Sole Source_Redacted.pdf

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 Sole Source Sysweld Renewal Base Year plus Option Years for Puget Sound Naval Shipyard & Intermediate Maintenance Facility (PSNS&IMF).

This procurement will be awarded as a firm-fixed-priced delivery order to ESI North America.

The estimated cost is . Fiscal Year 2023 Operation and Maintenance, Navy funds are provided on funding document N4523A22RCXXXXX. The period of performance is 10 Oct 2022 to 09 Oct 2023 with a required delivery date of 07 Oct 2022.

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.

Sysweld Simulation Solution Software Maintenance Renewal for Puget Sound Naval Shipyard (PSNS) & Intermediate Maintenance Facility (IMF). This procurement is specifically to provide physics-based finite element weld modeling and simulation tool. It simulates arc welding and laser welding processes including complex weaving patterns, accounts for heat transformation in metallurgical phase transformations, and calculates residual stresses locally and throughout large welded structures.

ESI North America Sysweld software is the only known physics-based finite element weld modeling and simulation tool. Sysweld is unique in its ability to readily model metallurgical phase transformations and calculating optimum weld pass sequence for microstructure and residual stresses in complex structures. Distinct from other commercial simulation applications, Sysweld has an integral database of commonly deployed naval material and properties. Sysweld also has a broad user base in the Navy and with Navy Contractors.

Any software loaded on to the shipyard network is required to be maintained. If the software is not maintained, it would have to be de-installed and the shipyard would not be able to use it.

Sysweld software has been used by Puget Sound Naval Shipyard (PSNS) for several years. Since FY 13 the Government has invested in excess of in the current Sysweld solution. Award to any other source would not be possible, as ESI North America is the only source that can provide the required maintenance

The aforementioned OEM of this requirement is the only company capable of maintaining its source code. Use of non-compliant/non-authorized OEM products will void current support contract for this product. 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.

Based on current market research dated Jun 2022, it has been determined only the aforementioned brand name product and/or product support, Sysweld Renewal Base Year plus OYs, 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, the OEM 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