70Z08024Q21407B00 REDACTED JA.pdf

FMHarwood Highlight

FMHarwood Highlight

FMHarwood Highlight

FMHarwood Highlight

FMHarwood Highlight

FMHarwood Highlight

3. Description of Supplies/Services.

The overhaul kits are used on USCG WMEC 210’ and 270’ medium endurance class cutters and the requirement consists of three (3) overhaul kits. This definitive contract will support known, upcoming planned maintenance needs until a new five (5) year, sole source, requirements type contract, is solicitated and awarded. The 5 year contract is currently in J&A review at the HCA level and is anticipating award in the 2nd quarter of Fiscal Year (FY) 25.

A total of three (3) parts Kits, containing only Original Equipment Manufacturer (OEM) certified parts are required:

1 Kit, NSN 2815-01-623-5786, P/N 2500522, CSO Kit, 210A No. 1 main diesel engine

(MDE)

2 Kits, NSN 5340-01-625-3225, P/N 2500525, CSO Kit, 270 No. 1 MDE

Each kit has a bill of materials (BOM) which identifies all parts that make up the individual kit. These parts kits are intended for direct delivery to a designated vessel for scheduled diesel engine inspections and routine maintenance. Storage at the contractor’s facility will be required if direct delivery is not feasible at time of award. Storage at the USCG Yard warehouse is not possible a there is not adequate storage grounds/space due to kits size capacity and the need to prevent exposure to weather related hazards; therefore, estimated storage costs have been made a part of the total estimated value.

4. Identification of Statutory Authority Permitting Other Than Full and Open

Competition.

The statutory authority permitting other than full and open competition is 41 U.S.C. § 1901 implemented by FAR Subpart 13.501(a) sole source (including brand name) acquisitions as defined in FAR 2.101.

5. Identification of Exception to the Buy American Act.

No exceptions to the Buy American Act have been identified.

6. Demonstration that the Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Require Use of the Authority Cited.

Fairbanks Morse, LLC. has submitted in writing that they are the sole source provider with no authorized distributors that can provide ALCO 251 engine overhaul parts kits. Fairbanks Morse, LLC. is the sole design authority and only known source that possesses the required capabilities, drawings, specifications, and proprietary data to manufacture these overhaul parts kits. Without the appropriate information, documentation and specification for every part that makes up each overhaul kit, it is not possible to develop an appropriate purchase description to allow for full and open competition. The use of OEM parts kits is necessary to ensure they are manufactured in accordance with OEM specifications and standards, conform to original form, fit, and function and are OEM certified as compatible and interchangeable with existing kit components and onboard systems. Using other than OEM components and parts would be an extremely high risk as a malfunction or failure of the engine could result in the loss of mission execution capabilities and a compromise to cutter preparedness. The cutters operate independently, in remote areas of the world, on missions of homeland security, search and rescue, law enforcement and protection, Alien Migrant Interdiction Operations (AMIO), drug interdiction and fisheries patrol. Medium endurance cutters must be able to retain operational readiness when deployed.

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many

Potential Sources as is Practicable.

A sources sought notice was posted to SAM.gov on March 19, 2024 and closed on April 1, 2024 with the intent to identify potential sources other than Fairbanks Morse, LLC. The sources sought notice stated that the USCG intended to make an award to Fairbanks Morse, LLC. and any interested sources could provide information to demonstrate their capabilities to provide genuine OEM certified parts. The solicitation will be posted on SAM.gov. Should a proposal be received from an offeror other than Fairbanks Morse, LLC., with evidence of having OEM authorization to provide the genuine OEM overhaul parts kits. the proposal will be considered.

However, based on the information provided by the OEM, it is not anticipated any sources other than Fairbanks Morse, LLC. will respond to the solicitation. Fairbanks Morse, LLC. also stated in their letter dated June 6, 2024, that they are not interested in selling any technical data rights to the USCG.

An Acquisition Planning Forecast (APFS) record was posted to the APFS website on May 16, 2024. No inquires or responses have been received in response to the APFS record.

8. Determination by the Contracting Officer that the Anticipated Cost to the

Government will be Fair and Reasonable.

The Contracting Officer anticipates that the cost to the Government will be fair and reasonable.

Price analysis will be conducted in accordance with FAR Subpart 13.106-3, utilizing a combination of price analysis techniques to include comparison of proposed prices to historical prices paid on prior acquisitions, to the independent government cost estimate (IGCE), and to other similar items, as necessary. The offeror may be required to submit data other than certified cost of other than certified cost and pricing data to further ensure fair and reasonable pricing.

9. Description of Market Research.

Market research as prescribed in FAR Part 10 was conducted by the Contracting Officer’s Representative (COR) and Contract Specialist (KS). The internet was searched for a list of contractors that possessed the necessary technical data, drawings, manufacturing data and specifications that could provide the OEM CSO kits. The market research showed that only Fairbanks Morse, LLC. possesses these capabilities. Fairbanks Morse, LLC. is the only one that possess the required capabilities to ensure compatibility and/or interchangeability with components and systems. The purchase or use of other than OEM parts could result in faulty and/or nonstandard items. Additionally, the use of other than OEM parts can lead to voiding of any existing warranty(s) and unaccounted for costs associated with additional repairs.

10. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

Fairbanks Morse, LLC. will not disclose their drawings, specifications, and proprietary rights.

The USCG does not possess technical data that would provide for competition for this requirement.

11. A Listing of the Sources, if Any, that Expressed, in Writing, an Interest in the

Acquisition.

The OEM and one other firm responded to the sources sought notice published March 19, 2024. SRA Office Solutions, LLC. was unable to demonstrate their capabilities nor provide documentation as a certified supplier by the OEM.

12. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome

Any Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

In their email dated June 6, 2024 Fairbanks Morse, LLC. stated that they are not interested in selling their data rights to the USCG. The Government will continue attempts to seek data rights. Efforts must continue to be made to support the ALCO 251 diesel engines due to their current installation on USCG cutters. It is anticipated that future procurements will continue to be made with Fairbanks Morse, LLC. unless they authorize additional sources to provide these parts kits.