GS-06F-0054N-025.pdf

VHAPM Part 808.405-6 Limiting Sources Attachment 2: Request for Limited Sources Justification Format >SAT

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID: 36C250-19-AP-6314

Contracting Activity: Department of Veterans Affairs, VISN 10, VA Ann Arbor Medical

Center, Network Contracting Office 10, Services Team #4. 506-20-2-525-0010

2. Description of Action: This acquisition is conducted under the authority of the Multiple-

Award Schedule Program (41 U.S.C. 251 and 40 U.S.C. 501). This is a follow-on effort to continue fire alarm system maintenance and testing services at the Ann Arbor VAMC.

Order against: 7 FSS Contract Number: GS-06F-0054N

Name of Proposed Contractor: Johnson Controls Fire Protection LP GSA contract Period of Performance: June 27, 2018 —June 26, 2023

Street Address: 24747 Halsted Road

City, State, Zip: Farmington Hills, MI, 48335

Phone: 248-427-5050

3. Description of Supplies or Services:

The revised estimated value of this procurement action is $713,533.34 This service is for continued maintenance to the existing fire alarm, fire sprinkler, and fire extinguisher system at the Ann Arbor VA Medical Center in Ann Arbor, MI. The current systems are manufactured by

Simplex.

The period of performance consists of one base year (only 11 months) and three option years

(two (2) one year and the last option year will be six (6) months) as follows:

Base Year: February 1, 2020 to December 31, 2020

Option 1: January 1, 2021 to December 31, 2021

Option 2: January 1, 2022 to December 31, 2022

Option 3: January 1, 2023 to June 26, 2023

The period of performance coincides with the ordering period of Johnson Control's GSA contract.

VHAPM Part 808.405-6 Limiting Sources Page 1 of 5

Original Date: 08/30/2017 Revision 01 Eff Date: 04/23/2018

(4) IDENTIFY THE AUTHORITY AND SUPPORTING RATIONALE (see 8.405-6(a)(1)(0(A), (B), and

(C) or 8.405-6(d)), AND IF APPLICABLE, A DEMONSTRATION OF THE PROPOSED

CONTRACTOR'S UNIQUE QUALIFICATIONS TO PROVIDE THE REQUIRED SUPPLY OR SERVICE.

An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays.

x Only one source can provide the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized. On a previous effort for identical services at the Detroit VA Medical Center, Johnson Controls Fire Protection LP provided a letter stating they are the manufacturer of the equipment being utilized, and that the equipment is proprietary, resulting in them being the only company that has technicians that are trained and certified to provide service and maintenance on Simplex equipment.

According to Simplex's website, Johnson Controls (formerly SimplexGrinnell) is one of only two companies that is authorized to perform this work. During market research it was found that the other company, LVC Technologies, only services the Houston, TX area. Therefore, Johnson

Controls is the sole company that can provide these services for Ann Arbor.

In the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.

The previous efforted was posted to GSA e-Buy full and open competition. Awarding this follow-on effort to the incumbent is logical based on the fact Johnson Controls is the only source that can provide the services.

Items peculiar to one manufacturer:

I 1 A patent, copyright or proprietary data limits competition. The proprietary data is: (If FAR 8.405-6(a)(2)iii before posting. Do not include specific proprietary data.

Only mention the type of equipment, procedure, etc. to show that proprietary supplies or services are being procured.)

I I These are "direct replacements" parts/components for existing equipment.

I I The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing. Describe the equipment/function you have now and how the new item/service must coordinate, connect, or interface with the existing system.

VHAPM Part 808.405-6 Limiting Sources Page 2 of 5

(5) DESCRIBE WHY YOU BELIEVE THE ORDER REPRESENTS THE BEST VALUE CONSISTENT WITH

FAR 8.404(d) TO AID THE CONTRACTING OFFICER IN MAKING THIS BEST VALUE

DETERMINATION: Johnson Controls is the manufacturer of the existing fire alarms system, and their equipment is proprietary. It can only be serviced by Johnson Controls factory trained and certified technicians. The VA will receive the benefit of working with Johnson Controls to conduct the required maintenance and repairs according to manufacture standards, thus preventing a malfunction to the existing fire alarm system. The quality and integrity of the system will remain intact as a result of awarding to Johnson Controls. These services are provided at fair and reasonable prices on GSA, which have been determined as such by the GSA contracting officer; however, the contracting officer on this effort will request additional discounts from the vendor. The administrative costs of either replacing the fire alarm system or handling a catastrophic failure in the event another vendor attempts to repair or maintain the system are far greater than the price to have Johnson Controls perform the proper services on their equipment. As a result, it is determined the schedule prices for the maintenance and repair results in the lowest overall cost to meet the government's need. Johnson Controls provides the best value and greatest overall benefit in response to the requirement.

