22DJM43_JA_REDACTED.pdf

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J&A Number: CR-21236

Code: 0233 P.R. Number: N0016421Q0102

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Crane Division, Expeditionary Integration Contracts Branch, Code 0233.

2. Description of the Action Being Approved

The use of other than full and open competition to award a Firm-Fixed Price, Indefinite-Delivery, Indefinite-Quantity supply contract for miniature/microminature (2M) kits comprised of various manufacturers� components and individual components on a brand name and brand name or equivalent only basis from small business distributors.

3. Description of Supplies/Services

The 2M kits consist of both vendor brand specific items and brand name or equivalent items. Some items will identify a vendor brand and a part number with "or equivalent." These items are not considered critical to the standard 2M kits;

therefore, Offerors may propose the brand name or an equivalent for these parts. There are a total of 451 items, 69 of the items can be procured on an �or equivalent� basis.

Brand name specific items include but are not limited to soldering stations, electrostatic-sensitive device components, microscope systems, fiber optic light components, fume extractor components, equipment, tools and workbenches. Specific brand name item examples include workstation kits(SCS Desco), protective lens (MEIJI TECHNO INC), microscope mounts (OC White), lamps (USHIO / OSRAM / SYLVANIA), clamps (PACE Inc.), adapters (PACE Inc. and Eaton), drill parts (Cleveland), circuit cards and pliers (Panavise).

IN REPLY REFER TO:

DEPARTMENT OF THE NAVY

CRANE DIVISION

NAVAL SURFACE WARFARE CENTER

300 HIGHWAY 361

CRANE INDIANA 47522-5001

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electronic systems in an operational state. The ability to maintain electronic systems in a ready state helps ensure the safety of personnel on the ship or at shore locations.

The Navy has over shore sites and ships that utilize and require the standard 2M kits.

A major impact to the 2M program will occur if substitutions are allowed for the 382 items that are unable to be procured on an �or equivalent� basis. The training classes, curriculum, and manuals will require upgrades and revisions if other vendor brands are substituted in place of the original brands. The new substituted items would have to be provided to all previously deployed ships and shore sites.

The new brands will require testing and two levels of approval. Naval Surface Warfare Center (NSWC) Crane is the first level of approval, and the sponsoring program office is the second level of approval.

The time and cost associated with each item substitution will range from and take between to perform a thorough review and analysis. The cost associated with each item substitution is based on technical labor hours, technical labor rate, and also considers other factors such as impact to the 2M stations that would require updates. If all 382 brand name only items are considered for substitution, the total cost will range from . The time involved for testing, analysis, and approval by both the Government technical point of contact and the sponsoring program office could range between . The impact to the warfighter by allowing substitutions would affect the readiness, safety, and deployment of ships and units.

Additional factors to consider are the available space on each ship or shore location for the standard 2M Kit and work area. The Navy has allocated space on each class of ship for the 2M Kit and workbench, and shore units have limited work areas. These space requirements cannot be exceeded.

The use of substitutions could potentially create space issues.

It is not expected that the minimum estimate of in cost to review and analyze the substitutions would be recovered through competition. The program schedule has a requirement of 01 December 2021 for contract award, which could not be achieved if substitutions are considered. The time required to review and analyze substitutions would preclude meeting this requirement and is, therefore, not compatible with the Government's requirements.

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

The Requiring Technical Activity and the Contract Specialist conducted market research and talked to distributors concerning the kits. The 2M kits consist of Commercial-off-the-Shelf (COTS) items that are readily available. The Statement of Work also requires that the contractor acquire the individual components and assemble the kits. Market research indicates that at least two small businesses can provide the items required for the kits.

This procurement is for brand name only items with noted brand name or equivalent exceptions that will be competed amongst small business distributors.

Request for Information (RFI) No. N0016421SNB60 was posted to SAM.gov on 26 April 2021. The RFI closed on 30 April 2021, and only one response was received from

. NSWC Crane released the synopsis associated with this planned contract to SAM.gov on 19 May 2021. One response was received from . The synopsis was amended on 30 July 2021 to include a draft Statement of Work with associated exhibits. One response was received from which inquired if the IDIQ was a small business set-aside. The Government responded and confirmed the IDIQ is a small business set-aside.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined the anticipated cost to the Government for the supplies/services covered by this J&A will be determined fair and reasonable. The Contracting Officer will use price analysis to determine a fair and reasonable price. Significant (or similar) quantities of this requirement have been purchased in the past and historical information will be used to aid in determining fair and reasonable prices. This information should be sufficient to support the fair and reasonable cost documentation for this procurement.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, NSWC Crane has no plans at this time to compete future contracts for the types of supplies/services covered by this document. If another potential source emerges, the contracting activity will

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assess whether competition for future requirements is feasible. The 2M kits consist of COTS items that are readily available and the current prices are established in a very competitive commercial market.

The following documents are attachments to this J&A.

Enclosure 1: Master Contract Line Item Number (CLIN) Kit Matrix Enclosure 2: Master Kit Pricing Index CLIN 0001-0021 Enclosure 3: Salient Characteristics of Substitutable Items Enclosure 4: Build Drawings (Bracket, Hardware Kit, Microscope Stand and Foam Insert)