JA SOW 26-6H2 Redacted.pdf

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Altium Server and Licenses
Solicitation number
HQ072726QMH05
Issued by

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Sole Source Justification

This is a Sole Source Justification for a Firm Fixed Price contract to procure Altium Designer software licenses and server infrastructure. The Defense Microelectronics Activity (DMEA), located at 4234 54th Street, McClellan, CA 95652, intends to purchase and install one on-premises server and fifteen one-year Altium Designer private server licenses in accordance with SOW 22-2C2. The contract is structured as a base year plus two optional years, subject to contractor agreement. The sole source vendor is Altium Inc., located at 4225 Executive Square, Suite 800, La Jolla, CA 92037.

The justification for sole source procurement is based on the proprietary nature of the Altium software and the Government's substantial investment in Altium-based design files and workflows since 2015. DMEA determined that many of the features, files, and settings used in Altium for Printed Circuit Board (PCB) design are unique to Altium and cannot be modified or transferred to competing PCB design software without significant risk of incompatibility and operational delays. Market research conducted through thomasnet.com and the Small Business Administration database confirmed no other responsible vendors or authorized Altium distributors exist. Fair and reasonable pricing was determined based on an Independent Government Estimate (IGE) and previous purchases under contract HQ072722P0018, where DMEA renewed nine Altium Designer private server licenses with four associated option years. The Contracting Officer, Mike Hallock, certified the justification as accurate and complete on June 8, 2018, and the solicitation was posted on SAM.gov.

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DMEA # 26-28

6/8/2018

Defense Microelectronics Activity 4234 54th Street, McClellan, CA 95652

SOW # 26-6H2

Sole Source Justification

1. Agency and Contracting Activity:

Office of Secretary of War, Defense Microelectronics Activity (DMEA).

2. Nature/Description of Action:

This is a new Firm Fixed Price contract for Altium license renewal. This acquisition is planned for a base year plus 2 option years; subject to contractor agreement.

3. Description of Supplies/Services:

The purpose of this task is to purchase and install an on-premises server and fifteen (15) one (1)-year Altium Designer private server licenses in accordance with SOW 22-2C2.

4. Authority Cited:

FAR 13.501(a) Soliciting from a single source.

5. Reason for Authority Cited:

This item is peculiar to one manufacture, Altium. DMEA has used Altium software to design Printed Circuit Boards (PCB) for many projects since 2015. Many of the features, files, settings and other characteristics used in Altium for the creation of these PCB are unique to Altium, and cannot be modified by another PCB design software set. The risks associated with using non- Altium products includes the potential for incompatibility with existing design files and the new software, as well as delays associated with DMEA staff learning and becoming familiar with a new PCB software set.

6. Efforts to Obtain Competition:

No action was taken to obtain competition because the desired software and support services are proprietary to Altium. In addition, Altium verified there are no authorized distributors for their licenses. The solicitation, accompanied by this approved justification will be posted on SAM.gov.

7. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. This determination is based upon the Independent Government Estimate (IGE) and previous purchases.

Typed Name: Mike Hallock

Title: Contracting Officer

8. Market Research:

DMEA # 26-28

6/8/2018

Market research consisted of a search of the databases at http://thomasnet.com and http://dsbs.sba.gov to identify other distributors. No other responsible vendors were found and Altium confirmed that there are no authorized distributors for their licenses.

9. Other Facts:

Altium licenses were previously purchased under contract HQ072722P0018. DMEA renewed nine (9) Altium Designer private server licenses for one (1) year with four (4) associated option years.

10. Listing of Sources:

Altium Inc.

4225 Executive Square, Suite 800 La Jolla, CA, 92037

11. Actions to Increase Competition:

None.

12. Contracting Officer Certification:

I certify that this justification is accurate and complete to the best of the contracting officer’s knowledge and belief.

Typed Name: Mike Hallock

Title: Contracting Officer

File details come from the government source that posted it. Updated .