Redacted Limiting-Competition-under-SAT_ACC.docx

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

1. Contracting Activity: Army Contracting Command – Redstone Arsenal – Corpus Christi Army Depot (CCAD) (CCAM-DSC) 9035 Ocean Dr. Bldg. 10, Mail Stop 18, Corpus Christi, TX 78419-5260

2. Description of Action:

Nature: Follow-on Requirement

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:

Advanced Processing Technology, Inc. (0NN28) P.O. Box 1696 Norman, OK 73070

Brand Name Buy: Yes No

3. Description of Services or Supplies: This requirement is for preventive maintenance and calibration of three (3) Autoclaves located at the Corpus Christi Army Depot’s Composite Shop, Corpus Christi TX, 78419-5260.

Totals

For Actions with Options:

Base Period: 01 April 2024 to 31 March 2025 Option Period 1: 01 April 2025 to 31 March 2026 Option Period 2: 01 April 2026 to 31 March 2027

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: The three (3) Autoclaves are used to cure aviation parts at the CCAD composite shop and if they are not maintained, there will be no alternative method to cure aviation parts. There is a requirement for preventive maintenance and calibration for each unit. Each of the three AvPro Autoclaves were procured from Advanced Processing Technology, Inc., which is the original equipment manufacturer. Government personnel are not certified to calibrate the autoclaves nor is the specific equipment required to perform the maintenance and calibration. Advanced Processing Technology, Inc. is the only company with the proprietary rights to the software and documentation needed to fulfill this requirement. As a result, Advanced Processing Technology, Inc. is the only source capable of performing the preventive maintenance and calibration.

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

The justification will be posted with the solicitation.

7. Market Research: Market research has been conducted for this acquisition by Gilbert Sanchez, Industrial Specialist from October 2023 through February 2024 and Terry Clark, Contract Specialist, February 2024.

Mr. Sanchez personal knowledge in procuring supplies/services of this type through Contracting Officer Representative (COR) on previous service contracts for Autoclaves W912NW-17-P-0026 and W912NW-21-P-0015.

Contact with knowledgeable persons in Government and/or industry regarding the commercial nature of this requirement and/or standard industry practice in this area of supplies/services: Mr. Sanchez contacted Hans Rose from Advanced Processing Technology, Inc. (AvPro) Engineer, October 2023, William Avila, CCAD Engineer, October 2023.

Results of recent market research review for similar or identical supplies/services: The market research on previous service contract W912NW-21-P-0015 were the same as present market research, only one company can provide the required services.

On 01 February 2024 the Contract Specialist posted a Sources Sought on SAM.GOV as a part of the market research until 08 February 2024. Two (2) companies showed an interest and submitted capabilities statements. After review of the capability’s statements, the customer stated that none of the Contractors have access to the software for performing necessary software updates; only AvPro possesses the proprietary software and calibration rights; and only AvPro is certified to perform the preventative maintenance and calibration on the Autoclaves.

Mr. Sanchez reviewed SAM.GOV for relevant services on 04 December 2023. No information was found.

On 31 January 2024, the Contract Specialist reviewed Advanced Processing Technology Inc.’s website (https://apt-inc.com/our-services/) which confirmed that Advanced Processing Technology Inc. has the proprietary software and calibration rights and are certified for the Preventative Maintenance and Calibration of the Autoclaves.

8. Other Facts: Previous contracts:

W912NW-17-P-0026 was awarded on 13 February 2017 as a base plus two (2) option years. Awarded to Advanced Processing Technology, Inc. (0NN28) base amount of $65,631.25.

W912NW-21-P-0015 was awarded on 05 November 2020 as a base plus two (2) option years. Awarded to Advanced Processing Technology, Inc. (0NN28) base amount of $39,000.00.

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.

Michael Hernandez Chief, Facility Engineering and Management Division

10. Contracting Officer Certification/Approval:

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.

Contracting Officer

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