BLANKET_JUSTIFICATION_AND_APPROVAL_Redacted.docx

BLANKET JUSTIFICATION AND APPROVAL (J&A) FOR OTHER THAN FULL AND OPEN COMPETITION

FAR 6.3

1. Identification of the agency and the contracting activity:

The Office of Acquisition Management is conducting this acquisition for Daniel Defense, FN, Glock, Knights Armament, Colt, and Remington firearm replacement parts on behalf of Diplomatic Security, Defensive Equipment and Armored Vehicle Division (DS/PSP/DEAV), 7957 Cluny Court, SA-7D, Springfield, Virginia 22153. The total estimated cost is $4,600,000.00 for required parts from all manufacturers.

Daniel Defense Mk18

Year 1: $200,000 Cumulative total $200,000 Year 2: $200,000 Cumulative total $400,000 Year 3: $200,000 Cumulative total $600,000 Year 4: $200,000 Cumulative total $800,000 Year 5: $200,000 Cumulative total $1,000,000

FN M240 M249 and the FN16/M4A1

Year 1: $400,000 Cumulative total $400,000 Year 2: $250,000 Cumulative total $650,000 Year 3: $200,000 Cumulative total $850,000 Year 4: $250,000 Cumulative total $1,100,000 Year 5: $400,000 Cumulative total $1,500,000

Glock G19M, G26GEN4 and G19GEN3

Year 1: $200,000 Cumulative total $200,000 Year 2: $200,000 Cumulative total $400,000 Year 3: $200,000 Cumulative total $600,000 Year 4: $200,000 Cumulative total $800,000 Year 5: $200,000 Cumulative total $1,000,000

Knight’s Armament Company’s Mk11 and the KAC M203

Year 1: $10,000 Cumulative total $10,000 Year 2: $10,000 Cumulative total $20,000 Year 3: $10,000 Cumulative total $30,000 Year 4: $10,000 Cumulative total $40,000 Year 5: $10,000 Cumulative total $50,000

Colt M4A1 and the Colt M203 Year 2: $200,000 Cumulative total $400,000 Year 3: $200,000 Cumulative total $600,000 Year 4: $200,000 Cumulative total $800,000 Year 5: $200,000 Cumulative total $1,000,000

Remington 870

Year 1: $10,000 Cumulative total $10,000 Year 2: $10,000 Cumulative total $20,000 Year 3: $10,000 Cumulative total $30,000 Year 4: $10,000 Cumulative total $40,000 Year 5: $10,000 Cumulative total $50,000

2. Nature and/or description of the action being approved.

The U.S. Department of State (DOS) Office of Acquisitions Management (AQM) intends to award sole source Firm-Fixed Price (FFP) requirements contracts to the above manufacturers for the procurement of replacement weapons parts for Diplomatic Security (DS) Service to support the conversion of the U.S.M.C.’s Marine Security Group (MSG) issued weapons to DS issued weapons. There is a higher DS issued weapons demand due to the increased numbers of Diplomatic Security agents worldwide and an increase in the ongoing protective service missions being provided around the world. The weapon systems replacement parts program will ensure the continued protection of the Department of State personnel, facilities, and information.

3. A description of the supplies or services required to meet the Department’s needs.

The Department requires timely access to original equipment manufacturer (OEM) weapons parts (lists attached) in order to repair existing DS-owned weapons which have become worn, or been damaged in the course of normal or extraordinary field use in order to restore functionality and extend their useful life. As such, the parts must conform to the following specifications:

Manufactured by the original equipment manufacturer (OEM) Shall not negate OEM warranty or guarantees Must be available for short turnaround orders in the event of urgent need.

4. An identification of the statutory authority permitting other than full and open competition.

☒ FAR 6.302-1 – Only one responsible source and no other supplies or services will satisfy agency requirements.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(d)(1)(B) and 41 U.S.C. 3304 (b)(2).

FAR 6.302-1 (a)(2)(ii): Supplies may be deemed to be available only from the original source in the case of a follow-on contract for the continued development or production of a major system or highly specialized equipment, including major components thereof, when it is likely that award to any other source would result in –

(A) Substantial duplication of cost to the Government that is not expected to be recovered through competition, or

(B) Unacceptable delays in fulfilling the agency’s requirements. (See 10 U.S.C. 2304 (d)(1)(B) or 41 U.S.C. 3304 (b)(2).)

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

One Responsible Source (for each weapon OEM). Due to the sensitive nature of the parts being sourced, all parts must be OEM-original to avoid weapons malfunction or damage. While there are some after-market resellers available who can provide OEM replacement gun parts, as discussed below, based on lack of reseller response to Request for Information (RFI), the Contracting Officer does not have a reasonable expectation that 2 or more resellers are available for competition to provide all (or some) of the parts required.

Substantial duplication of cost to the Government

Additionally, resellers would not provide additional added value to the purchase of weapons parts, and would cause duplication of costs:

Mark-ups are required in order for the reseller to make a profit Many OEMs are also small businesses, so there is not an increased opportunity to small businesses by using a reseller Purchase of different OEM weapons in order to allow more competition would provide 100%+ in duplication of costs, in addition to substantial training costs for all DS armorers (and potentially agents using weapons in the field) and other administrative costs required to realign the entire DS weapons program. Additionally, weapons for DS have been selected by experts in order to ensure the highest safety for personnel and durability. Incurring a cost this great in order to benefit competition would be incredibly cost-prohibitive and not in the Government or the taxpayers’ best interests.

