A06_Redacted_JA.pdf

Limited Sources Justification Postage and Meter Supplies

Control No.

1. Identification of the agency and the contracting activity.

U.S. Department of Agriculture (USDA), Farm Production and Conservation (FPAC) Business Center (BC), Acquisition Division (AD).

2. The nature and/or description of the action being approved.

Issuance of a single-award firm-fixed-price blanket purchase agreement (BPA) to Pitney Bowes under GSA Schedule contract 47QSMA21D08R3. Orders against the BPA will be issued as needed.

3. A description of the supplies or services required to meet the agency�s needs (including the estimated value).

FPAC has a repetitive need for postage and supplies for the FPAC owned Pitney Bowes postage meters.

Postage and meter supplies are required for approximately 4,917 Pitney Bowes postage meters at a variety of locations within Farm Service Agency (FSA), Natural Resource and Conservation Service (NRCS), FPAC-BC, and Risk Management Agency (RMA).

The period of performance will be for a 12-month base and four 12-month option periods.

Estimated Value, Base Year Estimated Value, Option Year 1 Estimated Value, Option Year 2 Estimated Value, Option Year 3 Estimated Value, Option Year 4 Total Estimated Value

4. The authority and supporting rationale.

FAR 8.405-6(a)(1)(i)(B) � Only one source is capable of providing the supplies or services requried at the level of quality required.

The Government procured the postage meters and maintenance services competitively through task order 12FPC219F0186 against Pitney Bowes GSA contract in September 2019. Pitney Bowes is the only vendor from whom FPAC can receive postage and supplies for the postage meters as confirmed by a Pitney Bowes representative via email on December 2, 2022. FPAC paid off the remaining lease term on the postage equipment in September 2022. FPAC now owns the metering equipment and currently holds a contract for maintenance and data hosting services on the Pitney Bowes Mail metering equipment under Task Order 12FPC223F0001; if FPAC did not utilize Pitney Bowes, it would require the purchase of all new equipment.

5. A determination by the ordering activity Contracting Officer (CO) that the BPA and resultant orders represent the best value consistent with FAR 8.404(d).

In accordance with FAR 8.404(d), GSA has already determined the prices of supplies under schedule contracts to be fair and reasonable therefore the ordering activity is not required to make a separate determination of fair and reasonable pricing. By placing an order against a schedule contract using procedures in FAR 8.405, the ordering activity has concluded that the order represents the best value, as defined in FAR 2.101.

The CO will ensure proposal does not exceed the rates negotiated by GSA and shall seek a price reduction IAW FAR 8.405-4 for orders that exceed the simplified acquisition threshold.

The CO will also compare proposal to catalog pricing from the manufacture�s websites and the Independent Government Price Estimate to ensure pricing is consistent with current market prices.

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

Based on market research and communication with Pitney Bowes, the Contracting Officer determined that no third-party resellers were authorized to provide postage and supplies on Pitney Bowes Postage metering equipment. The Contracting Officer made this determination after reviewing the GSA Schedule and confirming with Pitney Bowes by email.

7. Any other facts supporting the justification.

None

8. A statement of actions the agency may take to remove or overcome any barriers to competition if subsequent acquisitions are anticipated.

The agency will conduct market research in the future to consider alternative sources and the cost/benefit of changing providers as existing equipment ages.

Additional Reviews & Approvals

I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief.

Therefore, unless additional approvals are required as prescribed below, as advocate for competition for the procuring activity, I hereby approve this justification.

I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief.

Therefore, unless additional approvals are required as prescribed below, as Head of Contracting Activity, I hereby approve this justification.