Brand Name LSJ NFPS II Haworth_Final Signed 3.14.2022 (2).pdf

Limited-Sources Brand Name Justification (LSJ)

LSJ No.: FY22-0003

This acquisition is conducted under the authority of the Multiple-Award Schedule Program, 41 U.S.C. 152(3), Competitive Procedures, and 40 U.S.C. 501, Services for Executive Agencies.

1. Agency and Contracting Activity:

U.S. Department of Homeland Security (DHS), Office of Procurement Operations (OPO) on behalf of the DHS Office of Strategic Sourcing, proposes to award a Blanket Purchase Agreement (BPA) for Haworth furniture products and services pursuant to FAR 8.405-6(b) Items peculiar to one manufacturer.

2. Nature and/or description of the action being approved:

DHS/OPO intends to limit the number of sources solicited pursuant to FAR Part 8.405- 6(b)(1) for the procurement of Haworth brand name furniture products and services.

DHS/OPO intends to solicit Haworth products utilizing GSA Multiple Award Schedule (MAS) Large Category- Furniture & Furnishings, Subcategory- “Packaged Office”, Special Item Number (SIN) 33721P, and Large Category Number- Furniture & Furnishings, Subcategory- “Comprehensive Furniture Management Service, Special Item Number (SIN) 541614CF, from the 15 estimated authorized Federal Supply Schedule (FSS) resellers to ensure a fair and reasonable price.

3. Description of Supplies/Services:

The requirement is to provide products and services peculiar to Haworth product lines by offering a "packaged office" and "total solution" at an estimated cost of $97.5M. The required Haworth product lines will allow DHS Components to re-utilize existing Haworth furniture or buy new Haworth furniture to match existing configurations. Haworth furniture products are one of the four major furniture product groups existing in DHS Component facilities.

Period Unit Price Total Unit Base Period 12 mo $2,166,666.67 $26,000,000 Option Period 1 12 mo $1,583,333.33 $19,000,000 Option Period 2 12 mo $1,333,333.33 $16,000,000 Option Period 3 12 mo $1,833,333.33 $22,000,000 Option Period 4 12 mo $1,208,333.33 $14,500,000 Total (5 years): $97,500,000 http://uscode.house.gov/

4. Authority and supporting rationale:

DHS/OPO intends to procure Haworth products using Haworth product specifications through the Multiple Award Schedule Program under the authority of 41 U.S.C. 152(3), Competitive Procedures, and 40 U.S.C. 501, Services for Executive Agencies. Pursuant to FAR 8.405-6(b)(1), this brand name specification must be used to match existing Haworth brand name products estimated at $69M currently found within multiple DHS Component facilities that are necessary for future projects and programs requiring re-use and reconfigurations per the current mandates and directives for regarding the standardization and integration of DHS real property, its office space and furniture.

DHS currently has an existing furniture inventory of Haworth products across the nation in the DHS offices at an estimated value of $69 million. For the reasons stated below, the current Haworth products are only interchangeable with other Haworth brand name furniture products.

DHS furniture requirements are focused toward procuring new products that meet "flexible workplace standards" and promoting cost savings and efficiencies, which requires the matching of existing product requirements within each DHS facility. The DHS requirement for Haworth brand name furniture products is a result of certain pertinent physical, functional, and performance characteristics that DHS requires and can only be realized when new Haworth products are reconfigured and integrated with the existing Haworth products across DHS.

The needed Haworth products are peculiar to one manufacturer because of its unique features, which include the design development, manufactured materials and manufactured parts and pieces, as well as the specific technical inter-connect ability of the new and existing Haworth furniture. Reutilization of existing Haworth products will require new Haworth manufactured parts and pieces to match. It is essential to maintain Haworth products for the re-use of parts and pieces meeting specific “salient features” that define DHS furniture standards, which requires the interconnectability to existing furniture that only Haworth brand name products can meet.

For example, through market research, other manufactured products such as Tecknion and FPI/Unicor Allsteel had different “salient features” that did not satisfy DHS requirements and furthermore were unable to integrate and connect with existing Haworth products. The market research that was conducted in an effort to determine whether other manufacturers’ products can meet, or be modified to meet, DHS’s needs, consisted of the program office reviewing a variety of potential sourcing options, including HON and Allsteel product lines.

Ultimately, it was determined that no other viable alternative exists to procuring the required furniture products except on a brand name basis. Any attempt to procure another manufacturer’s product will not meet all 3 combined pertinent factors which include;

physical (look, feel, and finishes), functional (fit and connections of parts and pieces) and performance characteristics (use of mechanisms with the manufactured parts and pieces).

Procuring an alternate manufactured product that cannot integrate with Haworth will require removal and disposal of the existing Haworth products at DHS Component facilities.

