Justification and Approval_2504_MACC Bridge_Redacted.pdf

Navy Marine Corps Acquisition Regulation Supplement APRIL 2018 (Change 18-25)

ANNEX 1 – JUSTIFICATION AND APPROVAL

J&A No. 2504

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity

Department of the Navy, Naval Facilities Engineering Systems Command (NAVFAC) Europe Africa Central (EURAFCENT), Public Works Department (PWD) Bahrain, Manama, Bahrain.

2. Description of the Action Being Approved

Award of contract modification using other than full and open competition to extend the Period of Performance (POP) of the Bahrain Multiple Award Construction Contract (MACC) by six (6) months, with the option to extend an additional six (6) months. The MACC is in its 4th and final option period that expires 01 September 2025. No additional capacity or value is being added to the contract. The MACC Group ID EUR-C00006 consists of the following five (5) contractors, each shown with the respective contract number:

Liberal Construction, LLC: N33191-20-D-0004 Consorzio Continental SOC Consortile ARL: N33191-20-D-0005 Rocks Contracting and Trading FZ-LLC: N33191-20-D-0006 Kooheji Contractors W.L.L: N33191-20-D-0007 Macro Vantage Levant DMCC: N33191-20-D-0009

3. Description of Supplies and Services

The MACC is an Indefinite Delivery Indefinite Quantity (IDIQ) type contract vehicle. An IDIQ contract is a flexible and efficient way for PWD Bahrain to procure Design-Build (DB) and Design- Bid-Build (DBB) construction services when the exact needs are uncertain. The types or work include but are not limited to design and construction, renovation, repair, and other activities required to properly maintain facilities within the Area of Responsibility (AOR). The current AOR includes Naval Support Activity (NSA) Bahrain, Isa Air Base (IAB), and the United Arab Emirates (UAE).

The Bahrain MACC contract was awarded on 01 September 2020, consisting of a 12-month base period and four (4) one-year option periods, for a total of 60 months. As of the date of this request for a Justification and Approval (J&A), a capacity of $63,443.533.79 is available on the IDIQ. The bridge contract does not require additional capacity beyond the current contract capacity.

A bridge contract is required to allow for execution of construction projects within the PWD’s AOR.

Execution of the bridge contract avoids a gap in services/support that support the Warfighter mission.

For example, the requirement to “Install Potable Water Distribution Points and Indoor/Outdoor Drinking Water Bottle Filling Stations/Fountains at Isa Air Base” to provide safe drinking water.

Temperatures at IAB can reach as high as 115 degrees F. This project is essential for troop welfare and morale. It provides troops a readily accessible area to hydrate and therefore prevent illnesses such as heat exhaustion and heat stroke. Delaying this project until the new MACC is awarded would leave troops without adequate hydration access for another year, including another summer with its associated high temperatures and increased risk of heat related illnesses.

The “Demolish and Replace the Containerized Housing Units (CHUs) at Sas Al Nakhl (SAN), United Arab Emirates (UAE)” is critical for providing adequate living quarters for personnel. The location at SAN provides troops a ready-access point if they need to respond to threats to the base. The Arabian Desert is a harsh climate that demands sturdy living quarters to protect one from the intense sun and temperatures that can reach up to 50 Celsius (122 Fahrenheit) in the shade. The CHUs on site are uninhabitable because there are holes in the roof and no fire sprinklers or alarms. The lack of fire sprinklers and alarms represents a direct threat to life and safety. Troops would be endangered as well as materials and equipment on base. A delayed award would continue to require personnel to be billeted off site, preventing troops from responding quickly to a military threat.

The “Provide Fire Department PEB Berthing at NSA II; Bldg. 788; NSA II; Base, Option 1, Option 2” is required to provide fully functioning Containerized Housing Units (CHUs) to accommodate additional military personnel for the Fire Department. Each CHU will also require utility connections for water, sewer, electricity, and sprinkler and fire alarms in order to be livable. One (1) CHU will also be provided with telecommunication (NIPR) points. This project has been solicited and delay of award would affect fire department operations because of a lack of housing for critical personnel would also endanger the entire base because adequate personnel are not readily available to respond to a fire emergency or life safety issue.

The “Design-Build Multi-Purpose Facility: LSA - Isa Air Base (IAB), Bahrain” for the Morale, Welfare, and Recreation (MWR) division is also essential for mission performance. Civilian, United States military, and Bahrain Royal Air Force members are stationed at IAB and utilize MWR services.

