P03 - JA Metering_Redacted.pdf

Attachment 1: Request for SDVOSB/VOSB Sole Source Justification Format >SAT

VHAPM Part 819.7007/7008 Original Date: 08/30/2017 Revision 03 Eff Date: 04/03/2020

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: VA-21-00028992, 36C776-21-AP-1488

1. Contracting Activity:

The Contracting Activity for this requirement is the Department of Veterans Affairs, Program Contracting Activity Central (PCAC), 6150 Oak Tree Blvd., Suite 300, Independence, OH 44131

2. Nature and/or Description of the Action Being Approved:

PCAC intends to execute a firm-fixed price contract continuing national metering hosting platform and data integration services. The existing contract, GS-21F-054BA 36E77619F007, beginning in 2018 with VENERGY Group is expiring May 2021.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

This contract will continue uninterrupted hosting, support including maintenance and repair, and data integration for the VA Advanced Utility Metering System (AUMS) across the VHA enterprise.

The metering is intrinsically linked to every facet of the safe and efficient use of facility energy.

VHA has over 3,000 electrical and mechanical meters in all VISNs on the AUMs. Metering is required by law in the Energy Independence and Security Act of 2007 and supports reporting required by the Energy Act 2020. Mandated federal reporting of key performance indicators, such as energy intensity reductions and sustainable buildings to OMB and DOE are generated from data collected/stored by the VA AUMS. Furthermore, metering data assists facility managers in validating actual energy saved after implementation of ECMs from an ESPC.

Period of Performance:

Base May 2, 2021 – March 1, 2022 Year 1 March 2, 2022 – March 1, 2023 Year 2 March 2, 2023 – March 1, 2024

The .

4. Statutory Authority Permitting Restricted Competition:

FAR 13.5 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. § 1901 and is implemented by FAR 13.106-1(b)(2) for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

( X ) Authorized or Required by Statute 38 U.S. Code § 8127, COs may use the non-competitive (sole source) procedures authorized in VAAR

819.7007 or 819.7008 up to $5M. Check the specific VAAR clause used below:

( X ) 819.7007 Sole source awards to a verified service-disabled veteran-owned small business; or ( ) 819.7008 Sole source awards to a verified veteran-owned small business

Original Date: 08/30/2017

5. Demonstration that the Contractor’s Unique Qualifications and/or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

38 U.S.C. 8127(c) states, in part, “…a contracting officer at the Department may award a contract to a small business concern owned and controlled by veterans using procedures other than competitive procedures if –

(1) Such concern is determined to be a responsible source with respect to performance of such contract opportunity;

(2) The anticipated award price of the contract (including options) will exceed the simplified acquisition threshold (as defined in section 4 of the Office of Federal Procurement Policy Act (41 U.S.C. 403)) but will not exceed $5,000,000; and

(3) In the estimation of the contracting officer, the contract award can be made at a fair and reasonable price that offers best value to the United States.

The proposed source for this acquisition is Venergy Group, LLC, 2552 Peters Road, Ste. A, Fort Pierce, FL, 34945; a registered and verified SDVOSB by VA Center for Verification and Evaluation (CVE). Since 2017, Venergy has assisted VA in meeting the federal mandates regarding metering through the energy data management system, including hardware, software, and communication system. This system enables VHA to collect, store and analyze meter energy data. Prior to Venergy, Schneider Electric held the metering contract which was administered by OAEM. Venergy was authorized and took over the support including hosting for the AUMS from the OEM in 2018, this effort will continue that support. They have networking services and data warehousing already available for VHA with an established rapport with VISNs and facilities. Key metrics which would be lost if data warehousing doesn’t continue including: energy cost allocation, sustainability, power quality, generator system capacity, and UPS capacity. The current enterprise software solutions allow the VISNs and local facilities to aggregate data from multiple locations to provide benchmarking and data warehouse analytics features to justify and prioritize future projects.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under 5.202 applies:

