JA_Canberra_3_Apr.pdf

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Justification and Approval (J&A) for Other Than Full and Open Competition

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Choose the funding level for this J&A Document:

< $700K > $700K and < $13.5M > $13.5M and < $93M > $93M

Contracting Activity: AMIC/DET 2-OLPKA

Purchase Request / Local ID Number: F3KTK96069A001

Program / Project (and PE, if applicable): Mirion Technologies (Canberra) Maintenance

Program Type (PEO or Other Contracting): Other Contracting

Authority (include full title): 10 U.S.C 2304(c) (1) as implemented by FAR 6.302-1(a)(2)(iii), "Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements"

Estimated Contract Cost (including options): $833,842.00 J&A Type: Class Individual

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NOTE: If a Justification and Approval was approved for the preceding acquisition, a copy of the approved J&A for the predecessor action must be included in the staff package for approval of the instant J&A. This applies to J&A staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor J&A will be used asa reference document by the approving official.

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Note 1: See guidance at the end of this document for completing the following sections.

Note 2: Each field will expand automatically if additional space is needed.

I. Contracting Activity.

Requiring Activity: Air Force Technical Applications Center Laboratory Operations Directorate Measurements

Branch (AFTAC/TLM), 10989 S. Patrick Drive, Patrick AFB, FL 32925

Procuring Activity: AMIC DET 2 OL/PKA (Patrick AFB FL), 10989 S. Patrick Drive, Patrick AFB, FL 32925

II. Nature and/or description of the action being processed.

New firm-fixed-price contract to purchase Mirion Technologies (Canberra) Comprehensive On-Site

Maintenance. Request approval to award a sole source contract to Mirion Technologies (Canberra), Inc. 800

Research Parkway, Meriden, Connecticut 06450. Canberra is a large business represented by the NAICS code 811219, Other Electronic and Precision Equipment Repair and Maintenance, with a size standard of

$20.5M. The proposed acquisition is for Comprehensive On-Site Maintenance for all Canberra radiation detection instrumentation located at the AFTAC Ciambrone Laboratory. This will be a firm-fixed-price contract with a performance period of one (1) 9-months base period, four (4) 1-year option periods, and one (1) 3-month option period plus a six month extension of services IAW FAR clause 52.217-8. Technical, cost, and schedule risks are minimized in this contract because the contractor has performed the same and similar tasks in a satisfactory manner for over the past two years while the instrumentation was under warranty.

III. Description of supplies/services required to meet agency needs.

The warranties on all of AFTAC's radiation detection instrumentation for the Ciambrone Laboratory have either expired or are expiring over the next 13 months. Twenty (20) gamma detectors will no longer be covered under warranty as of 4/30/2017 and the remaining 8 gamma detectors will not be covered under warranty as of

4/30/2018. A maintenance and service contract with the manufacturer for all the radiation detection instrumentation for both the hardware and software will ensure that all of the instrumentation will be maintained without a break in service coverage. As the warranty (inclusive of maintenance) for the equipment expires, the cost of this maintenance agreement will increase to accommodate additional equipment maintenance requirements. The availability of the radiation detection instrumentation is critical to the success of AFTAC's mission.

During the design/build of the Ciambrone Laboratory, a competitive solicitiation was issued by 45 CONS for the radiation detection equipment required, which resulted in an award to Canberra. AFTAC made the decision to continue acquiring Canberra equipment to ensure the same certainties and quality parameters for their test results. Additionally, factors such as quality, training, serviceability, and life cycle costs were considered at the time the enterprise solution was implemented.

AFTAC uses Canberra brand instruments to detect alpha, beta, and gamma radiation. These instruments also utilize Canberra brand's hardware and software to provide the most accurate and precise results. Canberra brand products are proprietary, and Canberra is the only company that can provide maintenance and repair service for their hardware and software. Canberra has no authorized service outlets. AFTAC requires for mission readiness that all Canberra brand radiation detection instrumentation and analysis software be up to date and in working order, with the ability to call for maintenance and receive service when needed.

