Ft_Buchanan_J A_Redacted.pdf

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Transformer Lease, Ft. Buchanan, Puerto Rico
Solicitation number
W912QR-15-T-0089
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Control No.

Justification and Approval for other than full and Open Competition

1. Contracting Agency: The responsible contracting agency is the U.S. Army Corps of Engineers (USACE), Louisville District.

2. Description of Action: This is a request for a sole source to lease one 20 MVA transformer for Fort Buchanan, Puerto Rico for a one year rental period and one option with a rental period of an additional one year. Fort Buchanan is powered by two 20 MVA transformers that were installed in 2011. FY15 O&M funds are available.

3. Description of Supplies/Services: This contract solicitation will be to lease/rent a 20 MVA transformer provided by Lord Electric located in Puerto Rico.

4. Authority Cited: The statutory authority permitting acquisition of the requirement by Other than Full and Open Competition is 10 U.S.C. 2304 (c)(1) as implemented by FAR 6.302-2, Unusual and Compelling Urgency.

5. Reason for Authority Cited:

(a) Background: A new sub-station containing two 20 MVA transformers was completed in 2011 for Fort Buchanan under contract W912QR-10-C-0032 with Lord Electric Company. One of the transformers was struck by lightning during a recent storm event rendering it non-operational. Currently, Fort Buchanan does not have a back-up transformer. This puts Fort Buchanan at risk in the event that the remaining transformer becomes inoperable. This substation provides a significant amount of power to a large portion of Fort Buchanan.

(b) Justification: There is an urgent and compelling need for Fort Buchanan to have a back-up transformer available in order to keep Fort Buchanan fully operational and avoid shutting a significant portion of the base down because of the lack of power. The most expedient way to ensure Fort Buchanan has the back-up power it requires is to award a sole source contract to Lord Construction to lease one 20 MVA transformer.

Fort Buchanan’s island-wide support mission consists of providing real property management and base operations support for all Army Reserve assets in Puerto Rico and the US Virgin Islands. The Base itself has three schools, family and military housing, commissary services, and Army and Air Force Exchange Services.

Puerto Rico is in the midst of Hurricane season. Fort Buchanan’s Base Civil Engineer has requested urgent assistance from Louisville to rent a 20 MVA transformer to ensure back-up power is available to Fort Buchanan in the event that a storm event causes a loss of power.

(c) Impact: If the request to lease a transformer is not approved the Government is at risk of suffering serious injury. Significant portions of Fort Buchanan could become non-operational in the event of other severe weather events or mechanical failures related to the lone operating transformer. Critical Base Services including the Fire Department and Protection Services, Police and Security Services, along with the Directorate of Emergency Services and the three schools nearby would be operationally impacted because of the lack of power. Life Safety and Health issues would be a concern for all individuals, including civilians and military personnel living and working on the installation.

(d) Alternatives: None .

6. Efforts to Obtain Competition: None – Lord Electric previously constructed the sub-stations in 2011 that was rendered inoperable during a storm event. Lord Electric has an office in San Juan Puerto Rico and are very familiar with the technical requirements of the sub-station which will help expedite the process of renting a replacement transformer. Additionally, Lord Electric has worked extensively on the base and with the Puerto Rico Electric Power Authority (PREPA). These activities combined will greatly assist in the procurement of this services contract in renting the transformer.

7. Actions to Increase Competition: None – The solicitation is for a Service contract with Lord Electric which has been deemed to have an urgent and compelling need due to the need for the base to have back-up power in order to avoid risks to life, health, and safety. Additionally, hurricane season is underway which adds additional risk.

8. Market Research: None due to urgent and compelling nature of this action. Lord Electric’s familiarity with components of the sub-station and PREPA, their proximity to Fort Buchanan in Puerto Rico, and their previous work with the Corps under contract W912QR-10-C-0032 makes them the contractor of choice to complete this urgent need. Lord Electric is willing to work with the Government and place a priority on this action to assist Fort Buchanan in this procurement.

9. Interested Sources: Fort Buchanan Base Civil Engineer has requested our assistance and coordinated thru Army Reserve Installation Management Directorate.

10. Other Facts: As mentioned previously Lord Electric did the DB construction contract for the sub-station in 2010-11. They did the design work for the transformer themselves and are very familiar with the requirements. These transformers are custom made for the facilities in which they will be serving. The coordination and approval through PREPA is paramount and because of the aforementioned reasons, Lord Electric is the only contractor that has the familiarity with the specific transformers at issue here, and the experience with PREPA necessary to quickly provide a temporary transformer to meet the Government’s needs. Utilizing Lord Electric will save the Government time and money, and eliminate the urgent life, health, safety concerns at Fort Buchanan in regards to their power supply.

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

Date

Title: Project Manager

8. Legal Sufficiency Review:

Date

Title: Assistant District Counsel

9. Contracting Officer Certificate/Approval I hereby determine that the anticipated cost or price to the Government for the rental of the 20 MVA transformer will be fair and reasonable based on research of the product and equipment. Based on the foregoing justification, I herby approve the justification and approval for the sole source of the equipment specified within the J&A with Lord Construction. Sole-source solicitation is to support the request from Fort Buchanan Base Civil Engineer described herein and authorize the acquisition.

Date

Title: Contracting Officer.

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