FY22 FARO MAX JA_FINAL_Redacted.pdf

J&A Number: 22-GAD-020

Code: 618

P.R. Number: 1300986537

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command (NAVSEA), Naval Surface Warfare

Center, Carderock Division (NSWCCD), Contracting & Acquisition

Department (Code 02).

2. Description of the Action Being Approved

Award of a firm fixed price five-year Indefinite Delivery

Indefinite Quantity (IDIQ) contract to FARO Technologies, Inc., 250 Technology Park, Lake Mary FL 32746-7115 for portable coordinate measurement machines (PCMM) supplies and services in support of ongoing Marine Corps programs that provide fleet operation readiness and operational availability, specifically in the Expeditionary Fabrication

(XFAB) program of record.

This Justification and Approval (J&A) document is in accordance with FAR 13.501(a).

The total estimated value of the acquisition is approximately

3. Description of Supplies/Services

The NSWCCD’s Additive Manufacturing (AM) Project Office, Code

618, requires the award of an IDIQ contract to purchase an initial order and continuing orders of FARO Quantum S MAX

ScanArm PCMM hardware and software items. The hardware includes Quantum S MAX 2.5m 7-axis FaroArm, laser line probes

(LLP), portable folding stands, and software. The FaroArm combined with the LLP make up the PCMM system, the ScanArm.

The software items includes copies of Geomagic Wrap, a point cloud data manipulation software. Each system requires the

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

CARDEROCK DIVISION

9500 MACARTHUR BOULEVARD

WEST BETHESDA MD 20817-5700

purchase of an extended warranty, past the one year standard manufacturer’s warranty, which allows for calibration of equipment. Relatedly, contract award is needed to obtain warranty extensions for six previously acquired FARO Quantum S

ScanArm PCMM systems purchased for first article unit testing at NSWC Crane (see Paragraph 5, below). These systems were purchased by the Marine Corps via DLA.

The estimated total value for this IDIQ contract is approximately The funding for the initial and planned orders is expected to be 100% Marine Corps funding, appropriation PMC. An estimated funding profile for this effort is located in the Table below. An estimated will be funded for the first order at the time of award. The initial acquisition order will be completed in FY22 and all follow-on orders will be through FY26.

Table: Appropriation by FY

Funds

Type

FY22

($K)

FY23

($K)

FY24

($K)

FY25

($K)

FY26

($K)

Total

Program

($M)

PMC

The supplies and services include PCMM-related items to be acquired over the course of the five-year contract period as listed and in quantities indicated in the Table, below. The contractor shall provide the items and quantities identified in the Minimum Quantity columns of the table in the first order of the contract. The contractor shall provide additional PCMM systems, up to a maximum number of 15 new systems over the course of the contract period.

Manufacturer Part # Description Minimum

Quantity

Maximum

Quantity

FARO

ARM-0010-

5FC

Quantum S MAX

2.5m 7 axis –

No Wireless

3 18

FARO

ACCS-LLP-

0010-000

Probe-Laser

Line, FAROBlue xP

3 18

FARO

473-

000008-000

Stand-Portable

Folding Stand, Softcase

1 16

FARO

SOFT82005-

DLM

Geomagic Wrap w/ 1st Yr 1 16

Maint. (D)

FARO GEO-DONGLE

Geomagic

Dongle 1 16

FARO

CCR-ARM-

G5-Y2

Complete Care-

ARM-Gen5&6-Y2 3 18

FARO

CCR-LLP-

V6-Y2

Complete Care-

LLP V6&7-Y2

3 18

FARO

CCR-ARM-

G5-1Y-R

Complete Care-

ARM-Gen5&6-1Y

Rnwl

6 6

FARO

CCR-LLP-

V6-1Y-R

Complete Care-

LLP V6&7-1Y

Rnwl

6 6

The Government’s minimum needs have been verified by the certifying technical and requirements personnel.

MANUFACTURER:

FARO Technologies, Inc.

250 Technology Park

Lake Mary FL 32746-7115

4. Statutory Authority Permitting Other Than Full and Open

Competition

10 U.S.C. §2304(c) (1) - FAR 6.302-1 Only one responsible source and no other supplies or services will satisfy agency requirements. The property or services needed by the agency are available from only one brand and no other type of property or services will satisfy the needs of the agency.

