Justification Approval_Harrison_Village_Water-Sewage.pdf

Control Number: HDEC05-16-05

JUSTIFICATION REVIEW DOCUMENT

DESCRIPTION OF ACQUISITION: Water/Sewage Utility Services for the Harrison Village Commissary, Indiana

STATUTORY AUTHORITY: 10 U.S.C. 2304(c)(1), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements, as implemented by FAR 6.302-1.

ESTIMATED CONTRACTS AMOUNT: The estimated cost for the base year award is $6,400 for a 12-Month Base Period of April 1, 2016 through March 31, 2017; base and nine one-year “options”, through March 31, 2026, at an estimated cost of $73,000.

Contract Specialist: Barbara Desrochers Contract Specialist Phone Number: 804-734-8000x86093 Date/Initials:11/18/15 BFD

PCO: Loria Samples Hile Contracting Officer Phone Number: 804-734-8000x48630 Date/Initials: ___________

Technical: Not Applicable

Requirements: Not Applicable

Reviews: We have reviewed this J&A and find the justification adequate to support other than full and open competition.

Program Manager: N/A

Legal Counsel: James Hayes Phone: 804-734-8000x48207

Signature:________________________ Date:__________________

Chief of Contracting Michael Shaffer Phone: 804-734-8000x48681 Office:

Signature:________________________ Date:__________________

DeCA Competition Floyd Kirkland Phone: 804-734-8000x86223 Advocate:

Signature:________________________ Date:__________________

12/15/15 LSH

12/15/15

12/16/2015

January 28, 2016

HAYES.JAMES.

F.1387608830

Digitally signed by

HAYES.JAMES.F.1387608830

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=HAYES.JAMES.F.1387608830 Date: 2015.12.15 14:53:52 -05'00'

SHAFFER.MICHAEL

.G.1044850571

Digitally signed by SHAFFER.MICHAEL.G.1044850571 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=SHAFFER.MICHAEL.G.1044850571 Date: 2015.12.16 17:11:52 -05'00'

KIRKLAND.FLOYD

.L.JR.1067833224

Digitally signed by

KIRKLAND.FLOYD.L.JR.1067833224

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=KIRKLAND.FLOYD.L.JR.1067833224 Date: 2016.01.28 15:11:58 -05'00'

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING OFFICE: Defense Commissary Agency Enterprise Acquisition Division Store Support Services Branch 1300 E Avenue Fort Lee, Virginia 23801-1800

2. TYPE OF CONTRACT ACTION: The type of action contemplated is a continuation of utility services by a DeCA contract. Contract is expected to be fixed price, as determined by rates established and regulated by the local municipal utility board (appointed by City of Lawrence common council and mayor). The contract will also be indefinite quantity, depending upon actual usage by the Commissary. This effort will utilize Defense Working Capital Funds.

3. DESCRIPTION OF SUPPLIES/SERVICES: The Harrison Village Commissary currently receives water and sewage utility services from City of Lawrence Utilities through DeCA contract number HDEC05-11-P-0047. This contract expires at midnight, February 29, 2016; but intentions are to extend the current contract another month, through March 31, 2016. The estimated base period award is $6,400 for both services for the period of April 1, 2016 through March 31, 2017. The base period and nine 12-month option periods will be at an estimated $73,000 total for these services; contract period of performance will end at midnight on March 31, 2026. FAR 41.103(b) allows for a utility contract for more than one year, but no more than 10 years. In absence of competition, FAR 41.206 directs Federal Agencies to use interagency contracts or per FAR 41.2014(c)(1), a GSA Areawide Public Utility contract, if these type of contracts exist. If neither of these contract vehicles exists, FAR 41.205(a) directs Federal Agencies to use separate contracts.

4. AUTHORITY CITED: Statutory Authority 10 U.S.C. 2304 (c) (1), as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. REASON FOR AUTHORITY CITED: The State of Indiana, under its Public Utilities Commission, regulates utility companies operating within its borders. Each utility company can only provide service within its own authorized area. The location of the Harrison Village Commissary is serviced by City of Lawrence Utilities, a municipal utility. Under State of Indiana Code, municipal utilities in the State can choose to withdrawal from the Indiana Utility Regulatory Commission and the City of Lawrence has done so. Municipal utilities for water and sewage services are then regulated by their city councils; the City of Lawrence Utility Service Board oversees the municipal water and sewage utility. In addition, as prescribed in FAR 41.202;

market research was conducted for possible interagency and GSA Areawide Public Utility contracts and neither contract vehicle exists for these services at this location.

6. EFFORTS TO OBTAIN COMPETITION: There is no competition for this service, as indicated in Paragraph 5; there is only one possible water and sewage utility service provider in the Harrison Village Commissary area.

7. FAIR AND REASONABLE COST DETERMINATION: The water and sewage rates and tariffs are established and regulated by the City of Lawrence Utility Service Board, whose members are appointed by the city’s common council and the city mayor.

8. MARKET RESEARCH AND INTERESTED SOURCES: Market research was conducted and indicated that there are no other water and sewage utility providers in the Harrison Village area who can supply this service to the Commissary.

9. ACTION TO INCREASE/FOSTER COMPETITION: As stated in Paragraph 5, no competition exists within the Harrison Village military installation location due to State of Indiana regulations.

10. OTHER FACTORS: Procurement history shows prior to this contract, the Commissary received utility services through the City of Lawrence Utilities. The previous DeCA contract was awarded for this service under contract number HDEC05-11-P-0047 for a base and four option periods, final option period ending February 29, 2016. This contract was awarded as a sole source, under Statutory Authority 10 U.S.C. 2304(c) (1), as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements due to State of Indiana regulations regarding utility company competition.

Subcontracting Competition: There are no subcontracting possibilities in accordance with FAR 19.705-2(b)(1) as City of Lawrence Utilities maintains all in-house capabilities for this service.

11. TECHNICAL CERTIFICATIONS: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Not Applicable.

12. REQUIREMENTS CERTIFICATION:

I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Not Applicable

13. FAIR AND REASONABLE COST DETERMINATION AND CONTRACTING

OFFICER CERTIFICATION:

I hereby determine that the anticipated cost for this contract action will be fair and reasonable based on regulations established by the State of Indiana and the governing municipal body of the City of Lawrence and in accordance with DFARS 241.201(3) which states “Rates established by an independent regulatory body – (iii) are a valid basis on which prices can be determined fair and reasonable.” I determine that sufficient justification exists to issue a sole source solicitation for the water and sewage utility services for the Harrison Village Commissary. I certify that this J&A is accurate and complete to the best of my knowledge and belief.

NAME: Loria Samples Hile TITLE: Contracting Officer

SIGNATURE:________________________ DATE:__________________________

APPROVAL

Based on the foregoing justification, I hereby approve the procurement of water and sewage utility services for the Harrison Village Commissary on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c)(1), provided funds are available, or will be available, and provided that the services and property herein described have otherwise been authorized for acquisition.

APPROVED:

_________________________________ Date ___________________ Loria Samples Hile Contracting Officer

12/15/15

12/15/15

SAMPLES

HILE.LORIA.A.120201

Digitally signed by SAMPLES

HILE.LORIA.A.1202014930

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=SAMPLES

HILE.LORIA.A.1202014930

Date: 2015.12.15 11:13:54 -05'00'

SAMPLES

HILE.LORIA.A.1202014930

Digitally signed by SAMPLES HILE.LORIA.A.1202014930 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DECA, cn=SAMPLES HILE.LORIA.A.1202014930 Date: 2015.12.15 11:14:34 -05'00'