CM23033002_JA SPE7MX23RX036 FULLY EXECUTED reviewed_Redacted.pdf
PDF 253 KB Posted
- Attached to
- IGNITER SPARK GAS TURBINE ENGINE Federal contract opportunity
- Solicitation number
- SPE7MX23D5034
About this file
This justification document provides rationale for a sole source procurement of an igniter spark gas turbine engine. The Defense Logistics Agency Land and Maritime plans to issue solicitation SPE7MX23D5034 for this commercial off-the-shelf item, which supports various weapon systems. Market research found that only Champion Aerospace LLC possesses the required technical data and is able to manufacture the part. The previous contract awarded sole source to Champion Aerospace for three years at $465 per unit. This new procurement will utilize FAR Subpart 13.5 procedures for a simplified commercial item acquisition with Champion Aerospace as the only known responsible source.
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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION
SOLICITATION SPE7MX23RX036
The use of authority cited above is supported by the following Acquisition Method Code (AMC) and Acquisition Method Suffix Code (AMSC):
AMC 1: Suitable for competitive acquisition for the second or subsequent time.
AMSC Z: This part is a commercial/non-developmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid.
Product Specialist, , confirmed the following on 02/02/2023:
This item is an AMC/AMSC of 1/Z. This item supports various weapon systems, a critical application item, and IS
NOT a critical safety item. BE Aerospace Consumables (0PLS1), Boeing Distribution Services X (2N935), Honeywell International Inc. (99193) and Champion Aerospace LLC (0AFL4) are the only sources capable of making this item. The Government DOES NOT HAVE the data or drawings for full and open competition; the approved source(s) are the only source(s) known to possess the required drawings. There ARE NOT currently 339’s out to the ESA (Engineering Support Activity) and current information indicates that the item IS commercial or commercial-of-a-type. Technical Data Certification is attached (attachment 1).
6. Efforts to ensure that offers are solicited from as many sources as practicable are:
The acquisition will be synopsized for 4 days prior to the solicitation opening. At the completion of the synopsis period, the Purchase Request (PR) will be solicited on the internet for 7 days via the DLA Internet Bid Board System (DIBBS).
7. I hereby determine that the anticipated cost to the Government will be fair and reasonable:
This will be a one, three-year base period with two, one-year option periods, Firm Fixed Price, Indefinite
Quantity Contract. Certified Cost and Pricing Data requirements do not apply. In accordance with FAR Part 12.209, while the Contracting Officer must establish price reasonableness in accordance with 13.106-3, 14.408- 2, or subpart 15.4, as appliable, the Contracting Officer should be aware of customary commercial terms and conditions when pricing commercial items. Commercial item prices are affected by factors that include, but are not limited to, speed of delivery, length and extend of warranty, limitations of seller’s liability, quantities ordered, length of the performance period, and specific performance requirements. The Contacting Officer will determine whether the contract award prices are fair and reasonable in accordance with Far Subpart 15.4. The buyer may request information other than cost or pricing data to support price reasonableness if necessary.
8. Market Research/Efforts to Obtain Competition:
Market research consisted of a sources sought notice, a formal market survey, review of the procurement/quote history, and a review of the results of recent market research undertaken to meet recent acquisitions of this item.
Procurement history:
The PO history shows multiple priors awarded.
CUI
Smart Number (PIIN) Source Type
Vendor
CAGE
Code
Vendor Name QTY Unit Net Price Curr Per Award Date Incoterms Prc Reas
SPE7M122F250CP00001 A 0AFL4 CHAMPION AEROSPACE LLC 611.00 EA 465.00 USD 1 03/15/2022 1 BI
SPE7M122F232H A 0AFL4 CHAMPION AEROSPACE LLC 100.00 EA 465.00 USD 1 03/04/2022 1 BI
SPE7M122F9241 A 0AFL4 CHAMPION AEROSPACE LLC 100.00 EA 465.00 USD 1 12/20/2021 1 BI
SPE7M122F9237 A 0AFL4 CHAMPION AEROSPACE LLC 100.00 EA 465.00 USD 1 12/20/2021 1 BI
A sources sought notice was posted on SAM.gov from 03/17/2023 to 03/27/2023. No responses were received.
Market Survey:
In accordance with 10 U.S.C. 3206(a)(1)(b) the market surveys for this project requested companies provide answers to general questions regarding their company size and status. The long-term contract (LTC) questions included overall interest in the LTC, preferable length of contract, commerciality of the item and supporting documentation, delivery schedule, and the vendor’s ability to provide Certified Cost or Pricing Data (CCPD). The vendors also had an opportunity to provide any information that they feel may be of assistance in building our acquisition strategy and possible solicitation development.
On 02/06/2023, an Acquisition Specialist from the Sourcing Strategy Branch emailed market surveys to the following three (3) vendors:
o Champion Aerospace LLC (0AFL4) o Boeing Distribution Services X, Inc. (2N935) o Honeywell International Inc. (99193)
The project was assigned to the Buyer with no responses.
