OPTICAL DEPTH FIELD MICROSCOPE

Trade Agreement: NAFTA/AIT/Canada FTAs with Peru/Colombia/Panama Tendering Procedures: Generally only one firm has been invited to bid Attachment: None Non-Competitive Procurement Strategy: Exclusive Rights Comprehensive Land Claim Agreement: No Vendor Name and Address: Keyence Canada Inc. 5800 Explorer Drive Suite 320 Mississauga Ontario Canada L4W5K9 Nature of Requirements: OPTICAL DEPTH FIELD MICROSCOPE

31184-131581/A Martins, Christina Telephone No. - (819) 956-6911 Fax No. - (819) 956-3814

1. An ACAN is a public notice indicating to the supplier community that a department or agency intends to award a contract for goods, services or construction to a pre-identified supplier, thereby allowing other suppliers to signal their interest in bidding, by submitting a statement of capabilities. If no supplier submits a statement of capabilities that meets the requirements set out in the ACAN, on or before the closing date stated in the ACAN, the contracting officer may then proceed with the award to the pre-identified supplier.

2. National Research Council Canada have a requirement to purchase an Optical Depth Field Microscope to be used for non-destructive inspection and failure analysis.

3. Minimum Essential Requirements

Any interested supplier must demonstrate by way of a statement of capabilities that its system meets the following requirements:

3.1 3D capability which is composed in real time and high depth of focus can achieve a high depth-of-field image equivalent of SEM images.

3.2 Progressive zoom lenses to allow VHX zoom lenses allow easy and continuos magnification adjustment from 0.1x to 5,000x with just one system. Various attachments are also available to prevent glare and other lighting problems.

3.3 Observation with a handheld camera allows nondestructive observation of large size samples and the free angle system allows observation from every angle.

3.4 Built-in illumination greatly simplifies lighting adjustment and increases repeatability in taking pictures and between different operators. The e-Preview mode allows anyone to perform observation with the same illumination setting. Anti-halation feature eliminates virtually all glares within the field of view.

3.5 High depth of field (X20) with high resolution (54 million pixel) VHX has 20X greater depth of field with 54 million pixel resolution.

3.6 Both portable and stationary microscope which is a first digital portable microscope being used in the market at this point.

4. Applicability of the trade agreement(s) to the procurement

This procurement is subject to the following trade agreement(s):

Agreement on Internal Trade (AIT) North American Free Trade Agreement (NAFTA)

5. Comprehensive Land Claims Agreement(s)

Not Applicable.

6. Justification for the Pre-Identified Supplier

The VHX 2000E Optical High Depth of Field Microscope offered by Keyence Canada Inc. has been selected as its the only microscope that eliminates the need for lengthy specimen preparation such as coating for SEM examination, in particular for analysis of non-conductive materials like composites and ceramics. It also provides the capability of high quality 3D measurements for surface features, roughness, defects, cracks, corrosion pits for both small and large components.

7. Government Contracts Regulations Exception(s)

10.2 Exceptions 10.2.1 Section 6 of the Government Contracts Regulations contains four exceptions that permit the contracting authority to set aside the requirement to solicit bids.

These are

a. the need is one of pressing emergency in which delay would be injurious to the public interest;

b. the estimated expenditure does not exceed $25,000, $100,000, where the contract is for the acquisition of architectural, engineering and other services required in respect of the planning, design, preparation or supervision of the construction, repair, renovation or restoration of a work, or $100,000 where the contract is to be entered into by the member of the Queen's Privy Council for Canada responsible for the Canadian International Development Agency and is for the acquisition of architectural, engineering or other services required in respect of the planning, design, preparation or supervision of an international development assistance program or project;

c. the nature of the work is such that it would not be in the public interest to solicit bids;

OR

d. only one person or firm is capable of performing the contract.

The following exception to the Government Contracts Regulations is invoked for this procurement under subsection 10.2 Section 6(d) - "only one person is capable of performing the work").

8. Limited tendering provisions under NAFTA Article 1016.2(d) and AIT Article 506.12(b) for reasons based on exclusive rights will apply.

9. Exclusions and/or Limited Tendering Reasons

The following exclusion(s) and/or limited tendering reasons are invoked under the section of the trade agreement(s) specified:

Agreement on Internal Trade

AIT Article 506 12.(b) where there is an absence of competition for technical reasons and the goods or services can be supplied only by a particular supplier and no alternative or substitute exists;

North American Free Trade Agreement

NAFTA 1016: 2.(b) where, for works of art, or for reasons connected with the protection of patents, copyrights or other exclusive rights, or proprietary information or where there is an absence of competition for technical reasons, the goods or services can be supplied only by a particular supplier and no reasonable alternative or substitute exists.

10. Ownership of Intellectual Property.

Ownership of any Foreground Intellectual Property arising out of the proposed contract will vest in the Contractor.

11. The period of the proposed the delivery date.

The equipment is requested on or before 15 November 2013.

12. Name and address of the pre-identified supplier

Keyence Canada Inc. 5800 Explorer Drive Suite 320 Mississauga, Ontario L4W5K9 Canada

13. Suppliers' right to submit a statement of capabilities

Suppliers who consider themselves fully qualified and available to provide the goods described in the ACAN, may submit a statement of capabilities in writing to the contact person identified in this notice on or before the closing date of this notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.

14. The closing date for a submission of a statement of capabilities.

The closing date and time for accepting statements of capabilities is 28 August 2013 at 2:00 p.m. EST. Delivery Date: Above-mentioned

You are hereby notified that the government intends to negotiate with one firm only as identified above. Should you have any questions concerning this requirement, contact the contracting officer identified above.

An Advance Contract Award Notice (ACAN) allows departments and agencies to post a notice, for no less than fifteen (15) calendar days, indicating to the supplier community that it intends to award a good, service or construction contract to a pre-identified contractor. If no other supplier submits, on or before the closing date, a Statement of Capabilities that meets the requirements set out in the ACAN, the contracting authority may then proceed with the award. However, should a Statement of Capabilities be found to meet the requirements set out in the ACAN, then the contracting authority will proceed to a full tendering process.

Suppliers who consider themselves fully qualified and available to provide the services/goods described herein, may submit a statement of capabilities in writing to the contact person identified in this Notice on or before the closing date of this Notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.

The PWGSC file number, the contracting officer's name and the closing date of the ACAN must appear on the outside of the envelope in block letters or, in the case of a facsimile transmission, on the covering page.

The Crown retains the right to negotiate with suppliers on any procurement.

Documents may be submitted in either official language of Canada.