A02._Final_Justification_Redacted.pdf

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN

COMPETITION

J&A #: 19-03-0073

1. Contracting Activity: The contracting activity for this action is the United States Army Medical Research Acquisition Activity (USAMRAA) located at Fort Detrick, Maryland, in support of the United States Medical Research Institute of Chemical Defense (USAMRICD) at Aberdeen Proving Ground-Edgewood Area, Maryland.

2. Description of Action: This approval is for a new maintenance and repair support services requirement. This will be a firm fixed price (FFP) contract using fiscal-year (FY) 2019-2020 Research, Development, Testing and Evaluation (RDT&E) funds.

3. Description of Services: USAMRICD is requesting a non-personal services contract to acquire commercial maintenance and repair services for a Bruker 500 MHz Nuclear Magnetic Resonance (NMR) System currently in use within a USAMRICD laboratory. The systems includes twenty (20) sampling cases and peripheries. USAMRICD requires one (1) preventative maintenance (PM) every twelve (12) months, as well as all other routine maintenance and repair services to keep the machine operating to support the USAMRICD’s research mission. The estimated value for the base period of performance is . The total estimated value for this requirement, which includes a twelve-month base period and four (4) twelve-month option periods is .

4. Authority Cited: The statutory authority permitting other than full and open competition is 41 U.S.C. 1901 as implemented by Federal Acquisition Regulation (FAR) 13.106- 1(b)(1)(i) titled, “Only one source reasonably available.”

5. Reason for Authority Cited: Market research has indicated Bruker BioSpin Corporation (Corp) is the only one responsible source capable of providing this service. The proposed contractor, Bruker BioSpin Corp, is the original equipment manufacturer (OEM) of the Bruker 500 MHz NMR System. The maintenance of the equipment can only be provided by the manufacturer who is the only source for factory parts, proprietary software and factory trained maintenance technicians. Bruker does not have any third-party repair facilities and the Bruker service technicians are the only source for servicing their equipment. Bruker does not license third-party technicians as its NMR systems and software are proprietary. This equipment supports research protocols with highly visible research milestones/aims; USAMRICD’s mission. Due to the criticality of this piece of equipment, the Government’s need of minimal downtime of the equipment cannot be met by a third-party.

6. Efforts to Obtain Competition: The effort to obtain competition for this action was accomplished through posting an Intent to Sole Source; published on FEDBIZOPPs on 22 February 2019. Potential offerors were asked to submit capability statements within fifteen

(15) days before the notice closed. There were no respondents to the Intent to Sole Source.

Furthermore, market research indicated a similar requirement, W81XWH-17-T-

0183, was published on FEDBIZOPPs as an unrestricted full and open requirement.

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The only response to the solicitation was Bruker BioSpin Corp.

7. Actions to Increase Competition: This Nuclear Magnetic Resonance system is a highly specialized and unique service not widely available. Currently, only one source, Bruker BioSpin, is qualified to complete these tasks. The Bruker Avance III 500 MHz NMR with 20 Sampling Case is a specialized system which includes proprietary software.

In addition, remote system monitoring is only available through Bruker BioSpin.

However, before each new requirement USAMRICD and the USAMRAA’s

Contracting Office will review upcoming projects for competitive acquisition strategies by conducting market research to see if Bruker BioSpin Corp has changed to licensing third-party technicians. In addition, once this system reaches the end of its lifecycle, attempts will be made to see if there are similar NMR systems available which provide third-party licensing.

8. Market Research: Initial market research was performed by USAMRICD on 29 November 2018. USAMRICD’s market research included potential supplier information, small business opportunities and AbilityOne. Furthermore, market research indicated that Bruker BioSpin Corp is the only company who can perform maintenance as Bruker BioSpin holds all patents and copyrights. Bruker does not license, train or support any non-Bruker technicians to service their equipment. Bruker BioSpin, also stated—via email dated 21 FEB 2019 and uploaded into the procurement contracting file (PCF)—there are no certified third-party companies authorized or trained to repair the Bruker NMR instruments.

9. Interested Sources: An Intent to Sole Source notice was published on FEDBIZOPPs on 22 February 2019. Potential offerors were encouraged to submit questions four days before the 13 March 2019 closing date, and capability statements by the 13 March 2019, when the notice closed. No responses—questions or capability statements—were received.

10. Other Facts:

a. Procurement History

(1) There were no service contracts awarded for this Bruker Avance III 500MHz NMR since this system was acquired by the US Corps of Engineers under the USAMRICD Facility Replacement on 12 February 2015. Consequently, there was no contract in place so no previous sole source justification exist for this procurement. This is considered a new requirement.

(2) The equipment’s OEM warranty has expired.

(3) Bruker BioSpin is the only company which can provide customer technical support on Bruker systems; informatics and chemistry is only available from Bruker BioSpin on Bruker NMR systems; customer training on Bruker NMR systems is only available from Bruker BioSpin. Additionally, only Bruker BioSpin offers complete systems-certified training to Bruker service engineers; factory-directed updates are produced only by Bruker; instrument and software upgrades for Bruker systems are only available from Bruker. Finally, Bruker offers the only automated qualification protocols on Bruker systems, and the only platform capable of

3 | P a g accessing instrument diagnostics remotely on Bruker systems.

b. Other facts. The warranty for the Bruker Avance III 500Mhz NMR with 20 Sampling Case has expired. It’s imperative to keep this equipment and NMR system well maintained as critic work is performed to support USAMRICD’s laboratory research. Furthermore, not having a service contract in place mean delays in getting the system fixed, and incurring more cost as the initial diagnosis first has to bring the equipment and system up to OEM specifications and compliance. No software updates will provided and there cannot be remote monitoring of the system and its NMR magnet. The risk for system failure is high if this equipment and its NMR system is not properly maintained by the OEM.

11. Technical Certification: I justify the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name: Date:

12. Requirements Certification: I certify the supporting data under my cognizance which are included in the justification are accurate and completed to the best of my knowledge and belief.

13. Contracting Officer Certification and Approval: I certify that this justification is accurate and complete to the best of my knowledge. Based upon the facts described herein, I hereby determine that the anticipated price to the Government for this contract action will be fair and reasonable. A determination of price reasonableness will be documented in the contract file. The planned price determination will be conducted through price comparison to the Independent Government Estimate (IGE), review of similar pricing for the same work as mentioned in section 6 of this document, and negotiation with the vendor.

Title: Signature: