Justification_for_Other_than_Full_and_Open_Competition_(Rev1)-for_FBO.pdf

December 2015

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SIMPLIFIED ACQUISITION PROCEDURES (SAP)

SOLICITATIONS MAY BE LIMITED TO ONE SOURCE ONLY IF THE CONTRACTING OFFICER DETERMINES THAT ONLY ONE SOURCE IS REASONABLY AVAILABLE. THIS DETERMINATION MUST BE SUPPORTED WITH FULL JUSTIFICATION FOR SOLE SOURCE FROM THE CUSTOMER. WHEN THE CUSTOMER DESCRIBES AN ITEM WITH A PURCHASE DESCRIPTION WHICH LIMITS THE AVAILABILITY TO ONE SOURCE, THE JUSTIFICATION MUST EXPLAIN WHY THE ITEM IS THE ONLY ONE THAT WILL MEET THE GOVERNMENT’S REQUIREMENT. STATEMENTS SUCH AS "ONLY KNOWN SOURCE" OR "ONLY SOURCE WHICH CAN MEET THE REQUIRED DELIVERY DATE" ARE INADEQUATE TO SUPPORT A SOLE SOURCE PURCHASE.

PURCHASE REQUEST OR REQUISITION

NUMBER

2119859P45A50

PROJECT/TASK

NUMBER

70Z08519QP45A50

ESTIMATED AMOUNT (Over Micro-Purchase Threshold, but up to the SAT)

IDENTIFICATION OF THE AGENCY AND THE CONTRACTING OFFICE, AND SPECIFIC IDENTIFICATION OF THE DOCUMENT AS A “JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION.” PLEASE CITE THE AUTHORITY AND TYPE OF

JUSTIFICATION.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), Surface Forces Logistics Center (SFLC), Long Range Enforcement Product Line (LRE PL). Contract and Procurement Division (CPD), Branch 2, intends to solicit and negotiate a sole source contract with MTU America, Inc. (MTU), 39525 Mackenzie Drive, Novi, MI 48377-1602. The statutory authority permitting other than full and open competition is 41 U.S.C. 1901 as implemented by FAR 13.5, Simplified Procedures for Certain Commercial Items.

BRIEF DESCRIPTION OF SUPPLIES OR SERVICES REQUIRED, AND THE INTENDED USE.

The intended sole source contractor, MTU, will provide the services and materials required to conduct the required Main Propulsion Diesel Engine (MPDE) preventative maintenance and Diesel Engine Inspection (DEI) on the 1163 series MTU engines installed onboard the USCGC KIMBALL. The following work items are as follows: MPDE, DEI, Perform; MPDE, Long Term Lay-up Preservation, Perform;

MPDE, Crankcase Breather, Modify.

UNIQUE CHARACTERISTICS THAT LIMIT AVAILABILITY TO ONLY ONE SOURCE, WITH THE REASON NO OTHER SUPPLIES OR

SERVICES CAN BE USED.

MTU America was the designer and integrator of the WMSL Main Propulsion system. Because of the complexity and extensive amount of work, MTU America is the only source who can complete the required work within the designated performance period safely, proficiently, and with an acceptable risk to USCG's financial and operational readiness.

A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT QUOTATIONS OR OFFERS ARE SOLICITED FROM AS MANY POTENTIAL

SOURCES AS PRACTICABLE (INCLUDE YOUR MARKET RESEARCH EFFORTS HERE).

This procurement is posted as DHS-Acquisition Planning Forecast System (APFS) No. F2019045360. However, only one responsible source and no other supplies or services will satisfy agency requirements, i.e. Unique capabilities, Limited number of sources, Proprietary data or Brand Name Mandatory.

REASON THAT SUGGESTED SOURCE IS THE ONLY SOURCE WHICH CAN PROVIDE THE SUPPLIES OR SERVICES.

The USCG and non-original equipment manufacturer (OEM) contractors do not have the technical expertise to conduct the maintenance required on these engines. Attempting to complete this work without OEM proprietary data or using other than OEM parts could cause failure to occur; degradation to the vessel's primary mission could result in a failure to meet USCG operational commitments.

EXPLAIN WHY AN ADEQUATE PURCHASE DESCRIPTION OR OTHER INFORMATION SUITABLE TO SOLICIT BY FULL AND OPEN

COMPETITION HAS NOT BEEN DEVELOPED OR ARE NOT AVAILABLE.

MTU is the OEM for these engines as well as required parts for this maintenance. During market research, the USCG learned that no other companies have access to MTU’s technical data, which is proprietary information. MTU continues to retain proprietary ownership of the technical data necessary for performing the required services and has declined to release the data to the USCG.

PROVIDE A STATEMENT OF ACTIONS, IF ANY, THE GOVERNMENT MAY TAKE TO REMOVE OR OVERCOME ANY BARRIERS TO

COMPETITION BEFORE FUTURE ACQUISITIONS ARE REQUIRED.

Due to the fact that MTU continues to retain proprietary ownership of the technical data necessary for performing the required services on the KIMBALL’s MPDEs and has declined to release the data to the USCG, the USCG anticipates that it may be difficult to obtain competition in future procurements. However, the USCG will continue to advertise future requirements through the DHS APFS and through Federal Business Opportunities (FBO) and will continue to seek access to the technical data sufficient to enable competition.

SIGNATURE AND TITLE OF CUSTOMER

CODE

TELEPHONE

DATE

07 June 2019

SIGNATURE OF CONTRACTING OFFICER

CODE TELEPHONE

DATE

07 June 2019