SP_Attachment-1_Original_SP_10700-64074.pdf

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REQUEST FOR SPECIAL PROCUREMENT No. REQ-10700-00064074

PART A. Requesting Agency must complete Items 1 through 13.

1. Requesting Agency Name: Oregon Department of Administrative Services(“DAS”), Procurement

Services (“DAS PS”) on behalf of DAS Enterprise Asset Management (“DAS EAM”).

2. Date of Request: February 27, 2024 3. Agency Number: 107123

4. Agency Contact Name: Nathan C. Ramos 5. Phone: (971) 707-0016

6. Type of Request: Class Special Procurement X Contract-specific Special Procurement

7. Time Period Requested: From: April 1, 2024 To: March 31, 2025

8. Total Estimated Cost: $ 74,000

Note: With approval of this SP and amendment of the PA, the cumulative NTE will be amended up to

$438,997.

9. Title: Supplies and/or Services to be Acquired:

Fire Sprinkler Materials and Testing, Maintenance and Repair Services (collectively “Services”) for the Salem, Portland, Eugene, and Wilsonville Areas. Services include but are not limited to:

• Fire sprinkler systems testing at required annual intervals.

• Testing all sprinkler systems flow and tamper switches.

• Testing and inspection of all fire pumps at the North Valley Complex.

• Server Room dry chemical fire suppression testing at the State Data Center.

• Repair of broken piping, sprinkler heads, and flow switches.

• Replacing batteries for backup systems, as required.

10. Request, Background, Current Need, and Proposed Contracting Procedure:

a. Request:

DAS PS, on behalf of DAS EAM, seeks approval of this Special Procurement No. 10700-00064074

(the “SP”) to reinstate (if necessary) and amend Price Agreement No. 107-3352-14 (the “PA”) issued to Western States Fire Protection Company (“Contractor” or “WSFPC”) as follows:

1. Reinstate the PA (if necessary) in accordance with law.

2. Amend the PA to:

a. Extend the Term one year, through March 31, 2025.

b. Increase the Not to Exceed Compensation (the “NTE”) up to an additional $74,000.

b. Background:

DAS EAM is responsible for all phases of life-cycle management for a variety of state assets including facilities, real estate, vehicles, and property slated for disposal. Currently, DAS EAM ensures the life safety systems, including fire sprinkler systems, are maintained and operational for

21 State owned or leased properties in the Salem, Portland, Eugene, and Wilsonville areas. State, county, and local fire codes require the annual inspection of fire sprinkler systems. To meet these inspection requirements, DAS EAM contracts with WSFPC to ensure that all fire sprinkler systems meet the state and local codes as well as National Fire Protection Association (“NFPA”) codes 20 and 25.

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February 14, 2014: DAS PS, on behalf of DAS EAM, issued Request for Proposals (“RFP”) #107-

3287-14 on the Oregon Information Procurement Network (“ORPIN”), the State’s former eProcurement system.

• WSFPC prevailed with an award and the PA was executed April 9, 2014, with an initial Term of three (3) years.

o The PA includes provisions to extend the Term up to seven (7) additional years; not to exceed a cumulative maximum Term of ten (10) years.

o PA Section 3, Purchase Orders, authorizes DAS EAM to obtain Services through POs issued under the PA.

o PA Section 5, Compensation, established an NTE of $102,730 cumulatively for both the

Salem and Portland Regional Sites through the initial 3-year Term.

To date, the PA has been amended seven (7) times as set out in Table 10.c.1 below. The PA will expire in accordance with its terms on March 31, 2024, with no additional renewal terms available.

c. Current Need:

While DAS EAM is responsible for the daily and monthly maintenance of the fire sprinkler systems, DAS EAM does not have the expertise to perform annual testing, maintenance, or repairs to the sprinkler systems. It is necessary to extend the current PA to ensure continued, uninterrupted

Services.

• The most common Services required for the fire sprinkler systems include testing to verify and maintain proper pressure levels, ensuring reserve tanks for dry chemical or halon systems are consistently pressurized, and appropriately circulating materials within the system.

• The most common maintenance tasks for the fire sprinkler systems typically involve repairing corroded pipelines, especially those located outside structures, as well as replacing sprinkler heads and battery packs within flow valve sensor boxes.

Table 10.c.1 below sets outlines the costs incurred to date for materials and testing, maintenance, and repair Services under the PA for the sprinkler systems.

