21-JET-200 JA_Redacted_092321.pdf

J&A Number: 0222-21-411-00

Code: 02

P.R. Number: 21-JET-200

BRAND NAME JUSTIFICATION FOR

AN EXCEPTION TO FAIR OPPORTUNITY

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Philadelphia Division (NSWCPD), Code

0222.

2. Description of Action Being Approved

Award of a Firm-Fixed-Price (FFP), Indefinite-Delivery Indefinite-Quantity (IDIQ) contract to a single source via a competitive procurement for fabrication of Tow Cable Assemblies which include material sourced from brand name components from Rochester Wire and Cable LLC, Seacon, and PMI Industries.

3. Description of the Supplies or Services

Part Number Item Description Manufacturer Unit Cost Total

Quantity

Total Cost

A309011 Subsea electro-mechanical communications cable

Rochester Wire and Cable, LLC

MSSK12CCP/MSSL12CCP Dry-Mate

Electrical cable connectors

Seacon 230

9210041 Dam/Blok technology –

Water Isolating, Depth Pressure

Splice assembly

PMI Industries 230

Total:

These items are non-commercial parts. The estimated value is There are no option quantities or periods. This contract will be funded at the delivery order level. The Government’s minimum needs have been verified by the certifying technical and requirements personnel.

The table below shows the estimated breakdown of funding, by appropriation type, per year for the duration of this contract.

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

PHILADELPHIA DIVISION

5001 SOUTH BROAD STREET

PHILADELPHIA PA 19112-1403

IN REPLY REFER TO:

Funding Type FY Total

OPN FY21 $180,838.50

OPN FY22 $370,772.70

OPN FY23 $381,895.70

OPN FY24 $393,352.40

OPN FY25 $399,390.80

TOTAL FY21-25 $1,726,250.00

The Government’s minimum needs have been verified by the certifying technical and requirements personnel.

4. Statutory Authority Permitting Exception to Fair Opportunity

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1), Only One

Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements, as implemented by Federal Acquisition Regulation (FAR) Subpart 6.302-1(c).

5. Rationale Justifying Use of Cited Statutory Authority

This procurement is necessary to ensure support of the fielding of improved cable assemblies to reduce failure rates of a deployed critical system on OHIO Class submarines.

Request for Information (RFI) 21-DR-028 was issued on 07 January 2021 for a subsea electro-mechanical communications cable, dry-mate electrical connectors, and a water isolating, depth pressure splice, to determine sources for the three (3) components referenced in Section 3. The RFI included product specifications for these cable assembly components as well as performance requirements that the components are required to meet under various test scenarios. The RFI received two (2) responses. Neither responding vendor provided details on how the specifications and requirements would be met nor did they demonstrate the capability to test or produce the components as required by the RFI. Based on the response to the RFI, it has been determined that there are no other manufacturers capable of meeting the required specifications for these components other than Rochester Wire and Cable LLC, Seacon, and PMI Industries.

In Feb 2016, NSWCPD completed a four-year effort to perform a comprehensive evaluation of numerous tow cable assemblies to replace the legacy cables, which experienced high rates of failure. This task evaluated the tow cable assemblies and their internal components. The results of this analysis, as well as the costs and schedule requirements, have been documented in by the Tow Cable Improvements Critical Design

Review (CDR) and Ltr PMW 770 / 103-16. The evaluation resulted in the requirement for three essential components produced by only one source as outlined below. The design, test, and evaluation of the cable assembly required four years at a cost of $4.3M to the Government. The Government estimates that a duplicate effort to design, prototype, test, and evaluate a replacement cable assembly would take the same length of time causing unacceptable delays to the planned ship installation schedule:

Estimated Design and Testing Schedule

Task Duration

Execute Competitive Award 12 months

Preliminary Design 6 months

Prototype Design 12 months

Prototype Procurement 5 months

Prototype Manufacture 6 months

Land Based Testing 6 months

Total 47 months

The Government estimates that a duplicate effort to design, prototype, test, and evaluate a replacement cable assembly would result in the below cost impacts:

Estimated Design and Testing Costs Task Cost

Design Development $199,800

Cable Production and Testing $4,144,555

Total $4,344,355

Design development estimate is based on costs from previous design effort as documented in Tow Cable

Improvements Critical Design Review (CDR). Cable production and testing costs have been developed using previous contract N64498-19-P-0073. Rochester is the sole vendor that is qualified to manufacture the subsea electro-mechanical communications cable in accordance with the required product specifications

(PS8628115 and PS8628116). The Tow Cable Improvements Critical Design Review (CDR) evaluation process documented Rochester’s capabilities, qualifications, and quality assurance processes ensuring that the cables produced in their facilities meet all required specifications and requirements.

Rochester’s proprietary cable design was achieved through several design iterations, requiring almost four years for research, development, prototyping, and testing. If vendors were desired to manufacture this cable, they would be required produce a new design including all R&D and testing to downselect the appropriate cable designs for this application, which would ultimately be required to be approved by the

Government. Utilizing a vendor other than Rochester for the raw tow cable would result in unacceptable schedule and cost impacts and compromise critical ships systems that require the updated cable assemblies.

