20RGW05_non-comp_redacted.pdf

NCH 53.6-2 (Apr 2019)

J&A Number: CR-20244 Code: 0221

P.R. Number: N0016420RGW05

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

Naval Sea Systems Command, Naval Surface Warfare Center, Crane Division (NSWC-CR), Global Department Contracts Branch, Code 0221.

2. Description of the Action Being Approved

Award of a Firm Fixed Price (FFP) contract on a sole source basis to Advanced Machining Incorporated, New Smyrna Beach, FL 32168 (CAGE: 1WSC8) to procure hand winches in support of

3. Description of Supplies/Services

The supplies to be acquired are hand-operated winches. The winches are installed on the Gas Generator Handling Cart (GGHC), which is used to install/remove the gas generators of the . Due to the age of the hardware, additional spares are required to maintain the availability of the GGHC. For a one-time contract, the Government has requirements for a quantity of 10 new winches in support of U.S. Navy Sustainment.

The Government’s minimum needs have been verified by the certifying technical and requirements personnel. The total estimated dollar value for this procurement is $700,000 and will be funded using FY20 Operation and Maintenance, Navy appropriation.

NCH 53.6-2 (Apr 2019) 2

4. Statutory Authority Permitting Other Than Full and Open Competition

10 U.S.C. 2304(c)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority

As set forth below, award to a source other than Advanced Machining is likely to result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the agency’s requirements.

In accordance with 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 production of 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.

Advanced Machining is the original equipment manufacturer of the hand winches. The Government previously acquired the hand winches from Advanced Machining as follows:

N00164-12-D-GP54 – Awarded: 20 September 2012 Indefinite Delivery Indefinite Quantity contract for new production and rework of hand winches

The design activity responsibility for the GGHC, including this winch, transitioned to NSWC-CR on 12 JAN 2012. Upon receiving this responsibility, NSWC-CR found the GGHC winch is controlled by a source control drawing at the assembly level. Detailed design disclosure is owned and controlled by the only source, Advanced Machining. In performing market research to satisfy the Government’s requirement, NSWC-CR Requiring Technical Activity contacted Advanced Machining regarding the sale of the rights of the detailed winches designs to the Government. Advanced Machining responded on 08 April 2020, stating they were not willing to sell the drawings associated with the winches.

The timeframe to develop and approve a new design to promote competition is estimated to be approximately 1.5 years. The estimate timeframe for a new design approval effort is based

NCH 53.6-2 (Apr 2019) 4

In accordance with DFARS Procedures, Guidance, and Information (PGI) 206.302-1, a Request for Information (RFI)/Sources Sought was issued on 07 May 2020 on the System of Award Management (beta.sam.gov) website with a response date of 29 May 2020. The Government received no responses to the RFI.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined that the anticipated cost to the Government for the supplies covered by this J&A will be fair and reasonable. All available information will be utilized to support the fair and reasonable cost determination.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, NSWC-CR has no plans at this time to compete future contracts for the types of supplies covered by this document because this is the last known requirement for this specific product.