JA Redacted.pdf

J&A Number: 0231-20-001-00.1

Code: 0231/DEA P.R. Number: 19-DA-020

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Philadelphia Division (NSWCPD), Code 0231.

2. Description of Action Being Approved

This is a sole source action to be awarded without providing for full and open competition.

The proposed contract is a five (5) year Firm-Fixed-Price (FFP), Indefinite-Delivery, Indefinite- Quantity (IDIQ) type contract to be awarded to Vericor Power Systems LLC, 3625 Brookside Park Ste. 500, Alpharetta, GA 30022-3718.

3. Description of the Supplies or Services

NSWCPD Code 423 manages the 2SCOG Program for the U.S. Navy. The 2SCOG program manages the rotatable pool and repair pipeline for U.S. Navy non-nuclear propulsion assets, which includes the ETF40B Power Producer Group (PPG). The proposed acquisition will provide for the overhaul and repair of the ETF40B PPG, Part Number (P/N) 20-20020-02. The planned acquisition will provide engineering and technical services required for the Teardown, Test, and Evaluation and repair of the ETF40B PPGs. ETF40B PPGs are necessary spares for the fleet whenever the Landing Craft, Air Cushioned (LCAC) ETF40B engines are downed, either temporarily or permanently, due to damage. This procurement will prevent the LCAC craft from being out of service for an extended length of time. The ETF40B PPG is the core of the ETF40B engine.

The Government’s minimum needs have been verified by the certifying technical and requirements personnel.

Annex 21- Management and Oversight Process for the Acquisition of Services- Streamlined (MOPAS-S) #0231-20-001-00 covers this acquisition.

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

PHILADELPHIA DIVISION

5001 SOUTH BROAD STREET

PHILADELPHIA PA 19112-1403

IN REPLY REFER TO:

J&A Number: 0231-20-001-00.1

• Demonstrating of all repairs and capabilities to procure parts that cannot be repaired because manufacturing processes are not obtained

• Development of repair procedures and validation of vendors

• Testing in a gas turbine to verify the repairs

• Spin Pit testing, ASMET, performance, environmental, etc.

The cost associated with qualifying a new vendor to characterize the materials, validate components through testing and then integrating the components into an engine for testing involve significant engine test time, 1,000 hours of components test time, and the fabrication of facilities to test. It is estimated that the costs associated with qualifying a new vendor would be several million dollars. In addition, the schedule to have another vendor go through a complete engine qualification is about 4-5 years.

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

A notice of intent to sole source this procurement to Vericor Power Systems LLC, was posted to the Federal Business Opportunities website at www.fbo.gov (FBO) on 7 October 2019. Said notice encouraged responsible sources, other than Vericor Power Systems LLC, to submit a capability statement indicating interest in the procurement. Upon close of the notice on 17 October 2019, no capability statements were received.

Additionally, a pre-solicitation notice, synopsizing this procurement was posted via Beta.SAM.gov on 16 December 2019 with a subsequent close to the synopsis period on 30 December 2019. To date, no indications of interest have been received in response to the synopsis. At this time, there are no additional interested sources capable of fulfilling the Government’s minimum need.

7. Determination of Fair and Reasonable Costs

The Contracting Officer will make a determination as to whether the costs to the Government for the services covered by this J&A are fair and reasonable, prior to award. The Contractor will submit a formal price proposal and sufficient information to support the accuracy and reliability of the proposed amount. The Contractor’s proposal will reviewed by experienced contract specialists with the aid of field pricing support, if necessary. The Contracting Officer will use the results of this price analysis as the basis for negotiating a fair and reasonable price.

8. Actions to Remove Barriers to Competition

NSWCPD will continue to monitor the marketplace for any additional sources that are qualified to overhaul and repair the EFT40B PPGs. Any sources discovered that could potentially satisfy this specific procurement will be taken into account for any future requirements.