SSJ_MFR Thermo PMA Signed - RED.pdf

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

CONTROLLED UNCLASSIFIED INFORMATION

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Department of the Air Force, Air Combat Command (ACC), 325th Contracting Squadron, 220 Checkertail Way, Tyndall AFB, FL 32403

This procurement action will result in a new firm-fixed-price contract awarded to Thermo Fisher Scientific/Thermo Electron North America LLC, an approved service provider. The contract will have a 12-month base period and four 12-month option periods of performance (PoPs) and will provide a Preventative Maintenance Agreement (PMA) for laboratory equipment owned by AFCEC/CXA, originally purchased from Thermo Fisher Scientific.

This contract is a follow-on to FA4819-20-C-0021 awarded to Thermo Electron North America LLC and will cover all labor, parts, tools, materials, and transportation necessary to maintain the Thermo Fisher equipment listed in the Performance Work Statement (PWS). The PMA will include cleaning, calibration, testing, repairs, and routine service maintenance to ensure the equipment remains compliant with scientific laboratory standards.

The requirement is for a Preventative Maintenance Agreement (PMA) to support laboratory equipment originally purchased from Thermo Fisher Scientific and currently owned by AFCEC/CXA. The PMA will provide all necessary labor, parts, tools, materials, and transportation to maintain the instruments listed in the Performance Work Statement (PWS).

The agreement ensures the equipment undergoes routine maintenance, including annual leak tests, replacement of O-rings, plunger valves, and lines to prevent system failures and maintain accurate testing capabilities. This proactive maintenance is essential to sustaining the operational integrity of the laboratory instruments.

The total estimated value of this acquisition, including a 12-month base period and four 12-month option periods, is $ . Period of Performance anticipated: 15 September 2025 - 14 September 2030.

This acquisition is conducted under DAFFARS 5313.501 - 10 U.S.C. 2302b, which implements Simplified Acquisition Procedures (41 U.S.C. 1901).

Thermo Fisher Scientific is the sole source manufacturer and service provider for all Thermo Fisher Scientific instruments, parts, training, technical support, field service, and proprietary software. The authorized entity for these instruments is Thermo Electron North America LLC, a division of Thermo Fisher Scientific. Market research conducted by AFCEC/CXA concluded that Thermo Fisher Scientific is the only known provider capable of delivering the required services detailed in the PWS.Thermo Fisher Scientific instruments identified in the PWS employ advanced, proprietary technology to analyze chemicals and identify unknown samples. Their proprietary rights to the design and software of these instruments create a dependency on their unique expertise. Thermo Fisher Scientific exclusively maintains access to verified component parts, spare parts, technical support, software upgrades, and engineering resources necessary to sustain the original operating specifications of their instruments. Additionally, their Field Service Engineers (FSEs) are the only certified and factory-trained professionals authorized to service these instruments.

These engineers operate under an ISO-certified organization, ensuring compliance with industry standards. The contractor's unique qualifications, proprietary rights, and specialized resources justify the sole source designation for this acquisition.

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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AFCEC conducted a market research effort by interviewing AFCEC staff for potential vendors that could maintain/ repair the Thermo equipment. AFCEC also conducted Internet searches to find additional vendors. From these activities, six vendors were identified (Thermo Electron North America LLC, Lighthouse Lab Services, Copia Scientific, PerkinElmer, Advance Tech. Services, and Avantik) and information requested through their website contact area, and/or emails to determine if they could perform preventive maintenance and repair of the Thermo equipment listed in the PWS. Each vendor was contacted via their provided Contact Us links on their websites, as phone numbers were not listed for some vendors. The detailed responses from each vendor are documented in section X below. Of the three vendors that replied with relevant information (Thermo Electron North America LLC, Lighthouse Lab Services, and Copia Scientific), only one Unity Lab/Thermo Electron North America LLC was confirmed as an authorized OEM maintainer for the equipment listed in the PWS. The other vendors said they could not maintain/repair the specific lab equipment listed in the PWS. Additionally, AFCEC received a formal letter from Michael Thomas ( Michael.L.Thomas@thermofisher.com, (608) 819-5735) Unity Lab/Thermo Electron North America LLC which stated "The instruments and any attached peripherals use a technologically advanced method to analyze chemicals and to identify unknown samples. Thermo Fisher Scientific has proprietary rights to the design and software utilized in this instrument. Thermo Fisher Scientific is the only company with access to performance verified component parts, spare parts, software, technical support, upgrades and engineering resources to maintain the original operating specifications for your Thermo Fisher Scientific instrument. Thermo Fisher Scientific Field Service Engineers (FSE's) are the only certified and factory trained engineers available to service the instrument, and are part of an organization that is ISO certified." The letter emphasized that Thermo Fisher Scientific maintains exclusive proprietary rights to the design and software, limiting the capability of other sources to fulfill the requirement. Further efforts to identify alternative sources included a sources-sought notice FA481924RCY01 posted on SAM for an open period of 10 Dec 2024 through 2 Jan 2025 by the 325th CONS. One vendor (BHPE LLC) responded. BHPE LLC indicated they were working on the requirement. However, after multiple follow-ups to BHPE LLC by 325th CONS and without receiving further information from the vendor, the vendor was determined to be non-responsive. As a result, it was confirmed that no other qualified sources other than Thermo were capable of fulfilling the requirement.

In accordance with FAR 15.404-1(b)(2), various price analysis techniques and procedures will be utilized to ensure the proposed pricing is fair and reasonable. These techniques include, but are not limited to:

Comparison of proposed prices to historical prices paid by the Government or other entities for the same or similar services.

