T04 IGA Feasability Study Eastern ArkLaTex Plus J and A.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

EASTERN - ArkLaTX Plus

Utility Energy Services Contract

1. Identification of Agency and Contracting Office: GSA, Non-Prospectus Projects Branch

(7PQC), Acquisition Management Division; Greater Southwest Region, Public Buildings Service;

819 Taylor Street, Room 12B, Ft. Worth, Texas 76102

2. Nature/Description of Action: Approval is requested to negotiate and issue an EMSA

(Energy Management Services Authorization) Exhibit under the terms and conditions of General

Services Administration (GSA) Area Wide Contract (AWC) GS-00P-13-BSD-0947 for

CenterPoint Energy Resources (CNP) a public utility company regulated by the Texas Railroad

Commission, the Arkansas Public Service Commission, the Louisiana Public Service

Commission, and the Oklahoma Public Service Commission, to provide UESC (Utility Energy

Services Contract) services without full and open competition. The work will be performed at the building sites listed in paragraph 3 below, which is within the CNP franchised service territory established by the above named Commissions, under the terms and conditions of the AWC.

This justification is for all orders that will be awarded for the Investment Grade Audit (Feasibility

Study), project development, design and installation efforts.

3. Description of Supplies Services: Subject to the provisions of the AWC and

Authorization, CNP will provide an Investment Grade Audit, project development, design and installation efforts to implement energy and water conservation projects in the following building(s):

AR0000RK - Richard Sheppard Arnold USCH

600 W. Capitol Avenue

Little Rock, Arkansas

AR0031ZZ - Little Rock Old Post Office and Courthouse

300 W. 2nd Street

Little Rock, Arkansas

AR0062ZZ - Hot Springs Post Office and Courthouse

100 Reserve Street

Hot Springs, Arkansas

AR0066ZZ - Jacob Trieber Federal Building/POCH

617 Walnut

Helena, Arkansas

AR0078ZZ - George Howard, Jr. Federal Building and CH

100 E. 8th Avenue

Pine Bluff, Arkansas

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AR0057ZZ - Texarkana USPO/CH

500 N. State Line Avenue

Texarkana, TX

LA0098ZZ - Tom Stagg USCH

300 Fannin Street

Shreveport, LA

TX0130ZZ - Sam B. Hall Federal Building and USCH

100 E. Houston Street

Marshall, Texas

OK0063ZZ - Tulsa Federal Building

224 S. Boulder Avenue

Tulsa, Oklahoma

OK0074ZZ - Lawton Federal Building and USCH

410 SW 5th Street

Lawton, Oklahoma

TX0000TY - William M. Steger Federal Building and USCH

211 W. Ferguson Street

Tyler, Texas

TX0126ZZ - Ward R. Burke USCH

104 N. 3rd Street

Lufkin, TX

TX0019ZZ - Jack Brooks Federal Building

300 Willow Street

Beaumont, Texas

TX0101ZZ - Houston Custom House

701 San Jacinto Street

Houston, Texas

TX0211ZZ - Bob Casey Federal Building and USCH

515 Rusk Street

TX0297ZZ - Alliance Tower

8701 Gessner Drive

TX0298ZZ - George Thomas Mickey Leland FB

1919 Smith Street

TX0701HO - LaBranch Federal Building

2300 La Branch Street

TX0000HF - 1 Justice Park Drive Federal Building

1 Justice Park Drive

TX0311ZZ - George P. Kazen Federal Building and USCH

1300 Victoria Street

Laredo, Texas

TX0000CV - USBS Laredo Primary & Secondary Insp. Canopy

100 Convent Avenue

TX0000JL - USBS J&L Laredo Bus Unloading Canopy

Termination I-35

TX0000LR - BPSH Laredo Building A

207 W. Del Mar Boulevard

TX0000NW - USBS World Trade Center

715 Bob Bullock Loop

TX0999NW - USBS World Trade Laredo Export Lot

715 Bob Bullock Loop

TX0185ZZ - MLK, Jr. Federal Building

312 S. Main Street

Victoria, Texas

A description of the work requirements for this project is attached hereto. Implementation of this project will allow the United States Government to effectively improve the aforementioned facilities and reduce its electricity, gas and water demand. The energy and water savings will reduce the site’s electricity, gas, and water allocation, resulting in utility cost avoidance and compliance with mandatory laws and statutes to reduce energy and water consumption. The total estimated value of this Order to be issued pursuant to the AWC will be approximately

$1,696,000. The estimated value of the design and installation Order is $38,000,000.

