J-A SPE7LX21RX023 - Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX21RX023

DLA Land and Maritime J&A Other Than Full and Open Competition 2

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authorities cited in paragraph 4:

Approved CAGE and Part Numbers:

NSN CAGE NAME Part No.

5340002251384 83445 AEROL CO., INC. 12528-1L

5340002251385 83445 AEROL CO., INC. 12528-1R

5340008257592 83445 AEROL CO., INC. 11974

5340008696189 83445 AEROL CO., INC. S6-1-7EL6

5340009958391 83445 AEROL CO., INC. S12-1-0ER12

5340010697909 83445 AEROL CO., INC. 13528413

5340011999606 83445 AEROL CO., INC. S8-1-4-SL8

5340012470394 83445 AEROL CO., INC. S8-1-4-EL8

5340014421066 83445 AEROL CO., INC. S8-1-3-SL8

5340015102937 83445 AEROL CO., INC. SSA6-1-7EL6-500

5340015261445 83445 AEROL CO., INC. 78069

5340015856613 83445 AEROL CO., INC. SSA6-1-7-EL6-960

5360006737413 83445 AEROL CO., INC. 55007

The items being acquired are similar to items in the commercial marketplace; however, these items are procured by an approved CAGE code and part numbers. The casters and wheels are very high-end and engineered for the military. The NSNs are handmade, and have “5 to 1” safety factors, meaning their products can stand up to 5 times the required performance (maximum weight limits range from 250 pounds to 6400 pounds). The casters go on “transport/moving equipment” (like highly specialized dollies) on and around different aircraft and on aircraft carriers. The equipment is used to move engines, propellers, delicate engine parts, bombs, missiles, high-end electronic equipment, classified equipment for the Stealth aircraft, etc. The casters/wheels are all highly specialized for different uses, such as having special brakes for inclined surfaces on aircraft carriers.

Aerol engineered the parts for the specific military applications and aircraft, and all of the engineering data is proprietary to Aerol.

The Product Specialist certified that the technical information, including the approved source and AMC/AMSC codes, is complete and accurate on 7/8/2020. The PS also certified that the Government does not physically have in its possession accurate or legible data to purchase these parts from other than the approved source and that all means to obtain a technical data package adequate for manufacture of the item have been exhausted.

The procurement item descriptions (PIDs) are included as Attachment 1.

The use of the authority cited is based on:

AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the

DLA Land and Maritime J&A Other Than Full and Open Competition 3 approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining 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. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application. If one source is approved, AMCs 3, 4, or 5 are valid. If at least two sources are approved or if data is adequate for an alternate source to qualify in accordance with the design control activity's procedures, AMCs 1 or 2 are valid. Aerol Co. Inc. (83445) is the only source approved by the design control activity because Aerol Co. Inc. retains the data rights, manufacturing knowledge, or technical data that is not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part.

AMSC D. The data needed to acquire this part competitively is not physically available, it cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation. AMCS 3, 4, or 5 are valid. Aerol Co. Inc. (83445) is uniquely qualified because it is the only known source with the data or rights to the data necessary to manufacture the item.

AMSC L*. The annual buy value of this part falls below the screening threshold established by DoD components and field activities. However, this part has been screened for additional known sources, resulting in either confirmation that the initial source exists or that other sources may supply the part. No additional screening was performed to identify the competitive or noncompetitive conditions that would result in assignment of a different AMSC. This code shall not be used when screening parts entering the inventory. This code shall be used only to replace AMSC O for parts under the established screening threshold. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid. Aerol Co. Inc. (83445) is the only known source; the items have been screened for additional sources, but none have been identified.

AMSC P. The rights to use the data needed to purchase this part from additional source(s) are not owned by the Government and cannot be purchased, developed, or otherwise obtained. It is uneconomical to reverse engineer this part. This code is used in situations where the Government has the data but does not own the rights to the data. If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid. Aerol Co. Inc. (83445) is uniquely qualified because it is the only known source with the data or rights to the data necessary to manufacture the item.

AMSC R. The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights. If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid. Aerol Co. Inc. (83445) is uniquely qualified because it is the only known source with the data or rights to the data necessary to manufacture the item.

DLA Land and Maritime J&A Other Than Full and Open Competition 4

*APPLIES TO LTCs - An Item identified by AMSC A, H, or L has been subjected to limited screening. The Government does not physically have in its possession sufficient, accurate, or legible data to purchase this item from other than the identified source. Items identified by AMSC A, H, or L on Long Term Contracts, are subject to annual review for possible assignment of a different or permanent AMSC. DLA Land and Maritime agrees to maintain a continual review of these items to ensure that an annual review at a minimum, in part to determine if new technical data is available to allow for assignment of a more permanent AMSC. Any item determined to be competitively available during the solicitation evaluation phase will be removed from the acquisition requirement. Any item determined after contract award to be competitively available may be deleted from the contract and resolicited.

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

The acquisition will be synopsized on or about 1/21/2021. On its Issue Date, on or about 1/22/2021, the solicitation will be posted to DIBBS for 30 days for other interested businesses to access.

