single_source_justification.pdf

PDF 83 KB Posted

Attached to
Sole Source Award - HAAS CNC Machine Servicing
Solicitation number
FA660626C0005
Issued by

About this file

This is a Single Source Justification for a Simplified Acquisition submitted by the U.S. Air Force (439 CONF/PKA) for biannual and reactive servicing of Haas CNC machinery. The estimated contract cost is $260,000.00 for the base year plus four option years, running from March 1, 2026, through February 28, 2030. The requirement covers maintenance, repair services, and spare parts for four Haas machines: VF-6, TM2P, TM2, and TL1, with three CLINs addressing biannual machinery servicing, reactive servicing, and spare/reactive parts respectively.

The justification establishes Phillips Corporation Inc., Federal Division, as the sole source provider based on its exclusive designation by Haas Automation as the sole and exclusive distributor of Haas CNC machines and factory-certified service for U.S. Government facilities. The government determined that only repairs and maintenance performed by Haas-certified technicians are warranted against defects, and Phillips maintains all certified service technicians employed directly by the company. A sources sought notice was posted on SAM.gov from September 18, 2025, to October 18, 2025, generating five vendor responses; however, all vendors except one indicated they would need to subcontract to Phillips and Haas, which would significantly increase costs to the government. The Contracting Officer, Robert E. Stacy (GS-12), made the determination on December 17, 2025, in accordance with FAR 13.106-1(b)(1) that circumstances justify single-source acquisition. The government committed to monitoring future market conditions and the Haas-Phillips exclusive agreement to enable competition if that agreement is terminated.

View the file

On GovTribe

Work with this file

  • Download the original file
  • Contacts named in this file
  • Similar government files
  • Ask GovTribe AI about this file

Text version

Single Source Justification (Simplified Acquisition)

CONTROLLED UNCLASSIFIED INFORMATION

April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 1 of 2

Section A: General Contract Information

Is this a Bridge Action as defined in the AF Bridge Action Reduction Plan? Yes No

Contracting Activity: 439 CONF/PKA

Project/Program Name: HAAS CNC Machines Services

Purchase Request / Local ID Number: F5N2CC5351A001

Estimated Contract Cost (including Options): $260,000.00

Section B: Description of the Supplies/Services Required

This requirement is for Biannual Machinery Servicing, Reactive Servicing and Parts for 4 Haas machines-Haas VF-6, Haas TM2P, Haas TM2 and Haas TL1 for base year plus four option years 1 March 2026 through 28 February 2030. CLIN 0001-Biannual Machinery Servicing, CLIN 0002- Reactive Servicing for 4 Haas Machines , CLIN 0003-Spare and Reactive Parts. The contractor shall furnish all labor, equipment, devices, tools, materials, transportation, supervision, permits, notifications, and all miscellaneous requirements to to perform all the major maintenance checks recommended by the machine manufacturer.

Section C: Justification for Soliciting from a Single Source or Brand Name

Phillips Corporation Inc., Federal Division, is the sole and exclusive distributor of Haas CNC Machine Tools and any associated factory certified service, training and applications work for United Sates Government facilities. This includes any factory certified service related contracts, maintenance agreements, training and applications work on Haas equipment.

Phillips Federal Division does not maintain a network of other authorized service providers within the local area capable of providing the required annual maintenance and repair services. All service technicians are employed by Phillips Corp and certified by HAAS automation. This preserves warranty terms, ensures the reliability and functionality of the equipment by certifying only those personnel who have been expertly trained in specific machine intricacies, and more importantly, secures the safety of the personal responsible for operating the machines.

As only repairs/maintenance performed by a HAAS certified technician shall be warranted against defects in material and workmanship, the government has determined that no other source, other than Phillips Corporation, can fulfill this requirement.

Section D: Efforts to Obtain Competition

A sources sought was placed on SAM.gov (Sep 18, 2025 - Oct 18, 2025). Five vendors replied and sent emails stating that they would be able to provide the required services. All vendors expect one would have to contract out to Phillips and HAAS to be able to provide the required services and parts. This would greatly increase costs to the government.

CONTROLLED UNCLASSIFIED INFORMATION

April 2021 CONTROLLED UNCLASSIFIED INFORMATION Page 2 of 2

HAAS has designated Phillips Corp as the sole and exclusive provider of factory certified HAAS services. Unless HAAS terminates its exclusive agreement with Phillips Corp, then future acquisitions for HAAS preventive maintenance, parts, and repairs, will continue to be purchased through Phillips Corp. Should HAAS relax this agreement then the Government shall compete future acquisitions for similar requirements to all available resellers.

Section E: Steps to Preclude Future Single Source or Brand Name Awards

The Government shall continue to monitor the market and the agreement between HAAS and Phillips Corp on future machinery acquisitions to ensure competition to maximum extent practicable.

Section F: Contracting Officer's Determination

I have determined, in accordance with FAR 13.106-1(b)(1), that the circumstances of this contract action deem only a single source is reasonably available.

Date

17-Dec-2025

Typed Name and Rank/Grade of Contracting Officer

Robert E. Stacy, GS-12

Signature of Contracting Officer

April 2021 Page of Section A: General Contract Information Is this a Bridge Action as defined in the AF Bridge Action Reduction Plan?

Section B: Description of the Supplies/Services Required Section C: Justification for Soliciting from a Single Source or Brand Name Section D: Efforts to Obtain Competition Section E: Steps to Preclude Future Single Source or Brand Name Awards Section F: Contracting Officer's Determination I have determined, in accordance with FAR 13.106-1(b)(1), that the circumstances of this contract action deem only a single source is reasonably available.

9.0.0.2.20120627.2.874785

security_markings: CONTROLLED UNCLASSIFIED INFORMATION
CurrentPage:
PageCount:
Yes:
No:
Contract_Activity: 439 CONF/PKA
Project_Name: HAAS CNC Machines Services
PR-ID_Number: F5N2CC5351A001
Estimated_Cost: $260,000.00
Text:
Date: 17-Dec-2025
Name: Robert E. Stacy, GS-12
Signature:

File details come from the government source that posted it. Updated .