SoleSource.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 ProCAST Software License Renewal for Norfolk Naval Shipyard (NNSY). The estimated cost is inclusive of all Option Periods. Fiscal Year 2021 Operation and Maintenance, Navy funds are provided on funding document . The period of performance is 15 Mar 21 to 14 Mar 22 with a one year Period of Performance Option period through 14 Mar 23.

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. ___ OTHER REASONS.

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

ProCAST software performs complex analysis and is used for designing a casting methodology for the propeller castings. Estimated Cost is inclusive of all Option Periods. Period of Performance is 3/15/21 -3/14/22 with a One Year Option Period through 3/14/23.

Procast is the only software that allows engineers to perform advanced calculations to assure quality castings and also allows the testing of new methodologies which could lead to further process improvements and superior propulsion design.

ProCAST software is installed on the Naval Foundry and Propeller Center (NFPCICN) network.

NFPCICN is the Navy's only organic source for propellers and propulsors. The Foundry has invested over in ProCAST licenses, maintenance and support since 2012. If an alternate product were to be procured, NNSY would be forced to go through a 6-12 month new add process for software testing, evaluation, and approval at an estimated cost of over

. Additionally, retraining costs are estimated to be in excess of for its existing user base. Note this software is complex and requires a great deal of training and experience. The duplication of these costs is not expected to be recovered through competition and would cause unacceptable delays in fulfilling the agency’s requirements. The NFPCICN experts stated that the learning curve for expertise with this or any replacement is approximately three years as this product confirms the pour of each roto-casting at an expense of per casting.

ESI North America, Inc. is the exlusive distributor of all products and services produced or marketed by ESI Group for ProCAST material, within the United States, Canada and Mexico .

ProCAST software products are already established in the Navy’s infrastructure, and license supplement is required to maintain current service levels of the shipyard. ProCAST software support is only available from its sole authorized resellers of the brand-name product. Market Research confirms that this product is available from open market only.

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: