EFOM LOA PMAV_Redacted.pdf

Exception to Fair Opportunity Template Update MAY 2024

JUSTIFICATION for an EXCEPTION to FAIR OPPORTUNITY for the placement of an order >$3,500 under a Multiple Award Contract (MAC)

Upon the basis of the following justification, I, Preston Carlson, as Contracting Officer of Southwest Regional Maintenance Center, hereby approve the Justification for an Exception to Fair Opportunity Pursuant to FAR 16.505(b)(2).

JUSTIFICATION

l. Agency and Contracting Activity Department of the Navy, Southwest Regional Maintenance Center (SWRMC).

2. Nature/Description of Action This is a fair opportunity exception to add new work for the USS CHARLESTON (LCS-18) FY 2023 Docked Selected Restricted Availability (DSRA) awarded to BAE under Contract N00024- 18-D-4325.

3. Description of Supplies/Services The procurement is to accomplish Pre-Light Off Assessment (LOA) Preventative Maintenance Availability (PMAV) package on the USS CHARLESTON (LCS-18) as detailed in LOA PMAV package. Key dates are detailed in Section J Attachment J-5, Availability Milestones and Key Events, with an Availability start date of and an Availability completion date of

. Funding will be FY24 OPN. BAE provided a Change Order Price Analysis (COPA) for the value of for LOA PMAV package. Project Manager (PM) has technically concurred with the COPA on 31 July 2024. The Government's minimum needs have been verified by the certifying technical and requirements personnel.

4. Identification of the Exception to Fair Opportunity [FAR 16.505 (b)(2)(i)]

Identification/Justification for Exception:

a. The agency need for services is of such urgency that providing fair opportunity would result in unacceptable delays.

b. Only one such awardee is capable of providing such services required at the level of quality required because the services ordered are unique or highly specialized.

c. The order must be issued on a sole-source basis in the interest of economy and efficiency as a logical follow-on to an order already issued under the MAC, provided that all the awardees were given fair opportunity to be considered for the original order.

The LOA PMAV package scope of work consists of 53 work orders for a Planned Maintenance System (PMS). This work is required because without PMS checks accomplished the ship will not be authorized to run equipment. Littoral Combat Ships (LCS) are designed due to manning requirement that contractors will conduct PMAV work. A plus check is a designated symbol on the PMS card indicating not for ship’s force. LCS does not own the proprietary rights to sever systems, so the Original Equipment Manufacturer (OEM) is required to conduct several PMS checks. If the scope of work is not complete, the ship will not be able to certify key events due to lack of available equipment and the ship’s Drydocking Scheduled Restricted Availability (DSRA) will have to be extended at the Governments cost. This work would take approximately one month to price if competed, an additional month to secure materials, and has the potential to run into further delays due to the eight (8) required OEM subcontractors who needed to complete the PMS checks. These OEMs historically have limited availability that would impact the ships schedule if the availability is not reserved. If competition is not limited, it would take approximately two months for the work to be accomplished which will prevent us from meeting milestones. This schedule delay will affect future milestones, specifically the Light off Assessment (LOA) will not be able to be achieved. Because LCS did not complete these PMAV’s due to avail extensions during our DSRA, these additional packages are required to be added. SRMC attempted to use Code 800 to complete these PMAV’s, but they are not fully capable to complete these checks. Adding this work item to the existing Delivery Order under BAE is in the best interest of the Government to complete the scheduled availability with BAE support services already in place. Introducing another contractor at this stage will create inefficiencies during execution. The ship is already in their DSRA, at BAE shipyard. Opening this requirement for solicitation will result in further delays to the schedule and interfere with current contractor accomplishing the DSRA. Having another contractor or soliciting this work would delay the schedule and affect milestones putting Availability completion due date at risk which in-turn, affects multiple other Naval ship schedules in the fleet. The Contracting Officer reviewed the justification and has determined it to be accurate and complete to the best of his knowledge and has determined that the anticipated cost to the Government is fair and reasonable.

d. It is necessary to place an order to satisfy a minimum guarantee.

e. For orders exceeding the simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source.

5. Determination of Fair and Reasonable Cost.

A thorough review and analysis, with regards to price and scope, of the BAE COPA for LOA PMAV package has been conducted by the Project Manager (PM) and the Maintenance Team (MT) then verified by the Contracting Officer. Determination of fair and reasonable of BAE’s COPA has been accomplished by price analysis and technical analysis was for reasonableness of labor hours, materials and schedule in accordance with FAR 15.404-1(b)(2)(vii) and FAR

COMPETITION ADVOCATE or HEAD OF PROCURING ACTIVITY

FAR 16.505(b)(2)(ii)(c)(2) - Approval if action is between $750K through $15M

FAR 16.505(b)(2)(ii)(c)(3) - Review if action exceeds $15M

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature:

HEAD OF THE CONTRACTING ACTIVITY

FAR 16.505(b)(2)(ii)(c)(3) - Approval if action is between $15M through $100M

FAR 16.505(b)(2)(ii)(c)(3) - Review if action exceeds $100M

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature: