REDACTED Limiting-Competition-under-SAT_ACC.docx

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Repair Service Stratasys 3D Printers
Solicitation number
W912NW-24-Q-0001
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This memorandum documents a sole source justification for a federal contract award. The U.S. Army Contracting Command at Corpus Christi Army Depot seeks repair services for two Stratasys 3D printers from the original equipment manufacturer, Stratasys Inc., for a period of three months at a total value of $150,000. Justification is provided that Stratasys possesses the proprietary software, training, schematics and expertise required to perform the critical repairs. Market research found no other capable vendors. The contracting office will post the redacted justification online to satisfy legal requirements for brand name sole source awards over $25,000.

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CUI

Memorandum for Record – Limiting Competition at or below the Simplified Acquisition Threshold

1. Contracting Activity: Army Contracting Command – Redstone Arsenal, Corpus Christi Army Depot, Contracting Office 9035 Ocean Dr. Bldg. 10, Mail Stop 18.

2. Description of Action: New Requirement

Contract Vehicle:Purchase Order Number to be determined.
Blanket Purchase Agreement (BPA) Number _______________
Order/BPA# _______ against FSS Contract #_____ _________
Order #___________ against Multiple Award IDIQ Contract Name or #______________

Order #_______ against a single award IDC Contract Modification # _______ to existing PO/TO/DO/Call Order #________________

Pricing/Contract Type: Fixed Price Time & Materials/Labor Hours Cost Reimbursable Hybrid

Funds: Operations & Maintenance, Army (OMA) Other Funds: Army Working Capital Funds, FY: 2023

Name of Proposed Contractor(s) and Address:

Stratasys Inc. (CAGE CODE: 1GKB4, Large Business) 7665 Commerce WAY Edin Prairie, MN 55344-2020

Brand Name Buy: Yes No

3. Description of Services or Supplies: Procurement of service for the repair of the two 3D Printers (B/C G7853 & T0011587). The 3D printing technology at the depot has been a key part of CCAD mission readiness. Currently, we are using the FDM 400MC and Fortus 450MC for rapid prototyping to assist in designing tools and fabrication masking fixtures, plugs, caps, gear impressions, and such which is used throughout the Depot.

Period of Performance: 3 Months Total Value: $

4. Authority:

FAR 13.106-1(b)(1): For purchases not exceeding the simplified acquisition threshold (SAT), only one source reasonably available, urgency, exclusive licensing agreements, brand name, or industrial mobilization.

Or

FAR 8.405-6(a)(1)(i)(B) and 8.405-6(b)(1)Brand Name FAR 8.405-6(a)(1)(i)(A) Urgency FAR 8.405-6(a)(1)(i)(B) Only One Source is Capable FAR 8.405-6(a)(1)(i)(C) Logical Follow-on

Or

FAR 16.505(b)(2)(i)(B) Only One Awardee is Capable FAR 16.505(a)(4) Brand Name FAR 16.505(b)(2)(i)(A) Urgency FAR 16.505(b)(2)(i)(C) Logical Follow-on FAR 16.505(b)(2)(i)(D) Minimum Guarantee

5. Reasons for Authority Cited: Justification of the purchase of Stratasys Inc. has the proprietary application software required to operate this equipment. Stratasys is the only company able to furnish the software patches, repairs and upgrades when required, and to troubleshoot problems over the phone. Stratasys will not furnish proprietary engineering designs or schematics to anyone outside of the company or train outside engineers on their equipment. Only Stratasys engineers are fully supported with the equipment schematics and up to date knowledge to repair the equipment.

COR and shop personnel will be monitoring contractor during the whole process to completion. CCAD Maintenance Teams do not have the specific training or certifications required to perform the repairs on the 3D Printers. The functions performed with this equipment are critical to our daily function.

6. Publicizing Contract Actions: For FAR Part 13 actions, the public display and synopsis requirements of FAR 5.101 and FAR 5.203 do not apply due to the $ threshold, apply and will be followed, or do not apply due to an exception at 5.202.

Requirement to post justification in accordance with FAR 8.405-6(b)(3), FAR 13.105(c), or FAR 16.505(a)(4)(iii)(A) Action is NOT a brand name restriction and is under $150K, no posting required.

Action is a brand name restriction, under $25K, no posting required.

Action is a brand name restriction, over $25K. It will be redacted and posted with the solicitation.

Action is a brand name restriction over $25K but will not be posted due to exception:

FAR 6.305(f)
FAR 8.405-6(b)(3)(iii)(A)

FAR 8.405-6(b)(3)(iii)(B)

FAR 8.405-6(b)(3)(iii)(C)
FAR 16.505(a)(4)(iii(C)

7. Market Research: Market research conducted from 01 May 2023, through 14 July 2023, by Gilbert Sanchez, IT Specialist and Contract Specialist Terry Clark, Contract Specialist.

Personal knowledge in procuring supplies/services of this type and how knowledge was obtained: Mr. Sanchez has over 16 years’ experience of work experience and several years of having written numerous contracts procuring both supplies and services through the contracting office for the Corpus Christi Army Depot.

Contact with knowledgeable persons in Government and/or industry regarding the commercial nature of this requirement and/or standard industry practice in this area of supplies/services. Identify those contacted by name, title, and date of contact: Mr Sanchez contacted the following individuals: Matthew Nolder and Ronald Cervania both are Mechanical Engineers from April 18 to present. Mr Nolder and Mr Cervania were assigned the work order to troubleshoot the issues with the 3D Printers and inspecting of the equipment. It was determined that the job was beyond their scope of work due to the repairs required for the equipment. Mr Nolder and Mr Cervania contacted Stratasys Inc. about the issues and it was recommended a service contract be created for a field service engineer site visit and repair.

Discuss publication of a formal request for information. Identify when and where published. On 07 July 2023 the Contract Specialist posted a request for information (RFI) to see if any small business would respond to the posting. The RFI was posted until 14 July 2023, however there were no interested vendors that responded. On 12 July 2023 the Contract Specialist called Stratasys and spoke to Mike Menninger. Mike said that Stratasys is the Original Equipment Manufacturer (OEM).

Other types of Market Research and date performed: On 07 July the Contract Specialist researched the repair service for the 3D printers and a few several small businesses through the search engine Google, but none were found listed on SAM.GOV.

8. Other Facts: N/A

9. Technical/Requirements Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Chief, Facility Engineering and Management Division

Signature:

10. Contracting Officer Certification/Approval:

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable based upon price analysis.

I certify that this justification is accurate and complete to the best of my knowledge and belief, and that completing this purchase as a sole source is in the best interest of the Government. Additionally, I approve this justification to limit competition subject to the availability of funds and provided that the services or supplies herein described have otherwise been authorized for acquisition.

Contracting Officer

Signature:

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