Maintenance Services for HCVM

Trade Agreement: WTO-AGP/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: SMITHS DETECTION MONTREAL INC. 7030 Century Ave. Mississauga Ontario Canada L5N2V8 Nature of Requirements: REQUIREMENT: MAINTENANCE SERVICES FOR HCVM

1. Advance Contract Award Notice

The Canada Border Services Agency (CBSA), Ottawa, Ontario has a requirement for the provision of maintenance services for its fleet of three Heiman Cargo Vision Mobile (HCVM) inspection systems.

The purpose of this Advance Contract Award Notice (ACAN) is to signal the government's intention to award a contract for these services to Smiths Detection Montreal Inc., Mississauga, Ontario. Before awarding a contract, however, the government would like to provide other suppliers with the opportunity to demonstrate that they are capable of satisfying the requirements set out in this Notice, by submitting a statement of capabilities during the 15 calendar day posting period.

If other potential suppliers submit a statement of capabilities during the 15 calendar day posting period that meet the requirements set out in the ACAN, the government will proceed to a full tendering process on either the government's electronic tendering service or through traditional means, in order to award the contract.

If no other supplier submits, on or before the closing date, a statement of capabilities meeting the requirements set out in the ACAN, a contract will be awarded to the pre-selected supplier.

2. Background

CBSA currently maintains a fleet of three (3) HCVM inspection systems. These systems are located in British Columbia (Vancouver), Nova Scotia (Dartmouth) and Quebec (Montreal). The systems must be operational 97% of the time, 24 hours a day, seven days a week.

The proposed maintenance service contract is for a period of one year, commencing from April 1, 2015 expirying 31 March 2016. The proposed contract will include an irreovocable option to extend the contract by one additional one year period.

The estimated value of the contract, including options, is $1,800,000.00 (Applicable Taxes extra).

3. Minimum Essential Requirements Any potential supplier must demonstrate, by way of a statement of capability, that it meets the following requirements:

3.1 The proposed supplier must be able to provide Level 1, Level 2 and Level 3 maintenance services for the Smiths (HCVM) inspection systems, including preventive and corrective maintenance services. 3.2 The proposed supplier must be able to provide certified trained technicians capable of servicing the said equipment. 3.3. The proposed supplier must be capable of supply and installing future system enhancements that improve operational capability, reliability and refficiency.

4. Applicability of the trade agreements to the procurement

This procurement is subject to the following trade agreements

North American Free Trade Agreement (NAFTA) World Trade Organization - Agreement on Government Procurement (WTO-AGP)

5. Comprehensive Land Claims Agreement(s)

Not Applcable.

6. Justification for the Pre-Selected Supplier

It is proposed to negotiate this requirement on a limited tendering basis with Smiths Detection, the Original Equipment Manufacturer (OEM), who is the only known company capable of providing extensiive in-house design, special tools and test equipment, engineering capabilities and system enhancements to provide complete and comprehensive product support and maintenance at all levels of services for the HCVM inspectin systems.

7. Government Contracts Regulations Exception

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

8. 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:

Limited tendering provisions under WTO-APG Article XV.1(b) and NAFTA Article 1016.2(b) for reasons based on exclusive rights will apply.

World Trade Organization - Agreement on Government Procurement WTO-AGP XV: 1(b) when, for works of art or for reasons connected with protection of exclusive rights, such as patents or copyrights, or in the absence of competition for technical reasons, the products or services can be supplied only by a particular supplier and no reasonable 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.

9. Ownership of Intellectual Property.

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

10. Name and address of the pre-identified supplier

SMITHS DETECTION MONTREAL INC. 7030 Century Ave. Mississauga, Ontario L5N2V8 Canada Operating as: SMITHS DETECTION CANADA

11. Suppliers' right to submit a statement of capabilities

Suppliers who consider themselves fully qualified and available to provide the services 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.

The closing date and time for accepting statements of capabilities is March 30, 2015, 14:00 EDT.

12. Inquiries and statements of capabilities are to be directed to:

Lynda Saunders Supply Specialist Public Works and Government Services Canada Acquisitions Branch Commercial Consumer Products Directorate 11 Laurier Street Portage III, 6A2 Gatineau, Quebec, K1A 0S5

Telephone: (819) 956-6851 Facsimile: (819) 956-3814 E-mail address: lynda.c.saunders@pwgsc-tpsgc.gc.ca

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.