Attachment III - Other than Full and Open Competition Memo_Redacted.pdf

1 Ver 2.0 (01 July 2018)

Date: 5/15/2024

MEMORANDUM

Subj: USE OF OTHER THAN FULL AND OPEN COMPETITION FOR AN ACQUISITION

UNDER THE SIMPLIFIED ACQUISITION THRESHOLD

Ref: (a) PR Number(s): 1301165624

I. BACKGROUND:

1. In considering the references, FAR 13.106-1(b)(1)(i) states for purchases not exceeding the simplified acquisition threshold, Contacting Officers may solicit from one source if the Contracting

Officer determines that, under the circumstances of the contract action, only one source is reasonably available (e.g., urgency, exclusive licensing, brand-name, or industrial mobilization).

2. As required by FAR 13.106-3(b)(3)(i), this memorandum explains the absence of competition for this acquisition because only one source will be solicited for this requirement (or for a portion of the requirement) and the requirement is not expected to exceed the simplified acquisition threshold.

II. DESCRIPTION OF ITEM OR SERVICE:

1. Provide a description of the item or service required, to include

a) the name of the required source or brand name

Rolls-Royce Marine North America Inc., Cage Code 07309

b) the required delivery date/period of performance and POP: 9/2/2024-11/24/2024

c) Its intended use.

This service and parts is for an approved T-ALT to upgrade the OD Box for the CPP Sytem on the T- AO 187 Class of vessels.

2. List the source(s) or known vendor(s) who are able to provide the above described item or service.

Rolls-Royce Marine North America, Inc., 110 Norfolk St, Walpole, MA 02081

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III. THE DETERMINATION FOR USE OF OTHER THAN FULL AND OPEN COMPETITION IS

BASED ON THE FOLLOWING, (select all that apply):

A. XX Only one responsible source (select all that apply):

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1(a)(2), When the supplies or services required by the agency are available from only one responsible source, or, for DoD, NASA, and the Coast Guard, from only one or a limited number of responsible sources, and no other type of supplies or services will satisfy agency requirements, full and open competition need not be provided for.

1. XX RESTRICTIVE RIGHTS: the source has established proprietary rights, limited rights in data, patent rights, copyrights, or secret processes in the item or service.

a. Explain what is subject to the restrictive rights.

Rolls-Royce Holdings PLC is the OEM and has proprietary rights to data/drawing, updated repair procedures, specific trade information, rights to marketing, distribution, and corrective/preventative maintenance procedures associated with the Rolls-Royce Bird Johnson T-AO 187 Class Controllable

Pitch Propeller (CPP) system, which is not available outside of Rolls-Royce. Rolls-Royce Marine

North America, Inc. is the sole North American Rolls-Royce OEM authorized to provide parts and services for the Rolls-Royce Bird Johnson T-AO 187 Class CPP system. The engineering, technical characteristics, construction drawings, manufacturing procedures, tolerances, and installation procedures for the systems/items manufactured parts are proprietary to Rolls-Royce. To date Rolls-

Royce does not share proprietary data or authorize outside vendors/manufactures, making Rolls-

Royce Marine North America, Inc. the only known sources to provide the required supplies.

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b. If drawings are included, who is identified as “owning” the drawings.

Rolls-Royce Marine North America, Inc.’s parent company Rolls-Royce Holdings PLC.

2. XX EXCLUSIVE LICENSING AGREEM ENTS: The item or service is only available from the Original Equipment Manufacturer (OEM), or there is ONLY ONE authorized distributor or technical representative for the OEM.

a. Identify the OEM and explain the circumstances surrounding why the item or service is only available from the OEM.

The OEM is Bird Johnson, now owned by Rolls Royce Marine.

b. Identify the distributor / authorized technical representative for the item or service.

Provide evidence of the exclusive licensing agreement as an attachment to this document.

(NOTE: If there is, more than one distributor / authorized technical representative, then use Part B – Brand Name.)

Rolls Royce is the distributor and technical representative for the T-AO CPP systems.

3. OTHER REASON:

a. XX CRITICAL SHIP EQUIPMENT: The required item is critical ship equipment, the failure of which poses a hazard to the ship, the crew or the environment.

i. SMS Procedure Number: 10.6-002-01-AO

There are currently five (5) active ship classes in the MSC fleet with Rolls-Royce propulsion systems, steering gear, engines, and associated parts. These systems are required for propulsion and steering and failure of which would result in the vessel not being able to perform its required national defense mission. SMS Number 10.6-002-ALL “Identification of Critical Equipment” has labeled these systems/items as L4 critical equipment; on a scale from L1 to L4 with L4 being the most critical. It is required “To ensure that vessel equipment is repaired/maintained in accordance with regulatory body requirements, MSC

Policy, and OEM recommendations.” as stated in SMS number 10.4-001-ALL “Preventive

Maintenance (PM)” and SMS Number 10.7-001-ALL “Corrective Maintenance”. Rolls-

Royce Marine North America, Inc. is the sole North American provider for all OEM Rolls-

Royce parts and services that can provide proprietary technical data/drawings for these systems/parts as required by United States Coast Guard (USCG) and American Bureau of

Shipping (ABS) regulations and are the only authorized manufacturer and distributor of

4 Ver 2.0 (01 July 2018) these OEM required supplies.

b. XX STANDARDIZATION / BRAND NAME: Per MSCs standardization initiative, only the specified make/model of the equipment/parts will satisfy the

Government’s needs for additional units or replacement items.

i. Identify Make / Model Number(s): Rolls- Royce: 115752000

ii. Identify other vessels with this Make / Model: All 14 TAO’s

i. Identify other vessels with this Make / Model:

c. FORM, FIT, AND FUNCTION: Item is direct replacement parts / components for existing equipment and must be compatible in terms of form, fit, and function with existing equipment / configurations.

i. Identify Make / Model of existing equipment:

ii. Describe how the equipment must be compatible with the existing configuration.

d. OTHER:

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4. UNUSUAL AND COMPELLING URGENCY: The supplies or services are of such unusual and compelling urgency that the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits. Urgent requirements are supplies or services that will result in work stoppage, or are mission critical and the routine processing time would injure the Government. The determination that the procurement for the above is an urgent and compelling requirement is based on the following:

a. Date on which the requirement was identified:

b. Required delivery date / Period of Performance:

c. If the difference between a. and b. is more than one week, explain the delay in submitting the requirement.

d. Estimated production lead time:

e. Explanation of why delivery / commencement of services by the date required is needed: (explain the impact to the mission, any special circumstances or conditions, etc.)

f. CASREP Number:

IV. ANTICIPATED DOLLAR VALUE OF PROCURMENT: $51,090.21

V. CERTIFICATIONS AND APPROVALS:

Technical / Requirement Certification: I certify that the facts and representation under my cognizance, which are included in this justification, are complete and accurate to the best of my knowledge and belief.

Requester Signature / Date

Level Higher (Suppo / SPE / ASPE) / Date

Contract Specialist / Date

Contracting Officer / Date

ERB.JON.MICHA

EL.1536195030

Digitally signed by

ERB.JON.MICHAEL.1536195030

Date: 2024.05.15 13:16:38 -04'00'

NORRIS.RICHAR Digitally signed by

D.Z.1398822346 Date: 2024.05.15 13:22:11 -04'00'

NORRIS.RICHARD.Z.1398822346

amanda.fils-aime Sticky Note Accepted set by amanda.fils-aime amanda.fils-aime Sticky Note None set by amanda.fils-aime