Due to high demand for qualified inspectors, DAS EAM must initiate scheduling Services for the coming year as early as May 2024, with testing, maintenance, and repairs slated to commence in

June 2024. DAS EAM’s early scheduling ensures that all properties equipped with fire sprinkler systems undergo proper testing, maintenance, and repair as per the established schedule, aligning with city, county state, and NFPA codes.

Without ongoing fire sprinkler testing, maintenance, and repair Services, the State faces the risk of non-compliance with city, county, and state fire codes, along with NFPA codes 20 and 25.

Furthermore, failure to ensure the proper functioning of the fire sprinkler systems could leave building occupants and the structures vulnerable to severe injury or damage in the event of a fire emergency.

The PA for these Services will expire on March 31, 2024. It is crucial that these Services are maintained without interruption. DAS PS, on behalf of DAS EAM, is currently developing a new solicitation (i.e., Request for Proposals (“RFP”)), which will seek Fire Sprinkler Testing, Maintenance and Repair Services. The RFP is anticipated to be issued on OregonBuys, the State’s eProcurement system of record, approximately April 30, 2024, with Services under a new contract or price agreement commencing July 1, 2025.

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TABLE 10.c.1

Description PA Term NTE Running Total:

Salem NTE Running Total:

Portland NTE Running Total:

Wilsonville NTE Running Total:

Eugene Cumulative

PA NTE

PA Executed 4/9/2014 – 4/9/2017 $78,695 $24,035 -- -- $102,730

PA Amendment 1 -- $85,655 $25,891 -- -- $111,546

PA Amendment 2 4/9/2017 – 4/9/2019 $123,694 $36,881 -- -- $160,575

PA Amendment 3 4/9/2019 – 3/31/2021 $163,826 $48,197 -- -- $212,023

PA Amendment 4 Added the Wilsonville Location -- -- -- $4,532 -- $216,555

PA Amendment 5 Added the Eugene Location 3/31/2021 – 3/31/2023 $243,525 $70,765 $9,432 $6,072 $329,794

PA Amendment 6 Added the Dome Building -- $247,400 -- -- -- $333,669

PA Amendment 7 3/31/2023 – 3/31/2024 $269,177 $77,128 No Testing in 2023 due to construction. $9,260 $364,997

Cumulative Totals To-Date: $269,177 $77,128 $9,432 $9,260 $364,997

With approval of this SP, the PA will be reinstated (if necessary and in accordance with law) and amended to increase the NTE up to $438,997, which reflects $32,000 for the estimated 2024 Services and $42,000 for related materials. The 2024 Schedule of Prices for these Services is attached hereto as ‘SP_Attachment-1’.

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d. Proposed Contracting Procedure:

1. As required by OAR 125-247-0287, DAS PS will issue a public notice (the “Notice”) on

OregonBuys, the State’s current eProcurement system, for seven (7) calendar days, advertising the approval of this SP Request.

2. The Notice will include provisions that any affected party may protest the approval of the SP.

3. DAS PS will respond to and resolve protests, (if any).

4. If no Protests to this SP are received or sustained, DAS PS will move forward with amending the

PA as set out in Section 10.a above.

5. DAS PS and DAS EAM will work together to obtain DAS Enterprise Information Services’

(“EIS”) endorsement at all necessary junctures, as may be required.

6. Pursuant to Oregon Administrative Rule (“OAR”) 137-045-0015, DAS PS, on behalf of DAS

EAM, will work with Oregon Department of Justice (“DOJ”) and obtain its legal sufficiency approval at all necessary junctures, as required.

11. Justification for use of Special Procurement: Describe the circumstances that justify the use of a

Special Procurement. Attach relevant documentation.

• The RFP conducted in 2014 advertised a potential price agreement term up to 10-years. The resulting PA was issued to WSFPC for a term up to 10-years. The PA’s 10-year term will conclude on March 31, 2024, with no option for further extension, unless this SP is approved.

• DAS EAM is responsible for ensuring the proper maintenance of the 21 life safety systems, including fire sprinkler systems, in accordance with city, county and state fire codes, as well as

NFPA codes 20 and 25. However, DAS EAM lacks the resources to provide the necessary annual testing, maintenance and repair Services to remain compliant with these codes. Extending the current PA by one year will give DAS PS the time it needs to adequately prepare and conduct an

RFP process for these Services, with the aim of establishing a new contract or price agreement by

July 1, 2025.

• Neglecting the maintenance of these life safety systems could subject the State to significant legal risks and unacceptable liabilities in the event of a fire emergency.

