A02-JA Simplified Procedures - FAR 13 - Metasys_Redacted.pdf

Control No: JA-20-06-00118

Program: Metasys Calibration and Maintenance

Version – March 2017 FOR OFFICIAL USE ONLY

JUSTIFICATION REVIEW DOCUMENT

FAR SUBPART 13.5 SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL ITEMS –

SOLE SOURCE JUSTIFICATION AND APPROVAL

Program/Equipment: U.S. Army Public Health Center (APHC) Quality Safety and Regulatory Compliance Office (QSARC) requests Calibration and Service Maintenance of the current Johnson Controls Metasys environmental monitoring system used for ensuring and monitoring appropriate animal room and Temperature Sensitive Medical Products (TSMP) storage conditions.

Authority: Simplified Procedures for Certain Commercial Items, 41 U.S.C. 1901 as implemented by FAR Subpart 13.5.

Amount:

Prepared by: DSN: 410-417-4160

Contracting Officer: Sharew Hailu DSN: 619-2054 Contracting Officer Date:14 July 20 Email: sharew.hailu.civ@mail.mil

Technical:

Requirements:

l

Reviews: I have reviewed this justification and find it adequate to support sole source.

Program Manager/Project Manager/COR:

Typed Name:

Signature:

Program: Metasys Calibration and Maintenance

Version – March 2017 FOR OFFICIAL USE ONLY

FAR Subpart 13.5 Simplified Procedures for Certain Commercial Items – Sole Source Justification and Approval

1. Contracting Activity: The contracting activity responsible for this action is the U.S. Army Medical Research Acquisition Activity (USAMRAA), 820 Chandler Street, Fort Detrick, MD 21702

2. Description of Action: The U.S. Army Public Health Center (APHC) Quality Systems and Regulatory Compliance Office (QSARC) requests a firm-fixed-price new contract with Johnson Controls, Inc. - Bldg. E5703, Sibert Road, Gunpowder Md.21010. DHP funds will be used.

An acquisition plan is not required because this procurement does not meet the threshold at Defense Federal Acquisition Regulation Supplement 207.103(d)(i)(B).

3. Description of Supplies/Services: The United States Army Public Health Center (APHC) is seeking a non-personal, Firm Fixed Price, services contract to provide Calibration and Maintenance for APHC buildings to include the animal room environmental monitoring system and refrigerators/freezers monitoring system. Regulations and standards identify requirements for ensuring and monitoring appropriate animal room environmental conditions. In addition, refrigerators and freezers used for Temperature Sensitive Medical Products (TSMP) storage must be dedicated for storage of TSMP, maintain the required storage temperatures, be appropriately labeled to identify and have a calibrated (periodically calibrated by medical maintenance and calibration label affixed) working recording thermometer. The TSMP systems must be capable of monitoring storage locations 24 hours a day, 7 days per week.

Authority Cited: Simplified Procedures for Certain Commercial Items, 41 U.S.C. 1901 (or 41 U.S.C. 1903 for Special Emergency Procurement) as implemented by FAR Subpart 13.5:

Unusual and compelling urgency Exclusive licensing agreements Industrial mobilization

XX Other: Only one source is reasonably available per FAR 13.501 (a)(1)(i)

5. Reason for Authority Cited:

(a) The Johnson Controls, Inc. (JCI) is the Original Equipment Manufacturer of the Metasys Environmental Monitoring system already in place at APHC. Metasys is a proprietary system to JCI and the calibration and maintenance services can only be conducted by JCI. Services can only be provided from the original source as this is a follow-on requirement for the continued provision of highly specialized services. Award to any other source would result in the

Contractor: Johnson Controls, Inc.

Program: Metasys Calibration and Maintenance

Version – March 2017 FOR OFFICIAL USE ONLY replacement of a new monitoring system and substantial duplication of cost to the Government that is not expected to be recovered through competition. If these funds are not awarded to the desired contractor, funding will be withdrawn and the project will fail due to “sunken costs”. The sunken costs in this case are that the JCI Metasys system is already in place and the JCI system would have to be removed and completely replaced with a new system. If another contractor is awarded the contract, the cost of installing a whole new system would not be cost effective and none of the proposal would be feasible.