A sources sought notice was posted on 12/15/2020, looking for other sources who may want to submit alternate offers. The notice closed on 12/21/2020 with no responses.

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

Cost or pricing data will not be required. These items will be solicited using commercial procedures, which satisfies the exception listed at FAR 15.403-1 (b) (3). However, other-than cost data will be requested if needed. Per FAR 15.404-1(a)(2), a price analysis will be conducted. The price analysis will be performed using pricing on the past procurements, which were determined fair and reasonable. That past pricing will be adjusted by Producer Price indexes (PPIs) and learning curve analysis, as necessary, for comparison with proposed prices for this procurement. Negotiations will be held if needed. Other techniques or documentation may be utilized.

By using the above techniques, the Contracting Officer anticipates that the cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

A sources sought notice was posted on 12/15/2020, looking for other sources who may want to submit alternate offers. The notice closed on 12/21/2020. No responses were received.

The Market Survey was sent by email to the following sources listed on the past buy history: Aerol (83445) and Atlantic Diving Supply (1CAY9). Only one reply was received from Aerol (83445), the approved source and awardee of the current LTC, SPE5EY16D0530. Aerol confirmed interest in a follow-on LTC, noting that the items are commercial, there are no minimum delivery order quantities, there are no quantity price breaks, and they provided estimated delivery days.

The Contracting Officer performed follow-up market research with Aerol to better understand what the items are and what they are used on. Following is a summary of the

DLA Land and Maritime J&A Other Than Full and Open Competition 5 information obtained. Aerol Company, Inc. was purchased by another company (Caster Concepts in MI); Aerol is changing its name to Aero, LLC but keeping the same CAGE.

Aerol moved its operations to Albion, MI, retaining its equipment, design and engineering work, and several members of its sales team. The Aerol representative provided information about the items being procured (included in Section 5 above).

The Contracting Officer reviewed the website of Caster Concepts, the company that purchased Aerol, to review information about their commercial items (refer to Attachment 2). The website includes information on commercial aviation and aerospace industry casters, including a pictorial diagram of the equipment that uses the casters/wheels.

Attachment 3 shows websites of other businesses that provide heavy duty casters for the aviation industry.

Commercial Determination:

Based on the current LTC for these items being commercial and the results of the market survey, the Contracting Officer determines the items being procured to be commercial “of a type” customarily used by the general public, as defined in the

FAR:

FAR 2.101

“Commercial item” means

(1) Any item, other than real property, that is of a type customarily used by the general public or by non-governmental entities for purposes other than governmental purposes, and-

(i) Has been sold, leased, or licensed to the general public; or

(ii) Has been offered for sale, lease, or license to the general public;

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

The Product Specialist certified (Attachment 4) that the Government does not physically have in its possession accurate or legible data to purchase these parts from other than the approved source and that all means to obtain a technical data package adequate for manufacture of the item have been exhausted.

10. A listing of business sources, indicating an interest in the acquisition is:

Aerol (83445), small business approved source

11. Actions being taken to overcome barriers to competition:

DLAD Procurement Notes L04, Offers for Part Numbered Items, will be included in the solicitation. Provision M06, Evaluation of Offers for Part Numbered Items, will also be included.

DLA Land and Maritime J&A Other Than Full and Open Competition 6

12. Attachment 5 is the reviewed copy of the J&A (ready for formal staffing) from the prior/current LTC. The actual signed copy of the J&A could not be located in the electronic contract file. (The signed PDF document in the contract file that was labeled “J&A” was the technical certification.) An attempt was made to contact the DLA Troop Support buyer and the Contracting Officer of the current LTC. They are not listed in the Global email listing, so they are no longer with DLA. Note: Some of the NSNs in this project were added at later dates by modification to this LTC, so they are not included on the original J&A.

Attachments:

1 PIDs-PKG SPE7LX21RX023 2 Caster Concepts Commercial Information 3 Sources of Similar Items 4 Technical Certification CL20169001 5 Prior JA ready for formal staffing

DLA Land and Maritime J&A Other Than Full and Open Competition 7

CONTRACTING OFFICER CERTIFICATION

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

614-692-9252

REBECCA S. HALTEMAN Date Phone Contracting Officer

Approval/Certification

I have reviewed and approve this justification. The estimated total value of the J&A is

614-692-3760 MARY E. SHEARER Date Phone Competition Advocate

APPROVAL REQUIREMENTS

( ) Up to $750,000 Contracting Officer

(X) $750,000 to $15,000,000 Competition Advocate

( ) $15,000,00 –$100,000,000 Head of the Contracting Activity (HCA)

( ) over $100,000,000 Senior Procurement Executive (AQ)

HALTEMAN.REB

ECCA.S.1273657

Digitally signed by

HALTEMAN.REBECCA.S.1273

657475 Date: 2021.01.14 17 02 33 -05'00'

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER MARY.E.125070244

Date: 2021.01.26 13 53:19 -05'00'