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The Intergovernmental Support Agreement: Partnering to Increase Efficiency and Reduce Cost.

The Intergovernmental Support Agreement (IGSA) has been a valuable Army procurement tool since Its inception. Section 331 of the FY 2013 National Defense Authorization Act authorized the military Services to enter into IGSAs for installation support services. The IGSA allows military Services to provide, receive, or share services with state, local, and tribal governments if in the best interests of the department (e.g., increase efficiency/lower cost).

The U.S Army Garrison Presidio of Monterey (USAG POM), in Monterey, California, has been In a public-to-public partnership with the Presidio Municipal Services Agency (PMSA) since 1998. In 1997, PMSA was formed under the Joint Powers Agency authority between two local governments, the City of Monterey and the City of Seaside. The first sole source base operations support services (BASOPS) Federal Acquisition Regulation (FAR) contract was awarded to PMSA in 1998.

In 2013, USAG POM initiated transition planning to move from the BASOPS FAR based contract to an alternate transaction instrument known as an IGSA. The IGSA Is a non-personnel services reimbursable agreement between the Army and PMSA and has become known as the Monterey Model. The IGSA provides USAG POM, Ord Military Community, Signal Activity at Camp Roberts, and the Defense Manpower Data Center with base operations" maintenance for 2.6 million square feet in 367 buildings, 81" land. On 16 October 2018, the Assistant Secretary of the Army (Installations, Energy and Environmental) signed the USAG POM-PMSA IGSA. It went active on 1 January 2019.

The fiscal benefits of the Army IGSA program are well known, with across the board cost savings and cost avoidances. As the largest, most complicated IGSA to date, the USAG POM-PMSA IGSA Is often referred to as the gold standard among IGSAs by the Association of Defense Communities.

The USAG POM-PMSA IGSA has grown Into a well-functioning partnership. One of the most prominent reasons for success is mutual trust. As I have often pointed out to my chain of command, a contractor's bottom line may be completing the job and getting paid while PMSA's bottom line is helping USAG POM fulfill its mission. There is nothing wrong with a contractor concentrating on their bottom line because that is what contracting is all about. That Is what makes the IGSA partnership distinct. One major reason for the successful partnership is that PMSA clearly cares about the Army and Garrison mission. PMSA has clearly demonstrated this on many occasions.

Following are examples of how the USAG POM-PMSA IGSA partnership has benefited the Army:

Barracks Locks

Before PMSA took over the USAG POM locksmith operations, the program was contracted to a private locksmith. The locksmith contract lasted for about two years. The locksmith had a small workshop and storage room. After inheriting the USAG POM locksmith operations, the PMSA locksmith found several piles of locks on the storage room floor. These locks were Kaba 710-11 swipe card locks, used for USAG POM barracks doors. The locks were marked for disposal. The PMSA locksmith could not believe all these locks were broken and needed to be thrown away. He examined them and found that many needed only the replacement of the electronic control board while many others required only cleaning and oiling to function properly. The former locksmith contractor was ready to dispose of every lock. With the realization that the locks could be repaired instead of being thrown away, the PMSA locksmith performed the repairs. They were repaired by either replacing the control board for about $100, or just cleaning and oiling them. The price of a new lock Is about $500. There is now a stock of perfectly functioning Kaba 710-11 swipe card locks. Whenever a USAG POM barracks lock malfunctions, instead of buying and installing a new lock, the PMSA locksmith takes one out of his stock and replaces it. The malfunctioning lock is then repaired and placed in stock. There are approximately 2500 operating barracks locks on USAG POM and 340 working spare locks in stock. With the repair and replace lock program, there will never be a need to purchase another Kaba 710-11 swipe card lock at USAG POM.

Operation Hot Shower

When Army standards changed, and the occupancy of barracks rooms changed from double to triple occupancy, it resulted In too little hot water and long hot water recharge times. Many Soldiers, Sailors, Airmen, and Marines were without hot water for showers. This was a large quality of life issue. PMSA solved this by custom designing upgraded heat exchangers, adding circulation pumps to distribute water temperature, and adding tankless water heaters for peak demand. The traditional contract solution would have cost between $750,000 and $1,000,000. PMSA's solution cost a little over $114,000. By thinking about mission instead of profit, PMSA saved the Army a lot of money and also reduced the time that would have been required to replace the hot water heating system. This is a clear case of cost savings while improving the service member's quality of life.

Roof Replacement

In 2018, USAG POM entered into a major agreement with PMSA to repair, by replacement, 32 roofs on various USAG POM buildings. The original scope of work called for 20-year roofs. PMSA's engineers did some research and recommended 50-year roofs instead of 20-year roofs. The labor cost is about the same and material cost is only slightly more. This was a case of the partner thinking outside of the box with long term solutions. For a slightly higher cost, the Army gained approximately 960 roof-years.

Warranty Issues--Urinal Piping Repair

During normal servicing, PMSA Id discovered that the urinal piping in a USAG POM building was copper rather than galvanized or plastic. The belly of the pipes had been corroded by uratic salts. The specifications for the urinals stated that copper was not to be used, but it had been used by the building contractor. This caused water and other fluids to leak into the wall cavity. This Issue impacted about eight of every ten urinals. PMSA, via USAG POM Department of Public Works, notified the contractor about this major error. The contractor returned and repaired the urinals, without additional cost to the Army. This is another case of the partner looking out for the Army.

Barracks Lights

PMSA installed and modernized lighting fixtures for the USAG POM barracks. The new fixtures have 800% longer bulb life (lower ongoing maintenance costs), and approximately $25,000 annual energy savings. Additionally, PMSA assisted USAG POM with securing a $9,686 rebate on the new lighting fixtures to help offset the cost. This sheds more light on the positive impact of a good partner.

Toilet Efficiency

Another example of PMSA's ingenuity is the toilet retrofit project completed for 1,115 toilets and 94 urinals. This has saved USAG POM 2.3 million gallons, or four Olympic-size pools of water, significantly reducing the USAG POM's water expenses and also helping the environment.

Summary

These are just a few examples of how the USAG POM-PMSA IGSA has benefited the Army because of a trusting partnership relationship instead of a government to contractor relationship. An IGSA is truly a win-win collaboration and may benefit your organization.

* The author thanks Phillip Sanders, USAG POM Resource Management Officer and the whole PMSA team, especially Ms. Tamar Kaufman-Meusel for their helpful information and review of drafts of this article.

Jeffrey Post

Jeffrey Post is the Intergovernmental Support Agreement Manger for the U.S. Army Garrison Presidio of Monterey. He served previously as the USAG POM DPW Services Chief and as a Contract Specialist at Mission Installation Contracting Command. He is also a retired U.S. Navy Supply Corps Officer.
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Author:Post, Jeffrey
Publication:Armed Forces Comptroller
Date:Mar 22, 2019
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