JA - Only One Source (Electric Utilities) SAM.pdf

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Agency: U.S. Army Corps of Engineers (USACE), Louisville District, Post Office Box 59, Louisville, Kentucky 40201-0059.

2. Description of Action: This is to be a sole source service agreement with costs to be paid to Dayton Power and Light (DPL) for the oversight and inspection of the connection to the electrical distribution lines to the Wright-Patterson AFB (WPAFB)

– NASIC IPC Vertical Construction. The project will be funded with AF MILCON funds.

3. Description of Supplies/Services: This action includes the fee required to be paid to DPL, by the contractor, for their oversight of work on or near privately-owned electrical distribution lines and equipment to provide power to the facility. The total estimated cost for the oversight and inspection of the utility connection provided by DPL is XXXXXX. Work has to be performed by DPL in order for the system to become their operation and maintenance responsibility upon completion; this is required since DPL is the owner of the WPAFB utilities.

4. Authority Cited: 10 United States Code (U.S.C.) 2304(c)(1), as implemented by Federal Acquisition Regulation (FAR) 6.302-1(a)(2) “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.” This authority is applicable to utility service justifications in accordance with FAR 6.302-1(b)(3).

5. Reason for Authority Cited:

a. Background: This WPAFB – NASIC IPC Vertical Construction project is being constructed on the WPAFB installation. The project is for the addition of a controlled/secured multi-floor facility to intelligence production facilities at Wright Patterson Air Force Base. Work includes structural frame, metal panel & pre-cast exterior walls; computer room with raised floor, intelligence production, freight and personal elevators, and communications computer equipment; 2,500 KW emergency generator; and atrium. Alteration activities include measures to ensure code compliant facility connection to the new addition; mitigate multiple Fire Safety Deficiency 1’s by eliminating 3 dead-end corridors, 4 exit door bottlenecks, and provide required egress. Overall, the project will add approximately 256,000 SF and alter approximately 22,500 SF. Included in this project is the requirement for the costs to be paid to DPL for the oversight and inspection of the connection to the electrical distribution lines.

b. Justification: FAR 6.302-1(b)(3) states that sole source may be used when the utility company itself is the only source available to work on the system. DPL is the only provider of electrical utility services for Wright-Patterson Air Force Base, OH. Additionally, DPL requires that it oversee and inspect all work necessary to connect new facilities to its privately-owned electrical utility. If DPL does not complete the work, the WPAFB IPC Vertical Construction project will not be included in DPL’s system. This would be detrimental to the project’s operation and maintenance, which in turn provides great risk to mission success.

c. Alternatives: The only other option is to have the construction contractor complete the electrical work. This would result in a facility that is not supported by WPAFB’s utility provider and would be detrimental to the operation and maintenance of the facility. As previously mentioned, an exception to the use of the System Owner was contemplated, but as this facility is required to be included in DPL’s system, this alternative is not feasible.

d. Impact: If utility work is not completed by DPL, the WPAFB IPC Vertical Construction project will not be included in the WPAFB utility system. This would result in complication with payment, operation and maintenance. Since DPL is the privatized utility provider for WPAFB, work on the IPC Vertical Construction project should be completed by them.

6. Efforts to Obtain Competition: Following the procedures set forth in FAR 41.202, DPL is the only source for primary power applicable to the IPC Vertical Construction project at WPAFB. Additionally, it was determined that a notice of intent to sole source for the primary power was not required, in accordance with FAR 5.202(a)(5).

7. Actions to Increase Competition: Although there is the potential for future new electrical service actions, no additional actions are planned to increase competition on follow-on procurements for the same or similar requirement. In the event that a follow on requirement is available, the Government will consider alternatives to the use of the Systems Owners (DPL) and conduct the adequate analysis of those elements in making a determination of feasibility.

8. Market Research: Market research was performed for the overarching project as a whole via a formal sources sought notice on beta.sam.gov, but as previously mentioned, DPL is the Utility Privatization Systems Owner and the only one who can complete the work, so no further market research was conducted for the electrical aspect of the project.

9. Interested Sources: DPL is the sole provider of electrical utility services on the installation. This utility service procurement is exempt from synopsizing as required by FAR 5.202(a)(5).

10. Other Factors:

a. Procurement History: This is a new requirement and as such does not have any substantial procurement history of significance. During the Acquisition

Planning phase, the electrical utility element of this project was discussed, and the determinations mentioned in the sections above were made in conjunction with the overall acquisition plan development.

b. Acquisition Data Availability: N/A

c. Unusual and Compelling Urgency: N/A

d. Subcontracting Competition: N/A