Final JA FITZ_SLAD 583-11-001 - Redacted.pdf

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING ACTIVITY

Southwest Regional Maintenance Center (N55236), Contracting Department Code 410B, 3755 Brinser Street, Suite #1, San Diego, CA 92136-5299.

2. DESCRIPTION OF THE ACTION BEING APPROVED:

This justification seeks approval to solicit a sole source requirement for the USS FITZGERALD (DDG-62) existing Boat Handling/Slewing Arm Davit (SLAD) System. The parts are manufactured by Lake Shore Systems, Inc., 2141 Woodward Avenue, Kingsford, MI 49802 U.S.A.

3. DESCRIPTION OF SUPPLIES/SERVICES:

The Southwest Regional Maintenance Center (SWRMC) requires direct replacement parts and components for the USS FITZGERALD Boat Handling/SLAD System. The USS FITZGERALD will be undergoing a repair and maintenance selected restricted availability (SRA) scheduled for and requires these parts to overhaul the Boat Handling/SLAD System. The required delivery date for the direct replacement parts and components of the Boat Handling/SLAD System is 18 October 2022. The total estimated value of this acquisition is . Funding for this work will be

OPN (FY-22).

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN COMPETION

Recommend procuring as a sole source requirement, in accordance with (IAW) FAR 6.302-1(c)(1)- Only one responsible source and no other supplies or services will satisfy agency requirements.

5. RATIONALE JUSTIFYING USE OF CITED STATUTORY AUTHORITY

The original equipment manufacturer (OEM) is Lake Shore Systems, Inc. Lake Shore Systems, Inc.

supplied the parts and components to the original shipbuilder – Bath Iron Works (BIW). Lake Shore holds the proprietary rights, patents, and copyrights to all materials, drawings, and equipment associated with these materials and is the only source for these parts and components. The specific replacement parts must be compatible in all aspects (form, fit, and function) with the existing equipment presently installed;

therefore, the parts must be procured directly from Lake Shore Systems, Inc. Lake Shore Systems, Inc. is the OEM for the specific Boat Handling related parts. As the sole provider to the building yard (BIW), they have the engineering in place to manufacture Boat Handling equipment. To attempt to procure these products from any other source would result in substantial duplication of costs to the Government that could not be recovered through competition because the Government would be required to purchase an entirely new Boat Handling System. The next higher assembly is the entire Boat Handling System. The replacement or conversion of the entire system would be cost prohibitive and exceed the cost to conduct repairs through the use of this authority. Cost savings would not result from full and open competition to avoid the proprietary nature of the current configuration.

DEPARTMENT OF THE NAVY

SOUTHWEST REGIONAL MAINTENANCE CENTER

3755 BRINSER ST STE 1

SAN DIEGO, CA 92136-5299

J&A Number: N55236210067 Code:410B Sol Number: N5523621R0016 Date: 12 May 2021

J & A Number: N55236210067

The class DDG parts are strictly designed, manufactured and installed per NAVSEA DWG and NAVSEA Tech Manuals (TM) for the package of work items and specifications for the repair of the USS FITZGERALD. The following NAVSEA Tech Manual require the use of Lake Shore parts for the repair and maintenance of the Boat Handling System for the USS FITZGERALD:

-S9583-B5-MMA-010 Rev 10, Boat Davit System with Constant Tension Winch

The Navy conducted a market survey for this requirement to identify and locate additional possible sources that can provide the required material. The market survey found that Lake Shore Systems, Inc. is the only firm that can produce and supply the Boat Handling/SLAD System direct replacement parts and components.

6. DESCRIPTION OF EFFORTS MADE TO SOLICIT OFFERS FROM AS MANY OFFERORS AS

PRACTICAL:

A Sources Sought notification was posted to beta.sam.gov website on 27 April 2021 with a closing date of 11 May 2021 required by FAR 6.303. No responses were received before the notification closed.

Lake Shore Systems, Inc. has verified that they do not have any authorized distributors. Due to the proprietary nature of these materials there is no reasonable expectation of obtaining proposals from vendors other than the OEM, Lake Shore Systems, Inc.

7. DETERMINATION OF FAIR AND REASONABLE COST:

The contracting officer will determine that the anticipated cost of this acquisition will be fair and reasonable based on price analysis to be conducted pursuant to FAR, Part 15. Contractor will provide commercial price list for the supplies required and prior sales history for the same items so that a more detailed review of pricing can be performed to ascertain the reasonableness of the current offered pricing.

8. ACTION TAKEN TO REMOVE BARRIERS TO COMPETITION:

This requirement is a sole source request due to the proprietary nature of the direct replacement parts.

There are currently no known additional sources to foster competition for parts.