PM_Part808.405-6_Atch2_Limiting_Sources_Justification_OVER_SAT - Chiller Trane.pdf

VHAPM Part 808.405-6 Limiting Sources Attachment 2: Request for Limited Sources Justification Format >SAT

VHAPM Part 808.405-6 Limiting Sources Page 1 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID: 36C242-20-AP-3018

(1) Contracting Activity: Department of Veterans Affairs, VISN 02, Stratton VA Medical Center in Albany New York.

Purchase request number: 528-21-2-8893-0194

(2) Description of Action: This acquisition is conducted under the authority of the Multiple- Award Schedule Program (41 U.S.C. 152(3) and 40 U.S.C. 501). The services listed in par.3 below is Sole Source, therefore, consideration of the number of contractors required by FAR Subpart 8.4 – Federal Supply Schedule, is preclude for the reasons indicated below.

Order against: FSS Contract Number: 47QSWA20D002A

Name of Proposed Contractor: Trane U.S. Inc.

Street Address: 3600 Pammel Creek RD City, State, Zip: La Crosse, WI 54601-7511 Phone: 518-365-6080

(2) Description of Supplies or Services: The estimated value of the proposed action for Base Year is $259,620.00 with a total grand value of $1,435,000.00 which includes four Option Years.

The Stratton VA Medical Center is requesting Central Chiller Plant and OR Chillers operation, maintenance and repair services. Pricing includes all labor, transportation, and any equipment required. The Stratton VA Medical Center in Albany, New York provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to perform Chiller Maintenance and repairs services. Contractor requires to cover preventive maintenance and repairs on all Main chiller plant equipment and OR chillers in the inventory listed below:

Main chiller Building # 54 Maintenance, Operation, Inspection, Repair.

1) #1 Trane Centrifugal Chiller 750-ton 1000# R-123

2) #2 Trane Centrifugal Chiller 750-ton 1000# R-123

3) #3 Trane Centrifugal Chiller 1000-ton 1700# R-123

4) Main Chiller Building Roof Cooling tower #1 BAC Model 3604A-2

VHAPM Part 808.405-6 Limiting Sources Page 2 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

Acquisition Plan Action ID: 36C242-20-AP-3018

5) Main Chiller Building Roof Cooling tower #2 BAC Model 3604A-2

* NOTE: (Tower 1 & 2 have a project to be replace in Fall of 2021 with similar units)

6) Main Chiller Building Roof Cooling tower #3 BAC Model 3456C-2

7) Variable Frequency Drives

Main Hospital Sub basement OR Chiller Maintenance, Operation, Inspection, Repair.

1) Carrier 30HXA186RY-650KA Condenser less screw chiller 160 ton

2) Carrier 30HXA186RY-650KA Condenser less screw chiller 160 ton (OR Chillers are in design to be replaced)

3) Variable Frequency Drives

(4) Identify the Authority and Supporting Rationale (see below and if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

FAR 8.405-6(a)(1)(A): An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays:

FAR 8.405-6(a)(1)(B): Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized;

FAR 8.405-6(a)(1)(C): In the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.

FAR 8.405-6(b): Items peculiar to one manufacturer:

A patent, copyright or proprietary data limits competition. The proprietary data for the Trane Inc. equipment under this requirement are proprietary to Trane U.S. Inc., company. Trane does not have authorized third-party dealers and only train and certify their own employees to work on their equipment, thereby ensuring protection of their proprietary software which their units operates on. Trane technicians are factory trained and utilize Trane hardware and software to access and troubleshoot the BAS system.

Trane also provides factory updates to the Tracer SC and Ensemble product as released.

Therefore, Trane U.S. Inc. is the only firm capable of providing the supplies and services required to meet the needs of this requirement.

These are “direct replacements” parts/components for existing equipment.

VHAPM Part 808.405-6 Limiting Sources Page 3 of 5 Original Date: 08/30/2017 Revision 02 Eff Date: 02/21/2020

Acquisition Plan Action ID: 36C242-20-AP-3018

The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing.

(5) Describe Why You Believe the Order Represents the Best Value consistent with FAR 8.404(d) to aid the contracting officer in making this best value determination: The previous contract for these services which was awarded to TRANE US INC., was GS-06F-0079R 36C24218F2635.

The base period was awarded for $155,448.00 per year. The first option year 1 was $160,889.00 per year. The cost of services increased by 3% for every option year. The current requirement estimated for the base year is $259,620.00 per year. The total of this contract exceeds the previous contract cost due to the addition of equipment requiring services.

Previous contract only covered main chiller Building # 54 Maintenance, Operation, Inspection, Repair of #1 Trane Centrifugal Chiller 750-ton 1000# R-123, #2 Trane Centrifugal Chiller 750-ton 1000# R-123 and #3 Trane Centrifugal Chiller 1000-ton 1700# R-123. The current requirement has four (4) additional main chillers and therefore the price is found to be fair and reasonable.

(6) Describe the Market Research Conducted among schedule holders and the results or a statement of the reason market research was not conducted.

A search of Vendor Information Pages (VIP) on October 10, 2020 under NAICS Code 238210 with key word “Chiller”, produced 10 potential SDVOSB vendors. However, after reviewing their past performance, websites and capability of statement they were found unable to provide the require services under this requirement.

A sources sought notification #36C24220Q1138 was posted on beta.SAM.gov on October 13, 2020 to October 20, 2020; resulted in zero (0) business responses capable of performing the service. Efforts were made through a search of the Small Business Dynamic search tool under NAICS 238210 utilizing the keyword “Chiller.” The search returned with 146 small business potential sources.

A search was accomplished on GSA on October 13, 2020 – October 20, 2020; resulted in three

(3) SDVOSB, one (1) EDWOSB, two (2) large businesses possible of performing the service. As a result, this procurement was originally 100% SDVOSB set aside using FSS procedures. However, after soliciting 100% set aside to SDVOSB, it was determined Trane U.S. Inc. will be the only company capable of providing this service.

(7) Any Other Facts Supporting the Justification: Solicitation #36C24221Q0104, 100% set aside to SDVOSB was posted on GSA from October 22, 2020 to November 4, 2020 and resulted in three

(3) SDVOSB responses. All three proposals received stated that their subcontractor was Trane U.S. Inc. Two proposals were received from J&B Hartigan Inc. and Accord Federal Services, LLC, both their proposal indicated that all their work was going to be completed by their