There are at least 10 replacement gun part fabricators available on the open market; however, these are not acceptable sources, as:

Market Research indicates fabrication comes at an additional cost, which would deem fabrication (as opposed to buying commercially) not to be in the Government’s best interest.

Fabricated parts do not carry OEM performance guarantees or warranties Fabricated parts were not developed using OEM research and development Fabricated parts may not be developed to exact OEM standards or with OEM approved raw materials Of the replacement gun part fabricators, each specializes in one or a few weapons; often specializing exclusively in discontinued lines which are not a part of this requirement

Unacceptable delays in fulfilling requirements

Both resellers and fabricators present added delays to the ordering process:

There is a historically noted increase to the wait time for reseller restocking and/or negotiation with OEM, with potentially significant impacts to delivery time Added wait time for order specs and the complete fabrication process, if parts are created on special order

Under the Diplomatic Security and Antiterrorism Act of 1986, DS has a broad range of responsibilities including the protection of Department of State personnel and facilities both domestically and overseas. The parts being sourced meet the current standard for DS. Without the parts referenced, the Bureau of Diplomatic Security (DS) will be unable to provide adequate protection for Department of State personnel and facilities, both foreign and domestic by DS Agents, MSG and/or contractors. Safety is paramount, and sourcing weapons parts that are not produced or directly sourced by the OEM increases risk of weapons malfunction and unacceptable delivery delays which would directly impact personnel safety and cause irreparable damage to the DS mission.

Furthermore, DS armorers are factory certified to repair DS weapons. The procurement of any other weapons parts would result in additional unacceptable costs and time delays due to an entirely new maintenance requirement and parts support package, factory training of State Department and Worldwide Protective Services (WPS) armorers, training for all DS agents on an additional weapon system, and additional firearms qualification requirements for all Agents, Marines and embassy security guards.

6. A description of efforts to ensure that offers were solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by FAR Subpart 5.2 and, if not, which exception under FAR 5.202 applies.

An RFI was posted to GSA eBuy on December 19, 2018 under SIN number 192 02, Sporting Goods Equipment and Supplies, requesting resellers to identify themselves and to indicate whether or not they could provide some or all of the required weapons parts by a deadline of January 8, 2019. No responses were received, indicating to the Contracting Officer that either there are no capable resellers available on schedule, or that no resellers are interested in supporting this requirement. In accordance with FAR 5.201, a notice of intent will be publicized on FBO.gov prior to making an award.

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

U.S. Department of State has procured parts in the past through partner agencies, and has prior pricing records to reflect and determine fair and reasonable pricing. Additionally, the CO anticipates increased price reduction/discounts through negotiation direct with the OEM, and more favorable pricing if the Government is able to establish a minimum order level for each contract.

8. A description of the market survey conducted (see Part 10) and the results or a statement of the reasons a market survey was not conducted.

As referenced above, an RFI was conducted to survey the market. Only the OEMs have been responsive to requests for parts information. Only the parts referenced in this justification will meet the Government’s need and the only responsible sources have been identified herein. Market research was conducted and is documented within the award file to support this justification.

9. Any other facts supporting the use of this justification.

Diplomatic Security and the above referenced manufacturers mandate that only Original Equipment Manufacturer (OEM) or Department of Defense (DoD) approved parts are used to replace worn/damaged parts when repairing weapons. This is due to the serious life safety concerns should repair parts of unknown origin be used, and a failure occur due to substandard parts installed in their systems. The failure of these parts could lead to serious harm or death for the user of the weapons system and those around them. The use of non-OEM parts may also void the warrantee. DS/PSP/DEAV employs certified gunsmiths who are factory trained and qualified by the various manufacturers to maintain and repair these weapon systems using OEM parts and equipment. Their expertise and certification allows them to maintain these weapon systems using OEM parts and maintain the manufacturer’s warranty, as well as obtain immediate factory notice on lot recalls or issues with those OEM parts on OEM weapon systems. This systemic approach to weapon procurement, maintenance, repair, and service utilizing factory trained and certified gunsmiths and OEM parts conforms with standard practice across the DoD who, like Diplomatic Security, fields a worldwide weapons inventory often in austere conditions.

10. A listing of sources, if any, that expressed, in writing, an interest in the acquisition.

To date, no sources have written to express an interest, other than the OEMs.

11. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

It has been determined that no other vendor can provide the entire specific combination of products listed, with shorter delivery and equal or better terms and pricing than the OEMs. This J&A will be published on FedBizOpps (www.FBO.gov) within 14 days of award, in accordance with FAR 6.305.

CERTIFICATIONS

TECHNICAL AND REQUIREMENTS CERTIFICATION (FAR 6.303-2(b)

I certify that this justification is accurate and contains complete data necessary to support the recommendation for other than full and open competition. As technical representative of the requiring office, I have reviewed the data provided in support of the Justification and Approval to procure using other than full and open competition. I certify that the data is accurate and complete to best of my knowledge.

(Signatures Redacted)

Unclassified