4.1 JA_CUI_Redacted-B.pdf

CUI

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L422R0008

Controlled by: DLA Land and Maritime Controlled by: [IPV Contracting Support Branch (FLSCB)]

CUI Category: PROCURE/SSI Distribution/Dissemination Control: FED ONLY

POC: [michele.beasley@dla.mil]

DLA Land & Maritime Justification for Other Than Full & Open Competition (December 2021)

[ X ] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies on other than a full and open competition basis.

3. The supplies required to meet the using activity’s needs are described as follows:

BRIEF DESCRIPTION NSN ADQ ANNUAL DEMAND

VALUE

AMSC

NON-RECHARGEABLE BATTERY 6135-01-167-7604 4160 3C

*If too numerous, attach list of NSNs and AMSC codes

Identify end item, weapon system, or class of item: Aircraft, F/A-18, A - D, E/F, G (GROWLER)

(November 2021)

ESTIMATED BASE (3 YEAR) VALUE:

ESTIMATED TOTAL (5 YEAR) VALUE (BASE + 2 ONE YEAR OPTION):

MAXIMUM CONTRACT VALUE:

4. The statutory authority permitting other than full and open competition is:

[ X ] 10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

[ ] 10 U.S.C. 2304(c)(2) - Urgency.

Brief narrative supporting the situation and weapon system:

A battery, composed of two or more cells forming a single unit, which is not rechargeable and whose electrolyte generally is not in fluid form.

The Boeing F/A-18E and F/A-18F Super Hornet are twin-engine, carrier-capable, multirole fighter aircraft variants based on the McDonnell Douglas F/A-18 Hornet. The F/A-18E single-seat and F/A-18F tandem-seat variants are larger and more advanced derivatives of the F/A-18C and D Hornet.

[ ] 10 U.S.C. 2304(c) - _____________________________________________________________.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

_____ LYNTRONICS, INC. 0BSY9_____________

The use of the authority cited below:

[ X ] AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

[ X ] AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application. If one source is approved, AMCs 3, 4, or 5 are valid. If at least two sources are approved or if data is adequate for an alternate source to qualify in accordance with the design control activity's procedures, AMCs 1 or 2 are valid.

Available from only one or a limited number of sources. At this time, there is one approved manufacturing source:

LYNTRONICS, INC. CAGE (0BSY9) P/N 852AS102 and P/N SW852AS102. Lyntronics is a Small Business concern.

The sources listed in the table below, confirmed by the DLA Land and Maritime Quality Product Specialist on August 3, 2022 (Ashley Nicole Roberts) that this part requires engineering source approval by the design control activity in order to maintain the quality of the part. An alternate source must qualify in accordance with the design control activity’s procedures, as approved by the cognizant Government engineering activity. In the Technical Data

Supporting Limited Sourcing area, Ms. Roberts stated the following: “DLA does not possess adequate data, lacks rights to data, and/or has no record of an alternate Design Control Activity approved source. The data presently available reflects the minimum needs of the Government and there is no outstanding DLA Form 339 request for additional sources.”

LYNTRONICS, INC. (0BSY9) is the only source that possesses the complete technical data, rights to the data, and capability necessary to manufacture the item for the required form, fit, function and quality. The Government either has no data, inadequate data, and/or lacks rights to the data needed to acquire this part from additional manufacturing sources. At this time, only the source listed possesses the complete data and rights to the data.

Source:

NSN Description Approved

CAGE

Company Name Approved Part

Number

6135-01-167-7604 BATTERY, NON-

RECHARGEABLE 0BSY9 Lyntronics, Inc. 852AS102

“ “ “ “ SW852AS102

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

[ X ] The acquisition will be synopsized on SAM.gov 15 days prior to the solicitations opening date and will be available on SAM.gov while the solicitation is open instructing bidders where to find the solicitation which will be open 30 days via the DLA Internet Bid Board System (DIBBS). __________.

[ x ] Dealers of the manufacturers will be solicited.

[ x ] Other. (Explain)___Sources Sought notice discussed further under Paragraph. 8.___________________ .

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. A price analysis will be conducted using historical pricing, the Producer’s Price Index (PPI), and a learning curve analysis. Offerors may also be required to submit information other than certified cost or pricing data if deemed necessary by the Contracting Officer in order to determine prices fair and reasonable. Based on the above techniques, the Contracting Officer anticipates the costs to the Government will be fair and reasonable

8. Market Research/Efforts to Obtain Competition:

Market Research/Efforts to Obtain Competition included: Researching items on-line via the internet for availability, commerciality, and features. Pulling previous procurements of items and determining previous acquisition methods. Determining vendor interest in long-term contracting for the items. Researching/gathering info regarding commerciality of the items. Vendor size and business status information. Delivery. Base year and option years; optimal lengths, and possible price/cost advantages.

Market research consisted of review of past procurements, the market survey received from the interested party, and internet sources. Market Research efforts show that this item has been purchased multiple times by DLA and has a relatively stable pricing history. Market research began with the analysis of prior procurements and their respective acquisition strategies. Market research was conducted to determine the commerciality of this item.