5. Rationale Justifying Use of Cited Statutory Authority

The supplies and services listed in Paragraph 3 above are required by the NSWCCD’s Code 618 in order to support the

Marine Corps’ ongoing XFAB program. The XFAB program requires a 3D scanning system capable of both contact and non-contact measurement that is 7-axis with the option of an 8th axis.

These scanning systems are needed to allow Marines to scan and produce 3D models of parts to be 3D printed while in the field.

The brand name component is required in order to replicate first article units used for testing at NSWC Crane as this brand name component was already tested and proven in the existing FARO Quantum S ScanArm, which is the precursor to and has the same specifications as the FARO Quantum S MAX ScanArm.

Code 618 was funded in year FY20 to research and test scanning systems for the first article of XFAB. The first seven XFAB units were deployed in FY22, and the program requires the procurement of additional scanning systems for the remaining

XFAB units.

XFAB requires a 7-axis 3D scanning system with the option for an 8th axis that is capable of contact measurement accurate to

0.002” base on sphere location diameter error and non-contact measurement accurate to 0.003” based on sphere location diameter error. After conducting market research, FARO was the only company to meet these requirements. The six Complete Care

Renewals for the Arms and LLPs are for existing FARO systems to support calibration needs, and therefore also need to be FARO brand name. FARO is the only manufacturer/vendor to provide calibration services for FARO equipment.

Additionally, the PCMMs previously procured were used to obtain testing certification, cybersecurity certification, and fielding approval from USMC Program Manager Supply &

Maintenance Systems (PM SMS). If this, or any, brand name component are replaced within the system, additional testing and a new Authorization to Operate and Connect (ATO/ATC) would be required, resulting in a six plus month delay in acquisition and development of XFAB. This delay to this mission essential work for the Marine Corps Systems Command is undesirable.

Failure to procure the brand name component will results in significant re-work and additional expense to the Government at a cost of See attached re-work cost analysis for cost breakdown. In addition, failure to procure the brand name component would result in loss of commonality of equipment among multiple XFAB systems, a requirement for the program of record to reduce the training and logistics burden on the

Marine operator.

6. Description of Efforts Made to Solicit Offers from as Many

Offerors as Practicable

The Government conducted market research in accordance with FAR

10.002(b)(2)(vii) for the previously purchased PCMMs and was revisited as a part of this procurement to ensure no significant market changed occurred. The Government also reviewed catalogs, brochures, and other product literature published online by manufacturers, distributors, and dealers to see if there were any changes in the PCMM industry. Reviewing the literature is the best way to stay abreast of changes in the PCMM industry, and no changes were found. See the attached

IGCE for more detail on the market research conducted.

Pursuant to FAR 13.501(a)(1)(iii), the Government will make this J&A available on the Government point of entry

(SAM.gov), the Government will ensure that the contract file will be documented as to any responses received from making the J&A available. The proposed contract will be synopsized via posting on the System for Award Management

(SAM) website in accordance with FAR 5.2 as a combined synopsis/solicitation for the acquisition of a commercial item notifying industry of the Government’s intent to purchase the supplies and services from a sole source. The contract file will be documented as to the response received from the synopsis. This acquisition is determined to be sole source because only FARO Technologies, Inc.’s PCMM system meets the system requirements for the XFAB program.

Therefore, no additional sources will be solicited.

7. Determination of Fair and Reasonable Costs

In accordance with FAR 13.106-3(a) the Procuring

Contracting Officer (PCO) shall ensure that all supplies and services provided under the anticipated contract are procured at a fair and reasonable price. The Government will require the contractor to submit a formal price proposal and sufficient information to support the accuracy and reliability of the estimate. The PCO shall determine that the proposed order represents the best value (as defined in FAR 2.101) to meet the Government’s needs. The

PCO will also rely on experienced technical experts, as well as information from prior procurements conducted by the Navy where the same (or comparable) devices were procured, when conducting the price analysis. This information will form the basis for a fair and reasonable price.

8. Actions to Remove Barriers to Competition

The Government will continue to canvass the additive manufacturing industry (via symposiums, conferences, RDT&E testing) for advancements in the PCMM market. If the capability of the PCMM technology changes, the Government will reexamine future needs and applications. Open communication with the PCMM industry is kept at all times.

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION (FAR 6.303-2(c))

I certify that the facts and representations under my cognizance, which are included in this justification and its supporting data, except as noted herein, are complete and accurate to the best of my knowledge and belief.

TECHNICAL AND REQUIREMENTS COGNIZANCE:

COMPETITION ADVOCATE - (FAR 13.501(a)(2)(ii))