(6) DESCRIBE THE MARKET RESEARCH CONDUCTED AMONG SCHEDULE HOLDERS AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED: IAW

the PPM 2016-05 implementation Veterans First Contracting Program to meet the rule of two requirements, market research was conducted to ensure no other sources could perform these services. The Vendor Information Pages was queried to see if there were at least two

VOSB/SDVOSBs that could perform this work. Only one vendor related to this effort was found

(HurtVet Subcontracting) and therefore the Rule of Two could not be met. Additional research was done via GSA, SBA, and via the contracting officer for the Detroit VA effort. A Sources

Sought was sent to five companies to see if any were capable. Only one response was received from HurtVet Subcontracting. However, the response did not show they were authorized to complete these services on Simplex systems, as required by the Sources Sought. This was key as the equipment is proprietary and only technicians certified to work on Simplex systems are able to perform maintenance. HurtVet also indicated they would be subcontracting with Johnson

Controls, thus creating a pass-through since HurtVet cannot perform any of the maintenance themselves. Therefore, it was re-determined that Johnson Controls is the only source that can provide these services.

(7) ANY OTHER FACTS SUPPORTING THE JUSTIFICATION: None

(8) A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR

OVERCOME ANY BARRIERS THAT LED TO THE RESTRICTED CONSIDERATION BEFORE ANY

SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES IS MADE: Further market research will be conducted on future actions, including exercising options, to see if the market has changed and if any other companies/technicians are certified to maintain the Simplex fire alarm equipment.

VHAPM Part 808.405-6 Limiting Sources Page 3 of 5

(9) REQUIREMENTS CERTIFICATION: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge. I understand that processing of this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by

FAR Subpart 8.4.

STEVEN R.

Digitally signed by STEVEN

R. HORNYAK 648127

HORNYAK 648127 Date: 2020.01.17 12:00:51 -0500' 1/17/2020

SIGNATURE DATE

Steven R. Hornvak Administrative Officer Facilities Management Service

SERVICE LINE/SECTION NAME TITLE

Ann Arbor VA

FACILITY

(10) APPROVALS IN ACCORDANCE WITH THE VHAPM Part 806.3 OFOC SOP:

a. CONTRACTING OFFICER'S CERTIFICATION (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Digitally signed by Katherine Katherine D. D. Gibney 1632400

Gibney 1632400 Date: 2020.01.17 12:07:54 -0500'

KATHERINE D. GIBNEY

Contracting Officer, NCO 10

b. Other Approvals: I certify the justification meets requirements for other than full and open competition.

Digitally signed by Andrew J. Andrew J. Craig 1074724

Craig 1074724 Date: 2020.01.17 12:30:21 -0500'

ANDREW J. CRAIG

Services Team #4 Branch Chief, NCO 10

VHAPM Part 808.405-6 Limiting Sources Page 4 of 5

Digitally signed by

JONATHAN S. JONATHAN S. LATSON

313665

LATSON 313665 Date: 2020.01.17 12:56:11 -0500'

JONATHAN S. LATSON

Division Chief, Healthcare and General Services

NCO 10

MARIE L.

Digitally signed by MARIE

L. SMITH 199285

SMITH 199285 Date: 2020.01.17 16:01:28 -0500'

MARIE L. SMITH

Director of Contracting

NCO 10

c. VHA SAO HCA Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve ($700K to

$68 million) for other than full and open competition.

TE Y L. PF Z ILL

E cutive )irector

Reg! rocurement Office Central (VHA)

VHAPIV1 Part 808.405-6 Limiting Sources Page 5 of 5