S_A12_FBO_JOFOC_LEX_Wastewater_Utility_Service_FY17.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN

COMPETITION

PUBLIC UTILITY – WASTEWATER UTILITY SERVICE

FEDERAL MEDICAL CENTER LEXINGTON

LEXINGTON, KENTUCKY

Contractor: Lexington Fayette Urban County Government

(LFUCG)

Period of Coverage: 10/1/2016 through 9/30/2017

Estimated Amount: $322,629.15

JOFOC FMC LEXINGTON

Wastewater Utility Services

Department of Public Health, in accordance with all Federal, State, County, and local government for a safe and sanitary wastewater service. Pursuant to FAR Part 41.202, LFUCG continues to provide the “entire wastewater utility service” (i.e., collection, treatment, conveyance, system operation and maintenance, metering, billing, etc.).

LFUCG shall provide wastewater utility services for the period from October 1, 2016, through September 30, 2017, for a 12 month period, subject to funds availability (FAR Clause 52.232-18). The total estimated monthly amount for wastewater utility service is $26,885.76. The total estimated amount for a 12-month period is $322,629.15.

Contract Line Item Number Performance Period Estimated Annual Cost ($) CLIN 0001 October 2016 $24,389.72 CLIN 0002 November 2016 $20,787.77 CLIN 0003 December 2016 $28,062.03 CLIN 0004 January 2017 $23,267.87 CLIN 0005 February 2017 $24,295.49 CLIN 0006 March 2017 $22,207.44 CLIN 0007 April 2017 $28,204.50 CLIN 0008 May 2017 $22,174.78 CLIN 0009 June 2017 $35,213.30 CLIN 0010 July 2017 $36,773.44 CLIN 0011 August 2017 $24,933.32 CLIN 00112 September 2017 $32,319.49 Total Estimated Cost: $322,629.15

4. An identification of the statutory authority permitting other than full and open competition:

This justification to award as a sole source is prepared pursuant to the exception to full and open competition requirements in accordance with the statutory authority for these services that is found at 41 USC § 3304 (a)(1), when the supplies or services required by the agency are available from only one responsible source.

The application which permits use of the cited statutory authority are stated at FAR Part 6.302-1(b)(3), “When acquiring utility services (see 41.101), circumstances may dictate that only one supplier can furnish the service (see 41.202).” When a public utility supplier refuses to execute a tendered contract the agency may proceed with the acquisition and pay for the utility service under the provisions of 31 USC § 1501(a)(8). Analysis of the market indicates that the LFUCG has proprietary rights up to the meter or property line at FMC Lexington. In order for another provider to be capable of providing the service, significant capital improvements would be needed. The Bureau would be required to pay for the capital improvements, but it would not recover the costs of duplication of services, connection fees and infrastructure installation costs through competition. The current requirement is for follow-on services and does not include funding for capital improvements.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited:

It is the policy of the Federal Government to obtain utility service from sources which are most advantageous to the Government in terms of economy, efficiency, reliability, and/or service. LFUCG is the sole provider of wastewater utility service in the FMC Lexington service area. LFUCG is a public

JOFOC FMC LEXINGTON

Wastewater Utility Services

//SIGNED\\ 9/6/2016

Dennis Dempsey, Contract Specialist Date

Field Acquisition Office

I hereby certify that the supporting data provided by the technical and requirements personnel which form the basis for this justification is complete and accurate to the best of my knowledge and belief.

//SIGNED\\ for 9/15/2016

Doug Diller, Acting Facilities Manager Date

FMC Lexington

Concurrence:

In accordance with BPAP 4100.05 Subpart 6.304(c), I certify that I have reviewed this justification and find it adequate to support other than full and open competition.

//SIGNED\\ 9/15/2016

Francisco J. Quintana, Warden Date

FMC Lexington

Approved:

//SIGNED\\ for 9/20/2016

Jill D. Ryan, Chief Date

Field Acquisition Office