Veterans First Contracting Act, permits a Contracting Officer to sole-source to a Service-Disabled Veteran-Owned Small Business up to $5M. In accordance with VAAR 819.7007(b), the contracting officer’s determination whether to make a sole source award is a business decision wholly within the discretion of the contracting officer. A determination that only one SDVOSB concern is available to meet the requirement is not required. This contract replaces the expiring contract with Venergy. With over 3,700 meters and 3 years of utility data maintained on the AUMS, it was in the best interest of the VA to continue working directly with Venergy as it minimizes disruption and supports the goals of the agency to support veteran-owned businesses. Venergy was authorized and took over the support including hosting for the AUMS from the OEM in 2018, this effort will continue that support. They have networking services and data warehousing already available for VHA with an established rapport with VISNs and facilities.

A Notice of Intent to Sole Source announcing the contract action was posted to beta.sam.gov the government’s point of entry, on 3/2/2021. The Justification and Approval (J&A) document will be posted within 14 days after award in accordance with FAR Subpart 6.305. The award synopsis will be posted to the GPE, beta.SAM.gov in accordance with FAR Subpart 5.301(a)(2).

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable:

Original Date: 08/30/2017

The contracting officer believes the anticipated cost will be considered fair and reasonable by requiring a detailed breakdown from the contractor and comparing it to the independent government cost estimate (IGCE). This will allow the Contracting Officer to compare and see the number of units and the unit pricing. Since the solicitation will be issued as a Request for Quote, the contracting officer has the authority to enter into discussions and negotiate the price, if necessary. Venergy Group LLC has completed similar projects for the VA at a fair and reasonable price so there is historical data that can also be utilized in negotiations.

8. Description of the Market Research Conducted and the Results, or a Statement of the

Reasons Market Research Was Not Conducted:

Since Venergy has successfully performed the past 3 years under the AUMS contract and the CO elected to pursue an award under 38 U.S.C. 8127(c). In order to perform market research, the CO ran a VetBiz query for NAICS 541690. The search returned 2,440 SDVOSBs including Venergy.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

None

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

Venergy Group, LLC

11. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required:

In accordance with VAAR 819.7007(b), the contracting officer’s determination whether to make a sole source award is a business decision wholly within the discretion of the contracting officer. A determination that only one SDVOSB concern is available to meet the requirement is not required.

With existing infrastructure, protocol, data integration, and data warehousing in place, this contract does not lend itself for further action to remove barriers.

12. Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

CHRIS ALBRIGHT Date Energy Program Manager (19HEFE)) Healthcare Environmental & Facilities Program

CHRIS A. ALBRIGHT 108376

Digitally signed by CHRIS A. ALBRIGHT 108376 Date: 2021.04.28 12:05:31 -04'00'

Original Date: 08/30/2017

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

a. Contracting Officer or Designee’s Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

EVAN BISHOP Date Contracting Officer Program Contracting Activity Central (PCAC)

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.

NATHAN PENNINGTON Date Supervisory Contracting Officer

c. PCAC Director of Contracting: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and recommend approval

RICHARD DAHMEN Date PCAC Director of Contracting

d. VHA RPO HCA Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and recommend approval

Evan M. Bishop 581832 Digitally signed by Evan M. Bishop 581832 Date: 2021.04.28 10:31:54 -04'00'

Nathan E. Pennington 595691

Digitally signed by Nathan E. Pennington 595691 Date: 2021.04.28 12:17:32 -04'00'

Richard C. Dahmen 199197

Digitally signed by Richard C.

Dahmen 199197 Date: 2021.04.29 15:57:14 -04'00'

Original Date: 08/30/2017

TERRY L. SPITZMILLER Date Executive Director VHA Regional Procurement Office Central

04/30/2021

TERRY L.

SPITZMILLER

394683

Digitally signed by TERRY

L. SPITZMILLER 394683

Date: 2021.04.30 11:06:00 -05'00'