JA CM23298002 SPE7MX24D5020.pdf

CUI

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX24RX009

DLA Land & Maritime Justification for Other Than Full & Open Competition (December 2023)

4. The statutory authority permitting other than full and open competition is:

[ X ] 10 U.S.C. 3204(a)(1) - Available from only one or a limited number of sources.

Brief narrative supporting the situation and weapon system:

The product specialist reviewed the products prior to acquisition and determined that there is only one source approved to manufacture both requested NSNs: NSN 6625-01-131-8586 and NSN 6625-01-363-5825 shall be manufactured by FLUKE CORPORATION [89536]. Only the approved source, FLUKE CORPORATION [89536] possess the complete technical data and specifications for the items listed. They are the only approved source uniquely qualified to manufacture these products; therefore, this acquisition will be solicited with other than full and open competition under the authority of 10 U.S.C 3204(a)(1), as implemented by FAR 6.302.

On November 3, 2023, , Product Specialist, certified that the products have been reviewed, that the AMC/AMSC codes are correct, and that the products are good for LTC inclusion. See Attachment #1 Tech Cert CM23298002.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

NSN MANUFACTUROR PART NUMBER

6625-01-131-8586 FLUKE CORPORATION [89536] FLUKE 87-5 OR FLUKE 87-V

6625-01-363-5825 FLUKE CORPORATION [89536] FLUKE-117 OR FLUKE 117

The use of the authority cited below:

[ X ] AMC 3. Acquire, for the second or subsequent time, directly from the actual manufacturer.

The use of the authority cited is based on:

[ X ] AMSC Z. This is a commercial/nondevelopmental/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.

SOLICITATION SPE7MX24RX009

DLA Land & Maritime Justification for Other Than Full & Open Competition

According to the Tech Cert (attached), the Government does not possess adequate data, lacks rights to data, and/or has no record of an alternate Design Control Activity approved source. The data presently available reflects the minimum needs of the Government. Only the approved source of both NSNs will be able to meet the Government’s needs in providing the exact items to the approved specifications, to which the approved source retains the rights to, not the Government, as indicated by their respective AMSC codes. There is no outstanding DLA Form 339 for additional sources.

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

[ X ] The acquisition was synopsized on January 12th, 2024.

[ X ] Dealers of the manufacturer will be solicited, however; the approved source, FLUKE CORPORATION [89536] is expected to quote directly for both requested NSNs on this project.

[ X ] Other. Solicitation will be posted on the DLA Internet Bid Board System for a minimum of 30 days.

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

Market research has revealed that the approved source, FLUKE CORPORATION [89536] – a large business, and two small business authorized distributors, ITC ELECTRONICS CORP. [0EFK4] and FOTRONIC CORP.

[1EZE9], are expected to submit proposals for these items. The procurement is being conducted under FAR 13.5 Simplified Procedures for Certain Commercial Products and Commercial Services. Since the estimated total contract value is less than $2 million US dollars and the requested NSNs are the commercial off-the-shelf products, in accordance with FAR 15.403-1(b)(3) exception and FAR 15.403-4(a)(1), Certified Cost or Pricing Data (CCPD) will not be required. Other than Cost or Price Data may be requested. A price analysis will be conducted, utilizing the Producer Price Index (PPI), and learning curves. A comparison to past award prices will also be performed in the determination of a fair and reasonable price.

The NSNs will be solicited with four quantity ranges, firm-fixed pricing, and allow for escalation in prices for years 2 through 5 of the LTC.

8. Market Research/Efforts to Obtain Competition:

Describe the market research conducted and the results.

The Contract Specialist reviewed the procurement history for contractors that offered and contracted the subject products in the past. Internet & GSA searches were also conducted for the requested NSN products, and the exact products were available for immediate purchase on the approved sources website, GSA advantage website, and 3rd party online distributor websites such as Grainger, Amazon, and McMaster-Carr to satisfy the Commercial Off The

SOLICITATION SPE7MX24RX009

DLA Land & Maritime Justification for Other Than Full & Open Competition

Shelf (COTS) product requirements. Additionally, market surveys have been conducted at the end of November 2023. As stated previously, the approved source, FLUKE CORPORATION [89536] – a large business, and two small business authorized distributors, ITC ELECTRONICS CORP. [0EFK4] and FOTRONIC CORP. [1EZE9], are expected to submit proposals for these items.

