECUTIVE BRANCH CHIEF (CON3)

CONTRACTING OFFICER (CON31)

CONTRACT SPECIALIST (CON31)

LEGAL COUNSEL (09C)

OTHERS WITH A LEGITIMATE NEED TO KNOW AS APPROVED BY THE

CONTRACTING OFFICER

DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING SYSTEMS COMMAND, HAWAII

400 MARSHALL ROAD

JBPHH, HAWAII 96860-3139

J&A No. 25-38

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JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION WORK ORDER NUMBER (WON) , FY 2023 MCON Project

P-2001 C-40 AIRCRAFT MAINTENANCE HANGAR & PARKING APRON, MARINE CORPS

BASE HAWAII, KANEOHE, HAWAII

1. Contracting Activity.

Naval Facilities Engineering Systems Command (NAVFAC), Hawaii (HI).

2. Description of the Action Being Approved.

Request approval for the use of Direct Digital Control (DDC) software by Automated Logic Corporation (ALC) for the military construction project P-2001 C-40 Aircraft Maintenance Hangar & Parking Apron (WON

), MCBH, Kaneohe, HI. The DDC software by ALC is essential to the project completion and will not provide for full and open competition for the portion of the acquisition that relates to this brand-name component only.

3. Description of Supplies/Services.

The P-2001 construction project requires two new air-cooled chillers with integral chilled water pumps, three new Dedicated Outdoor Air System (DOAS) units, four central station chilled water air-handling units, five direct-expansion (DX)-split air-conditioning systems, and multiple exhaust fans, variable air volume (VAV) boxes, and motorized dampers, all of which need to be connected to the ALC DDC system. The ALC DDC software will then enable centralized programming and monitoring of the Heating, Ventilating and Air Conditioning (HVAC) equipment via connection to the existing ALC base-wide energy management systems (BWEMS). The DDC system also provides for the HVAC to operate efficiently, conserve energy, and immediately notify maintenance when problems occur.

The estimated construction cost is $ , of which $ , will be for the procurement of the ALC DDC software.

4. Statutory Authority Permitting Other Than Full and Open Competition.

This request is submitted pursuant to the authority of 10 U.S.C.

3204(a)(1), only one responsible source and no other supplies or services will satisfy agency requirements.

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5. Rationale Justifying Use of Cited Statutory Authority.

The new HVAC system provided by this construction project must tie into and be compatible with the existing BWEMS. This can only be accomplished by providing an ALC DDC system or an Alerton DDC system to monitor and control the new HVAC system. Other DDC system manufacturers do not offer programmable controllers that can be configured/programmed with an ALC or Alerton system. Although the BACnet open protocol is the required communications protocol for the BWEMS, it only allows for different manufacturer’s equipment to share basic point data. BACnet does not allow for configuration and programming functions to take place between different manufacturers. Each manufacturer’s proprietary software tools must be used to configure or change the program within a controller. Although MCBH has extensive experience with both Alerton and ALC platforms, MCBH has determined that the ALC platform is required for the project because of the following:

a. Cost. Use of ALC DDC would provide substantial cost savings.

(1) MCBH conducted a rigorous Business Case Analysis (BCA) in August 2021 to compare standardization with ALC versus no standardization with 12 different manufacturers, including Alerton. In the analysis of 25 years of life cycle costs for the project, annual costs for a base-wide standardization was $

, while no standardization was $ ; and over the 25-year life cycle cost, base-wide standardization was $

, while no standardization was $ , resulting in a savings of $ . To date, NAVFAC HI concurs with the analysis and has no reason to believe that there has been any change in their conclusions.

b. Maintenance & Impact to Operations.

(1) The controllers for the new construction project would need to be able to continue to utilize existing Government-licensed ALC proprietary software to configure and program the controllers.

Other manufacturers do not offer programmable controllers that can be configured/programmed with ALC software.

(2) The new controllers would need to be able to maintain the integrated energy management systems for the building so that all controllers can be programmed from a central station running on ALC’s DDC proprietary software. This will further provide operational efficiency and decrease energy costs. Utilizing hardware products from the same vendors that produced the configuration/programming software eliminates multi-vendor conflicts regarding controller function.

(3) MCBH personnel are trained in the use of ALC DDC software.

The ALC controllers would leverage efficiencies of expertise by having automation/DDC maintenance and engineering staff become

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proficient with the configuration, programming, commissioning, operation, and maintenance of one system instead of having to be trained in various equipment from different manufacturers. This would reduce the requirement for additional personnel training costs and the procurement of additional equipment, maintenance and support contracts for another manufacturer’s hardware and software, as well as the maintenance of an additional parts inventory. Maintaining multiple solutions is inefficient and creates unnecessary work and unproductive or low-value-added overhead which increases the total costs of ownership and manpower costs.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

Market research was conducted between November 2022 through January 2023, by researching other known manufacturers that can potentially provide this software, including Alerton, Delta Controls, Distech Controls, Johnson Controls, and Honeywell. Review of these manufacturers’ software specifications revealed that each have their own proprietary system which cannot communicate with software of other manufacturers without some type of interface. None of the other manufacturers are able to minimize costs with the existing system due to the added costs of maintaining different systems, including maintenance costs, training, parts, vendor support, etc.

Additional market research was conducted between June 2024 through October 2024 to determine if there were any new developments in systems compatibility between differing manufacturers, including Alerton, Delta Controls, Distech Controls, Johnson Controls, and Honeywell. Review of these manufacturers’ software revealed that each manufacturer still utilized their own proprietary system with unique controls structures and user interface programs. Programming tools and parts are unique to each company and the integration of multiple different systems still creates issues of compatibility, along with added costs to maintain multiple systems and an increase in the number of required equipment and parts for repair and maintenance.

A Sources Sought Notice (No. N62478CON33FY2502) was published in the System for Award Management (SAM) with a closing date of 11 December 2024 seeking other potential responsible sources that can provide a software with equal performance and listing/approval requirements as the ALC DDC software. No responses were received from this announcement. Therefore, ALC is determined to still be the only manufacturer that can meet the Government’s requirements.

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.

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8. Actions taken to remove barriers to future competition.

NAVFAC Hawaii will continue to monitor the DDC software industry to determine if other manufacturers with equivalent capability becomes available. If another potential source emerges, NAVFAC HI will assess whether competition for future requirements is feasible.

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CERTIFICATIONS AND APPROVAL

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.

REQUIREMENTS COGNIZANCE:

LEGAL SUFFICIENCY REVIEW:

I have determined this Justification is legally sufficient.

J&A No. 25-38

CONTRACTING OFFICER CERTIFICATION:

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

ECHELON IV COMMANDING OFFICER APPROVAL:

Upon the basis of the above justification, I hereby approve 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. 04 ( )(1).