On 03/16/2023, Contract Specialist followed up with five (5) vendors:
o Champion Aerospace LLC (0AFL4) o Boeing Distribution Services X, Inc. (2N935) o Honeywell International Inc. (99193) o Pioneer Industries LLC (66200) o Kampi Components Co., Inc. (7Z016)
CHAMPION AEROSPACE LLC (0AFL4) provided the following on 03/28/23 (attachment 6):
POC:
Large business manufacturer with approximately 250 employees.
Interested in pursuing an LTC.
Item is commercial.
On 03/16/2023, KAMPI COMPONENTS CO., INC. (7Z016) responded that they would not be interested in quoting.
On 03/16/2023, HONEYWELL INTERNATIONAL INC. (99193) responded that they would be unable to sell or distribute part on behalf of BOEING DISTRIBUTION SERVICES X, INC. (2N935).
CUI
On 03/16/2023, BOEING DISTRIBUTION SERVICES X, INC. (2N935) responded that they would not fill out a market survey.
On 03/22/2023, PIONEER INDUSTRIES, LLC (66200) responded that they would not be quoting on this item.
The Contract Specialist did not reach out to BE AEROSPACE CONSUMABLES (0PLS1) as they no longer were listed in SAM.gov with an expiration date of August 18, 2010.
Commerciality Determination:
Commerciality was investigated using several different techniques. SAP and the Product Master for this item indicate that this is commercial (attachment 2). Per DLA Land and Maritime Acquisition Guide (DAG) 12.102(d), when the COTS field indicated that an item is commercial, a review of the item has been conducted by the DLA L&M technical community with a determination that this item is commercial. A technical review of this item was performed by , Product Specialist, on 02/03/2023, who indicated that the technical information was up to date and suitable for procurement (attachment 1).
Market research was conducted to gain further insight of the commerciality to this item. Approved source, CHAMPION AEROSPACE LLC (0AFL4), provided their 2023 price list showing the item and its price respective of buyer (attachment 3). The Buyer visited Champion’s website (https://www.championaerospace.com/) and found approved part number CH31723 listed in product catalog, however without pricing (attachment 4).
The General Services Administration’s Advantage website was consulted but did not locate the item.
However, a Google search for NSN 2920007764482, Part Number CH31723 was conducted on 03/29/2023 and found the part available (attachment 5):
1) On www.ebay.com at a unit price of $60,
2) At www.skygeek.com at a unit price of $2,809.38,
3) With www.pilotshq.com at a unit price of $915.95,
4) And www.aeroval.com for a unit price of $184.00.
In accordance with DFARS 212.102(a)(ii)(A) the KO may presume that a prior commercial item determination made by a military department, a defense agency, or another component of DoD shall service as a determination for subsequent procurements of such items. Procurement history indicates that this item has been procured on LTCs and purchases large and small. The most recent LTC (IQC, SPE7MX21D5004) was awarded using FAR subpart 13.5 to CHAMPION AEROSPACE LLC (0AFL4) with an expiration date of 04/17/2021.
The unit price for CLIN0001 was $465.
Based on the information presented above, this item is considered commercial and will be procured in accordance with the procedures of FAR Subpart 13.5 – Simplified Procedures for Certain Commercial Items.
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.
10. A listing of sources, if any, indicating an interest in the acquisition is:
Champion Aerospace LLC (0AFL4)
11. In addition to the specific actions being taken by Technical Support personnel to overcome barriers to competition before any subsequent acquisitions or recertifications of class determination are made, theses items are subject to the following methods of locating additional sources: The solicitation contains L04-Offers for Part Numbered Items and M06 -Evaluation of Offers for Part Numbered Items.
12. Previous Justification for Other than Full and Open Competition IS NOT attached:
Recent procurement history reflects award SPE7MX21D5004, used FAR 13.5 Simplified Procedures for Certain
Commercial Items, in accordance with 41 U.S.C. 1901, and no previous J&A is available.
APPROVAL/CERTIFICATION
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 $750,000, this signature serves as the approval.
CONTRACTING OFFICER
I have reviewed and approved this justification:
COMPETITION ADVOCATE
APPROVAL REQUIREMENTS
$750,000 to $15,000,000 Competition Advocate
Attachments:
1. Memorandum for Record Technical Data Supporting Certification
2. Product Master
3. CHAMPION AEROSPACE LLC (0AFL4) Price List
4. CHAMPION AEROSPACE LLC (0AFL4) Product Catalog
5. Commerciality Information
6. CHAMPION AEROSPACE LLC (0AFL4) Market Survey Responses
MIELKE.CHARLES.E
VANS.II.1253169750
Digitally signed by
MIELKE.CHARLES.EVANS.II.1253169
Date: 2023 04.12 14:16:07 -04'00'
SHEARER.MARY.E.
1250702449
Digitally signed by
SHEARER.MARY.E.1250702449
Date: 2023.04.14 14:49:52 -04'00'
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