J&A Sole Source Swing Space

(1) DOW- USAF, 502 CONS, Justification for other than full and open competition.
(2) FY26 Swing Space Trailer Lease
(3) Extension of existing lease for temporary swing-space facilities currently supporting Joint Personnel Processing Center (JPPC) at JBSA Fort Sam Houston, estimated value $5.2M
(4) 41 U.S.C. 1901, in accordance with RFO 12-201-1.
(5) Awarding a new lease for the Joint Personnel Processing Center (JPPC) swing‑space facilities to any contractor other than McGrath Rentcorp would result in severe mission degradation, substantial operational downtime, and significant duplication of costs that cannot be recovered through competition. The JPPC relies exclusively on the existing modular facilities to execute essential personnel support functions for Army, Air Force, and Navy personnel at Joint Base San Antonio–Fort Sam Houston (JBSA‑FSH). 
Mission Impact-  The JPPC has no telework capability for its  employees and no approved alternate work location. The existing modular facility is the only space that meets the operational, accessibility, and network requirements necessary to support the JPPC mission. If the Government were to transition to a new contractor, the existing units would have to be demobilized and removed before a replacement facility could be installed. Market research indicates this process would result in approximately 220 to 255 days of operational downtime (60 to 75 days to demobilize and remove the existing modular facility and160 to 180 days to deliver, install, and connect utilities for a new modular facility in the same location). Because JPPC operations must remain physically located on Fort Sam Houston to support Army and Navy personnel and to access Army network systems, relocation to Lackland or Randolph is not feasible. With no telework capability, this downtime would result in a complete cessation of JPPC services, affecting approximately 8,000 JBSA personnel, based on an average of 500 customers per week. Such an interruption would constitute mission failure and would significantly impact personnel readiness across multiple services.
Cost Impact-  Transitioning to a new contractor would also result in substantial duplication of costs that cannot be recovered through competition. The Government would incur roughly $414,000 in costs associated with removing the existing trailers and restoring the site (already included in the current contract) and roughly $1,154,500 in costs for a new contractor to deliver, install, and re‑establish utilities for replacement trailers of similar size. This results in a total of approximately $1,569,500 in duplicated, non‑recoverable costs solely attributable to switching contractors. These costs provide no additional value to the Government and would be incurred only because of contractor turnover..
(6) 502 CONS posted a Notice of Intent (NOI) to award a sole‑source contract on 18 December 2025 for a period of seven days, inviting any interested contractors to identify their capability to meet the requirement. No contractors responded to the NOI during the posting period.
(7) Price reasonableness for this sole-source action was established through price analysis in accordance with RFO 15.404-1. The primary method of analysis will be a comparison of the contractor's proposed price to the Independent Government Cost Estimate (IGCE), the historical pricing from the predecessor contract, and other any pricing data required to determine fair and reasonableness. 
(8) A Notice of Intent (NOI) to award a sole‑source contract was posted to SAM.gov  on 18 December 2025 for a period of seven calendar days. The Government received no responses. In addition, the Small Business Administration (SBA) Small Business Search tool was utilized to assess the cost and schedule impacts associated with competing this requirement. Four vendors were contacted; however, only one provided pricing and schedule information. No further market research was conducted to identify additional sources capable of meeting the Government’s needs, as the acquisition strategy determination supports proceeding with a sole‑source award.
(9) McGrath Rentcorp is uniquely positioned to continue providing uninterrupted swing‑space support for the JPPC because they own the existing modular facilities, maintain them, and can ensure continuity of operations without the extensive downtime and financial loss associated with transitioning to a new contractor. Awarding to any other source would result in mission failure,  service disruption, and duplication of Government resources.
(10) N/A.
(11) Prior to exercising any option periods under this requirement, the contracting officer will conduct a comprehensive analysis to determine whether significant changes have occurred in the market or in the construction progress of Buildings 2792 and 4011. This review will ensure that exercising the option, or awarding any future follow‑on action, remains in the Government’s best interest and that a continued need for the requirement still exists.
(12) CO has  determined the document to be both accurate and complete to the best of their knowledge and belief.