Description
DETERMINATION TO SOLICIT FROM A SINGLE SOURCE Solicitation No.: Purchase Request No 1367940006 Project Name: TEXACO R&O 32 Turbine Oil _____________________________________________________________________________ Pursuant to Federal Acquisition Regulation (FAR) 13.106-1(b) (1), for purchases not exceeding the simplified acquisition threshold (SAT). Contracting Officers may solicit from only one source if the circumstances of the contract action deem only one source reasonably available (e.g., urgency, exclusive licensing agreements, brand name, or industrial mobilization). 1. Agency and Contracting Activity. Bureau of Reclamation, Great Plains Regional Office, Montana Area Office. 2. Name and Address of Single Source. BRAND NAME: TEXACO R&O 32 Turbine Oil 3. Description of Supplies/Services and Estimated Cost. Yellowtail's until bearing and governor lube systems, hydraulic gate cylinder and operating systems, river outlet hydraulic systems are all currently filled with and utilizing Texaco R&O 32 oil. The estimated amount of Texaco R&O 32 currently in use is between 10,000 to 12,000 gallons. The additional oil being procured is make-up oil for all of our systems and will be utilized at various times to replace the minor losses of oil that occurs over the years due to maintenance, filtering, etc. TEXACO R&O 32 Turbine Oil; $17.99 per/gal X 55 Gal. Drum = $ 989.45; 25 - 55 Gal. Drums = 1375 gallons = $ 989.45 / 55 Gal. Drum X 25 barrels = $24,736.25 not including Freight 4. Description of Circumstances, including why only one source is reasonably available. Lubrication of Power plant equipment is regulated by the Bureau of Reclamation's Facilities, Instructions, Standards, and Techniques (FIST), Volume 2-4, Lubrication of Powerplant Equipment. Section 5.1.4 Oil Compatibility states, "When it becomes necessary to replenish an oil lubrication system, the best practice is to always use oil that is identical to the oil already in the system. Similar oils made by different manufacturers for the same service may be incompatible because of different additives in the oils. The additives may react with one another, causing a depletion of these additives and leaving the oil unable to perform as it was intended". Another possible incompatibility problem is the change in the type of base oil used by many manufacturers, or more accurately, the type of refining process used to process the base oil. FIST Volume 2-4, Lubrication of Powerplant Equipment is accessible at: http://www.usbr.gov/power/data/fist/fist2_4/vol2-4.pdf As a result, it is in the best interest to the Government to restrict competition in order to purchase a brand name product. The restrictive competition shall result in soliciting from vendors that can provide Texaco R&O 32. The authority that authorizes this other than full competitions is Federal Acquisition Regulation (FAR) 6.302-1 Only one responsible source and no other supplies or services will satisfy agency requirements, and 41 U.S.C. 253 (c) (1). 5. Determination of Fair and Reasonable Cost. TEXACO R&O 32 Turbine Oil is available in the commercial market. Although this solicitation is for a name brand item, many vendors are capable of providing the required supply. As a result, this solicitation shall be set aside for 100% small business concerns. The Contracting Officer shall verify price reasonableness prior to awarding the purchase order. 6. Description of Market Research. Market research was conduct by researching the Internet, selecting items from catalogs, etc. which are sold in the public. There were 257 possible small business concerns associated with the selected NAICS (324110) identified in a search of the Small Business Administration (SBA)'s database. Although there are many Turbine Oil manufacturers available, deviating from Texaco R&O 32 posses unacceptable risks to mission success.