Notice of Intent JA.pdf

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NOTICE OF INTENT TO SOLE SOURCE Updated/replacement ceiling system, interior light fixtures and HVAC diffusers
Solicitation number
SAQMMA14D0050
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This document is a Justification for Other Than Full and Open Competition (J&A) from the U.S. Department of State regarding a contract modification for construction services at the U.S. Embassy in Yerevan, Armenia. The modification is for Greenway Enterprises, a small business in Helena, MT, to update the design and implement new security requirements mandated by the Overseas Security Policy Board (OSPB) in 2024, which were not part of the original 2019 contract. The project involves replacing the ceiling grid, interior light fixtures, and HVAC diffusers to meet updated security protocols, with an estimated value between $350,000 and $600,000, roughly double the original task order amount.

The Department of State is pursuing a sole-source modification under FAR 6.302-1, arguing that using the original contractor will prevent substantial duplication of costs and leverage the contractor's existing design work. The modification stems from new security mandates issued after the original contract was awarded, requiring specific countermeasure features. The contract is for a one-time purchase at the Yerevan location, with no other contractors expressing interest in the requirement. The modification will be a firm fixed-price contract, and market research has been conducted to validate the pricing and material availability.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SECTION 1: IDENTIFICATION OF THE AGENCY AND THE CONTRACTING ACTIVITY

Department of State Contracting Activity

☒ Office of Acquisitions Management

☐ Foreign Service Institute

☐ Office of Foreign Missions

☐ U.S. Mission to the United Nations ☐ Overseas Post

Requiring Activity Bureau for Overseas Buildings Operations/OPS/FAC/PS

SECTION 2: NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED

The purpose of the request is to provide new adjustment/revision in detail for providing a new ceiling grid (and tile) installation adjustments to meet current 2024 Overseas Security Policy Board (OSPB) requirements. The current lighting & ceiling grid replacement for CAA/PCC Core configuration does not comply with the latest 2024 OSPB requirements and is needed to comply with the current contract.

Approval is requested to modify an existing task order on a sole source basis to a small business firm operating out of Helena, MT for construction services on behalf of the Bureau for Overseas Buildings Operations. This will be a firm fixed price modification, P00007, under task order 19AQMM19F3362;

19AQMM22D0053 for roughly $350,000 to $600,000. The contractor had completed the design and was ready to begin construction when the Department of State issued a suspension of work order effective August 30, 2024 due to ultimately Diplomatic Security’s (DS) and the Overseas Security Policy Board’s new mandates.

SECTION 3: DESCRIPTION OF SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS

Diplomatic Security’s (DS) and the Overseas Security Policy Board’s new mandates require countermeasure features (updated/replacement ceiling system, interior light fixtures and HVAC diffusers) be included with this project. DS advised on those requirements in 2024 after the contract was awarded in 2019 and via the Construction Security Plan (CSP) and Construction Security Certification (CSC) of the Issue-For-Construction (IFC) design review process. Design changes, material costs and labor (along with increased per diem) cost, G&A and fee are all to be taken into consideration. The design must be modified and due to the new OSPB changes, the contractors’ design has to be modified to include an updated/replacement ceiling system, updated interior light fixtures and updated HVAC diffusers all meeting new requirements. The estimated value for the entire period of performance is approximately $350,000 to $600,000, roughly double the original task order.

This task order was awarded in 2019. It was originally structured to provide the installation of new electrical equipment and associated cabling to meet the Overseas Security Policy Board (OSPB) requirements at the U.S.

Embassy Yerevan, Armenia. This project also entailed replacement of lighting fixtures and ceiling grid tile. The current lighting and ceiling grid replacement for CAA/PCC Core configuration (awarded under the 2019 competitively awarded task order) no longer complies with the latest OSPB 2024 requirements and thus needs to conform under the current task order. Recent directions provided by OSPB regarding ceiling grid and lighting for interior features in CAA spaces, require a revision/contract adjustment for the new material and equipment needed to accommodate and fully conform with OSPB requirements.

