II.D.iii. Attachment J&A 70-0098_Redacted.pdf

components, is essential to production of quality products to meet customer requirements and schedules.

Market research did not reveal any available aftermarket or compatible parts.

Phillips Corporation Inc., Federal Division is the sole authorized distributor of Haas CNC Machine

Tools and associated factory-certified service and training, for United States Government facilities.

OMAX authorizes Phillips Federal as the exclusive distributor for federal government accounts. No other distributor or agent is authorized to represent OMAX in the federal government space. All parts supplied by Phillips Federal are OEM and are shipped directly from the factory with no aftermarket substitutions allowed to comply with strict design requirements.

The Government estimates that moving to another model and manufacturer would result in the following costs, as well as a failure of mission critical support to multiple NUWCDIVNPT programs.

Estimates below are based on current models or their equivalent replacements.

Element Schedule Impact Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Haas 6-8 weeks Okuma 6-8 weeks OMAX 6-8 weeks Total Schedule and Monetary Cost

Total schedule impact: 112 weeks. If deliveries of machines could happen concurrently it would reduce schedule impact

These services would satisfy the known requirement for at least the next ten (10) years.

Based on the above, Phillips Federal is the only source that is authorized to provide new parts and perform the necessary repairs. Potential alternate vendors must be an authorized reseller/distributor for HAAS. Phillips Federal is the only source provided by HAAS that is authorized to handle Federal Government requirements. The additional cost of purchasing new HAAS, Okuma, and OMAX machines is not in the Government’s best interest at this time when compared to the cost of preventative and regular maintenance and repairing the existing machines. Therefore, this requirement should be solicited on a sole source basis.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

The Naval Undersea Warfare Center Division Newport (NUWCDIVNPT) has historically posted the intent to award a Firm Fixed Price purchase order on a sole source basis to Phillips Corporation on SAM.GOV. NUWCDIVNPT will do so again, and invite all responsible sources to submit a capability statement for the consideration of the Government to determine whether to conduct a competitive procurement. To the knowledge of the technical code and Contracting Office, no other sources have expressed interest previously.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable. Once this determination is made, paragraph 7 needs only contain the above statement. No additional information is required.

Significant quantities of this requirement have been purchased from this offeror in the past and cost/pricing information was received on those past procurements and will be sought again. This information should be sufficient to support the fair and reasonable cost determination of this

8. Actions to Remove Barriers to Future Competition.

For the reasons set forth in Paragraph 5, Code 70 has no plans at this time to complete future contracts for the type of services covered by this document. This procurement is preventive maintenance, routine maintenance and repairs and we predict that the next purchase to continue service will be in the next

5-6 years. If another potential source emerges, Code 70 will assess whether competition for future requirements is feasible.

J&A Number: 25072.0

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein are complete and accurate to the best of my knowledge and belief.

Technical Cognizance:

CONTRACTING OFFICER CERTIFICATION

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

Upon the basis of the above justification, I hereby approve, as Level Above Contracting Officer, the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 41 U.S.C. 1901.