SLVHCS Domestic Water ByPass-629-17-106

SDVOSB Sole Source Award IAW Statutory Authority 38 U.S.C 8127 (c) Governing Regulation VAAR 819.7007
Justification & Approval for OTFOC (>250K) SLVHCS, New Orleans, LA
This action is for a contract award for the project Domestic Water Bypass for the SLVHCS, Replacement Facility VAMC NOLA. A firm fixed price contract with a 120 calendar day period of performance. Contract negotiated with and awarded to The Adjutant Group, LLC (DUNS 831789602), a responsible, SDVOSB Mechanical & Construction Contractor; on a sole source basis under the statutory authority granted to VA in 38 U.S.C. 8127 (c) (better known as Public Law 109-461 or the Veterans Benefits, Health Care and Information Technology Act of 2006.)
The work will provide for the installation of a bypass around the existing domestic water tank and tie into the hospital s sole source of domestic water, all to be done with measures taken to minimize any disruptions to the facilities water supply.
For FY 2018, SLVHCS, New Orleans has identified a need to mitigate risk as it relates to the underground domestic water tank. The tank is the sole source of domestic water for the entire campus. The VAMC desires to prepare provisions in the event the tank has to be taken out of service for maintenance. The Office of Construction & Facilities Management currently does not have an MATOC or SATOC to support this current need. This process could provide a cost savings of an estimated $80K and 6 months earlier delivery. Unless this contract is approved the SLVHCS New Orleans unnecessary cost in design, contractor mobilization and a host of other escalation cost and time in excess of a year to execute the action and perform the requested work. A lengthy mitigation of the aforementioned risk further exposes the VA Medical Center to inadequacy of domestic water supply.
All cost reviewed for cost reasonableness in the areas of OH/Profit, and in the areas of total labor and material cost in comparison to the IGE. A technical analysis of the contractors cost provided by the VA CFM REO, the REO utilizes RS Means cost estimating systems along with their expertise in this area of knowledge. RS Means pricing is generally accepted as being fair & reasonable, as general contractors, architects, and owners around the United States use it to estimate their construction costs.
IAW FAR 15.404-1(b) (ii). The proposed cost compared with the profit and overhead pricing received on other projects performed at the Replacement Facility NOLA. This comparison also determined the pricing as fair and reasonable.
The applicable NAICS code for this procurement is 238220, Size Standard $15.0 Million. 100% Set A-side for SDVOSB. SDVOSB is in compliance with FAR 4.1102(a), FAR 4.1201, FAR 9.105-1(3)(c) VA Acquisition Circular No. 2008-01 dated 8 December 2009, and FAR 22.1302..