Additional LHD JA Redacted.pdf

DEPARTMENT OF THE NAVY

NAVAL SEA SYSTEMS COMMAND

1333 ISAAC HULL AVE SE

WASHINGTON NAVY YARD DC 20376-0001

IN REPLY REFER TO

J&A Number: 43,094.1 Code: SEA 0244

JUSTIFICATION AND APPROVAL (J&A)

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

Naval Sea Systems Command, Fleet Support Contract Division (SEA 024)

2. Description of the Action Being Approved

This action authorizes contracting without providing for full and open competition to Walashek Industrial & Marine, Inc.

(Walashek) to modify contract N00024-26-C-4434 to incorporate planning, preparation and execution of steam boiler maintenance, alteration and repairs completed during continuous and emergent maintenance availabilities on the USS WASP (LHD 1), USS ESSEX (LHD 2), USS KEARSARGE (LHD 3), and USS BATAAN (LHD 5) in the three (3) year period of performance through 17 February 2029.

3. Description of Supplies/Services

The proposed action is limited to the modification of contract N00024-26-C-4434 to incorporate the inter-availability support, inspections & assessments, engineering & design support (i.e., conducting periodic material condition inspections and assessments of the boilers and ensuring the Navy�s boiler repair specifications reflect the material condition of the ship), execution planning & preparation (i.e., preparing to complete both emergent and continuous maintenance availabilities), material procurement, maintenance, alteration and repair of the boiler systems on the USS WASP (LHD 1), USS ESSEX (LHD 2), USS KEARSARGE (LHD 3), and USS BATAAN (LHD 5) in continuous and emergent maintenance availabilities during the three (3) year period of performance through 17 February 2029.

The scope includes all labor, supervision, equipment, facilities, materials and travel necessary to prepare for and accomplish these efforts.

This action aligns with the contract�s current contract line item number (CLIN) structure, which includes continuous and emergent repair for USS BOXER (LHD 4) and USS IWO JIMA (LHD 7).

For clarity, this scope also applies to the USS BOXER (LHD 4) and USS IWO JIMA (LHD 7). This modification adds similar continuous and emergent repair CLINs for the aforementioned four additional LHDs, as well as new CLINs for Provision Items Ordered (PIO) and travel reimbursement for each additional ship.

The total estimated value of this procurement is shown in the table below:

4. Statutory Authority Permitting Other Than Full and Open

Competition

10 U.S.C. 3204(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority

The U.S. Marine Corps� "North Star" is the ability to continuously deploy three Amphibious Ready Groups (ARGs) globally. An ARG is comprised of one Landing Helicopter Assault (LHA) or Landing Helicopter Dock (LHD), one Landing Platform Dock (LPD) and one dock landing ship (LSD).

The surface maintenance enterprise has been unable to complete amphibious maintenance and modernization requirements at the pace necessary to support the Marine Corps� North Star. On LHD ships, the maintenance, modernization and repair of the class�s steam plant is the principal driver of availability durations and schedule delays. Steam propulsion plant systems operate as a set of interconnected equipment used to power a ship. Boilers are one of the main, critical equipment components that operate within the propulsion system, typically representing more than 50% of the steam plant scope and the driver of the steam plant repair�s critical path.

Steam systems have lower efficiency and increased maintenance and safety requirements in comparison to modern diesel or electric engines. Therefore, over the past 20 years, the Navy and commercial industry have been phasing steam plants out as an obsolete technology. Currently, LHD-1 class amphibious ships are the only US Navy combatants with homeports in the United States that operate steam propulsion plant systems. As the Navy and commercial industry have shifted to more modern technologies, the pool of contractors capable of servicing the

Navy�s handful of remaining steam plants has shrunk considerably.

Traditionally, boiler maintenance is solicited as part of a scheduled or emergent availability�s overarching maintenance, modernization and repair work package awarded to lead maintenance activity shipyards. These shipyards

. Walashek, operating as a subcontractor to these shipyards, has been the only company over the past seven years that has completed LHD Class Boiler equipment strength and integrity inspections, maintenance, repairs, and overhauls.

Walashek is the only company with specialized knowledge, technical expertise, and proven experience in completing inspections, maintenance, repairs, and overhauls on LHD-1 class ships.

Directly awarding Walashek a contract to complete inter-availability support, preparation and accomplishment of steam boiler maintenance, alteration and repairs during continuous and emergent maintenance availabilities on the USS WASP (LHD

1), USS ESSEX (LHD 2), USS KEARSARGE (LHD 3), USS BOXER (LHD

4), USS BATAAN (LHD 5) and USS IWO JIMA (LHD 7) is essential to avoiding the continuous delays being experienced on the LHD Availabilities by enabling work to begin in advance of and through the duration of each Availability.

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

Offerors as Practicable

In order to support the initial award for the assessment, maintenance, alteration and repair of the boiler systems on the USS IWO JIMA (LHD 7) in its the Norfolk, VA homeport and USS BOXER (LHD 4) in its the San Diego, CA homeport, a sources sought notice for the boiler repair scope was posted on the System for Award Management (SAM.gov) website on 30 May 2025.

Responses were received from Walashek

The prior market research remains relevant as the requirement to prepare for and complete emergent and continuous maintenance on the four additional ships (USS WASP (LHD 1), USS ESSEX (LHD

2), USS KEARSARGE (LHD 3), USS BOXER (LHD 4), USS BATAAN (LHD

5) and USS IWO JIMA (LHD 7)) is for the same boiler system maintenance, modernization and repairs, on the same class of ships, in the same homeport locations. In addition to this, on 08 April 2026, a Special Notice of the Navy�s intent to modify the subject contract was posted on the SAM.gov website, providing interested parties 15 days to respond. At closing of the response period on 23 April 2026, no parties responded to the Special Notice. For the reasons discussed in paragraph 5 above, it is not practical for any company other than Walashek to provide the required supplies.

The market conditions have not changed in the nine (9) months since the Navy�s last market research communications with industry to gauge their boiler repair capabilities. For the reasons discussed in paragraph 5 above, it is not practical for any company other than Walashek to provide the required supplies. Therefore, no additional market research was conducted.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined the anticipated cost to the Government for the supplies covered under this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, NAVSEA has no plans at this time to compete future contracts for the types of supplies covered by this document. If another potential source emerges, NAVSEA will assess whether competition for future requirements is feasible.