440 20-07JA Sole Source for Shop Support Various Trades.pdf

DEPARTMENT OF THE NAVY

PUGET SOUND NAVAL SHIPYARD

AND INTERMEDIATE MAINTENANCE FACILITY

1400 FARRAGUT AVENUE STOP 2090

BREMERTON WASHINGTON 98314-2090 IN REPLY REFER TO:

440 20-07JA

January 30, 2020

CONTROL NUMBER

440-20-07JA

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity.

Puget Sound Naval Shipyard and Intermediate Maintenance Facility (PSNS&IMF), Industry Management Department (Code 440), Bremerton, WA 98314.

2. Description of Action Being Approved.

The contemplated action for approval is to solicit/award a contract on a sole-source basis for non-SUBSAFE trades workers supporting critical and controlling path work to Oceaneering

International Incorporated (OII) in accordance with (IAW) FAR 6.302-2. These trade workers are required to support from approximately 3 February 2020 to 30 May 2020.

3. Description of Supplies/Services.

This procurement is for trade worker support to assist in the trade support shipboard and inside shop supporting projects as required for efforts on the USS MICHIGAN (SSGN 727).

The requirements package is comprised of the various trade support work.

The requested trades will support repairs and certification testing on critical path components tied to the UNDOCKING key event. System component repairs include, but are not limited to, ship and submarine pressure and non-pressure hulls, tanks, piping, and structure.

The estimated cost for the project is outlined below:

Requirement Type of Funds Cost Labor / Material

Total NTE cost: FY20 OM&N $3,629,776

The anticipated period of performance is 3 February 2020 through 30 May 2020.

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

J&A #440-20-07JA

4. Statutory Authority Permitting Other Than Full and Open Competition.

10 U.S.C. 2304(c)(2): Unusual and Compelling Urgency (FAR 6.302-2).

5. Rationale Justifying Use of Cited Statutory Authority.

Pursuant to FAR 6.302-2, the requirement described above has been determined to be of an unusual and compelling urgent nature. The USS MICHIGAN is currently in dry-dock conducting an Extended Refit Period (ERP) scheduled to complete in December 2020.

Commander, U.S. Pacific Fleet requires the USS MICHIGAN ready for forward deployed operational tasking on or before the scheduled completion date. To meet the scheduled completion date, repairs and testing require certification prior to the UNDOCKING key event currently scheduled for 15 July 2020. Due to unforeseeable required repairs, the UNDOCKING key event is expected to be delayed, significantly impacting the scheduled completion date.

Trade skills requested are critical to completing the work impacting the UNDOCKING key event, in an attempt to minimize the expected delay resulting from the unforeseen required repairs. PSNS&IMF is currently experiencing an insufficient amount of qualified trades personnel required to complete critical path repairs and testing.

If the required UNDOCKING key event date is not met, it will adversely delay the submarine mission tasking, mission profile and the milestone of availability completion. If the

UNDOCKING key event date is not met, it could cause the submarine in question to not meet its operational schedule and delay the submarine’s deployment. If the USS MICHIGAN cannot be underway on time, it would then negatively affect the schedules of other Navy vessels which would result in further harmful impacts to National Security and create risks to the overall mission of the United States. The Navy relies on the timely deployment of its submarines in order to meet mission requirements that are vital to the National Security of the United States. In order to maintain schedule for the UNDOCKING key event, an award for this requirement needs to be made prior to the 3 February 2020. This aggressive timeline does not allow for the time required to go through full and open competition FAR Part 15 source selection procedures

(typically around 180 days). Delay in awarding this requirement would further adversely affect the UNDOCKING key event being completed on time.

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

PSNS&IMF currently has an existing Indefinite-Delivery, Indefinite-Quantity (IDIQ)

Multiple Award Contract (MAC) for trade personnel support. This MAC IDIQ was awarded as a small business set-aside. Because this is an established contract vehicle that provides a vehicle for streamlined acquisition process to established IDIQ holders, it was the intention to use this vehicle to the maximum amount possible to fulfill the requirement. A preliminary inquiry was posed to each award holder under the MAC program regarding availability of resources to support the emergent requirement in question. The original request for trade support was for 115 workers across multiple trades. The information returned in response to the inquiry detailed that there was no IDIQ contract holder had the resources available to meet the scope of the entire requirement of trade personnel support. The requirement was amended in order to maximize the use the small businesses set-aside MAC IDIQ. The MAC IDIQ has resources available to cover

70 workers of the 115 requested. A delivery order under the MAC IDIQ was awarded for the 70 shop support personnel on 28 January 2020. The remainder of the requirement that the small businesses were not able to support is contained in this requirement that will be acquired on a sole source basis.

Market research indicates Oceaneering International Incorporated (OII) has trained and qualified trades personnel available to support the portion of the requirement that was not available through the MAC IDIQ. Immediate trade support is required to maintain USS

MICHIGAN critical path schedule to UNDOCKING.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined that the anticipated cost to the Government for the supplies covered by the J&A will be fair and reasonable, and will utilize cost/price analysis techniques. These techniques may include the comparison of proposed prices with historical prices paid, independent Government cost estimates or prices obtained through market research for the same or similar items. The determination will be documented in the Business Clearance

Memorandum.

8. Actions to Remove Barriers to Future Competition.

PSNS&IMF Industrial Management Department C/440 will continue to publicize similar requirements and conduct market research into the ship repair industry to identify vendors capable of performance. PSNS&IMF C/440 intends to compete similar requirements in the future to the greatest extent possible.

CERTIFICATIONS AND APPROVALS

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 acquisition planning documents, except as noted herein, are complete and accurate to the best of my knowledge and belief.

COMBINED TECHNICAL AND REQUIREMENTS COGNIZANCE:

Andy Howard, Code 900R Production Workforce Manager, (360) 340-5748

LEGAL SUFFICIENCY REVIEW (NMCARS 5206.303(90))

I have determined this justification is legally sufficient.

David Kelly, Code 107 Office of Counsel, (360) 979-3921

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.

Loren Frei, Code 440 Contracting Officer, (360) 340-4816

APPROVAL BLOCK (FAR 6.304 for Approving Official)

Upon the basis of the above justification, I hereby approve as Competition Advocate, the solicitation of the proposed procurement described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1).

Competition Advocate

Dwin Crow, Code 440 Competition Advocate, (360) 476-4111