A63_DF_for_FMS_Case_EG-D-QBH_Pacer_Forge_17-R-0014_final_signed.pdf

Control Number 17-004

DETERMINATION AND FINDINGS

INTERNATIONAL AGREEMENT COMPETITIVE RESTRICTIONS (IACR)

Foreign Military Sales (FMS) Case EG-D-QBH Pace Forge, Egypt.

Upon the basis of the following determination and findings which I hereby make pursuant to the authority of 10 U.S.C. 2304(f)(2)(E) as implemented by Federal Acquisition Regulation (FAR) 6.302-4, Defense Federal Acquisition Regulation Supplement (DFARS) 206.302-4(c), and the USACE Acquisition Instruction (UAI) 6.302-4-100(c), (International Agreement), the project described below is authorized for contracting without providing for full and open competition procedures.

FINDINGS

1. Background: As part of FMF Case EG-D-QBH, The Egyptian Air Force (EAF), US Air Force Security Assistance and Cooperation Directorate (AFSAC), and Egyptian Armament Authority (EAA) have requested USACE-TAMs support in planning, execution, and eventually contract closeout of Pacer Forge, a Firm Fixed Price Single Award Task Order Contract (SATOC) as well as planning execution, closeout of individual task orders, and warranty management. Approximately $15M, with four (4) option years at $10M per year, is available for this project, to include Design, Construction, S&A, and Contingency. This procurement is being made pursuant to the Letter of Offer and Acceptance (LOA) EG-D-QBH Amendment 3 between the U.S.

Government, and the Government of Egypt-Ministry of Defense. The U.S. Army Corps of Engineers is the Implementing Agency for this LOA.

2. Program Goals: Pursuant to the Arms Export Control Act (Section 22, U.S.C. 2762, Chapter 39) as implemented by DFARS 225.73 Acquisitions for Foreign Military Sales (FMS), the FMS customer may request that defense services be obtained from a particular contractor if directed by the LOA. Further, DFARS 225.7304 Customer Involvement, states “The contracting officer shall honor such requests from the FMS customer if the LOA, or other written direction sufficiently fulfills the requirements of FAR Subpart 6.3.” Per the case note, direction of sole source or limited competition has been delegated to the Government of Egypt-Ministry of Defense. The Host Nation requested the construction and upgrade of facilities at various locations in Egypt through the use of a SATOC utilizing AICI on a sole source basis. The sole source is due to the fact that AICI has been previously utilized on previous construction and renovation projects throughout Egypt with excellent performance, and has the knowledge and experience with the workshop systems and utilities. On August 15, 2016, the Egyptian Procurement Office signed Amendment 3 to the LOA providing USACE TAM direction requesting award of the sole source contract for construction services to AICI.

3. Discussion: Line Item 703 of LOA Amendment 3 provides for the construction and upgrade of facilities at various locations in Egypt in support of American weapon systems as identified by the Pacer Forge project delivery team. Amendment 3 of the

Control Number 17-004

LOA also provides for Sole Source Procurement. The FMS customer has requested that AICI be designated as the sole source construction contractor.

The LOA Case EG-D-QBH, Line Item 700, authorizes funding of this contract in the amount of $16,436,415. The total proposed contract will have an estimated cost of $55M that includes the base year ($15M) with four (4) option years ($10M per year).

This estimate includes USACE required costs associated with this request which includes non-solicited Corps specific special clauses, bonding, mobilization/demobilization and other requirements. The NAICS Code is 236220 and the period of performance is 365 calendar days after Notice to Proceed is issued.

DETERMINATION

Upon the basis of the findings above, I hereby determine, pursuant to the authority of 10 U.S.C 2304(c)(4), (International Agreement), in accordance with procedures required by FAR 6.302-4, DFARS 206.302-4, and USACE Acquisition Instruction 6.302-4-100(c), subject to availability of funds, that the Foreign Military Sales acquisition of the Pacer Forge SATOC on an other than full and open competition basis is necessary and justified.

WANDA M. CROSS

District Contracting Chief