JA_Redacted 2 of 2.pdf

EXHIBIT 1

DEFENSE LOGISTICS AGENCY

AVIATION

8000 JEFFERSON DAVIS HIGHWAY

RICHMOND, VIRGINIA 23297-5002

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLE SOURCE HISTORICALLY UNDERUTILIZED BUSINESS ZONE (HUBZone)

(1) Identification of the agency and the contracting activity

This justification and approval (J&A) is submitted to request authority for the use of other than full and open competition to support requirements generated by the Defense Logistics Agency (DLA). The contracting authority for this requirement is DLA Aviation, FAVC, Richmond, VA.

(2) Nature and/or description of the action being approved.

This J&A seeks approval to issue Solicitation SPE4A6-22-R-XD75 as a sole source HUBZone set-aside directed to United Dynamics, Shawnee, OK, CAGE 0XWR4.

(3) A description of the supplies or services required to meet the agency’s needs (including the estimated value)

The solicitation proposes to award a contract for 6685-01-154-8600. The item is limited source and United Dynamics, CAGE 0XWR4 is the only source identified through market research that is capable of manufacturing the NSN. The contract will cover five years. The total estimated value is .

(4) An identification of the statutory authority permitting other than full and open competition.

A sole source HUBZone set-aside is justified under 10 USC 2304(c)(5), FAR 6.302-5, authorized or required by statute.

(5) A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

FAR 19.1306(a)(1)-(6) specify when a sole source HUBZone set-aside is appropriate. This acquisition meets those circumstances, as follows:

(1) The contracting officer does not have a reasonable expectation that offers will be received from two or more HUBZone small business concerns.

Market research identified United Dynamics, Cage 0XWR4 as the only HUBZone manufacturer capable of manufacturing this NSN.

(2) The anticipated award price of the contract, including options, will not exceed—

(i) $6.5 million for a requirement within the NAICS codes for manufacturing; or

(ii) $4 million for a requirement within any other NAICS code.

The applicable NAICS code is 334513, Aircraft Engine and Engine Parts Manufacturing, so the $6.5 million limitation applies. As stated above, the estimated value is will be the contract maximum to ensure the limitation is not exceeded.

(3) The requirement is not currently being performed by an 8(a) participant under the provisions of Subpart 19.8 or has been accepted as a requirement by SBA under Subpart 19.8;

No performance by an 8(a) participant were identified during market research.

(4) The acquisition is greater than the simplified acquisition threshold

(5) The HUBZone concern has been determined to be a responsible contractor with respect to performance.

United Dynamics, CAGE 0XWR4 has a history of successful performance on previous contracts for these items.

(6) Award can be made at a fair and reasonable price.

Review of DLA Aviation’s procurement history indicates that United Dynamics, CAGE 0XWR4 has received awards for NSNs, all at prices determined fair and reasonable. Based on this, the Contracting Officer has a reasonable expectation that United Dynamics, CAGE 0XWR4 can supply all the items at fair and reasonable prices.

(6) A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by Subpart 5.2 and, if not, which exception under 5.202 applies.

Potential sources were identified through market research; the market research report is an attachment to this J&A. In addition, the solicitation will be synopsized on Contracting Opportunities, which meets the requirement at FAR 5.201. Any potential source requesting a copy of the solicitation will be provided one and any offers, which qualify under the terms of the HUBZone set-aside, will be considered.

(7) A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer has determined that the cost to the Government will be fair and reasonable. As stated above, United Dynamics, CAGE 0XWR4 has previously supplied numerous items within the grouping at prices determined fair and reasonable.

(8) A description of the market research conducted and the results or a statement of the reason market research was not conducted.

Market research was conducted to identify potential suppliers that have supplied or are capable of supplying the items for the acquisition. Using both historical data and information gathered from the vendors, there is no reasonable expectation that competition exists between two or more HUBZones.

Four vendors responded to the RFI, three of which were not approved sources for subject NSNs. The market research report is attached.

(9) Any other facts supporting the use of other than full and open competition.

No long-term adverse impact to competition is anticipated and set-aside will be dissolved if award is not made at a fair market price.

(10) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

Potential Supplier Business Type United Dynamics, Cage 0XWR4 HUBZone manufacturer

(11) A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

As this acquisition is authorized by the HUBZone Act of 1997 and supports the DoD's goals to leverage HUBZones for prime contract business opportunities, no action will be taken to overcome this barrier.

No long-term adverse impact to competition is anticipated and the set-aside will be dissolved if award cannot be made at a fair market price.

(12) Contracting officer certification that the justification is accurate and complete to the best of the contracting officer’s knowledge and belief.

The Contracting Officer’s signature on the coordination and approval documents provides evidence that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief.

Attachments 1 Market Research report 2 Population data spreadsheet

Coordination and Approval, J&A for other than full and open competition, Solicitation

SPE4A6-22-R-XD75

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

__9/28/22___________ __ ________ Date NAME

Contracting Officer

DLA-G Counsel

This justification has been reviewed and is approved.

MOLBREAK.JAIM

E.A

Digitally signed by

MOLBREAK.JAIME.A

te: 2022.09.28 11:59:45 -04'00'

Competition Advocate DLA Aviation