SECTION 4: IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING OTHER THAN

FULL AND OPEN COMPETITION

This statutory authority permitting other than full and open competition is 41 U.S. Code 1901 as implemented by FAR 13.501(a) and FAR 13.106(b); specifically, this authority permits contracting on a sole source basis. This requirement is being sole sourced based on 6.302-1(a)(ii)(A) services may be deemed to be available only from the original source in the case of a follow-on contract (i.e. modification) for the continued development. It is likely that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition.

SECTION 5: DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUISITION REQUIRES USE OF THE AUTHORITY

CITED

This contractor has completed the total design for this project which meant weeks developing and creating visual ideas of the project, being at post, boots on ground, scoping out the project site, laying out the workspace, and initiating a game plan for the construction based on their design. The design and approach are unique to this contractor. The Government risks duplicating the cost of bringing in a new contractor who will spend time at their headquarters and at post creating their design/approach to this project which may be different from the current contractor, then dispatching themselves to post boots on ground, scoping out the project site, laying out the workspace, and initiating their game plan for construction based on their design. Let’s not forget the potential cost savings of not having to replace certain materials sitting in containers at post that might still be used based on the current contractor’s modified design. It is essential that this contractor be allowed to complete their current contract action/obligation and finish what they started.

SECTION 6. DESCRIPTION OF EFFORTS TO ENSURE THAT OFFERS WERE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS IS PRACTICABLE, INCLUDING WHETHER A NOTICE WAS OR

WILL BE PUBLICIZED AS REQUIRED BY FAR SUBPART 5.2 AND, IF NOT, WHICH EXCEPTION

UNDER FAR 5.202 APPLIES

No other contractors per the security requirements related to this requirement have expressed an interest in this requirement.

Due to the nature and timing of this requirement, the synopsis cannot be worded in order to preclude disclosure of the agency’s needs, and such disclosure could potentially disclose national security.

Market research was initially conducted for the original requirement and the revision/adjustment. Market research, in accordance with FAR Part 10, describe. See Section 8 below.

SECTION 7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST

TO THE GOVERNMENT IS FAIR AND REASONABLE

The Contracting Office has determined that the anticipated price(s) will be fair and reasonable based on the Program Office conducting market research on the new material needed to meet this requirement as well as contractor costs for the labor and construction action required for this requirement. Although there are a limited number of companies who produce the materials. The DOS used the internet, similar project data, RS Means and in-house design engineering subject matter expert.

SECTION 8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10) AND THE

RESULTS OR A STATEMENT OF THE REASON A MARKET RESEARCH WAS NOT CONDUCTED

The market research has been conducted within the past 12 months. The Program Office’s contracting officer representative, subject matter experts, and program manager compiled the market research. Although there are a limited number of companies who produce the materials associated with this requirement, the DOS used the internet, similar project data, RS Means and in-house design engineering subject matter expertise.

SECTION 9. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION

No additional facts to reveal other than what is listed in Section 4 and 5.

SECTION 10. LISTING OF SOURCES, IF ANY, THAT EXPRESSED A WRITTEN INTEREST IN THE

ACQUISITION No sources expressed an interest.

If applicable, clearly state To date, no other sources have written to express an interest.

No other sources have written to express an interest.

SECTION 11. STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR

OVERCOME ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION FOR

THE SUPPLIES OR SERVICES REQUIRED

The Department plans for this to be a one-time buy for this location.

SECTION 12. CERTIFICATIONS

All reviews and approvals should be completed in the order listed unless otherwise authorized or required.

TECHNICAL AND REQUIREMENTS CERTIFICATION (FAR 6.303-2(b))

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.

SIGNATURE:

Name Date Project Manager

CERTIFICATIONS (Continued)

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2(a)(12))

I certify that this submission is accurate to the best of my knowledge, and that it contains complete information necessary to enable other officials to make an informed recommendation for approval or disapproval.

SIGNATURE:

Contracting Officer

SIGNATURE:

A/GA Construction Branch Chief

OBO/FAC/PS COR/SME

5-30-25

2025-05-30T12:28:07-0400
Kevin T McGhee
2025-05-30T13:11:01-0400
James H Waggoner

File details come from the government source that posted it. Updated .