CM20098002 4.0 J&A SPE7MX21R0007.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX21R0007

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)

The use of the authority cited below:

AMC 3 - Acquire directly from the actual manufacturer, whether or not the prime contractor is not the actual manufacturer.

NSN 5930-00-988-5058

AMSC B - This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

NSN 5996-00-880-3562; 5996-01-139-2843; 5996-00-880-3563

AMSC C - This part requires engineering source approval by the design control activity in order to maintain the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. Valid AMCs: 1, 2, 3, 4, and 5.

a SAPD Product Specialist did a technical review on 8/19/2020. Based on his review he states that all means to obtain a technical data package adequate for manufacture of these items has been exhausted. On 9/21/2020, , changed the QCC for NSN 5930-00-988-5058 to NAA to reflect the CFAT that is listed in SRM. Andrea Systems is waived for the FAT until 10/10/2021.

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

The acquisition will be synopsized on or about 10/26/2020.

A sources sought notice was posted on betaSAM.org from 9/18/2020 to 9/25/2020 with no responses received.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.

This will be a five (5) year, firm fixed price, Indefinite Quantity Contract (IQC). The five year period is inclusive of a three (3) year base period, and two (2) separately priced, one (1) year option periods.

There is no expectation of competition as there is only one approved source. In the event that competition does not exist, CCPD will be required. The Contracting Officer will then obtain Certified Cost/Pricing Data and the DCMA/DCAA and the Pricing Office will provide support for a reasonableness determination.

8. Market Research/Efforts to Obtain Competition:

Describe the market research conducted and the results.

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

A market survey was conducted on/during 4/08/2020 – 9/28/2020

MARKET RESEARCH SUMMARY

Buy history for the subject NSNs was reviewed in order to determine potential sources of supply. A Market Survey questionnaire was sent to the sole approved source/manufacturer on 4/08/2020. The Contract Specialist sent a follow up email on 9/15/2020 to confirm if any of the original information had changed. , the production manager for Andrea Systems, confirmed that nothing had changed.

The last contract, a LTC – SPE7MX16D0068; awarded to Andrea Systems LLC (3GET4) IAW FAR PART 15; expires April 20, 2021. This contract consisted of six NSNs, which Andrea Systems is the sole approved source. This contract was for 3 base years and 2 option years and had a maximum value of $2,662,253.76. Five of the NSNs were bought to the manufacturer code and part number and the other NSN was a source controlled drawing. Based on the recommendation of the Product Specialist, NIIN 000113701 is no longer of interest to the services, is obsolete, and will be cancelled. This information was also confirmed by the approved source, Andrea Systems. Andrea Systems was the only proposal received for the last contract. Market research from dealers indicated that Andrea Systems will not sell to dealers. None of the NSNs are currently listed on the GSA Advantage website. Market surveys were sent to Andrea Systems (3GET4) and Baker and Associates (6ZU62) on 4/7/2020.

Responses were received from the following company(s) and provided the following information:

Andrea Systems, LLC (CAGE 3GET4)

Small business manufacturer and sole approved source Awardee of current LTC of same NSNs to DLA They are interested in pursuing a LTC

Andrea Systems stated these items are commercial and provided un-redacted invoices for each NSNs. An internet search found the project part numbers on Andrea Systems webpage. Product Specifications were listed for three of the NSNs, showing general characteristics, description and use, and what aircraft the item is used on. The majority of the invoices were sold to dealers that currently do business with the Government and the Contract Specialist could not determine that they were commercial sales. The Contract Specialist (AS) went back to Andrea Systems with the following questions:

Are these vendors buying from you to provide to us on smaller buys?

The other vendors – who do they provide your parts to?

Can you explain the function of each item?

Are these items Military specific?

Are they used on Commercial helicopters or aircraft?

If they are not used on commercial aircraft, what is the difference between a military and commercial part.

, the POC for Andrea Systems, stated that those vendors usually sell to overseas customers and are used on both commercial and military aircraft. did not provide specific commercial aircraft that these items go on. These items are mic and headset amplifiers that go into various intercommunication system (ICS) units that Andrea Systems manufacturers. The ICS units are used on about 10 different aircraft – planes and helicopters. At the current time, based on the limited information provided by the approved source, these items are not determined commercial.

9. Additional facts supporting other than full and open competition are:

Based upon the technical certification on file in DLA Land and Maritime – VEP technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government. Due to a system issue, Value Engineering was unable to check to see if any of these NSNs were on projects. (Att. # 1)

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state)

Andrea Systems, LLC (3GET4)

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.

The previous J&A has been reviewed and is attached to assist the approval authority in determining whether the planned actions to remove any barriers to competition cited on the previous justification were completed. (Att. #2)

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.

Alicia Barrowman - Contracting Officer

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature

APPROVAL REQUIREMENTS

[ ] Up to $700,000 Contracting Officer

BARROWMAN.ALI

CIA.A.1368987251

Digitally signed by

BARROWMAN.ALICIA.A.136898

Date: 2020.10.26 14:08:17 -04'00'

HOPSON.LILLI

.A.1230127324

Digitally signed by

HOPSON.LILLI.A.1230127324

Date: 2020.11.02 16:20:41 -05'00'

[X] $700,000 to $13,500,000 Competition Advocate