Sole_Source_Justification_For_CANOMA_RS_INC__2019_1.pdf

August 22, 2018

MEMORANDUM

Subj: SOLE SOURCE TO ACQUIRE CANON IR ADVANCED C7270 COPIER

MAINTENANCE FROM CANOMA RS, INC.

1. Identification of the agency and the contracting activity, and specific identification of the document as a “Limited Source Justification.”

This is a sole source justification. Contracting activity is the Naval Sea Systems Command, Naval Surface Warfare Center, Panama City Division (NSWC PCD), 110 Vernon Avenue, Panama City, FL 32407-7001 (Contracts Division Code 02).

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

This action will award a firm fixed price purchase order on a sole source basis to Canoma RS, Inc. (CAGE Code 5XYK3) for ongoing on-site support needed for a Canon copier iR Advanced C7270.

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

Base - 12-month on-site and on demand support including parts, labor, supplies (except paper), 360,000 color copies, and 180,000 black copies.

Option 1 - 12-month on-site and on demand support including parts, labor, supplies (except paper), 360,000 color copies, and 180,000 black copies.

Option 2 - 12-month on-site and on demand support including parts, labor, supplies (except paper), 360,000 color copies, and 180,000 black copies.

Option 3 - Impression overages for all periods est. at $8,460.00

The Government’s minimum needs have been verified by the certifying technical and requirements personnel. This memo does not authorize acquisition for other requirements. The total estimated value of this effort is $110,000.00 including 12-month base period and two 12-month annual options. The contract action will be funded with 2019 Navy Working Capital Funds (NWCF).

4. Identification of the justification rationale and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

10 U.S.C. 2304(c) (1) - Only one responsible source and no other supplies or services will satisfy agency requirements, FAR 6.302-1. The procurement is sole source for the following reasons: The NSWC-PCD print shop needs on-going and on-demand support from only authorized Canon service representatives for an IR Advanced C7270. Due to the rapid response nature of the work associated with the NSWC PCD print shop, any provider shall furnish on-site and on-demand support including parts, labor, supplies (except paper) for the unit located in the Visual Information Branch, Code 1032. This is an outdated model and attempts to replace with a new one were denied. The Visual Information Branch, Code 1032 is solely responsible for all of the installation's printing needs and the constant use of this outdated unit makes it prone to frequent on-site service calls outside of the required monthly replenishment of supplies. The team's tasking performed with this unit makes it imperative for the unit to be in optimal functioning conditions reducing the risks of extended down times. Based on previous agreements for other Canon models used at the NSWC-PCD print shop (N61331-18-P-0007, N61331-16- P-0002, N61331-15-P-4016), Canoma Repair Services, Inc. is the only authorized provider that can satisfy the minimum government needs supporting Code 1032 for rapid on-site response. The selection of any other authorized Canon IR Advanced C7270 would create a disruption in on-site services coordination for the other models and the C7270 under this proposed action and create redundant knowledge acquisition and costs that are not expected to be recovered through competition. Canoma Repair Services, Inc.

possesses the certification, expertise, and operational knowledge to support the required services for the C7270 on an ongoing basis meeting the minimum government needs.

Therefore, it is advantageous to the government to award on a sole source basis.

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted and best value determination.

7. Any other facts supporting the justification.

8. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

As stated in paragraph 4 above, Canoma Repair Services Inc. is the only source that can meet the minimum government needs. This proposed action will be published in fbo.gov per FAR 5.2.

None.

No additional market research was conducted because of the reasons stated in paragraph four. The proposed acquisition approach represents the best value to the government per FAR 13.106-1(b).