Market Research has indicated this is not commercial. The item is only available from the one approved source as identified above. After complete review of the evidence, including market research, previous procurements, and indication by the OEM, the contracting officer has made the determination that the NSN on this solicitation is non-commercial and will be solicited under FAR Part 15.

Procurement History:

A Sources Sought Notice was posted to SAM.gov on August 11, 2022 for this specific item. The posting remained open until August 18, 2022. Vendors were requested to provide the name, location, and points of contact for any sources able to manufacture the item to the acquisition specialist listed in the announcement. In addition, a market survey was attached to the Sources Sought Notice for interested vendors to complete and return. Potential sources would be added to the solicitation mailing list. There were no interested parties as a result of this sources sought notice.

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

[ x ] A market survey was conducted on/during __August 11, 2022______.

Total number of vendors contacted: _1 dealer and the OEM.

Names of vendors contacted and responding:

Names of Vendors Contacted and summary of information received:

o Lyntronics, Inc. (0BSY9) Small Business manufacturer.

In the market survey, Lyntronics advised they are the manufacturer for this item and do not presently have a commercial distribution network. Lyntronics also advised this item is non-commercial. Lyntronics advised they are interested in pursuing a three-year based, two option years IDC. Lyntronics advised there is not a maximum buy for this item; however, the minimum is 200 pieces per release. Lyntronics did not provide a delivery estimate. Lastly, Lyntronics stated and requested the following: “This item requires a special made aluminum tube for manufacturing. My vendor has a MOQ of 10,000 pieces. My last purchase was $25,000 for the tubes. This is a non-commercial item, so this purchase would be for this contract only. I have to invest 25K or more and sit on it waiting for releases. Can you tell me if you plan on purchasing 10,000 units over the course of this contract?” On August 29, 2022, buyer email the material planner, Shawn Smith, requesting a response to Lyntronics’ question. On August 30, 2022, Shawn provided the following response “In short, yes, the annual demand for this item would exceed 10,000 units over the life of this contract (3-5 years).”

o Goldman and Associates (7LZM3) Veteran-owned small business dealer.

Goldman did not provide a response to the market survey request.

Techniques used to conduct survey: __E-mailed correspondence and spreadsheet. ______________________.

Types of information requested: ___Business size, manufacturer or dealer, price breaks, commerciality, estimated delivery and quantity sensitivity. ________________________.

Information received regarding the commerciality of the item(s):

Commerciality:

The Product Specialist stated that this item is Commercial.

When asked what the truly essential characteristics of this NSN item are, the Product Specialist provided the following:

ITEM NAME: BATTERY, NONRECHARGEABLE

AARA TERMINAL QUANTITY 2

ABHP OVERALL LENGTH 1.910 INCHES NOMINAL

ADAV OVERALL DIAMETER 0.050 INCHES NOMINAL

ELEC VOLTAGE IN VOLTS 24.0

SHPE SHAPE CYLINDRICAL

When asked why no other commercial item can meet these essential requirements, the Product Specialist stated the following: ESA identified CAGE: 0BSY9 as the qualified source.

When asked when the last time the technical team researched availability of alternative options, the Product Specialist provided the date of 8/17/2022.

In regards to Brand Name or Equal specification based on salient characteristics readily available in the commercial marketplace, the Product Specialist stated the following: Material used to be 1/G then changed to 3/C and ESA identified CAGE: 0BSY9 as the qualified source to produce subject material.

In regards to how the NSN is different from other commercially available items e.g. unique characteristics to ensure the safe, dependable, and effective operation of military equipment (reliability/durability), weapon system coded, critical item of supply, the Product Specialist stated the following: WSEC 1, Critical.

Due to information obtained from the market survey provided by the OEM, Lyntronics, Inc.

response and product specialist responses the contracting officer hereby determines this item to be “non-commercial”.

9. Additional facts supporting other than full and open competition are:

[ X ] Based upon the attached technical certification, technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government.

[ x ] Other: (Explain)___ During the project development stage, the NSN included on this solicitation was provided to the DLA Land & Maritime Value Management (VM) Unit and DLA Land and Maritime Product Specialist for review; no additional sources were identified during those reviews._______.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) Lyntronics (0BSY9) interested in this acquisition based on response in market survey.

11. The following actions are being taken to identify additional sources:

[ x ] The Solicitation contains DLA Procurement Notes L04 Offers for Part Numbered Items and M06 Evaluation of Offers for Part Numbered Items

12. Procurement history show only under SAT buys and J&A’s were not required.

SOLICITATION SPE7L422R0008

DLA Land & Maritime Justification for Other Than Full & Open Competition (November 2021)

CUI

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. If not exceeding $750,000, this signature serves as the approval.

Date

APPROVAL REQUIREMENTS

Contracting Officer [ ] Up to $750,000

[ ] $750,000 to $15,000,000 Competition Advocate

Attachment(s):

#1 – Tech Referral Commercial inquiry #2 – Tech Certification.

#3 – Material Planner Email

TUBBS.JOHN.

D.1076026684

Digitally signed by

TUBBS.JOHN.D.1076026684

Date: 2022.09.01 08:31:08