Market Survey [10 U.S.C. 3204(e)(2)(D)]:

[ X ] A market survey was conducted from November 30, 2023, to December 07, 2023.

Total number and the name of vendors contacted: 3

- FLUKE CORPORATION [89536]

- ITC ELECTRONICS CORPORATION [0EFK4]

- FOTRONIC CORPORATION [1EZE9]

Total number and the name of vendors responded: 3

- FLUKE CORPORATION [89536] – RECEIVED – Responded that they are interested in supporting all two products on a long-term contract.

- ITC ELECTRONICS CORPORATION [0EFK4] – RECEIVED – Responded that they are interested in supporting all two products on a long-term contract.

- FOTRONIC CORPORATION [1EZE9] – RECEIVED – Responded that they are interested in supporting all two products on a long-term contract.

Techniques used to conduct survey: Contractors were identified using procurement history and the market survey was sent by email, with follow-up emails as needed to obtain information.

Types of information requested: Interest in supporting an LTC, ideal number of base and option years, quantity price breaks, commerciality, estimated delivery, and any known challenges with ability to provide items for potential long-term contract.

Information received regarding the commerciality of the item(s):

All 3 responders stated that the requested NSNs are the Commercial Off-The-Shelf (COTS) products per FAR 2.101(b). See Attachment 2 MRCDM – CM23298002 for full commercial determination and supporting documentation.

Summary of information received:

Please see the Attachment 3 – Market Survey Response Summary for details.

SOLICITATION SPE7MX24RX009

DLA Land & Maritime Justification for Other Than Full & Open Competition

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

[ X ] Based upon the attached technical certification, 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 are:

- FLUKE CORPORATION [89536] – Approved Source

- ITC ELECTRONICS CORPORATION [0EFK4] – Dealer and previous awardee

- FOTRONIC CORPORATION [1EZE9] – Dealer and previous awardee

Procurement history:

Please see the Attachment 4 - Procurement History for more details.

11. The following actions are being taken to identify additional sources:

[ X ] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items [ X ] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items

12. The subject NSNs were purchased on both LTC SPE7MX-20-D-5001 for NSN 6625-01-131-8586 and LTC SPE7LX-19-D-5080 for NSN 6625-01-363-5825.

For CLIN 0001 or NSN 6625-01-131-8586, a J&A was found in the previous LTC contract, SPE7MX16D0027.

This document is titled as “JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION - SOLICITATION SPE7MX14R0177” for RFP SPE7MX-15-R-0076. See Attachment 5 – Previous J&A for CLIN 0001 – CM23298002 for more details.

For CLIN 0002 or NSN 6625-01-363-5825, no J&A was found within the past 3 years. The most recent J&A was completed in 2018. The base contract that includes 2018 J&A was used to place a delivery order in November 2023. See Attachment 6 – Previous J&A for CLIN 0002 – CM23298002 for more details.

SOLICITATION SPE7MX24RX009

DLA Land & Maritime Justification for Other Than Full & Open Competition

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

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature

APPROVAL REQUIREMENTS

[ X ] Over $750,000 to $15,000,000 Competition Advocate

Attachments:

1) Tech Cert - CM23298002

2) MRCDM - CM23298002

3) Market Survey Response Summary - CM23298002

4) Procurement History - CM 23298002

5) Previous J&A for CLIN 0001 - CM23298002

6) Previous J&A for CLIN 0002 - CM23298002

KRAUSS.KRISTA.L.1

394506695

Digitally signed by

KRAUSS.KRISTA.L.1394506695

Date: 2024.01.26 12:04:46 -05'00'

WIEBUSCH.JAMIE.1

251897324

Digitally signed by

WIEBUSCH.JAMIE.1251897324

Date: 2024.01.29 14:35:59 -05'00'