MWR currently holds events such as concerts, recreational gatherings, team-building activities, and award ceremonies outside where temperatures reaches over 110 F. Heat-related illnesses such as heat cramps, heat exhaustion, and heat stroke (which may cause death) can occur if someone is exposed for too long. MWR requires a multi-purpose facility to host these important morale-building events in a climate controlled environment to reduce the risk of heat-related illnesses occurring during the events.

The current situation requires MWR and the command to choose between holding these important team-building and morale-building events and accepting the risk that environmental conditions at the event may cause heat-related illnesses amongst attendees. A delay in award of this project directly affects the morale of sailors in the harsh desert environment.

All projects on the list above will support and enhance ongoing operations at critical installations positioned on the Arabian Gulf and the Straits of Hormuz. As outlined in Section 6 below, no existing alternative contract exists to execute these actions, and the timelines associated with procuring these projects on stand-alone contracts is unacceptable to maintain and support emergency services, security, and port and air operations.

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

NAVFAC EURAFCENT considered using other existing NAVFAC EURAFCENT contracting vehicles such as the Job Order Contract (JOC) and Base Operating Support Contract (BOSC) as alternatives. However, these contracts are not suitable for these projects because neither contract’s scope of work includes providing design services, meaning that design-build projects such at the MPF at IAB could not be considered in-scope task orders to the BOSC or the JOC. Additionally, the JOC and the BOSC are scoped to perform small dollar construction projects, not construction task orders of the magnitude of most of the projects listed above. As such, neither of these contract vehicles are available alternatives for quickly awarding the projects listed above.

NAVFAC EURAFCENT also considered the use of a NAVFAC-wide contract vehicle, the Global Contingency Construction (GCC) Multiple Award Contract (MAC), which has a not-to-exceed (NTE) capacity of $5 billion. The GCC MACC is an IDIQ type contract with provisions for the placement of either Cost-Plus–Award-Fee (CPAF) or Firm-Fixed-Price (FFP) orders. However, the scope of the GCC MAC is intended for contingency operations and is not scoped to perform routine maintenance and repair projects. Specifically, the scope of the GCC MACC states that the contract will: “…..

provide construction and related engineering services in support of natural disaster response, humanitarian efforts, conflict, emergent mission critical requirements, or projects with similar characteristics.” Accordingly, the GCC MACC is not a suitable substitute for the work outlined above that is within the scope of the Bahrain MACC contract.

Lastly, after finding that the existing contracting vehicles were not available to support award of the projects listed above, NAVFAC EURAFCENT considered the use of competitively awarded stand-alone contracts. However, there is not sufficient time to compete each of these task orders individually, and PWD Bahrain does not have extra contract personnel to dedicate exclusively to solicit and award multiple new stand-alone contracts to meet these needs. Pre-award activities include, but are not limited to pre-solicitation, solicitation, site visit(s), amendments, responsibility determinations, and award. The total procurement lead-time to execute all the required pre-award activities for standalone contracts is 12 to 18 months, whereas a MACC task order’s procurement lead-time is four to six months. All of the projects listed above directly impact the life, health, or safety of U.S. military or civilian personnel on the applicable base, and thus must be awarded as expeditiously as possible to mitigate or remove such risks.

The only option is to execute a bridge modification to extend the existing MACC contract vehicle in order to timely handle the current projects. The current MACC was competed under Full and Open competition. The remaining projects will be competed among the five (5) MACC contractors achieving significant and effective competition. In accordance with FAR 6.305, this approved J&A will be posted on SAM within 14 days after award of the contract modifications.

7. Determination of Fair and Reasonable Cost

The Contracting Officer has determined the anticipated cost to the Government of the services covered by this J&A will be fair and reasonable. NAVFAC EURAFCENT intends to issue formal request for proposals to all contractors listed in paragraph 2, above, for the requirements listed above. The Government will evaluate the proposals and supporting documentation and award to the best value contractor based on source selection criteria for this project resulting in a fair and reasonable price.

8. Actions to Remove Barriers to Future Competition

NAVFAC EURAFCENT is the Procuring Contracting Office for the follow-on contract, which is anticipated for award in Q3 of FY26. Currently, the procurement is in the pre-award stage of reviewing proposals but will not be awarded in time to accommodate the remaining FY25 and early FY26 projects.

The follow-on MACC will be firm-fixed-price, procured under full and open competition maximizing competition to the greatest extent possible. The new MACC procurement has been published in the Government wide point of entry in accordance with FAR Part 5, and interested offerors were provided adequate time for proposal preparation. The new MACC is being solicited with an estimated capacity of $95,000.000 for a one year base plus four one-year option periods.