4. Identification of Statutory Authority: 42 U.S.C. Section 8256 of the EPACT encouraged

Government agencies to enter into agreements with electric, water, and gas utilities to design and implement cost-effective demand and conservation incentive programs in order to address the requirements and circumstances of the Government installations. The main purpose of 42

U.S.C 8256 is to authorize the Government to take advantage of the expertise, rebates, and other financial incentives offered to customers of utility service providers for reducing energy consumption (if applicable). This renewable energy project will also assist the aforementioned buildings and locations in meeting the renewable energy goals as established by the EPACT.

Under 42 U.S.C. 8256, the procedures and methods required by the EPACT are “procurement procedures otherwise expressly authorized by statute,” and, as a consequence, are exempt from the Competition in Contracting Act requirement for full and open competition under FAR

6.302-5.

5. Demonstration of Contractor’s Unique Qualifications: Letters of Interest (LOI) were sent to CenterPoint Energy Resources, as they are the utility companies able to provide comprehensive UESC Energy Management Services

(EMS) at the buildings and locations listed in paragraph 3 in accordance with 42 U.S.C. Section

8256. CenterPoint Energy was the only utility that responded to the LOI. Based on evaluation, past performance and interest in the UESC, CNP was selected for the aforementioned services.

6. beta.SAM.gov Contract Opportunities Announcement/Potential Sources: In accordance with FAR 5.202(a)(4), the CO has determined the contract action is expressly authorized by statute to be made from a specified source. The specified source is the regulated utility company that is participating in the UESC DSM project. No announcement was issued since the Letters of Interest were sent to the that cover the areas contained in the scope.

7. Determination of Fair and Reasonable Cost: The anticipated cost to the United States

Government will be fair and reasonable. The Order will be negotiated independently with the price fully substantiated as fair and reasonable. CNP will meet the requirements for open competition by selecting each of the subcontractors performing the design-build for the facilities' energy improvements under the contract from a group of at least three competitors utilizing a competitive process in accordance with FAR 52.244-5.

8. Description of Market Survey: According to the market survey, CenterPoint Energy

Resources, are the utility companies authorized to

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9. Any Other Supporting Facts: CNP can provide all of the UESC EMS Investment Grade

Audit (IGA), design, installation and funding as well as the timely execution of the needed services. In addition to monetary incentives approved by the Texas Railroad Commission, the

Arkansas Public Service Commission, the Louisiana Public Service Commission and the

Oklahoma Public Service Commission, the associated costs for procurement, contract administration, and performance assurance being performed by CNP on behalf of the United

States Government represent a significant savings in time and costs. These cost savings are achieved through multiple conduits which are unique to Performance Contracts: 1) Savings based on a single contractor overseeing similar work on multiple buildings; 2) Efficiency savings achieved through multiple ECMs which are investigated and installed together; and 3) Upfront cost savings where the implementation of the ECMs requires no upfront funding from the government to be accomplished.

10. Listing of Interested Sources: Only CenterPoint Energy Resources, utility companies are available at the listed buildings and locations in paragraph 3 to provide the United States Government with the comprehensive EMS and rebates and other financial incentives required for this project. CNP was the only utility to respond.

11. Actions Taken to Remove Barriers to Competition: The Energy and Acquisition

Support Branch team communicated with utility companies providing utility services at the listed buildings and locations in Paragraph 3 to ascertain their interest, qualifications, and experience in providing UESC EMS. Competition will be utilized in accordance with FAR 52.244-5 subcontractor selection process.

12. Statement of Delivery Requirements: The Order will be negotiated and awarded by the

Contracting Officer for the IGA, design, and installation for the listed buildings and locations in

Paragraph 3. See the attached scope of work for a description of the work requirements.

13. Total Estimated Dollar Value of the Acquisition Covered by this J&A: The United

States Government estimated total cost of accomplishing the work is approximately $40 million.

This includes approximately $1,699,000 for the IGA and $38,000,000 for the design and installation of the ECMs.

14. Reference to the Approved Acquisition Plan (AP): An Acquisition Plan was approved on April 27, 2020 for the IGA order. Another Acquisition Plan will be prepared for the design and implementation order.

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CERTIFICATION AND APPROVAL – Eastern UESC

TECHNICAL/REQUIREMENTS - 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.

Technical Cognizance:

Signature: Date

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

Signature: Date

CO CERTIFICATION

I certify that this Justification is accurate and complete to the best of my knowledge and belief.

Signature: Date

Supervisory CO Concurrence:

Signature: Date

APPROVING OFFICIAL

Upon the basis of the above Justification, I hereby approve the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of FAR 6.304.

Signature: Date

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