A.3.6.1_J A_for_OTF OC.pdf

Project/Equipment: SATOC Increase Capacity

AUTHORITY: AMOUNT: $480,000.00

Prepared by:

NAME (Type or Print)

TELEPHONE NO.

Lea Walker 501-340-1032

TITLE DATE

Contract Specialist

Contracting Officer NAME (Type or Print) TELEPHONE NO.

Arthur J. Brown, III 501-340-1038

TITLE DATE

Contracting Officer

Technical NAME (Type or Print) TELEPHONE NO.

Dudley A. Smith 501-340-1035

TITLE DATE

Project Manager

SIGNATURES ARE REQUIRED BELOW:

Deputy for Small Business SIGNATURE DATE

NAME (Type or Print) TELEPHONE NO.

Soila Reando 501-324-7194

Project Manager SIGNATURE DATE

NAME (Type or Print) TELEPHONE NO.

Dudley A. Smith 501-340-1035

Office of Counsel SIGNATURE DATE

NAME (Type or Print) TELEPHONE NO.

James R. Fisher, Assistant District Counsel 501-340-1020

Contracting Chief SIGNATURE DATE

NAME (Type or Print) TELEPHONE NO.

Sandra Easter 501-324-5686

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity: U.S. Army Corps of Engineers, Little Rock District (CESWL).

2. Description of Action: Approval is requested to modify an existing 8(a) Single Award Task Order Contract (SATOC) to increase contract capacity. This will result in a $480,000.00 increase in contract capacity resulting in a total contract capacity of $49.46 million (or an approx. .0098% increase). All funds will be O&M.

SATOC (Current Capacity $48.98M):

W9127S-12-D-6001, SES Construction and Fuel Services, LLC (SCF) 8(a) business

Expires: 14 March 2014

3. Description of Supplies/Services or Nature of Construction: The North American Industry Classification System (NAICS) code for these services is 236220 - Commercial and Institutional Building Construction. This justification and approval document has been prepared in order to request authorization to modify the U.S. Air Force Medical Support Agency (AFMSA) Program SATOC. The AFMSA program requirements are currently executed via firm fixed price (FFP) task orders which are placed against the ID/IQ contract listed above. AFMSA projects are highly unique in both their technical scope and the requirements of the Contract. The projects include construction and/or renovations of various existing clinics and hospitals throughout the world.

The majority of the AFMSA work is in support of the War Fighter. This includes renovations of hospitals and various other clinics including dental, veterinarian, family health, mental health, flight medicine, optometry, public health, and health management.

4. Authority Cited: 10 USC 2304 (c)(1), FAR 6.302-1(a)(2); Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. Reasons for Authority Cited: The AFMSA contract, listed in paragraph 2 above, was awarded March 08, 2012, and expires March 14, 2014. The programmatic capacity at time of award of the current contract was established at $48,980,000.00 over a total possible 24 months. This capacity was established prior to the award of the contract based on (1) an analysis of the type of work required, (2) anticipated workload, (3) effects on competition,

(4) the capability of small businesses to compete for the required work, and (5) historical AFMSA contract/program data.

Due to task orders awarded in FY12 and FY13, the ID/IQ is at or near exhaustion of capacity prior to expiration of the period of performance. The remaining capacity is $66,957.75.

Additional capacity is requested to award a modification on a task order awarded at the end of FY12.

The additional capacity is requested in the amount of $480,000.00 to modify a task order awarded at Sheppard AFB, Texas. Sheppard AFB, Texas is located in a remote part of northern Texas near the boundary with Oklahoma and has limited access to alternative medical treatment in the immediate vicinity.

The main clinic at Sheppard AFB, Texas currently has three emergency conditions threatening the ability of the clinic to carry out its medical mission:

1) The dental clinic is housed in the main clinic and the necessary dental vacuum system and storage tanks are severely corroded and leaking. Without a fully operational dental vacuum system, the dental clinic will be unable to operate.

2) Two of the mechanical rooms (N602 and N604) have been found to contain asbestos containing material (ACM) within the water piping insulation, creating a life safety condition for maintenance staff and medical personnel.

3) After abatement of ACM within the piping insulation, repairs are required to replace badly corroded chilled water and dual temperature waterlines. Should these lines fail before being repaired, the facility would lose its ability to provide heating and cooling, preventing the facility from the full implementation of its medical mission.

If the capacity increase is not approved, a lapse in performance of the task order will occur while a new contractor is chosen and then mobilizes, resulting in delays in providing the operationally critical facilities discussed above.

Please note that this request for additional program capacity authorization is not to issue any new task order awards. Additional capacity is requested as stated above.

SWL has submitted an acquisition plan which includes a new generation Multiple Award Task Order Contract (MATOC) to replace the current SATOC discussed herein for new work.

