J ASigned_Redacted.pdf

Program/Item: Kolene MSB PM and Emer. Rep.

Estimated Dollar Value:

AAP#: AN150016

DEPARTMENT OF THE ARMY

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING AGENCY: Army Contracting Command – Warren ACC-WRN

(ANAD)

2. DESCRIPTION OF ACTION: A solicitation resulting in a new requirements contract between Anniston Army Depot and Kolene Corp., to whom the solicitation will be restricted. The proposed contract is for a new firm fixed price contract intended to be a base year and four (4) option years for preventative maintenance, emergency repairs, and repair parts for the Kolene Molten Salt Bath Cleaning System in Anniston Army Depot’s production operations. Army Working Capital Funds will be used for this acquisition. The Advanced Acquisition number is AN150016.

3. DESCRIPTION OF SUPPLIES/SERVICES: The Anniston Army Depot proposes to provide a single contract to provide OEM PM, Emergency Repairs, and Repair parts.

During the performance of the contract, one year plus four option years 20 quarterly preventative maintenance services shall be performed and emergency repairs will be conducted as required. The contractor shall provide Original Equipment Manufacturer (OEM) repair parts for an estimated total dollar amount of .

4. AUTHORITY CITED: The statutory authority permitting this action is 10 U.S.C.

2304(c) (1), as implement by FAR 6.302-1(a) (2“Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.” Specifically, FAR 6.302- 1(a) (2) (iii) (A)…services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in (A) Substantial duplication of cost to the Government that is not expected to be recovered through competition.

5. REASONS FOR AUTHORITY CITED: As described in FAR 6.302-1 (a) (2), procurement by other than Full and Open Competition is necessary because the Government does not possess technical data necessary to perform all required services or repairs and Kolene Corp., as the original equipment manufacturer of the Molten Salt Bath Cleaning System, is the only known source with the knowledge, experience, and technical data necessary to perform the required maintenance and repair efforts. A letter from Kolene Corp. stating the proprietary nature of their technical data and knowledge regarding the equipment is on file. The total estimated duplicative costs for this action is . This estimate was derived based on existing equipment costs adjusted for inflation plus R&R cost estimates plus production impediment direct cost estimates.

6. EFFORTS TO OBTAIN COMPETITION: The requirements of FAR 5.201 have been met. No other known source maintains the knowledge, experience, and technical data

AAP#: AN150016

that is source controlled by the OEM. This action will be synopsized via FedBizOps.gov per FAR 5.201.

7. ACTIONS TAKEN TO INCREASE COMPETITION: Due to proprietary source code, programming, and design safety elements no attempt to identify competing entities was conducted. Also, as long as Kolene Corporation retains the proprietary rights to this maintenance service, there are no alternatives available to increase future competition.

8. MARKET RESEARCH: ANAD Sources Sought #W911KF16S0001 – Kolene Molten Salt Bath PM and Emergency Repairs was posted on Fedbizopps on 8 December 2015 to identify all qualified sources. The results of market research reveal the OEM is the only provider of this service due to proprietary source code, programming, and design safety elements.

9. INTERESTED SOURCES: Notices required by FAR 5.201 shall be published and any bids or proposals received shall be considered. Reagent World Inc. of Ontario California submitted a response dated 12-11-2015 to the Sources Sought solicitation indicating their interest in the solicitation. The response states that Reagent World Inc.

is “a chemical technology development and distribution company”. Upon research and review of the interested vendor's response to sources sought, W911KF16S0001 - Kolene Molten Salt Bath PM and Emergency Repairs, it was clear that the interested vendor is a chemical supply company specializing in the compounding and supply of chemicals for research and development and production purposes.

The contract for which this sources sought solicitation was advertised is a production equipment maintenance and repairs contract, requiring operational and design knowledge specific to the equipment to be maintained and repaired.

The interested vendor’s submitted capability statement had no indication of the company’s abilities to perform maintenance and emergency repairs on PLC controlled, automated production equipment utilizing OEM proprietary information.

No correlation was seen between the contract scope of work required knowledge, skills, and abilities and the interested vendor's available knowledge, skills, and abilities that would suggest that the interested vendor offers the capabilities required for performing the required services.

A cursory review of the interested vendor's website will most certainly lead any interested parties to the same conclusion.

Based on the aforementioned information the response of interest in this solicitation by Reagent World, Inc. is deemed unsuitable for the required scope.

10. OTHER FACTS:

a. Procurement history:

(1) Contract numbers and dates of the last several awards.

Contract: W911KF-12-V-0052 Kolene MSB PM and Emergency Repairs

Award Date: 13 Dec 2011

Contract: W911KF-12-V-0052 (Option Year 1 for Above) Kolene MSB PM and Emergency Repairs Award Date: 09 Jan 2012

Contract: W911KF-12-V-0052 (Option Year 2 for Above) Kolene MSB PM and Emergency Repairs Award Date: 05 Nov 2013

Contract: W911KF-12-V-0052 (Extension for Above) Kolene MSB PM and Emergency Repairs Award Date: 19 Dec 2014

(2) Competitive status of these actions.

Sole Source Procurement

(3) Authority previously used for less than full and open competition.

10 U.S.C. 2304(c) (1) - Only one responsible source as authorized by

FAR 6.302-1.

(4) Summary of paragraph 7 of the previous procurement justification.

Due to proprietary source code, programming, and design safety elements no attempt to identify competing entities was conducted.

(5) No prior awards were accomplished by full and open competition.

(6) No unusual patterns may be revealed by the history.

(7) Previous procurements have been justified due to the proprietary nature of source code, programming, and design safety elements.

There have been no significant changes in the proprietary nature of source code, programming, and design safety elements associated with the performance of the required contract.

b. Acquisition data availability.

Purchase descriptions suitable for full and open competition have not been developed due to the lack of availability of a full technical data package. Due to the proprietary nature of the technical data, no action has been taken to remedy this situation. There is no planned action to remedy this situation.

c. Unusual and compelling urgency.

FAR 6.302-2 has not been cited.

d. Subcontracting competition.

Any required subcontracting will be reviewed by the Government with regard to identifying and maximizing competition efforts expended by the prime contractor.

11. TECHNICAL CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J & A are accurate and complete to the best of my knowledge and belief.

NAME: DATE: 02/19/2015 _____________

TITLE: SIGNATURE: ___

12. REQUIREMENTS CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J & A are accurate and complete to the best of my knowledge and belief.

NAME: DATE: _4/22/2015______________

TITLE: SIGNATURE: _

13. FAIR AND REASONABLE COST DETERMINATION: I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable. Determination was made using an independent government estimate to determine a fair and reasonable price. As part of this basis, the certified cost or pricing data will not be required due to the exceptions in FAR 15.403 based on procuring a commercial service.

NAME: DATE: _8/13/15_______________

TITLE: SIGNATURE:

AAP#: AN150016

14. CONTRACTING OFFICER CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J & A are accurate and complete to the best of my knowledge and belief.

NAME: DATE: _8/13/15_______________

TITLE: SIGNATURE:

15. APPROVAL: Based on the foregoing justification, I hereby approve the procurement of a firm fixed price contract intended to be a base year and four (4) option years for preventative maintenance, emergency repairs, and repair parts for the Kolene Molten Salt Bath Cleaning System on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c) (1) - Only one responsible source as authorized by FAR 6.302-1, subject to availability of funds, and provided that the services and property herein described have otherwise been authorized for acquisition.

DATE: 8/13/15____________________________

SIGNATURE: