Redacted Sole Source LSJ_Redacted.pdf

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Eaton UPS Maintenance Renewal
Solicitation number
N3904024RC40433
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This document is a Justification for Other Than Full and Open Competition (JOFOC) under the Simplified Acquisition Threshold for the procurement of Eaton UPS Maintenance Renewal for the Portsmouth Naval Shipyard (PNS). The requirement is for a firm-fixed-price order with a base period of performance from 9/21/2024 to 12/31/2024, and two 12-month option periods. The JOFOC cites only one responsible source, Eaton Corporation, as the original equipment manufacturer (OEM) of the UPS systems, which require proprietary firmware, repair documentation, and authorized services that are not available from any other providers. The Contracting Officer has determined that Eaton is the sole source capable of fully supporting the Government's requirements. The related federal contract opportunity solicitation provides additional details, including the applicable FAR/DFARS clauses, technical evaluation criteria, and instructions for vendors to submit quotes via SAM.gov by August 16, 2024.

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USE OF OTHER THAN FULL AND OPEN COMPETITION FOR AN ACQUISITION

UNDER THE SIMPLIFIED ACQUISITION THRESHOLD

I. BACKGROUND:

1. FAR 13.106-1(b)(1)(i) states for purchases not exceeding the simplified acquisition threshold, Contracting Officers may solicit from one source if the Contracting Officer determines that the circumstances of the contract action deem only one source reasonably available (e.g., urgency, exclusive licensing agreements, brand-name or industrial mobilization).

2. As required by FAR 13.106-3(b)(3)(i), this memorandum explains the absence of competition for this acquisition, as only one source will be solicited for this requirement (or for a portion of the requirement) and the requirement is not expected to exceed the simplified acquisition threshold.

II. DESCRIPTION OF ITEM OR SERVICE:

The nature of this action is to procure Eaton UPS Maintenance Renewal for Portsmouth Naval

Shipyard (PNS). This procurement will be awarded as a firm-fixed-priced delivery order to

Eaton Corporation. The estimated cost is . Fiscal Year 2024 Operation and

Maintenance, Navy funds are provided on funding document N3904024RC40433 Period of

Performance (PoP) CLIN 0001 09/21/2024 – 12/31/2024 / CLIN 0002 09/21/2024 – 9/20/2025.

There is a full year Option #1 with a PoP 09/21/2025 – 09/20/2026 and Option #2 09/21/2026 –

12/31/2026.

III. THE DETERMINATION FOR USE OF OTHER THAN FULL AND OPEN

COMPETITION IS BASED ON THE FOLLOWING (select all that apply):

A. _X__ ONLY ONE RESPONSIBLE SOURCE (select all that apply):

1. ___ RESTRICTIVE RIGHTS. The source has established proprietary rights, limited rights in data, patent rights, copyrights or secret processes in the item or service required.

2. ___ EXCLUSIVE LICENSING AGREEMENTS. The item or service is only available from the Original Equipment Manufacturer (OEM), or there is only one authorized distributor or technical representative for the OEM.

3. __X_ OTHER REASONS.

Market research was conducted to identify availability via Department of the Navy Enterprise

License Agreement (DON-ESL) Program Government-wide acquisition contracts, Department of Defense Enterprise Software Initiative (DOD-ESI) Government-wide acquisition contracts, National Aeronautics and Space Administration Solutions for Enterprise-Wide Procurement

(NASA-SEWP) Government-wide acquisition contracts, General Services Administration (GSA)

Government-wide acquisition contracts, the Open Market , Department of Defense Approved

Products List (DODIN-APL), Army Computer Hardware Enterprise Software and Solutions -

Information Technology (ARMY-CHESS-IT) Government-wide acquisition contracts, and other potential sources.

This requirement is for the service maintenance renewal of PM for four (4) Eaton UPS systems. PNS is part of the Naval Shipyard Corporate Enterprise which uses SUN servers as a UNIX operating system hardware platform for corporate and local applications that support the Shipyard’s business processes. A NetApps Network Attached Storage (NAS) provides storage for both Windows and UNIX. This hardware is housed in BLDG 86A-2 Disaster

Recovery Computer Room supports the primary computer room. No interruption or unplanned downtime can be allowed without costly interruptible power supplies (UPS) to both computer rooms.

As the original equipment manufacturer (OEM) Eaton is an ISO9001 certified supplier, Eaton Corporation is the only provider of factory supported, factory trained, factory authorized and factory certified service. Eaton Corporation is also the sole source for tested and reliable replacement parts for the UPS equipment. Services are only available form Eaton

Corporation due to firmware used to control the 3-Phase functioning of the UPS system is proprietary to Eaton Corporation. No other service supplier is authorized to possess Eaton proprietary (copyrighted) software, repair documentation, processes or materials. Eaton does not train, certify or support independent third-party service providers. Updates to the firmware are only available through the OEM, as they have no authorized resellers. Eaton is the only capable source due to potential invalidation of warranty coverage for the UPS system.

Any hardware or software on the Shipyard network is required to have maintenance. If the

UPS is not maintained it would have to be removed, leaving the equipment reliant on the

UPS for protection open to risk of power age shutdown and surge damage.

Based on current market research dated Jul 2024, it has been determined only the aforementioned brand name Eaton UPS Maintenance Renewal (PNS 23-370) New Base Year can fully support the Government’s needs. No competitor functional replacement products exist in the market at this time to meet the Government's needs. The Government will continue to conduct market research to determine if there are changes in the market place that would enable future competitive actions; e.g., there are similar products and/or product support in the marketplace that provide the same functionality, releases ownership rights of product, or it is economically feasible to procure a new system.

B. __ BRAND NAME. Item required must be a brand name product, or feature of a product, particular to one manufacturer.

C. ___UNUSUAL AND COMPELLING URGENCY. The supplies or services are of such unusual and compelling urgency that the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals.

Urgent requirements are supplies or services that will result in a work stoppage, or are mission critical and the routine processing time would result in injury to the Government. The determination that the procurement for the above item/service is an urgent and compelling requirement is based on the following:

1. Date on which the requirement was first identified:

2. Required delivery date/period of performance:

3. Explanation of why delivery/commencement of services by the date mentioned above is required:

4. If appropriate, include any additional pertinent information:

IV. CERTIFICATIONS/APPROVALS:

A. Technical / Requirements Certification: I certify that the facts and representation under my cognizance which are included in this justification are complete and accurate to the best of my knowledge and belief.

Signature Name (Printed) / Phone # Date

B. Contracting Officer Approval:

Signature Name (Printed) / Phone # Date

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