Comparison of proposed prices with prices obtained through market research for the same or similar items.

Comparison of proposed prices with the Independent Government Estimate (IGE).

In an effort to validate a fair and reasonable price, the Contracting Officer will request Thermo Electric provide a recent and valid price list and/or examples of commercially issued contracts to the commercial marketplace demonstrating a price commonly offered to other customers.

Through these methods, the Contracting Officer will determine that the pricing for this acquisition aligns with fair and reasonable cost expectations.

A market survey was conducted to identify potential third-party providers capable of performing the required services. However, no alternative vendors were found that could meet the requirements outlined in the Performance Work Statement (PWS).

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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As part of the market research:

Previous contracts with the vendor were reviewed to assess quality assurance and customer satisfaction. AFCEC was satisfied by the work performed on FA4819-20-C-0021 which was awarded to Thermo Electron North America

LLC.

Thermo Electron North America LLC was contacted to obtain information on available service coverage and cost estimates to support the acquisition strategy.

The Original Equipment Manufacturer (OEM) was consulted to determine whether any third-party vendors were authorized to maintain their equipment. Thermo Electron North America LLC provided a letter confirming that they are the sole authorized service provider.

Six additional vendors were contacted by AFCEC or 325th CONS, but out of those that responded none were able to provide the required maintenance services for the listed equipment. See the market research report for further details.

This market research validated that Thermo Electron North America LLC is the only qualified source capable of providing the necessary maintenance and support services.

The equipment in question is highly specialized, requiring repairs and servicing by the original manufacturer to maintain its integrity and functionality. Unlike common systems such as HVAC or refrigeration, this equipment cannot be serviced with generic parts. Only Original Equipment Manufacturer (OEM) parts are compatible, ensuring proper operation and longevity.

Moreover, the manufacturer controls the sale of parts, software, and access to necessary updates, further limiting the availability of alternatives. As a result, there are no professional societies or other entities that can provide the necessary services or parts. This makes competition unfeasible, justifying the use of Other Than Full and Open Competition.

Thermo Electron North America LLC was the only qualified company that expressed, in writing, an interest in the acquisition. A total of seven vendors were contacted for maintenance and service for Thermo Fisher equipment either by AFCEC or 325th CONS. These vendors either advertised as authorized Thermo Fisher service providers or as service providers for laboratory equipment in general or responded to the 325th CONS sources sought.

AFCEC contacted or attempted to contact the vendors (No. 1 to 6) and 325th CONS contacted vendor 7. The responses or lack of response is below and indicates whether the vendor was considered competitive or non-competitive:

1. Unity Labs/Thermo Electron North America LLC (Competitive)

Michael Thomas, Michael.L.Thomas@thermofisher.com, (608) 819-5735, responded to AFCEC inquiries in 2024. They are the current vendor for the equipment listed in the PWS. The vendor provided a letter confirming that Thermo Electron North America LLC is the OEM-authorized provider for the required services. The letter from Unity Lab/Thermo Electron North America LLC stated "The instruments and any attached peripherals use a technologically advanced method to analyze chemicals and to identify unknown samples. Thermo Fisher Scientific has proprietary rights to the design and software utilized in this instrument. Thermo Fisher Scientific is the only company with access to performance verified component parts, spare parts, software, technical support, upgrades and engineering resources to maintain the original operating specifications for your Thermo Fisher Scientific instrument. Thermo Fisher Scientific Field Service Engineers (FSE's) are the only certified and factory trained engineers available to service the instrument, and are part of an organization that is ISO certified." The letter states they are the only company to perform these services indicates that Thermo has not provided other sources with

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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2. Lighthouse Lab Services

Chanece Wagner, chanece.Wagner@lighthouselabservices.com, 800-838-0602 responded to AFCEC inquiries by email, stating they "do not have the ability to servide that platform of instrumentation. Our capabilities are more centered around the chemistry and toxicology arenas" for Thermo Fisher lab equipment. They stated they could not service the specific instruments listed in the PWS.

3. Copia Scientific Andrea Rogsin, andrear@copiasci.com 978-810-4008 responded to AFCEC inquiries by email.

They indicated they only service a limited range of Thermo Fisher equipment, none of which matched the requirements for AFCEC/CXA. The email stated "Those are not instruments we service" confirming the applicable equipment is not serviceable without express, written approval from Thermo Electric.

4. PerkinElmer

No response was received from the AFCEC inquiry sent through their Contact Us website link. No phone number was available for direct contact. Their website indicates they service lab equipment.

5. Advance Tech. Services

No response was received from the AFCEC July 2024 inquiry sent through their Contact Us website link. No phone number was available for direct contact. Their website indicates they service lab equipment.

6. Avantik

No response was received from the AFCEC July 2024 inquiry sent through their Contact Us website link. No phone number was available for direct contact. Their website indicates they service lab equipment.

7. BHPE LLC

Initially responded to the 325th CONS sources sought via email stating, "We are currently working on the requested information." However, no follow-up information was received. After the designated waiting period, they were deemed unresponsive by 325th CONS.

As the current contract period approaches its end, AFCEC/CXA will actively monitor the industry for potential third-party providers who can fulfill the required services. We will conduct a comprehensive market survey to identify any new providers capable of meeting the service requirements. This proactive approach aims to ensure that we can avoid future sole-source acquisitions by increasing competition and expanding the pool of available providers. Additionally, upon identification of a requirement for the acquisition of new equipment, requirement owners shall consider long-term, sustainment efforts to ensure the equipment has the ability to seek open source vendors for continued maintenance and repair support.

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