Final_Justification_RFID_Readers_signed.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

(SOLE OR SINGLE SOURCE)

In accordance with FAR Subpart 13.106-1 Soliciting Competition, this request for a noncompetitive acquisition is hereby submitted for consideration for acquisition approval.

1. IDENTIFICATION OF THE AGENCY AND THE CONTRACTING

ACTIVITY:

Requesting Agency:

USDA APHIS Veterinary Services (VS) Animal Disease Traceability (ADT) Program National Animal Disease Traceability & Veterinary Accreditation Center 2150 Centre Avenue, Building B Mailstop 3E13, Room 3E100 Fort Collins, CO 80526

Contracting Activity:

USDA, APHIS, MRPBS, AAMD

Minneapolis Procurement Branch 250 Marquette Ave, Suite 410

Minneapolis, MN 55401

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING

APPROVED:

Due to the circumstances described below, the APHIS, Veterinary Services, Animal Disease Traceability Program requests the following be acquired using a noncompetitive procurement in support of program mission requirements including purchase, location assessment and installation of radio frequency panel readers designed specifically for use in slaughter facilities for the purpose of tag retirement.

3. A DESCRIPTION OF THE SUPPLIES, EQUIPMENT, OR SERVICES

REQUIRED TO MEET AGENCY NEEDS (INCLUDING THE ESTIMATED

VALUE OF THE ACQUISITION INCLUSIVE OF OPTIONS):

The ADT Program wishes to contract with Allflex USA, Inc., 2805 E 14th St, Dallas, TX, 75261, to purchase 10 ALEIS 3205 PACKING PLANT ANTENNA SYSTEMS (with one option to purchase additional units and installation up to 6) designed for internal slaughter plant use, perform the necessary site surveys that verify a physical and environmental location exists within the slaughter plant, and install antenna/readers. Facilities receiving this equipment will agree to provide the official identification numbers captured by these systems to VS, enabling retirement of the numbers.

ADT has reviewed pricing for the equipment and services detailed above. The cost of the equipment currently being considered is less than the purchase price of equipment per a 2016 quote from Allflex USA due to foreign market penetration enabling them to reduce the total cost.

ADT has not purchased this type of equipment from Allflex USA before, but has purchased over 1 million low frequency radio frequency identification (RFID) tags for cattle and several hundred handheld RFID readers over the past 15 years.

This contract will directly support the following USDA, MRP and APHIS strategic goals by enabling the Agency to retire official identification tags: USDA Strategic Goal 1: Ensure USDA programs are Delivered Efficiently, Effectively, and with Integrity and a Focus on Customer Service;

USDA Strategic Goal 2: Maximize the Ability of American Agricultural Producers to Prosper by Feeding and Clothing the World;

USDA Strategic Goal 3: Promote American Agricultural Products and Exports MRP Strategic Goal: Make significant progress in demonstrating and delivering value to producers for complying with ADT framework.

APHIS Strategic Goal 1. Prevent the entry and spread of agricultural pests and diseases; APHIS Strategic Goal 5. Ensure the safe trade of agricultural products, creating export opportunities for U.S. producers; APHIS Strategic Goal 6. Protect the health of U.S. agricultural resources, including addressing zoonotic disease issues and incidences, by implementing surveillance, preparedness and response, and control programs.

4. IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING

NONCOMPETITIVE ACQUISITIONS:

FAR 13.106, soliciting form a single source

5. A DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUISITION REQUIRES

USE OF THE AUTHORITY CITED:

Allflex is the world leader in technology, manufacturing and delivery of radio frequency animal identification devices and reading equipment. APHIS is aware of at least 40 large slaughter plants in the US that have Allflex/Aleis RFID reading systems installed, and that the company is well respected within the meat processing industry. Allflex is also well recognized in the international community, with Canada, Australia, New Zealand and European Nations using the Allflex/Aleis systems to record RFID tags at slaughter and at other points along the production chain.

APHIS maintains close relationships with the slaughter establishments and has personnel in these plants on a daily basis. We are unaware of other reader systems specifically designed to withstand the harsh environments and interference found inside these facilities.

Allflex’s personnel have extensive expertise installing and maintaining slaughter plant RFID reading systems, and provide a US based technical support team when issues arise with the equipment. In addition, their RFID eartag and other readers are used extensively throughout the U.S. cattle industry. Allflex’s specialized equipment, expertise and track record make this system and supplier the only reliable option for this contract.

6. A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE, INCLUDING

WHETHER A NOTICE WAS, OR WILL BE, PUBLICIZED AS REQUIRED BY FEDERAL

ACQUISITION REGULATION (FAR) SUBPART 5.2, AND IF NOT, WHICH EXCEPTION UNDER

FAR 5.202 APPLIES:

Notice of intent to sole source will be posted per the FAR on FBO.gov to inform industry of the intent to sole source this purchase from Allflex USA.

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE, AND THE BASIS FORTHAT DETERMINATION:

Historic pricing information will be used to establish price reasonableness as well as market comparables. ADT has reviewed pricing for the equipment and services detailed above. The cost of the equipment currently is less than purchase price of equipment according to a 2016 quote from Allflex USA for the same products. Further, pricing information for comparable units not used in such facilities will also be used.

8. A DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (FAR

PART 10) AND THE RESULTS, OR AN EXPLANATION OF THE REASON

MARKET RESEARCH WAS NOT PERFORMED:

ADT and CEAH staff performed the following market research:

• Conducted internet searches for RFID readers designed for use in slaughter plants

• Queried Veterinary Services field personnel that work in large slaughter plants as to the type of RFID systems used at the facilities they inspect

• Reviewed RFID reader equipment approved by other countries for use in slaughter facilities

The market research performed found no other RFID reader specifically designed for use in slaughter facilities that meet our requirements.

9. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL

AND OPEN COMPETITION:

• Readers must be designed specifically for use in slaughter plant environments without interfering with existing operations.

• Manufacturer on-site maintenance must be available (for a fee) within 48 hours when determined necessary to repair malfunctioning equipment.

• Readers must provide a mechanism for remote support from manufacturer when adjustments are necessary to compensate for internal plant environmental changes that affect the readers efficiency and ability to read tags properly.

• Readers must have the ability to store tens of thousands of tag reads with individual tag read date and time stamps and provide the ability for downloading data to portable storage devices.

• Readers must provide the ability to connect directly to a slaughter plant’s information system, if desired by the plant management.

• Must be compatible with US electrical power sources and provide for direct connections to existing available electricity in US slaughter plants without the need for battery power (except to maintain internal date and time in the result of a power outage).

10. A LISTING OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN

INTEREST IN THE ACQUISITON:

None

11. A STATEMENT OF THE ACTIONS, IF ANY. THE AGENCY MAY TAKE

TO REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION

BEFORE ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES,

EQUIPMENT, OR SERVICES REQUIRED:

This justification will be posted on FBO.gov so that industry can be informed of the purchase. The program will continue to research the marketplace for new products that might meet its needs for future acquisitions.

12. I HEREBY CERTIFY THAT THE INFORMATION PROVIDED IN THIS

JOFOC IS ACCURATE AND COMPLETETOTHE BEST OF MY

KNOWLEDGE AND BELIEF.

(Certification requires the signature of the contracting officer and program manager, and shall include the date)

Patricia Simon Date Sunny Geiser-Novotny Date Contracting Officer Program Manager Minneapolis Procurement Branch Animal Disease Traceability