JA - DR GOES_Redacted.pdf

This document is a Justification for Other Than Full and Open Competition for the Defense Logistics Agency (DLA) Strategic Materials. The DLA intends to issue a sole-source, fixed-price Indefinite Delivery/Indefinite Quantity (IDIQ) contract to Cleveland-Cliffs Inc. for Domain Refined Grain Oriented Electrical Steel (DR-GOES) over a five-year period. The material will be used for storage in the National Defense Stockpile, and Cleveland-Cliffs is currently the only domestic producer of this specialized electrical steel used in electrical transformers.

The contract will be awarded using a Request for Proposals (RFP) under FAR Part 12 and Part 15 procedures, with a solicitation period of approximately two weeks. The procurement is justified under various statutory authorities, including provisions for national emergency and industrial mobilization. Extensive market research conducted from October 2020 to February 2025 confirmed that Cleveland-Cliffs is the sole domestic source capable of producing this material that meets Department of Defense and Department of Energy specifications. The first delivery order is expected within two years of the contract award, with all material to be stored at the DLA-SM Hammond Depot.