B8 - Redacted SSJ.pdf

MEMORANDUM

Subj: COSMED K5 ESP1 SERVICE AGREEMENT – MULTIPLE YEAR OPTION

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

This is a sole source justification. Contracting activity is NSWC-PCD, Code 024, 110 Vernon Ave., Panama City, FL, 32407.

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

This action will award a firm fixed price purchase order to Cosmed USA Inc., for Base + three

(3) options each.

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

Part Description Part No.

1. Base Option: ESP1 1-yr Service Agreement

2. Option 1: ESP1 1-yr Service Agreement

3. Option 2: ESP1 1-yr Service Agreement

4. Option 3: ESP1 1-yr Service Agreement

This acquisition will be conducted using simplified acquisition procedures. The Government's minimum needs have been verified by the certifying technical and requirements personnel. This memo does not authorize acquisition for other requirements.

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), 10 U.S.C. 2304(d)(1)(B). Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements FAR 6.302-1(a)(2)(iii)(B).

Cosmed is the only company (OEM with proprietary data) that can service the K5 Wearable Metabolic Technology units. This system is used to test aerobic performance and is essential to much of the human performance research conducted at NEDU. If the device becomes inoperable, data collection would come to a stand-still. This service agreement all the parent company, Cosmed, includes parts replacement, labor and repair services, and 2-day return freight charges.

As such, the Government does not expect significant savings through competition and does expects significant and unacceptable delays that will negatively impact this requirement. Therefore, it is in the Governments’ best interest to award on a sole source basis to Cosmed USA Inc.

5. A determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 13.106-1(b).

The Contracting Officer has determined that the order represents the best value and results in the lowest overall cost alternative (considering price, special features, administrative costs, etc.) to meet the Government’s needs.

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.

For the reasons specified in paragraph 4 above, Cosmed USA Inc. is the only source that can meet the Government’s needs. This requirement will be synopsized in the government point of entry sam.gov because it is estimated over $25,000.00.

7. Any other facts supporting the justification.

None.

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, Cosmed USA Inc. is the only source that can meet this requirement.