Justification_and_Approval_under_SAT_Multistack_Chiller_Parts_signed.pdf

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PR12450104_Air_Handling_Units_Chiller_SpareParts
Solicitation number
PR12450104
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This document is a Justification for Other Than Full and Open Competition under the Simplified Acquisition Threshold (SAT) for the procurement of spare parts for HVAC chillers at the U.S. Consulate General in Dhahran, Saudi Arabia.

The requirement is to provide spare parts to maintain the post's HVAC chillers, with an estimated value of $37,288.52 for the entire period of performance. The justification cites FAR 6.302-1, as the manufacturer, MULTISTACK LLC, is the only responsible source capable of providing the necessary parts. Several previous solicitations were issued, but MULTISTACK was the only vendor able to quote all required items. The Contracting Officer has determined the proposed pricing is fair and reasonable based on prior competition. The contract was awarded on a sole source basis to MULTISTACK LLC under Solicitation Number PR12450104.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SECTION 1: IDENTIFICATION OF THE AGENCY AND THE CONTRACTING ACTIVITY

Department of State Contracting Activity

Overseas Post: U.S.C.G. DHAHRAN

Requiring Activity NEA/DHAHRAN/MGT/FAC

SECTION 2: NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED

Approval is requested to award on a sole source basis to M/s MULTISTACK LLC. at USCG Dhahran, for the supplies of spare parts described in Section 3 on behalf of the Requiring Activity.

SECTION 3: DESCRIPTION OF SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS

The requirement is to provide spare parts to maintain Post’s HVAC Chillers at USCG Dhahran. The estimated value for the entire period of performance is $37,288.52.

These supplies require the provision of spare parts for the Chillers that are supplying conditioned air to each building of the consulate. Without the chillers in operation, there will be no cool air inside the buildings therefore these parts are necessary for the smooth and optimum operation of the chillers.

SECTION 4: IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING OTHER THAN

FULL AND OPEN COMPETITION

This acquisition is conducted under the authority of 41 USC 3304, as implemented by FAR 6.3 and substantiated by the following:

FAR 6.302-1 – Only one responsible source and no other supplies or services will satisfy agency requirements.

SECTION 5: DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUISITION REQUIRES USE OF THE AUTHORITY

CITED

MULTISTACK LLC is the designer, manufacturer and assembler of all the Chillers installed at Post. MULTISTACK is also the manufacturer and original source of the spare parts required for these chillers. Therefore, MULTISTACK is uniquely qualified to manufacture and supply these parts. If any part is obsolete, only MULTISTACK is qualified and competent to recommend equivalent parts.

Offers have been previously solicited for the same requirements but due to the unique qualification of MULTISTACK LLC, no other vendor/supplier has been able to supply these parts in competitive prices.

Due to the brand-name uniqueness, other vendors/suppliers have difficulties in understanding the part’s make and model numbers. Previously several requests for quotation (RFQ) were advertised for open and full competition for these Chiller parts. The references are PR11513421, PR11518301, PR11737456, PR11737446 and PR11950748. The proposed procurement action is made under the conditions described in FAR 13.106- 1(b)(1)) (for purchases conducted using simplified acquisition procedures under the SAT, when unique supplies or services available from only one source or only one supplier with unique capabilities) and the Government would be seriously injured if the agency complies with the time periods specified in FAR 5.203.

The uniqueness of brand name is also essential for operation of these Chillers as parts from any other brand will not fit in these Chillers. These Chillers are under extended warranty with Multistack. Using parts from other companies will void the warranty.

SECTION 6. DESCRIPTION OF EFFORTS TO ENSURE THAT OFFERS WERE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS IS PRACTICABLE, INCLUDING WHETHER A NOTICE WAS OR

WILL BE PUBLICIZED AS REQUIRED BY FAR SUBPART 5.2 AND, IF NOT, WHICH EXCEPTION

UNDER FAR 5.202 APPLIES

The proposed RFQ was advertised for full and open competition (ref. PR numbers mentioned in SECTION 5).

Inadequate responses were received each time except the only qualified vendor MULTISTACK. No other vendor/offeror was able to correctly quote all items. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any company other than MULTISTACK to provide the required supplies and services.

SECTION 7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST

TO THE GOVERNMENT IS FAIR AND REASONABLE

The Contracting Officer has determined that the proposed cost to the Government of these supplies is fair and reasonable based on price based on prior open and full competition.

SECTION 8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10) AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED

Several requests for quotation (RFQ) were advertised for open and full competition for these Chiller parts and none had offers. The references are PR11513421, PR11518301, PR11737456, PR11737446 and PR11950748.

SECTION 9. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION.

None.

SECTION 10. LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST

IN THE ACQUISITION

None.

SECTION 11. STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR

OVERCOME ANY BARRIERS TO COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION FOR

THE SUPPLIES OR SERVICES REQUIRED

None. MULTISTACK LLC is the designer, manufacturer and assembler of all the Chillers installed at Post and their spare parts.

SECTION 12. CERTIFICATIONS

All reviews and approvals should be completed in the order listed unless otherwise authorized or required.

TECHNICAL AND REQUIREMENTS CERTIFICATION (FAR 6.303-2(b))

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein, are complete and accurate to the best of my knowledge and belief.

Technical Cognizance:

SIGNATURE:

Syed Salman Shah Date Title: Building Engineer Supervisor

Requirements Cognizance:

Adam Brzezinski Date Facility Manager

MGT/FAC

9/17/2024

9/17/2024

CERTIFICATIONS (Continued)

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2(a)(12)) I certify that this submission is accurate to the best of my knowledge, and that it contains complete information necessary to enable other officials to make an informed recommendation for approval or disapproval.

Gabriel Rangel Date Contracting Officer

MGT/GSO

2024-09-17T11:19:19+0300
GABRIEL A RANGEL LOPEZ

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