BUCKTHORN JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION REDACTED.docx

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CGC BUCKTHORN HULL REPAIRS
Solicitation number
70Z08526QIBCT0009
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This document is a Sole Source Justification for hull repairs to the USCGC BUCKTHORN, a 100-foot Inland Buoy Tender currently drydocked at North Shore Marine Terminal and Logistics in Escanaba, MI. The United States Coast Guard (USCG) is seeking to award a firm fixed-price contract (Solicitation Number 70Z08526QIBCT0002) for extensive hull repairs necessitated by significant metal wastage discovered during an ultrasonic side scan, rendering the vessel unsafe to sail.

The proposed sole-source contract includes approximately eight definite work items totaling an undisclosed amount, funded by Fiscal Year 2025 Antecedent Liability (A/L) funds. Market research identified only four companies certified to drydock the vessel in the Great Lakes area, with North Shore Marine Terminal being the current location. The justification emphasizes that moving the vessel to another facility would compromise hull integrity and crew safety, making a competitive procurement impractical. The contract extension is expected to take 16 weeks and includes growth work pricing over 25% of the original contract.

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SOLE SOURCE JUSTIFICATION

10 U.S.C. § 3205

Pursuant to the authority of 10 U.S.C. 3205 as implemented by Federal Acquisition Regulation (FAR) Subpart 13.501 and consistent with the content requirements of FAR 6.104-1 the following facts and rationale justify the use of such authority:

1. Agency and Contracting Activity.

The Department of Homeland Security, United States Coast Guard (USCG), Surface Forces Logistics Center (SFLC) Icebreaker, Buoy and Construction Tender Product Line (IBCTPL) Contracting Office located at Base Alameda, Building 55, Alameda, CA 94501-510 proposes to enter into a contract on a basis sole source basis.

2. Nature and/or Description of the Action being Approved.

a. Nature of the action: USCG intends to procure on a sole source basis for repair and replace steel and extension of drydock ship repairs with North Shore Marine Terminal and Logistics.

b. Name and address of the contractor: North Shore Marine Terminal and Logistics / 328 N 10th St, Escanaba, MI 49829

c. Type of action: Firm Fixed Price

(d) Estimated total value:

Definite Work items Optional Work items

$XXXXXXXX

$0.00

Definite & Optional Work Item Total
$XXXXXXXX

(e) Type of funding: Antecedent Liability (A/L) Funds

f. Year of funding: Fiscal Year 2025 ALR funds

g. Solicitation number: 70Z08526QIBCT0002

h. Background information about the requirement: USCGC BUCKTHORN, a 100-foot Inland Bouy Tender is currently drydocked at North Shore Marine Terminal and Logistics; contract award 70Z08525CIBCT0006. A side scan was conducted as a definite item; the side scan revealed that many areas of the hull had wastage that need to be repaired and replaced. Due to hull condition found, BUCKTHORN is unable to safely sail. Currently the CGC BUCKTHORN is in drydock with several holes in the metal. The work required to repair the cutter was estimated by North Shore Marine Terminal and Logistics; this extension would take 16 weeks and includes growth work pricing over 25% of the original contract ($1,239,200.0). It is not safe to sail the cutter without the needed repairs and that the cutter is currently in a drydock at North Shore Marine Terminal and Logistics shipyard having work performed under contract 70Z08525CIBCT0009. It would not be in the government’s best interest and wasteful to do temporary repairs and apply coatings under the waterline to make the vessel seaworthy. The government would incur additional costs to compete this additional work needed. Procuring on a sole source basis with North Shore Marine Terminal and Logistics prevents this.

3. Description of Supplies/Services.

This acquisition requires a Contractor to provide Hull Repair repairs to CGC BUCKTHORN. This additional work will consist of approximately (8) definite work items.

Definite Work Items
PRICING
Mobilization from Drydock
$XXXXXXX
Hull Repair Work
XXXXXXXX
Hull Plating Freeboard, Preserve, Partial
$XXXXXXX
Tanks, MP Fuel Service, Clean and Inspect
$XXXXXXX
Tanks, Potable Water, Clean and Inspect
$XXXXXXX
Tanks, Ballast, Clean and Inspect
$XXXXXXX
Propulsion Shafting, Optical or Laser Alignment Check
$XXXXXXX
Temporary Services, Provide - Tender
$XXXXXXX
Total
$XXXXXXXX

4. Identification of Statutory Authority Permitting Sole Source Basis

The statutory authority permitting other than full and open competition is 10 U.S.C. 3205 as implemented by FAR 13.501 (a) sole source (including brand name) acquisition as defined in FAR 2.101.

