J A-REDACTED.pdf

AFC Heat Treating Furnace

CONTROL NO:

DEPARTMENT OF THE ARMY

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Agency: US Department of the Army, Directorate of Contracting, Anniston Army Depot (ANAD)

2. Description of Action: Approval is sought to award a contract to vendor (Heat Treating Services Unlimited, Inc. HTSU), to provide Services for PM Service & Pyrometry Compliance for the heat treating furnaces located in Building 108, Anniston Army Depot (ANAD). The proposed contract is intended to be a base year and four (4) option years for this service. The period of performance is 1 August 2016 through 31 July 2021. Army Working Capital Funds will be used for this acquisition. The Advanced Acquisition Number is AN150063.

3. Description of Supplies/Service: ANAD proposes to award the contract to Heat Treating Services Unlimited, Inc. to provide preventive maintenance (PM), hot and cold inspections, temperature uniformity surveys, system accuracy test (i.e.

instrument/thermocouple combination), calibration documentation, technical support and emergency repair for the Government Owned Furnace Units. Any instrumentation, PLC and or programming associated with the functioning of the equipment shall be considered part of the equipment and included in the contracted services described herein. On call emergency services shall be effective upon contract award. Hot and cold inspections and uniformity surveys will be performed in mid-summer and mid-winter of each year. The total amount for all five years is $___________.

4. Authority Cited: The statutory authority permitting “Other than Full and Open Competition” is 10 U.S.C. 2304 (c) (1) as implemented by FAR 6.302-1 “Only one Responsible Source, and no other supplies or services will satisfy agency requirements.”

5. Reason for Authority Cited: “Only one responsible source and no other suppliers or services will satisfy agency requirements” is because;

Background /history:

Past history has shown that it is in the best interest of the Government to have significant costly equipment be serviced by the OEM or an authorized service representative. HTSU is the factory authorized service center for AFC (OEM) furnaces in this area.

• The furnace is computer operated which contains software configurations and programming by the OEM. Proper Maintenance and Calibration of this equipment is crucial to the process in which heat is used to alter the strength and hardness properties of critical parts within armor track and small arms programs. Extensive training and knowledge of these furnaces is a must.

• The OEM authorized service representatives such as HTSU are extensively trained and not only experienced in the service and repair of these furnaces, they also have a working knowledge of this equipment and how it is used to alter the strengthening properties. Most service representatives do not obtain this recognition.

• We have learned from previous contracts with similar type equipment that vendors who are untrained and inexperienced on the specific type of equipment cannot provide immediate emergency repairs. They must first come in to evaluate and determine what is wrong and be further delayed as they guess at making the correct entry to the software program or which part to order.

• Furnace parts are readily available from the OEM and as an authorized service representative HTSU has a direct link with no need to go through a third party. This will not only save time but also money to the Government. HTSU being factory trained also has expert knowledge of the software programs.

• HTSU was the authorized factory representative used by AFC to service and calibrate the two AFC furnaces during initial installation. The past performance of HTSU performing this service at ANAD has been excellent and their technicians have proven to be highly skilled and knowledgeable.

• Going directly to the actual service provider will save time and money rather than going through the OEM to obtain the same service. In this case HTSU is the actual service provider. Also, communication with the actual service provider will eliminate scheduling through a third party. The most recent contract for these services was contracted under the terms and conditions of Contract W911KF-11- V-0182 with HTSU Inc.

6. Efforts to Obtain Competition: No active effort conducted. There are no other OEM certified service providers that could service the Government Owned equipment.

7. Actions to Increase Competition: See Market Research in paragraph 8 below.

Because these furnaces operate using proprietary hardware, firmware and software, nothing further is being done to increase competition at the present time.

8. Market Research: Heat Treating Services Unlimited, Inc. is the authorized service provider for Anniston Army Depot’s heat treating furnaces located in Building 108. A copy of AFC-HOLCROFT (Original Equipment Manufactured) authorized service center agreement with Heat Treating Services Unlimited, Inc. has been provided. The furnaces are computer operated and contains software configurations and programming by the AFC. As an authorized service representative only HTSU can provide this service.

9. Interested Sources: Based on 8 above no other vendors have been investigated.

10. Technical Certification: “I certify that the supporting data under my cognizance which are included in this J&A are accurate and complete to the best of my knowledge and belief.”

Name: Harold E. Long Jr Signature: //S// Harold E. Long Jr Title: Equipment Specialist Date: 1/13/2016

11. Requirements Certification: “I certify that the supporting data under my cognizance which are included in this J&A are accurate and complete to the best of my knowledge and belief.”

Name: ______________ Signature: //S// _______________ Title: Acting Director, DEQ Date:

12. 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 price/ cost data comparisons and independent government estimate to determine a fair and reasonable price.

Name: ______________ Signature: //S// ______________ Title: Contracting Officer Date:

13. Contracting Officer Certification: This certification shall be made by the contracting officer who will sign the contract resulting from this justification and approval. Include the following statement:

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Name: ______________ Signature: //S// ______________ Title: Contracting Officer Date:

COORDINATION:

Director: Signature: //S// _______________ Date:

Competition Advocate (DOC): _________________ Signature: //S// _________________ Date:

Legal Officer Signature: //S// ___________________ Date: