J A_FedBizOps.pdf

JUSTIFICATION AND APPROVAL (J&A) FOR

OTHER THAN FULL AND OPEN COMPETITION

10 U.S.C. 2304(c)

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by Federal Acquisition Regulation (FAR) Subpart 6.3, and in accordance with the requirements of FAR 6.303-1, the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.303-2:

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), Shore Infrastructure Logistics Center (SILC) proposes to enter into a Requirements Contract with a one-year Base Period and four one-year Option Periods (not to exceed 5 years) on a basis other than full and open competition.

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

The U.S. Coast Guard has a follow-on requirement on a sole source basis for the maintenance and repair of the IdentiFINDER-U (IDU), Radioisotope Identification Device (RIID) at an estimated contract ceiling of $628,863.15.

Contractor: FLIR Radiation Address: 100 Midland Road, Oak Ridge, TN 37830

3. Description of Supplies/Services.

The materials and services required under this procurement are to provide preventative and remedial maintenance for all IdentiFINDER-U (IDU), Radioisotope Identification Device (RIID) systems belonging to U. S. Coast Guard units. This will be a follow on to contract HSCG84-08- D-AAS146 which expires on 16 September 2013. The estimated total value (including options) is $628,863.15.

Base Period $118,449.25 Option Period 1 $122,002.73 Option Period 2 $125,662.81 Option Period 3 $129,432.69 Option Period 4 $133,315.67

TOTAL $628,863.15

4. Identification of Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c), implemented by FAR Subpart 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Demonstration That the Nature of the Acquisition Require Use of the Authority Cited.

The IdentiFINDER-U (IDU), Radioisotope Identification Device (RIID) systems detect gamma and neutron producing radiological sources. They provide a Level II ability to localize the radiological source detected by Personal Radiation Detector pagers worn by US Coast Guard personnel and identify the isotopes emitting the radiation to assist in decision support for legitimacy of the radiological source detected. The IDUs were purchased for the Maritime Radiation Protection Program to utilize in Coast Guard boarding’s and inspections as a means to detect and intercept illicit radioactive material before it enters the United States. This system increases the chances of intercepting illicit radioactive material by providing isotopic identification based on a library of isotopes and if not identified offers the option to record and transmit radiation spectra to a designated external agency with subject matter experts for interpretation. Information provided by the IDU is then utilized by the US Coast Guard to determine the legitimacy of the radiation source identified. The use of the IDU for Level II Radiation Detection is outlined in COMMANDANT INSTRUCTION 16600.2B.

Through competitive procedures, multiple contracts were awarded for the purchase of IDU systems. There are currently 625 IDUs fielded to more than 400 USCG units.

The vast presence of this equipment Coast Guard-wide and the lack of trained Coast Guard technicians dictates the need for a manufacturer provided preventative and remedial maintenance.

These units will have to be maintained and supported for a minimum of 5 more years. FLIR is the only company that can provide this maintenance in the United States.

It is necessary to restrict competition on this acquisition for the following reasons:

(a) Only one source within the United States is capable of providing preventive and remedial maintenance on the systems.

(b) Maintain continuity throughout the Coast Guard and minimize the costs for parts, preventive and remedial maintenance.

(c) This new requirements contract is considered a logical follow-on to the original repair contract.

(d) The wide spread use of the equipment coupled with the lack of trained Coast Guard technicians dictates the need for manufacturer provided preventative and remedial maintenance.

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

A FedBizOpps notice will be publicized as required by FAR Subpart 5.1 and 5.2. In accordance with FAR 6.305(a), the J&A will be posted on FedBizOpps within 14 days after contract award.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The contracting officer determines that the anticipated price(s) will be fair and reasonable based on prior acquisition history that will provide the basis for contracting officer to determine this cost is fair and reasonable (FAR Part 15.4).

8. Description of Market Research.

Market research was performed through internet research. The market research found that FLIR is the only company that can provide this maintenance in the United States. Other Government agencies also enter into sole-source contracts with FLIR for maintenance and repair services for various models of the IdentiFINDER.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

This contract is for preventative and remedial maintenance of the USCG inventory of IDUs.

Currently, the USCG maintains an inventory approximately 625 IDUs at an estimated value of $10.6M. Since FLIR is the only vendor capable of providing the required maintenance services the only other option would be for the USCG to enter into a contract through open competition to replace damaged IDUs with brand new systems. This option would create additional and duplication of costs that could not be recovered through competition, as well as, greater expense in logistics management, continuity disadvantages and additional expenses associated with training and maintaining multiple systems within the USCG for the same capability.

10. A Listing of the Sources, if Any, That Expressed, in Writing, an Interest in the Acquisition.

Other than FLIR Radiation Inc., no sources expressed an interest in the acquisition.

11. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

It is considered that this requirements contract will provide an arrangement for Maintenance Services on the IdentiFINDER-U (IDU), Radioisotope Identification Device (RIID) systems by FLIR. It is anticipated that a new contract for such capability will only be executed as the need for replacement of the IDU system arises due to technology advances or mission changes to require a new system be procured and the IDUs to be removed from the field for disposal. With such an effort, competitive contracting will be executed to obtain the best solution available.