Base W/4 OPTION YEARS - Estimate Cost: Total $842,285

Base Year: 04/01/2017 to 12/31/2017 $77,261

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Option Period 1: 01/01/2018 to 12/31/2018 $113,316

Option Period 2: 01/01/2019 to 12/31/2019 $124,648

Option Period 3: 01/01/2020 to 12/31/2020 $219,380

Option Period 4: 01/01/2021 to 12/31/2021 $241,318

Option Period 5: 01/01/2022 to 03/31/2022 $66,362

Comprehensive maintenance for all AFTAC Canberra Instrumentation for alpha, beta, and gamma radiation detection. Including:

-Routine Maintenance

-Non-Consumable Replacement/Repair Parts Included for all Instrumentation listed

-Priority Technical Support and Remote Assistance during Standard Business Hours

-Software updates, media, licenses, and documentation for Instrumentation listed

-Training on radiation principles, methods, and instrumentation

IV. Statutory authority permitting Other than Full and Open Competition.

The statutory authority for this acquisition is 10 U.S.C 2304(c) (1) as implemented by FAR 6.302-1(a)(2)(iii), “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

V. Demonstration that the contractor's unique qualifications or nature of the acquisition requires the use of the authority cited above (applicability of authority).

The statutory authority for this acquisition is 10 U.S.C 2304(c) (1) as implemented by FAR 6.302-1. In accordance with (IAW) FAR 6.302-1(a)(2)(iii), “Only One Responsible Source and No Other Supplies or

Services Will Satisfy Agency Requirements.” There would be significant duplication of costs because Mirion

Technologies (Canberra) does not allow others to work on their equipment, therefore the mission partner would be required to purchase new equipment and the government is not expected to recover these costs through competition. Warranties that were included in the original purchase of all of AFTAC's radiation detection instrumentation are expiring. Comprehensive maintenance by the manufacturer for all the radiation detection instrumentation for both the hardware and software will ensure that all of the instrumentation will be serviced in a timely manner which is critical to the mission.

Radiation detection instrumentation includes twenty-eight (28) High Purity Germanium (HPGe) detectors, sixteen (16) Alpha spectrometers, and three (3) Gas Flow Proportional Counters (GFPCs). AFTAC has several types of HPGe detectors including twenty-two (22) Standard Electrode Coaxial Germanium (SEGe) detectors, two (2) Low Energy Germanium (LEGe) Detectors, and four (4) Well detectors. Many of these HPGe detectors utilize In-Situ Object Counting System (ISOCS) which is a characterization that is specific to each individual detector that allows for more precise and accurate measurements. Canberra is the only company that can authorize the validity of the stringent low level detection capabilities of their highly analytical radiation detection instrumentation because all of these instruments are highly specialized and made to AFTAC's specification requirements by Canberra. Canberra has no authorized service providers.

Having the instrumentation fully operational allows AFTAC to fully conduct it's mission, but delays can occur when instruments need service. A new contract is needed, which is similar to the current warranties in place, allowing AFTAC to contact Canberra if any issues arise and maintenance can then be administered in a timely manner. Current maintenance for the instrumentation includes technical assistance over the phone for hardware and software, sending detectors back to Canberra for repair, and site visits from the Canberra technical experts.

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VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable.

There are no other sources available to provide maintenance for the subject radiation detection instrumentation.

A sources sought notification was posted on Federal Business Opportunities (FBO) on www.fbo.gov on 13 July

2016 with a response date of 2 August 2016. Canberra was the only company that responded to the sources sought notice and stated that Canberra does not authorize any other individual or organization to provide the services listed in the source sought notice on their behalf. Canberra was bought out by Mirion Technologies on

July 1, 2016. Canberra will keep it's company name with associated cage code, and Mirion Technologies will act as the parent company.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

Price/cost analysis, as appropriate, will be performed to determine the prices/costs to be fair and reasonable.

Price/cost analysis will be performed IAW FAR 15.404, by comparing proposed prices with the historical prices and other similar contracts awarded to Canberra and their competitor Ametek. IAW FAR 15.403-1(b)(3), Certified Cost or Pricing Data will not be required since this is a commercial service. However, Data Other than Certified Cost or Pricing Data will be requested, as necessary, to support the determination of a fair and reasonable price. A technical evaluation will be performed by the mission partner who has expertise in this field and knowledge of the work to be performed.