Disposing of these parts and pieces would not only be considered wasteful, but also cause DHS to incur additional costs for their removal. Furthermore, integrating existing Haworth products with new Haworth products will maintain and mitigate the risk of manufacturer warranties. Haworth will not cover the warranty of their products if a substitution of any unauthorized non-Haworth component is used in the place of Haworth components in an integrated product solution, including but not limited to work surfaces, leg supports, panels, brackets, shelves, overhead bins and other integral components. Additionally, any reconfiguration must also be performed by an installer who is certified under the Haworth product line. The existing inventory of the parts and pieces that make up the significant footprint of the Haworth products is cost effective to reprocure because other products are not interchangeable with this product line.

5. Determination by the ordering activity contracting officer that the anticipated order represents the best value consistent with FAR 8.404(d):

The contracting officer will solicit from resellers for the establishment of a BPA for Haworth product lines. Contractors holding GSA Multiple Award Schedule contracts under the GSA Multiple Award Schedule (MAS) Category Number/SIN 33721P, “Packaged Office” and Category Number/SIN 541614CF will be sought. GSA has already negotiated fair and reasonable pricing. As such, the contracting officer has determined that issuing a BPA for Haworth product represents the best value and will result in the lowest overall cost, considering price and administrative costs, to meet the Government's needs. Furthermore, additional discounts beyond the GSA Multiple Award Schedule prices will be requested in the RFQ.

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:

Market research conducted by Chief Readiness Support Officer (OCRSO) and Strategic Solution Office (SSO) shows that existing GSA MAS Schedules under FAR Subpart 8.4, Federal Supply Schedules (FSS) offer Category Number/SIN 33721P, “Packaged Office" solutions and Category Number/SIN 541614CF, "Comprehensive Furniture Management Services." In some cases, services found under SIN 541614CF can be found consolidated under SIN 33721P and these can meet DHS requirements. It is DHS's intent to compete among the existing GSA Multiple Award Schedule Furniture & Furnishings “Packaged Office” holders offering the Haworth products. Further analysis shows that 33721P and 541614CF contract holders offering Haworth include the following businesses: small, woman owned, other than small, veteran, disabled veteran, 8a, and hub zone. It is DHS's intent to compete among the existing contracts to ensure the full requirements and services can be met over the period of performance.

RANDAL S

FINK

Digitally signed by RANDAL

S FINK

Date: 2021.12.10 14:39:30 -05'00'

Furthermore, the market research included that no other products can be interchangeable with Haworth Products. All products, other than Haworth manufactured items, such as, Herman Miller, Knoll and Steelcase are not able to be modified and interconnect and function with Haworth product lines.

7. Any other facts supporting the justification:

N/A - There are no additional facts for limiting source.

8. A statement of actions, if any, the agency may take to remove or overcome any barriers that led to restricted consideration (i.e., limited-sources) before any subsequent acquisition for the supplies or services is made. Include a statement of actions taken or that will be taken to increase competition for future acquisitions of the same item/service (e.g., the government intends to revise overly restrictive technical specifications, acquire data rights, or pursue some other means to increase future competition):

The government will continue to review whether any other vendor's products can meet the unique set of requirements for future acquisitions. DHS will conduct market research to find available furniture products that could interconnect or otherwise act as suitable replacements for the existing Haworth products. If other manufacturer’s products are identified that meet the government’s needs, DHS will seek furniture products that are not peculiar to one manufacturer.

9. DHS intends to post this requirement on e-buy pursuant to FAR 8.405-6(b)(3)(i)(B).

10. Technical/Requirements Personnel Certification:

Pursuant to FAR 8.405-6(c)(2)(x), I certify that this requirement meets the Government's minimum need and that the supporting data, which form a basis for the Limited-Sources Justification, are accurate and complete.

Randal S. Fink Date Technical Representative/COR

11. Contracting Officer Certification and/or Approval:

Pursuant to FAR 8.405-6(c)(2)(ix), I certify that the Limited-Sources Justification is accurate and complete to the best of my knowledge and belief:

Digitally signed by RONALD JEAN

RONALD JEAN BAPTISTE BAPTISTE

Date: 2021.12.10 15:01:37 -05'00'

Ronald Jean-Baptiste Date Contracting Officer

12. Concur:

I concur with the Brand Name Limited-Sources Justification:

Digitally signed by LESHANNA P

LESHANNA P CALAHAN

Procuring Activity Advocate for Competition, or designee Office of Procurement Operations

CALAHAN

Date: 2022.03.11 10:14:59 -05'00'

Date

Digitally signed by VICTORIA D SHORT Date: 2022.03.11 10:56:39 -05'00'

Victoria Short Date Head of Contracting Activity Officer of Procurement Operations

13. Approval:

Pursuant to FAR 8.405-6(d)(4), I approve the Brand Name Limited-Sources Justification:

Paul Courtney Date Chief Procurement Officer

VICTORIA D SHORT