The following summarizes the requirement which will be supported by approval of the requested capacity increase:

CLIN 0001 – Abate asbestos in Mechanical Equipment Room N602 and N604 and Remove and Replace Dual Temperature System Water Supply Pipes in Room N602

Areas A, B, and C on Floors 1 through 5 are served by a perimeter Induction system with secondary cooling/heating coils. The pumps for the secondary heating/cooling system are in the sixth floor penthouse. The piping and fittings attached to the pumps in the penthouse are badly corroded and need to be replaced, including a leaking expansion tank. In addition, some of the remaining piping and tanks are still insulated with asbestos containing material (ACM). The contractor shall abate all remaining ACM in the penthouse mechanical room (N602 and N604), and replace the corroded piping with new lines, fittings, connectors, valves, strainers, and expansion tank to provide a working system. The replacement pipe shall be (at minimum) welded steel. Connect to existing water lines where piping is sound. All chilled water and dual temperature water lines shall be covered with two inch high-density insulation and a 3 mil Polyvinyl Chloride (PVC) wrap and will comply with all applicable ASME standards and Mechanical code requirements as required.

Table 1 - Award Summary by CLIN (Sheppard)

CLIN # Deliverable Amount ($) 0001 Base Bid – Repair/Upgrade Electrical Service $2,227,435.76 0002 Base Bid – Remove and Consolidate the Emergency Power System $435,838.94

Base Bid – Remove and Relocate Water Supply Pipes over Active Switchgear $541,215.97

0004 Base Bid – Repair Cracked Active Sanitary Sewer Lines $21,545.87

Base Bid – Remove, Right-Size and Replace Natural Gas Supply Regulator $44,581.38

Total Base Bid = $3,270,617.92

a. Prior Year Awards

SCF is currently working 18 other renovation and/or construction projects for AFMSA.

These projects include three at Nellis AFB, Kadena AFB, Aviano AFB, Vandenberg AFB, FE Warren AFB, Charleston AFB, two at McGuire AFB, Offutt AFB, Kirtland AFB, Edwards AFB, Scott AFB, two at Lackland AFB, Little Rock AFB, Yokota AFB.

Post-award unforeseen conditions have been identified at some of these projects consisting of asbestos containing material and lead. Abatement /remediation of these unforeseen conditions are in scope and have required mandatory contract modifications.

The estimated amount requested for the asbestos abatement at Sheppard is $480,000.00.

6. Efforts to Obtain Competition: As noted in paragraph 4 and reasoned in paragraph 5, SCF is the only contractor that can effectively meet the requirements of this J&A and meet the best fiscal interest of the government. SCF is already mobilized and working at the site.

The existing SATOC was awarded under competitive procedures, and the acquisition strategy for the follow-on contracts provides for maximum competition and also small business participation. As previously noted above, the Little Rock District has approved an acquisition plan which includes a new Engineering Infrastructure Repair (EIR) MATOC to replace all current SATOCs.

7. Action to Increase Competition: None as stated in paragraph above. The follow-on MATOC is anticipated to provide for competition.

8. Market Research: A Notice of Intent was posted on FedBizOpps on 15 August 2013 announcing this proposed increase. No responses were received. Market research for the base contract was performed in the pre-award phase of the SATOC and the contract was awarded competitively. For the follow-on MATOC, current market research supports the award of competitive 8(a) pool of contracts.

9. Interested Sources: Notice of Intent was posted on 15 August 2013. No responses were received.

10. Other Facts: This contracting action resolves this issue in the most economical manner and meets the agency’s funding and operational needs.

11. Technical Certification: I certify that the supporting data under my cognizance, which are included in the justifications, are accurate and complete to the best of my knowledge and belief.

Signature: _________________________________________ Date: ___________________ Name and Title: Dudley A. Smith, Project Manager

12. Requirements Certification: I certify 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.

Signature: _________________________________________ Date: ___________________ Name and Title: David Christiansen, Chief Facilities Operations and Engineering Branch

(AFMSA)

13. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. Price will be evaluated based on government cost estimate and analysis of certified cost and pricing data.

Signature: _________________________________________ Date: ___________________ Name and Title: Arthur J. Brown, III, Contracting Officer

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature: _________________________________________ Date: ___________________ Name and Title: Arthur J. Brown, III, Contracting Officer

15. Legal Counsel Certification: I have reviewed this justification and approval and find it to be legally sufficient.

Signature: __________________________________________ Date: __________________ Name and Title: James R. Fisher, Assistant District Counsel

APPROVAL

Based on the foregoing Justification, I, hereby, approve the modification of contract number W9127S-12-D-6001, with SES Construction and Fuel Services, LLC as listed herein, to increase the capacity pursuant to the terms identified within this Justification and Approval for other than full and open competition basis pursuant to the authority of 10 U.S.C.

2304(c)(1) and FAR 6.302-1.

DATE: ______________________ ___________________________

Sandra Easter, Chief of Contracting U.S. Army Corps of Engineers, Little Rock District