Award will be made when the parties reach agreement on a fair and reasonable price which conforms to the terms and conditions set forth in this solicitation and are technically acceptable.

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

Market research was conducted and it was discovered no other vendors are able to provide the services required. A maintenance and service contract that meets the required specifications was not available through

Ability One, GSA Advantage, nor PAFB Supply as the specifications, design, and as-built configuration is proprietary to Canberra. Internet search of Ability One and GSA Advantage websites did not offer service for the radiation detection instrumentation identified in this requirement. An e-mail was sent to PAFB Supply and they also did not offer service for the radiation detection instrumentation.

A search of Canberra’s website revealed Canberra’s products/services are sold to the public worldwide, including military agencies, educational institutions, and other laboratories. This includes Canberra brand detectors and the maintenance of the detectors. In accordance with FAR part 2.1, these services are determined to be Commercial.

A search of EDA and FBO resulted in the findings of similar services from Canberra for the Air Force, Navy, Army, and Department of Energy. A copy of the market research report was received for contract FA2521-15-

P0036 which determined that Canberra was the only company that provided service for the requested instrumentation. A copy of the J&A for contracts W91ZLK-16-P0172 and FA2521-15-P0036 were also received and included the CO's determination that only a single source, Canberra, was available for this service. Based on the fact that all of the above agency's contracts were awarded on a sole source basis, it can be concluded that the market research for those efforts resulted in the same conclusion as our market research.

Canberra supplied AFTAC a copy of three maintenance contracts they hold with other government entities, Sandia National Laboratory, National Naval Medical Center, and US Environmental Protection Agency (US

EPA), for service on their radiation detection equipment. After comparison with AFTAC's equipment list and these contracts, it was determined Sandia National Laboratory and US EPA had the most similar equipment http://www.fbo.gov/

UNCLASSIFIED Page 5 of 5 lists. The second year term with Sandia was $143,100, included 7 HPGe detectors and 32 alpha spectrometers, and the cost went up consistently 5.6% per year. This would have put the first year at $135,100.

US EPA had a single year contract for $114,660 that included 6 HPGe detectors and 1 GFPC, and other instrumentation. The types of HPGe detectors AFTAC utilizes are the ISOCS characterized SEGe detectors, Well detectors, and the LEGe detectors, which are diverse and highly specialized types of HPGe detectors.

Sandia National Laboratory had very similar equipment, simply more were on their equipment list and not as specialized as AFTAC's HPGe detectors. None of these Canberra service contracts had pricing separated out for the various instrumentation.

Canberra sent a market research quote for the approximate cost of repair per detector without a warranty. The cost for the HPGe detectors alone was $6,601-$7,478 depending on the type of HPGe detector. Over the course of FY16, TLM sent back 15 HPGe detectors, which amounts to an annual out of contract cost of

$99,015-$112,170 for just the HPGe detectors.

IX. Any other facts supporting the use of Other Than Full and Open Competition.

Canberra holds proprietary rights to the design and inner workings of their detectors. Canberra will not authorize any other company to service their equipment. If another company did provide maintenance, Canberra would no longer certify the validity of the stringent detection capabilities of their detectors. Without access to proprietary data, AFTAC would not be able to validate calibration of the equipment as properly performed, resulting in unquantifiable uncertainties being inserted into our measurements. This uncertainty reduces confidence in our data, thereby compromising AFTAC mission objectives.

X. List of sources, if any, that expressed interest in the acquisition.

Mirion Technologies (Canberra) is the only company that expressed interest in the acquisition.

XI. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before making subsequent acquisitions for the supplies or services required.

Mirion Technologies (Canberra) is the only entity which is capable and authorized to provide service to

Canberra instrumentation. The only way to remove the competition barrier is to purchase different lab equipment; however, that would produce the same limitations with a different manufacturer.

XII. Certification bythe Contracting Officer.

As evidenced by my signature above, I have determined this amended document to be both accurate and complete to the best of my knowledge and belief.

XIII. Certification by the technical/requirements personnel.

As evidenced by my (our) signature(s) above, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.

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