DnF for OTFOC Stratasys Inc. [REDACTED].docx

DETERMINATION & FINDINGS FOR OTHER THAN FULL & OPEN COMPETITION

(ACTIONS SAT AND BELOW)

1. DESCRIPTION OF PROPOSED PROCUREMENT: Four (4) year preventative maintenance service contract with Stratasys, Inc. for one (1) Stratasys manufactured J850 3-Dimensional (3D) printer.

2. PROPOSED CONTRACTOR/MANUFACTURER:

Stratasys, Inc.

7665 Commerce Way Eden Prairie, MN 55344-2020

CAGE: 1GKB4

UEID: LJDYMQACQ837

Business Size: Large

3. ESTIMATED TOTAL VALUE: [REDACTED]

4. STATUTORY AUTHORITY PERMITTING CONTRACTING WITHOUT PROVIDING FOR FULL AND OPEN COMPETITION: The statutory authority permitting sole source is 41 USC 1901(e), implemented by FAR 13.106-1(b)(1)(i):

X Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

5. JUSTIFICATION FOR THE AUTHORITY CITED ABOVE:

The item(s) listed in section one above is available from only one source and competition is precluded for reasons indicated below. There are no substitutes available.

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

The Weapons and Materials Research Directorate’s (WMRD) Manufacturing Science & Technology Branch (FCDD-RLW-MD) of the Army Research Laboratory (ARL) currently owns one (1) Stratasys, Inc. manufactured J850 3D printer (Prod. Code: OBJ-18550) purchased under W911QX21P0111. This 3D printer requires preventative and corrective maintenance to ensure full functionality and performance. Preventative and corrective maintenance is also required to reduce system failures or downtime.

X Proprietary: A patent, copyright, or proprietary data limits competition. The proprietary data are described as follows:

Stratasys, Inc. does not allow third-party vendors / authorized resellers to perform services on the J850 3D printer as the preventative maintenance contracts are direct service contracts exclusive to Stratasys. Therefore, Stratasys, Inc. is the only source capable of providing a preventative maintenance service contract and is the only source with access to proprietary information and the inherent knowledge on how to properly service this 3D printer owned by the Government. If another vendor attempts to service the 3D printer, they will not be able to guarantee the 3D printer is performing to original equipment manufacturer (OEM) specifications and undiagnosed system errors could lead to further problems. This would lead to the potential of skewed rendering designs, duplication of costs, and unacceptable downtime of the 3D printer. Since Stratasys does not allow third party vendors to service their products, failure to procure the required service/maintenance will result in duplicative [REDACTED], due to having to procure a different brand of 3D printer with the required specifications and peripherals including shipping costs. Additionally, the duplication of time necessary to purchase, delivery lead time, install, test, and train personnel to use the replacement technology would be detrimental to workforce efficiency, as it would require more than a year to complete, and the Government could lose years’ worth of research based on the estimated usage of the current 3D printer. Moreover, procuring this preventative maintenance contract will help to prevent degradation of mission performance by providing routine servicing of the equipment and timely replacement parts in the case of component failure.

[REDACTED], [REDACTED] in FCDD-RLW-MD, [REDACTED], conducted market research between 12 June 2022 and 12 July 2022. Market research techniques included searching Government required sources, GSA federal supply schedule, and review of other market research efforts conducted for similar or identical items. As a result of this market research and based on prior acquisition of the currently Government-owned Stratasys, Inc. J850 3D printer, Stratasys, Inc., is the only company capable of meeting the Government’s requirement. As aforementioned, as the original equipment manufacturer (OEM), preventative maintenance contracts are direct service contracts exclusive to Stratasys, Inc., and so, they are the only company which can provide preventative and corrective maintenance on FCDD-RLW-MD’s J850 3D printer to minimize system downtime and to ensure repairs are performed to manufacturer specifications. Therefore, a sole source procurement to Stratasys, Inc. is recommended and, in the Government’s, best interest.

6. FAIR AND REASONABLE PRICE DETERMINATION:

It has been determined that the anticipated cost to the Government will be fair and reasonable and that approval of this recommendation is in the best interest of the government. This justification is accurate and complete to the best of my knowledge and belief.

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