13-2408_JA_approved.3.pdf

DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING COMMAND, HAWAII

400 MARSHALL ROAD

JBPHH, HAWAII 96860-3139

IN REPLY REFER TO:

J&A No. 13-02

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity. Naval Facilities Engineering Command, Hawaii (NAVFAC Hawaii), PCO Services & Energy Section

(PRJ233).

2. Description of the Action Being Approved. NAVFAC Hawaii intends to award a contract on a sole source basis to the State of Hawaii’s Department of Agriculture Hawaii dba Agribusiness Development (AD), to provide all labor, supervision, tools, materials, equipment, and transportation necessary to provide operation and maintenance of drainage canals and pumps at the Pacific Missile Range Facility (PMRF), Kauai, Hawaii. The contract, N62478-13-D-2408, will include a base period of 12 months with four 12-month option periods.

3. Description of Supplies/Services.

a. Services consist of the operation and maintenance of drainage and flood control systems and infrastructure in the Mana Plain area, adjacent and on PMRF, approximately 276 acres.

These services will keep the water levels in the wet wells at Kawaiele and Nohili Pump Stations at a range of -1.5 to –2.0 ft.

Mean Sea Level (MSL), thus protecting underground infrastructure at PMRF, reducing the risk of flooding, and helping control insects, and odor which would negatively affect PMRF operations, safety and security.

b. The contract term and estimated amounts will be as follows:

Estimated Term Amount Appropriation

Base Year 9/30/13–9/29/14 O&MN Option Period 1 9/30/14–9/29/15 O&MN Option Period 2 9/30/15–9/29/16 O&MN Option Period 3 9/30/16–9/29/16 O&MN Option Period 4 9/30/17–9/29/18 O&MN

TOTAL

4. Statutory Authority Permitting Other Than Full and Open Competition. This request is submitted pursuant to the authority of 10 U.S.C. 2304(c)(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 service will satisfy the needs of the agency.

5. Rationale Justifying Use of Cited Statutory Authority.

a. The services under this contract are limited to work on the pumps and the portion of the drainage and flood control systems on Navy owned land and Navy leased land, although drainage and flood control systems are located on lands controlled by both the Navy and the State of Hawaii. The Navy and State of Hawaii drainage and flood control systems are integrated in that the State of Hawaii lands drain onto the PMRF leased land and the Navy owned land. As a result, to prevent flooding of its PMRF land, it is in the Government’s best interest to operate and maintain the system as a single coordinated system in order to ensure the water in the drainage system flows properly to prevent flooding. A National Pollution Discharge Elimination System (NPDES) permit is required to legally operate the pumps, perform flood control measures, and discharge runoff waters into the ocean. AD currently holds the NPDES permit and operates the pumps and performs flood control for the subject area, as well as the rest of the drainage systems on the Mana Plain.

b. It is not in the Government’s best interest for the Navy to acquire the NPDES permit for the leased area. Obtaining an NPDES permit would require testifying before the State of Hawaii Department of Health at a public hearing and the cost would be well over . Holding an NPDES permit would result in the Government inherently adopting a stake in agricultural interest, as the permit monitors agricultural runoff produced by all the farmers. The permit holder would be liable for contaminants in the runoff waters while contamination by other tenants or third parties outside of the Navy’s control would individually and cumulatively affect the condition of the runoff. Similarly, if the Navy’s contractor were to hold the NPDES permit, liability of its contractor for contaminants in the runoff waters could be extended to the Navy.

c. The State of Hawaii, as the owner and lessor of all of the Mana Plain lands affecting the drainage and flood control system, is the only prospective party with liability over the non-Navy lands and the authority to control contamination of the drainage system’s water by its non-Navy tenants as the holder of the NPDES permit. Consequently, AD is the only prospective party which can assume all liability under the NPDES permit, for the actions of the non-Navy tenants that may potentially contaminate the runoff waters.

d. AD has the appropriate financial and technical resources and the technical experience and organizational controls needed to accomplish the work within the required or proposed delivery schedule. For the subject procurement, the Specification Writer developed the independent Government estimate using a market survey to establish labor rates and technical experience to determine the effort. Based on previous negotiations with AD on the existing contract, it is anticipated that the price will be fair and reasonable for this action.

e. Based on the above, AD is the only source that can satisfy agency requirements.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable. On February 25, 2013, N62478-13-R-2408, Operation and Maintenance Work at Nohili and Kawaiele Pump Stations and Associated Drainage Systems to Prevent Imminent Flooding at Pacific Missile Range Facility (PMRF), Kauai, Hawaii was synopsized in Navy Electronic Commerce On-line (NECO) and Federal Business Opportunities (FedBizOpps).

The synopsis requested that all interested parties respond within 15 days after date of publication of the synopsis. The synopsis also included the wording from numbered Note 22, notifying potential offerors that the Government intends to solicit and negotiate with only the State of Hawaii’s Department of Agriculture Hawaii dba Agribusiness Development (AD) under the authority of FAR 6.302-1 and invited interested firms to identify their interest and capability to respond to the requirement. No responses to the synopsis were received. As a result, there are no other interested and qualified parties available to satisfy agency requirements. The NECO synopsis was considered the market survey. Therefore, no additional market research was conducted for the reasons discussed in paragraph 5 above. AD is the only responsible and qualified source to provide the services required by the Navy.

7. Determination of Fair and Reasonable Cost. The Contracting Officer has determined the anticipated cost to the Government of the services covered by this Justification and Approval will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition. For the reasons set forth in Paragraph 5, NAVFAC Hawaii has no plans at this time to compete future contracts for the subject services covered by this document. If circumstances change in the future, NAVFAC Hawaii will assess whether competition for future requirements is feasible.

Acting CCO