12. Findings to Satisfy the Required Standards: This proposed special procurement:

__X__ (a) will be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts because:

1. The current PA was established using an open, competitive procurement method (RFP) in accordance with applicable Oregon statutes and administrative rules.

a. The RFP was advertised on the ORPIN, which held a roster of 40,000+ registered Suppliers.

b. The RFP contemplated award of a Price Agreement with a term up to 10-years.

c. The RFP advertised 20 Salem sites and 5 Portland sites requiring Services.

All of the above supported maximum competition and would have generated sufficient interest in the opportunity.

2. DAS PS is currently developing a new RFP opportunity, which will solicit proposals from all providers of the requisite Services set out in Section 9 above, at minimum.

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a. The RFP will be drafted to encourage maximum competition. All fire suppression inspection providers will be able to compete for an award.

b. The RFP will be advertised on OregonBuys, which currently holds a roster of 23,000+ Vendors

(aka Suppliers). The resulting (anticipated) PA will be awarded for a term up to 10 years and is estimated to be in place by July 1, 2025.

c. The RFP is estimated for release on OregonBuys by April 30, 2024 (approx.), with the new PA executed by July 1, 2025 (approx.).

and

______ (b)(i) will result in substantial cost savings to the contracting agency or to the public because:

or

__X__ (b)(ii) will otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with the requirements of ORS 279B.055, 279B.060, 279B.065, or 279B.070, or any rules adopted thereunder because:

The only procurement method through which the PA can be amended to extend the Term and increase the

NTE is a Special Procurement.

Approval of this SP will enable DAS EAM to maintain fire sprinkler testing, maintenance, and repair

Services through 2025, while concurrently initiating a new competitive solicitation for these Services. It is imperative for DAS EAM to uphold its commitment to ensuring the functionality of life safety systems in all

DAS-owned and rented structures, ensuring readiness in times of emergency.

13. Signature: The actual signature of the Agency Head or designee (e.g., Designated Procurement Officer) is not required on the Request if it is submitted through OregonBuys. Agency may elect to attach a signed Request.

Signature: e.g. Electronically in OregonBuys _________________

Type Name: Date:

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PART B. The Department of Administrative Services completes Part B.

STATUTORY AND RULE AUTHORITY:

ORS 279B.085(2) states the Director of the Department of Administrative Services may approve a special procurement if the Director finds that a written request submitted under ORS 279B.085(4) demonstrates that the use of a special procurement as described in the request, or an alternative procedure prescribed by the

Director will:

(a) Be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts; and

(b)(A) Result in substantial cost savings to the contracting agency or to the public; or

(B) Otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with requirements that are applicable under ORS 279B.055, 279B.060, 279B.065 or

279B.070 or under any rules adopted thereunder.

OAR 125-246-0170 delegates the authority of the Director of the Department of Administrative Services to approve special procurements to the State Chief Procurement Officer. OAR 125-247-0285 through 125-247-

0288 implement ORS 279B.085.

OAR 125-247-0700(2) Protests and Judicial Review of Special Procurements designates the State Chief

Procurement Officer as the Contract Review Authority.

FINDINGS: The findings are accepted, adopted, and incorporated by reference herein.

CONDITIONS OF APPROVAL:

1. Notice Period. The Authorized Agency shall post the Public Notice on OregonBuys. The Special

Procurement may not be used until after the completion of the seven (7) day notice period required pursuant to OAR 125-247-0287(4), and either:

a. No Written protests are received by the Contract Review Authority, State Chief Procurement Officer, from an Affected Person in response to the notice, or

b. If any protest is received during the notice period, then not until:

i. the State Chief Procurement Officer or delegate issues a written disposition of the protest in accordance with ORS 279B.400 and OAR 125-247-0700 and OAR 137-047-0700, and

ii. confirms in writing the first possible date of use of the Special Procurement.

2. ORS 279A.165 Requirements. Authorized Agency shall comply with the requirements of ORS 279A.165 and OAR 125-247-0287(12) regarding a report about this Special Procurement. Agency shall use a form and follow the instructions provided by the State Chief Procurement Officer or delegate.

3. Authorized Agency shall comply with all Enterprise Information Services (“EIS”) conditions and requirements prior to contract execution, if any.

4. Upon completion of the Notice (section 1), DAS PS may reinstate the Price Agreement in accordance with the law.

APPROVED:

Jay Jackson, Procurement Policy Officer Date

Department of Administrative Services

04/11/2024