Seacon owns the proprietary design rights for the electrical terminations/end connectors used in the tow cable assembly and is therefore the sole vendor capable of providing this product in accordance with the specification documents (PS8628115 and PS8628116). This proprietary design was evaluated during the aforementioned test and evaluation of the re-designed tow cable assembly and determined to meet all required product and performance specifications. Seacon’s proprietary design was developed specifically for interoperability with Rochester’s raw tow cable. Further, Seacon’s connectors are required to interface with legacy systems, which would require additional design and modifications to interface with a new system. Utilizing a vendor other than Seacon would result in unacceptable schedule and cost impacts and compromise critical ships systems that require the updated cable assemblies.

PMI Industries is the only vendor that can provide the bespoke Dam/Blok device. Dam/Blok is a patented / proprietary product developed by PMI. The device integrates into the polyurethane molded sections defined in NAVSEA drawing 8603582 Rev A and drawing PS8628116 Rev (-). The Dam/Blok design and procedure is the only product that meets the aforementioned specifications. Market research has shown that no other vendor is capable of producing a substitute replacement for this product. Utilizing a vendor other than PMI to provide a replacement for the Dam/Blok device would result in unacceptable schedule and cost impacts and compromise critical ships systems that require the updated cable assemblies.

There would be significant cost and schedule impacts to the Navy should the procurements not go with the aforementioned vendors. The current tow cable design with selected components was the result of a lengthy, iterative design process, comprising of roughly 4 years of research, development and testing of the manufacturing processes/procedures required to be approved by the Government. No other vendors are capable of providing the components containing the essential characteristics meeting the Government’s requirement as detailed above. Because the tow cable and its components were designed, tested, and evaluated as a complete assembly; any modification to any internal component would result in the re-design, test, and evaluation of the new assembly. If new vendors were to be selected to develop replacement components, it would result in a duplication of cost upwards of $4.3M that would not be recouped through competition and result in unacceptable delays of up to 4 years putting at risk the delivery of the critical components prior to the ship’s planned installation window.

Based on market research, the RFI, past purchase experiences with the aforementioned manufacturers, and the timeframe given to deploy the raw cable material from Rochester Wire and Cable LLC, Dry-Mate

Electrical cable connectors from Seacon, and Dam/BlokTM technology Splice assembly from PMI Industries, are the only sources capable of meeting the minimum requirements.

For these reasons, it is imperative that the Rochester Wire and Cable, Seacon, and PMI Industries brand name equipment specified in this acquisition is procured by NSWCPD.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable

Market research was conducted through a survey and analysis of alternative equipment brands that are available in industry under RFI 21-DR-028. The thorough analysis conducted reviewed the available brands to see if there were any possible alternatives. Additionally, several companies were surveyed to see if they would be able to provide a satisfactory solution.

Request for Information (RFI) 21-DR-028 was issued on 07 January 2021 for a subsea electro-mechanical communications cable, dry-mate electrical connectors, and a water isolating, depth pressure splice. Two (2) vendors provided responses to the RFI, listed below:

Neither response demonstrated the technical capabilities required to meet the established design and performance specifications.

This justification will be posted along with the synopsis and solicitation on the Beta.SAM.Gov in accordance with FAR 6.305(c). Any responses received will be evaluated.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined that the Government for the supplies covered by this J&A are fair and reasonable. Similar quantities of this requirement have been purchased in the past and pricing information was received on those past procurements. The acquisition is anticipated to receive multiple offers and allow adequate price competition to justify the price as fair and reasonable. The Subject Matter Expert and the

Contract Specialist will review the contractors’ proposals. The Contracting Officer will utilize cost and pricing analysis as the basis for negotiating a fair and reasonable price, with the submission of a formal price proposal, as necessary if adequate price competition is not obtained.

8. Actions to Remove Barriers to Competition

NSWCPD will continue to monitor the marketplace and identify potential sources of the supplies identified in this justification. Any sources discovered that can potentially satisfy this specific procurement will be taken into account for any future requirements.

TECHNICAL/REQUIREMENTS CERTIFICATION (FAR 6.303-2(c)):

I certify that the facts and representations under my cognizance, which are included in this justification and its supporting data, including N/A , except as noted herein, are complete and accurate to the best of my knowledge and belief.

COMBINED TECHNICAL AND REQUIREMENTS COGNIZANCE:

Signature:

Phone No. Date

LEGAL SUFFICIENCY REVIEW (NMCARS 5206.303(90)):

I have determined that this justification is legally sufficient.

Signature:

Phone No. Date

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2(b)(12)):

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature: Phone No. Date

APPROVAL BLOCK (FAR 6.304 for Approving Official)

Upon the basis of the above justification, I hereby approve, as Competition Advocate of the

Procuring Activity, the solicitation of the proposed procurement(s) using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1)

FAR

CHIEF OF THE CONTRACTING OFFICE

Signature: Karen Gutmaker

Chief of the Contracting Office (Code 02)

Date

STRACCIOLINI.AL

BERT.1229157244 7244