(b) Alternatives: The APHC does not have any in-house technical personnel with experience to complete Metasys Calibration and Maintenance. The only known source to meet the requirement is JCI.

6. Efforts to Obtain Competition: Contracting Officer shall publish the notices required by FAR

5.201. A Request for Information (RFI) was posted on www.beta.SAM.gov on 18 May 2020.

Potential sources were given the opportunity to provide a capability statement and there were no responses to this RFI.

7. Actions to Increase Competition: Competition of the requirement is not possible since the proposed contractor, JCI, is the Original Equipment Manufacturer and the only source that can provide Maintenance and Calibration services on their systems for the APHC. No other source exist that can provide these required services.

8. Market Research: Market research was conducted through discussions with knowledgeable persons in Government and industry regarding the commercial nature of this requirement and standard industry practices in this area of supply/services.

A Request for Information was posted on beta.SAM.gov on 18 May 2020, for 10 days. As a result of the intent, no responses were received. A Notice of Intent was posted beta.SAM.gov on 26 May 2020 and no responses were received.

QSARC is continuously researching to discover other companies that can provide an environmental monitoring which is more efficient and obtains a more effective way of monitoring, reporting, and alarming to POC. If a higher technically advanced system is introduced into the market which can provide a more cost effective method of monitoring, reporting, and alarming environmental monitoring data that would offset sunk costs of the JCI system, then the agency would have to consider if it is in the best interest of the Government to re-purchase the new system and supporting equipment. This would ultimately depend on how much the new system could impact the Army’s overall mission in a positive manner and if the positive outcome to the Army outweighed the costs.

At this time, only one known source, JCI, has been identified and can meet the Government’s needs to provide support for this effort.

9. Interested Sources: See paragraph 6 for the synopsis information to date, no other sources have written to express interest in the acquisition.

Program: Metasys Calibration and Maintenance

Version – March 2017 FOR OFFICIAL USE ONLY

10. Other Facts:

a. Procurement History:

(1) Contract numbers and dates of the last several for similar requirements:

W81XWH-17-P-0235

FY 18 Base: 28 Sep 2017 – 27 Sep 2018 FY 19 Option Year 1: 28 Sep 2018 – 27 Sep 2019 FY 20 Option Year 2: 28 Sep 2019 – 27 Sep 2020

(2) The competitive status of these actions. Sole Source

(3) Authority previously cited if less than full and open competition was used.

41 USC 1901 FAR 13.501(a)(1)(i)

(4) If a justification was prepared to support the procurement made before this one, a summary of the contents of paragraph 7 of the justification for that procurement and an explanation of the results. No justification was provided in previous procurement.

(5) If any prior contract for this requirement was accomplished using full and open competition, include a detailed explanation of the changed circumstances causing this action to now limit the sources. N/A

(6) An explanation of any unusual patterns that may be revealed by the history, e.g., several consecutive, urgent buys. N/A

(7) If a justification was prepared to support the procurement made before this one, briefly describe the circumstances justifying the procurement and whether there have been any significant changes. No justification was provided in previous procurement.

Program: Metasys Calibration and Maintenance

Version – March 2017 FOR OFFICIAL USE ONLY

11. Technical Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name Signature:

12. Requirements Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name:

Signature:

13. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable.

This determination will be made using the following: ��price analysis ��cost analysis IGE ��audit: ��other:

As a part of this basis, certified cost or pricing data is not required because the item and/or services being acquired are considered commercial.

Typed Name: Sharew Hailu Date:

Title: Contracting Officer Signature:

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Typed Name:

Signature:

HAILU.SHAREW.

1410278207

Digitally signed by

HAILU.SHAREW.1410278207

Date: 2020.07.15 14:58:20 -04'00'