Limiting Competition Esprit Software Final Redacted.pdf

This is a Memorandum for Record documenting a sole-source justification for limiting competition below the Simplified Acquisition Threshold for an ESPRIT Computer Aided Manufacturing (CAM) Software maintenance renewal.

The contracting activity is the United States Army Contracting Command–New Jersey, Joint Armaments Division at Picatinny Arsenal. The proposed contractor is Hexagon Manufacturing Intelligence, Inc. (CAGE Code: 1WUK4), located in North Kingstown, Rhode Island. The contract vehicle is a Purchase Order with a fixed-price pricing structure, funded through Research Development Test & Evaluation (RD&E) for Fiscal Year 25. The requirement involves ESPRIT CAM Software maintenance renewal for the Weapons and Software Engineering Center (WSEC) Benet Laboratories, supporting large caliber cannon and mortar prototype designs and manufacturing programs at Waterliet Arsenal. The contractor shall provide all software updates, maintenance, technical support, and service patches necessary for complex part-program generation. The period of performance is 12 months from the date of award, with a total estimated value of $44,700.00. The justification for sole-source procurement cites FAR 13.106-1(b)(1), establishing that Hexagon Manufacturing Intelligence is the sole creator, developer, and distributor of ESPRIT CAM software, making it proprietary and available only from the manufacturer. Additionally, WSEC Benet Laboratories currently relies on ESPRIT for part-program development and knowledge-based management systems, with no alternative CAM software offering equivalent data management solutions. The facility's IT department has developed specialized expertise in managing servers supporting ESPRIT, and transitioning to new software would risk project delays, increased costs, and potential compatibility issues with advanced machine tools currently in operation. A Sources Sought Notice issued in July 2016 received no responses, supporting the determination of sole-source procurement. The Contracting Officer certified that the anticipated cost is fair and reasonable and that completing this purchase as a sole source is in the Government's best interest.