A11 - JA Redacted SPRBL119Q0140.pdf
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- Attached to
- STARlite Spares, SEPA, NSN: 6130-01-664-8370
- Solicitation number
- SPRBL1-19-Q-0140
About this file
This justification document outlines a sole source award for spare parts for the AN/ZPY-1 STARLite Small Tactical Radar system to Northrop Grumman Systems Corporation. The Defense Logistics Agency requires four power supply cases with an estimated total value of $838,296. As the original developer and manufacturer of the STARLite system, Northrop Grumman is the only company able to meet the government's requirements as the government does not own the necessary data rights. The justification cites 10 U.S.C. 2304(c)(1) as the statutory authority allowing for other than full and open competition due to only one source being available. A market survey was conducted from April 29 to May 10, 2019, with Northrop Grumman being the only respondent. The subsequent solicitation SPRBL1-19-Q-0140 resulted in a sole source contract SPRBL1-20-C-0007 being awarded to Northrop Grumman on April 30, 2020 for $796,587.28.
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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION
SOLICITATION: SPRBL1-19-Q-0140
DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)
[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/services on other than a full and open competition basis.
3. The supplies/services required to meet the using activity’s needs are described as follows:
BRIEF DESCRIPTION NSN/P/N QUANTITY EST. VALUE AMSC
CASE,POWER SUPPLY 6130-01-664-8370 4 5P
*If too numerous, attach list of NSNs and AMSC codes
Identify end item, weapon system, or class of item:
AN/ZPY-1 STARLite Small Tactical Radar
ESTIMATED BASE VALUE
ESTIMATED TOTAL VALUE (BASE + OPTIONS)
N/A
MAXIMUM CONTRACT VALUE
N/A
FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING
N/A
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:
The AN/ZPY-1 STARLite Small Tactical Radar ("STARLite") is a system designed and built by Northrop Grumman Systems Corporation (NGSC), Cage Code 97942. NGSC owns all data rights to the system. STRLite is a small, lightweight synthetic aperture radar/GMTI radar used in tactical operations, and on the Persistent Threat Detection System (PTDS) aerostat and the MQ-1C Gray Eagle UAV.
Engineering personnel have assigned an Acquisition Method Code (AMC) of "5" and an Acquisition Method Suffix Code (AMSC) of "P" for NSN 5841-01-646-2367. Per Defense Federal Acquisition Regulation Supplement (DFARS) Procedures, Guidance and Information (PGI) 217.7506, an AMC of "5" means acquire directly from a sole source contractor, which is not the actual manufacturer. Additionally, AMSC of "P" means the rights to use the date needed to purchase this part from additional source(s) are not owned by the Government and cannot be purchased, developed, or otherwise obtained.
5. If restricted to the only source(s) of supply, include source(s) and CAGE code:
Northrop Grumman Systems Corporation (NGSC), Cage Code 97942
The use of the authority cited below:
[ X ] AMC 5. Acquire directly from the sole source contractor, who is not the manufacturer.
The use of the authority cited is based on:
[ X ] AMSC P. The rights to use the data needed to purchase this part from additional source(s) are not owned by the Government and cannot be purchased, developed, or otherwise obtained. It is uneconomical to reverse engineer this part. This code is used in situations where the Government has the data but does not own the rights to the data.
If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid.
6. Efforts to ensure that offers are solicited from as many sources as practicable are:
[ ] The acquisition will be synopsized on or about __________________.
[ ] Manufacturers of similar products identified in the market research will be solicited.
[ ] Dealers of the manufacturers will be solicited.
[ X ] A synopsis exception cited in FAR 5.202 applies. (explain) The proposed contracting action was initially not expected to exceed the simplified acquisition threshold, made through a means that provides access to the Government Point of Entry (GPE), and permitted the public to respond to the solicitation electronically. Therefore, based on the exception listed in FAR 5.202 (a) (13), the contracting officer has determined to waive synopsis.
[ X ] Other. The item was solicited on FBO for all interested offerors to submit an RFP on 03 SEP 2019.
7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.
The solicitation will result in the award of a firm fixed price spot buy.
The proposal came in at $838,296 for this NSN, 299.45% above IGCE
The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.
Other than certified cost and pricing data will be required and used to negotiate prices for the resulting contract. An audit will be performed and DCMA assistance may be requested. Detailed documentation and justification of price reasonableness will be disclosed in the official price negotiation memorandum, which will be prepared upon completion of negotiations.
8. Market Research/Efforts to Obtain Competition:
The Market research for the subject Spot Buy has been performed on the Federal Business Opportunities (FedBizOps) under SPRBL1-19-Z-0001 from 29 April 2019 to 10 May 2019 by engineer Myat Win. The only response to that SSA was Northrop Grumman Systems Corporation (NGSC), CAGE 97942.
Therefore, we conclude that NGSC, being developer, integrator, and Original Equipment Manufacturer of StarLITE system, for which the government does not own drawings or IP rights, is the only entity at this time that could meet the Government’s requirements.
Future requirements will be advertised on Beta.Sam.Gov (successor to FedBizOpps) in order to ensure that potential alternate sources are aware of the requirement and can identify interest in support of this item. The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future actions for these items to be competed.
Market Survey [10 U.S.C. 2304(f)(3)(D)]:
[ X ] A market survey was conducted on/during: 29APR2019-10MAY2019.
Total number of vendors contacted: 1.
Names of vendors contacted and responding: Northrop Grumman Systems Corporation (NGSC).
Techniques used to conduct survey: SSA to FBO.gov, WebFLIS, i2log, Haystack.
Types of information requested: Pricing, willingness/ability to supply.
Summary of information received: Pricing willingness/ability to supply.
Information received regarding the commerciality of the item(s): NA.
9. Additional facts supporting other than full and open competition are:
[ X ] Other: (Explain) NGSC, being the developer, integrator, and Original Equipment Manufacturer of the StarLITE system, is the only entity at this time that could meet the Government’s requirements. The Government does not own the data rights to this item..
10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) Northrop Grumman Systems Corporation (NGSC), CAGE 97942.
11. The following actions are being taken to identify additional sources:
[ ] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items [ ] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items [ ] VE Bailment Program [ ] Source Development Review [ ] Reverse Engineering [ X ] Other Ongoing market research is being conducted by engineers with IEWS, and postings of both synopses and solicitations of the spare parts for this system on FBO.
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 $700,000, this signature serves as the approval.
Contracting Officer Date signed by POOLE.P
20.03.23 09:54:56 -
APPROVAL/CERTIFICATION
I have reviewed and approve this justification:
Competition Advocate Signature Date
APPROVAL REQUIREMENTS
[ ] Up to $700,000 Contracting Officer
[ X ] $700,000 to $13,500,000 Competition Advocate
[ ] $13,500,000 to $93,000,000 Head of Contracting Activity (HCA)
[ ] over $93,000,000 Senior Procurement Executive (AQ) (DLA General Counsel signature line required when sending to AQ)
Date: 2020.03.23 10:19:47 -04'00'
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