REDACTED Limiting-Competition-under-SAT_ACC 8Aug24.docx

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Sole Source requirement to Original Equipment Manufacturer (OEM) for repair services to the Stratasys Fortus FDM 400MC 3-D Printer.
Solicitation number
W912NW-25-Q-0004
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This document is a Memorandum for Record detailing the justification for a sole source contract to Stratasys Inc. for repair services on a Fortus FDM 400MC 3D printer. The contract will be a fixed price purchase order or delivery order issued against an existing contract vehicle. The repairs are for replacement of the ASSY, Smart Bearing Block and the Rail, X 35IN components. The total estimated value is not provided. The justification cites Stratasys as the Original Equipment Manufacturer with proprietary rights over the designs and schematics necessary to perform the repairs, which CCAD's maintenance teams do not have access to. Previous sole source contracts with Stratasys for preventative maintenance and recertification of the 3D printer are referenced. The contracting office is Army Contracting Command - Redstone Arsenal. The associated federal contract opportunity seeks the sole source requirement for these repair services.

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Control No: CCAM-LSJ24-1871

Memorandum for Record – Limiting Competition at or below the Simplified Acquisition Threshold

1. Contracting Activity: Army Contracting Command – Redstone Arsenal (ACC-RSA), Corpus Christi Army Depot (CCAD), Contracting Office 9035 Ocean Dr. Bldg. 10, Mail Stop 18, Corpus Christi, TX 78419

2. Description of Action:

Nature: New Requirement

Contract Vehicle:Purchase Order Number To Be Determined.
Blanket Purchase Agreement (BPA) Number _______________
Order/BPA# _______ against FSS Contract #_____ _________
Order #___________ against Multiple Award IDIQ Contract Name or #______________

Order #_______ against a single award IDC Contract Modification # _______ to existing PO/TO/DO/Call Order #________________

Pricing/Contract Type: Fixed Price Time & Materials/Labor Hours Cost Reimbursable Hybrid

Funds: Operations & Maintenance, Army (OMA) Other Funds: Army Working Capital Funds

FY: 2024

Name of Proposed Contractor and Address:

Stratasys Inc. (CAGE CODE: 1GKB4, Large Business) 7665 Commerce Way Edin Prairie, MN 55344-2020

Brand Name Buy: Yes No

3. Description of Services or Supplies: Repair for the Fortus FDM 400MC 3D Printer to include replacement of the ASSY, Smart Bearing Block, part number 109411-0001-S and Rail, X 35IN, part number 107937-0002-S.

Period of Performance: Estimated to be three (3) months.

Total Value:

4. Authority:

FAR 13.106-1(b)(1): For purchases not exceeding the simplified acquisition threshold (SAT), only one source reasonably available, urgency, exclusive licensing agreements, brand name, or industrial mobilization.

5. Reasons for Authority Cited:

Stratasys, Inc. is the Original Equipment Manufacturer (OEM) of the Fortus 400MC 3D Printer and has proprietary rights of their designs, drawings, and specifications required for their equipment. Stratasys, Inc. will not furnish proprietary engineering designs or schematics to anyone outside of the company or train outside engineers on their equipment. Only Stratasys, Inc. engineers are fully supported with the equipment schematics and up to date knowledge to repair the equipment.

CCAD’s Maintenance Teams cannot perform the required repairs because they do not have the specific training or access to the schematics for performing repairs.

There are no third-party vendors that have been granted access to the schematics.

Based on the above, this requirement needs to be sole sourced to Stratasys, Inc.

6. Publicizing Contract Actions: For FAR Part 13 actions, the public display and synopsis requirements of FAR 5.101 and FAR 5.203 apply and will be followed.

Requirement to post justification in accordance with FAR 8.405-6(b)(3), FAR 13.105(c), or FAR 16.505(a)(4)(iii)(A) Action is NOT a brand name restriction and is under $150K, no posting required Action is a brand name restriction, under $25K, no posting required Action is a brand name restriction, over $25K. It will be redacted and posted with the solicitation.

Action is a brand name restriction over $25K but will not be posted due to exception:

FAR 6.305(f)
FAR 8.405-6(b)(3)(iii)(A)

FAR 8.405-6(b)(3)(iii)(B)

FAR 8.405-6(b)(3)(iii)(C)
FAR 16.505(a)(4) (iii(C)

7. Market Research: Market Research performed by Joel J.H. Valdez, Industrial Specialist and Terry Clark, Contract Specialist from 30 May 2024 – 12 July 2024.

During market research Mr. Valdez he found that Ronald Cervania, Mechanical Engineer since 15 April 2024 to present was assigned the work order to troubleshoot the issues with the 3D Printer. On inspecting the equipment Mr. Cervania found that the job is beyond his scope of work because of the repairs required for the equipment. Stratasys Inc. was contacted about the issues, and it was recommended a service contract be created for a field service engineer site visit and repair.

On 10 July 2024, Mr. Valdez researched the previous contract W912NW-24-P-0018 awarded 19 December 2023. Contract was sole sourced.

On 12 July 2024 the Contract Specialist reviewed PCF for previous history and found the following contracts:

W912NW-24-P-0018 awarded to Stratasys on 19 December 2023, Cage code:1GKB4, Firm Fixed Price, NAICS Code: 811310, Size Standard: $12,500,000 for repair on the Fortus 400MC and the FDM 450MC. Contract was sole sourced.

W912NW-22-P-0071 awarded to Stratasys on 17 June 2022, Firm Fixed Price, NAICS Code: 811212, Size Standard: $30K for Preventative Maintenance and Recertification. Contract was sole sourced.

W912NW-21-P-0025 awarded to Stratasys on 16 April 2021, Cage Code:1GKB4, Firm Fixed Price, NAICS Code: 811212, Size Standard: $30K for Preventative Maintenance and Recertification of the Fortus FDM 400MC. Contract was sole sourced.

On 12 July 2024 the contract specialist researched Google, but no other sources could be found for services to repair of these parts.

8. Other Facts: N/A

9. Technical/Requirements Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Advanced MFG Branch Division Directorate of Production Engineering

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable based upon price analysis.

I certify that this justification is accurate and complete to the best of my knowledge and belief, and that completing this purchase as a sole source is in the best interest of the Government. Additionally, I approve this justification to limit competition subject to the availability of funds and provided that the services or supplies herein described have otherwise been authorized for acquisition.

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