5. Identification of Exception to the Buy American Act. N/A

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

a. Rationale for using the authority cited in section 4 of the J&A; The Coast Guard’s need for hull repairs to be conducted North Shore Marine Terminal at and Logistics is due to safety concerns associated with operational capabilities of the vessel and crew safety.

b. Details covering what events lead to the situation requiring use of other than full and open competition procedures including whether any portion of the work can be segregated to allow for competition; The requirement of other than full and open competition is due to the cutter’s inability to transit from the current facility, North Shore Marine Terminal and Logistics. Hull wastage was found during the current availability using ultrasonic testing and due to the severity of the findings, BUCKTHORN was deemed not safe to sail.

c. Summarize alternatives considered and why they will not work; Award to commercial facilities outside of North Shore Marine Terminal and Logistics would further jeopardize the hull integrity of the cutter and safety of the crew. The Cutter would need to be removed from the blocks in drydock and transit to another facility, which cannot be safely completed due to the current hull wastage. Additionally, completing temporary repairs would and applying coatings under the waterline to move the ship to an alternative repair facility.

d. Impact to the mission that would result if the J&A is not approved and, consequently, the product or service not provided.

The inability to secure this contract could compromise the Service’s mission to ensure efficiency in maritime commerce, safety in United States shipping channels, and maintain operational effectiveness, while also increasing and hindering long-term strategic planning. Considering alternative competition introduces unnecessary delays and additional costs, given the ease with which the current availability can be modified to accommodate the required work.

e. If using “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements” as your authority, also include the following: N/A

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

As per FAR Part 5, the announcement will not be announced since there are limited number of responsible sources that will satisfy the Coast Guard needs.

8. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The Contracting Officer will determine that the anticipated price(s) will be fair and reasonable based on price analysis, comparison with the IGE, historical pricing, previous awards, and potential price negotiations. Also, if necessary, the Contracting Officer will obtain and analyze other than certified cost and pricing data from the vendors.

9. Description of Market Research.

a. Describe the market research techniques used, results, date(s) when the market research was conducted, and how it was used by the contracting officer to determine price reasonableness.

Market research was originally conducted on 9 December 2025. The following companies expressed interest:

Fraser Shipyards LLC, Superior, WI Great Lakes Shipyard, Cleveland, OH Fincantieri Marine Repair, Sturgeon Bay, WI North Shore Marine Terminal, Escanaba, MI

Currently the CGC BUCKTHORN is drydocked at North Shore Marine Terminal located in Escanaba, MI. There are only four companies certified to drydock the CGC BUCKTHORN in the great lake area. The distance to travel to another facility from Escanaba, MI are listed below:

Fraser Shipyards LLC, Superior, WI 565 NM Great Lakes Shipyard, Cleveland, OH 452 NM Fincantieri Marine Repair, Sturgeon Bay, WI 60NM North Shore Marine Terminal, Escanaba, MI 0NM

Due to the integrity of the hull the CGC BUCKTHORN moving the cutter to a new facility would further jeopardize the hull integrity and the safety of the crew. The cutter will need to be removed from the blocks in drydock to transit to another facility, which cannot be safely completed due to the current hull wastage.

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

No additional Information

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

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

a. Will the Government revise overly technical specifications, acquire data rights, etc? SFLC will use Indefinite delivery requirements (IDR) type contracts and define the scope of the contract as including any work identified before solicitation and during performance of the maintenance availability to prevent situations requiring extensive beyond the scope modification that must be justified because competition is not possible. By using IDR contracts with properly defined scopes, we will provide a more accurate picture of the requirement for better competition at the appropriate time

13. Contracting Officer’s

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Sandra A. Martinez Date Contracting Officer

14. Technical/Requirements Personnel Certification.

I certify that this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for the justification, is accurate and complete.

___________________________________________
LT SYDNEY JOHNSONDate

Technical Representative

APPROVAL:

Sandra A. Martinez Date Contracting Officer

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