JOFOC_AD_CPOD.pdf

Contracting \ffithout FulI and Open Competifion Justification and Approvals

(Reference FAR 6303-2)

l. Agency: EPA National Vehicle and Fuels Emission I"aboratory, Ann Arbor, Michigan

Contracting Activity: EPA Cincirnati Procurernent Operations Division Requisition No.; PR-OAR-15-00009 Contractor: A&D Technology,lnc,.,4622 Runway Boulevard Ann Atror, MI48108

2. Nature andlor deeeription of the action: The Cincinnati Procurement Operations Divisiou inteads to award a follow-on contact on a sole source basis to A&D Technology, I.ac (A&D) for the services described in Paragraph 3"

3. Description of the Suppties or Services: The contractor shall provide high-level expertise in nnaintaining, rqpairing, supporting, and upgrading A&D-supplied vehicle and englne emission test equipment and associated componmts, andprovide trairing related to that equipmart and components (as ueeded). A list of the A&D-supplied equipment that is included on the proposed contract is attached.

Estimated value: The totat maximum value is estimated to be $2,000,3tr4.00.

4. Authority:

Exception {* = abbfqvlatgd} A+thqritv rAS,9ite Only One Responsible Source* 41 U.S.C. 330a(a)(1) 6342-I

5. Describe how the couftactor'$ unique qu*Iificatious orthe natutre of the acquisition requires use of the *uthority cited: In accordance with FAR 6.302-1(b){2), "the eristence of limited rights ifr data, patetrt rights, cepyrights, or secret processes; . . , or similar circumstances, make supplies and services available from only ore source."

A&D engine emission test controllers and combustion analytical systems are controlled by A&D proprietary software. This softwarg together with A&D hardware, control peripheral equiprneut to run engl$e ernissioa tesk" High-level maintenance, repairs, and upgrades requlre access to the source code of the proprietary software above. There *re no authorized independent dealemldistibutors cf this equipment.

6. Describe the efforts made to ensure that offere are soHcited from as many potential sources as practicable: This requiremeat was synopsized in FedBizopps and Fed Connect on November 17,2015. The synopsis stated the EPA's intent to award a sole source coafiact to A&D Techaclogy, Inc- No other veudors pravided eapabilities statereeuts by &e end date of the posting period-

7. The contracting offrcer determines that the anticipated eost to the Government will be fair and reasolable beeause a eomplete aaalysis of all cssts using audits, commerciality, previous history, or other appropriate means will be fully utilized prior to award.

8. Description of the market research conducted (see FAR Part 10). If no market researeh was conductedo state the reasons: A&D software and hardware are proprietary products, controlled by A&D proprietary soffware. Market research did not reveal another source capable of configuring, maintaining, servicing, or performing upgrades orl A&D supplied software and hardware. Recent discussions with A&D's major competitors (Horiba Instruments & AVL Test Systems) in the emissions testing market lead to the conclusion that competition takes place at the system's sales level.

Due to proprietary hardware and software, and the level of specialized training required to stay cuffent with service needs, each manufacturer of emissions equipment operates with a strategy that only it can maintain its own products. Internet searches for third-party candidates able to provide products and service for A&D systems was also unsuccessful. There are other data acquisition and data control products on the market, but this would entail replacing the entire system. Given that any "ne'w" system would also be proprietarily controlled, the program office would find itself in the same situation.

Other facts supporting the use of other than full and open competifion.

None

List sources that expressed, in writing, an interest in the acquisition. If no sources expressed an interest in writing, indicate such. No other sources have expressed an interest in the acquisition.

Include a statement of the actions, if any, the Agency may take to remove or overcome any barriers to competition before any sutrsequent acquisition for the supplies or services is required. This follow on contract is to continue repair and upgrades to existing A&D-supplied and MTS-supplied (MTS is now owned by A&D) equipment. Procurements for completely neu,'test control or combustion analytical equipment would not face any barriers to competition, but subsequent follow-on contracts would end up being sole-source based on the proprietary nature of this soft-ware and hard-ware associated with the new equipment.

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