About this file

This document is a Justification and Approval (J&A) for an out-of-scope modification to extend Contracts N62473-19-D-2437/2438/2439/2440/2441, the Indefinite Delivery Indefinite Quantity (IDIQ) Unrestricted Multiple Award Construction Contract (MACC) for New Construction, Renovation, and Repair of Airfield Paving at various locations within the NAVFAC Southwest Area of Responsibility. The original contracts were awarded in March 2019 to five large and small business contractors for a total value of $495 million, with one 3-year option exercised. The proposed action will extend the existing contracts for up to 12 months from March 2024 to March 2025 to allow time for the follow-on Airfield Paving VI IDIQ MACC contract to be awarded, which is anticipated by August 2024. The extension is justified due to the urgency of ongoing and planned airfield paving projects that support the military's mission and operational capability. Sole sourcing to 8(a) firms was not considered a viable alternative.

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DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING SYSTEMS COMMAND SOUTHWEST

750 PACIFIC HIGHWAY

SAN DIEGO CA 92132-5190

J&A No. 24-42-2

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Department of the Navy, Naval Facilities Engineering Systems Command Southwest

(NAVFAC SW), San Diego, California.

2. Description of Action Being Approved.

This Justification and Approval authorizes and approves an out-of-scope modification that would allow for up to a twelve (12) month extension to Contracts N62473-19-D-

2437/2438/2439/2440/2441, Indefinite Delivery Indefinite Quantity (IDIQ) Unrestricted

Multiple Award Construction Contract (MACC) for New Construction, Renovation, and

Repair of Airfield Paving at various locations within the NAVFAC SW Area of

Responsibility (AOR).

In accordance with the Navy Marine Corps Acquisition Regulation Supplement

5206.303-1(2)(a), an approved Request for Bridge Contract (signed on 29 February 2024) is provided with this Justification and Approval (J&A).

3. Description of Supplies/Services.

The Airfield Paving V MACC IDIQ contract is used to award task orders for new construction, renovation and repair of airfield paving products throughout the NAVFAC

SW AOR. Projects will be primarily design-build (DB) or secondarily design-bid-build

(DBB) and may include, but are not limited to: paving of airfield runways, taxiways, aircraft parking aprons, and support areas for aircraft and incidental work.

The contract was awarded to five (5) contractors on 14 March 2019 to:

Contract number Contractor Business Size

N62473-19-D-2437 Granite Construction Company Large Business

N62473-19-D-2438 Baldi Bro., Inc. Small Business

N62473-19-D-2439 Coffman Specialties, Inc. Large Business

N62473-19-D-2440 Pave-Tech Inc. Small Business

N62473-19-D-2441 Southwest Concrete Paving Large Business

One (1) 3-year option has been exercised and awarded to all firms. The contract value, including the option is $495,000,000. The current contract completion date is 13 March

2024. The proposed action will extend the existing contract for up to twelve (12) months to 13 March 2025. Total awarded amount to date is approximately $266,465,932. No additional capacity is being requested.

The aforementioned contractors have been successful on their contracts and they are recommended to continue providing construction and repair of airfield paving projects.

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

The statutory authority permitting other than full and open competition is 10 U.S.C.

Section 3204(a)(2), as implemented by FAR 6.302-2, Unusual and Compelling Urgency.

5. Rationale Justifying Use of Cited Statutory Authority.

The Airfield Paving V IDIQ MACC contracts are the NAVFAC SW acquisition vehicles that were competitively procured to obtain DB and DBB new construction, renovation and repair of airfield paving projects, and are the only existing contract vehicles that allow for the procurement of airfield paving projects above $500,000. These contracts are critical to ensure airfield paving projects are executed in support of the NAVFAC SW’s mission and operational capability.

The follow-on Airfield Paving VI contract was solicited on 12 September 2023 as an unrestricted procurement and is projected for award in August 2024. A bridge contract is necessary in order to allow time for NAVFAC SW to complete the ongoing procurement of the follow-on contract, which is anticipated to be awarded no later than August 2024.

There are five planned competitive task orders under source selection to be issued under the current Airfield Paving V IDIQ MACC:

A delay to this competition, if it were to be issued under the follow-on Airfield Paving VI

IDIQ MACC would cause harm to the Government as the unacceptable delay would result in the Air Stations’ ability to meet its missions, risk of foreign object debris damaging airplanes, damaged airplanes resulting in potential human injury/casualties, military personnel and military supplies not being delivered timely, and the closure of runway and taxiways at multiple Government Air Stations. Projects on this contract are often unplanned due to unexpected runway and taxiway failures and this MACC provides

NAVFAC SW the ability to move quickly to address mission requirements. If these projects are not awarded timely, it will prevent mission completion and ultimately force runways to shut down. The UR Airfield Paving MACC contract is a specialized construction vehicle to address mission essential airfield paving construction to support military aircraft operations at multiple military installations. Sole sourcing of task orders to 8(a) firm(s) is not an alternative to a bridge because of the inherent risk(s) associated with unknown contractors, longer award timelines, most task orders exceeding the 8(a) sole source threshold, and higher prices due to lack of competition. Most, if not all of these risks are mitigated by bridging this MACC. Without this contract vehicle, there is a high risk of base requirements and critical facilities being left unsupported until the next

Airfield Paving MACC is awarded. These contracts are critical to ensure Airfield Paving projects are executed in support of NAVFAC SW’s mission and operational capability. It is necessary to use the existing contracts, N62473-19-D- 2437/2438/2439/2440/2441, to secure current and future mission critical projects until the follow-on MACC contract is awarded.

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

The follow-on contract is being competitively sourced. The planned action covered by this J&A meets an exception to the synopsis requirements per FAR Part 5.202(a)(6). The approved J&A will be released in accordance with FAR 6.305(b).

7. Determination of Fair and Reasonable Costs.

The Contracting Officer has determined the anticipated cost to the Government of the services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

The Award of a follow-on unrestricted MACC is currently in progress and is anticipated to be awarded no later than August 2024. The stakeholders are closely monitoring the milestones to ensure a timely completion. The award of this contract action will eliminate the need for a future bridge contract request.

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.

Planning, Design, and Construction

Business Line Leader

Chief Engineer

NAVFAC Southwest

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

Assistant Counsel

CONTRACTING OFFICER CERTIFICATION

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

Planning, Design, and Construction

Contracting Officer

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