HAAS Single Source Justification (redacted)_Redacted.pdf

DEPARTMENT OF THE AIR FORCE

354TH CONTRACTING SQUADRON (PACAF)

EIELSONAIR FORCE BASE, AK

July 2026

MEMORANDUM FOR RECORD

FROM: 354 CONS/PKB

4560 Central Ave., Bldg. 2258 Eielson AFB, AK 99702

SUBJECT: Single Source Justification for Haas CNC Machine Repair (IAW RFO 12.102(a))

Document Details Information

Contracting Activity 354th Contracting Squadron (354 CONS), Eielson AFB, AK

Requiring Activity 354th Maintenance Squadron (354 MXS/MXMFM)

Proposed Contractor Phillips Corporation Inc., Federal Division (Cage: 3MPQ0)

Estimated Value

Description of Supplies/Services Required:

The 354 MXS requires commercial repair and maintenance services for ( ) government-owned Haas VF-5/40 Milling Machine. The requirement includes replacement Battery Board (Part #: 93-32-4307), installation by a certified technician, system software reinitialization, and functional testing to return the machine to fully operational status.

Statutory Authority Permitting Single Source:

This acquisition is conducted under the authority of Revolutionary FAR Overhaul (RFO) 12.102(a), which authorizes the Contracting Officer to restrict competition for acquisitions valued at or below the Simplified Acquisition Threshold (SAT) when only one source is available.

Basis for Single Source Decision:

Phillips Corporation Inc., Federal Division, is the only vendor capable of fulfilling this requirement. Haas Automation, Inc., the Original Equipment Manufacturer (OEM), has provided a formal letter (dated January 2, 2025) explicitly designating Phillips Corporation Inc., Federal Division, as the sole and exclusive distributor for Haas CNC Machine Tools and any associated factory-certified service, training, and applications work for United States Government facilities.

Furthermore, Haas Automation dictates that all out-of-warranty repair parts only carry a warranty if the repair is performed by a Haas Certified Technician. Utilizing an unauthorized third-party vendor would void warranties on replacement parts and risk improper initialization of proprietary OEM software, resulting in unacceptable delays in fulfilling the 354 MXS mission requirements.

4. Market Research Conducted:

Market research confirms the proprietary nature of this equipment. A review of the manufacturer's exclusive distribution letter verifies that no other authorized service providers are permitted to service federal government accounts for Haas machinery. Therefore, competing this requirement among unauthorized vendors is not practicable.

5. Steps to Preclude Future Single Source Awards:

To preclude future single-source awards, the 354 CONS and 354 MXS will continuously monitor the commercial marketplace. Prior to future maintenance requirements, market research will be conducted to query Haas Automation, Inc., to determine if their exclusive distributor rights for U.S. Government facilities have been lifted, or if additional vendors have been authorized and certified to service federal accounts.

6. Contracting Officer Certification:

I determine that the anticipated cost to the Government will be fair and reasonable based on historical commercial pricing and that this justification is accurate and complete to the best of my knowledge and belief.

MORGAN D. HOCKADAY, TSgt, USAF Contracting Officer