JA Redacted SPE7M520R0007.pdf

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Attached to
Resistor, Variable Federal contract opportunity
Solicitation number
SPE7M520R0007
Issued by
Defense Logistics Agency Land and Maritime

About this file

This justification for other than full and open competition solicitation sought to acquire 4 variable resistors from Ward Leonard through their partner ECI Defense Group on a sole source basis. The resistors were required for use on Ohio Class SSBN, Virginia Class Submarine, and Submarine Ship Control and Navigation Systems. Market surveys found the items were not commercial and that technical data was only available from Ward Leonard, who was the original manufacturer. The solicitation was to be posted on February 2020 on DIBBS with price breaks permitted for quantities up to 10. The awarded contract SPE7M5-20-C-0007 was given to ECI Defense Group on May 5, 2020 for a total of $479,234.56.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M520R0007 / PR 0082727874

[ X ] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies on other than a full and open competition basis.

3. The supplies required to meet the using activity’s needs are described as follows:

BRIEF DESCRIPTION NSN QUANTITY EST. VALUE AMSC

Resistor, Variable 5905-01-188-8963 4 D

*Estimated unit price-

Estimated PR Value:

Estimated Maximum Value for a quantity of 10 each:

This acquisition is for a fixed quantity; however, price breaks will be solicited permitting the Government to order up to the maximum quantity of the price break solicited.

End Item Description, Weapon System, or class of item: Item is used on 23N (Ohio Class SSBN), YJN (Virginia Class Submarine), WDN (Submarine Ship Control and Navigation Systems.

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

[X ] 10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

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

Ward Leonard (63743) P/N M/L23190.12

The use of the authority cited is based on 10 U.S.C. 2304(c)(1):

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

[X] 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.

On 1/23/2020, the buyer received confirmation from the product specialist of record that the AMC/AMSC of 3/D was accurate.

Per the Product Specialist, item is sole sourced to Ward Leonard (63743). At this time, there is no other source of supply for this material.

Ward Leonard is the only known, approved source for this item. Therefore, Ward Leonard is uniquely qualified as they are the only known source that possesses the necessary technical data for the manufacturing of this item, thus, demonstrating unique design capability, engineering skills, and manufacturing knowledge for this NSN.

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

[X] The acquisition will be synopsized on or about February 2020 and will be solicited on the DLA Internet Bid Board (DIBBS).

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

IAW FAR 15.403-4(a)(1), Certified Cost/ Price Data will not be requested as the Contract Maximum Value is under TINA ($2.0M).

Other Than Cost or Pricing Data will be used to determine a fair and reasonable price.

This data includes the historical prices paid for exact item, a Learning Curve and PPI, current commercial market value of item and/or similar items, price analysis, negotiation procedures, traceability, and the use of resources available through the Pricing Office.

8. Market Research/Efforts to Obtain Competition:

Markey Surveys were sent out on 1/9/2020 and 1/10/2020 to Ward Leonard (63743), ECI Defense Group (3SDB5), TNL Sales (1XLG2), and BDS Supply (33XQ3).

On 1/10/2020, Ward Leonard instructed DLA to submit item request through ECI

Defense Group; “Ward Leonard bids, sells and delivers our Navy supply chain opportunities through our partner, ECI Defense Group. ECI offers Value Added Services such as market research, contract administration, mil spec packaging and strategic/tactical planning services related to DoD spares. If you could please submit your request through ECI.”

On 1/20/2020 ECI Defense Group responded to the market survey with the following information;

o ECI Defense is a small business dealer/distributor for Ward Leonard and is registered in SAM.

o o Item is not a commercial item.

o o ECI Defense is willing to submit an offer for this item.

On 1/20/2020, BDS Supply responded that they are closing the business and therefore, did not submit a market survey.

TNL Sales did not respond to Market Survey request.

A Sources Sought was posted to https://beta.SAM.gov/ on 1/13/2020 with a respond by date of 1/21/2020.

o No responses or inquiries were received from any interested party.

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

There is no indication that this item is a commercial item. The Commercial Off The Shelf (COTS) field is blank in MM03, and research in GSA advantage yielded no results.

Market Survey results from ECI Defense Group stated that item is not a commercial item.

Therefore, based on research, item is determined non-commercial.

DFARS PGI 206.303-2(B) requires a copy of the J&A from the last procurement. There are no J&A’s for any previous procurement.

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

[ X ] Based upon the technical certification on file in DLA Land and Maritime – VEP 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 is:

Ward Leonard (63743), through their partner, ECI Defense Group ECI Defense Group (3SDB5)

11. This item is subject to the following methods of locating additional sources:

Solicitation will included, but is not limited to, the following Procurement Notes:

L04; Offers for Part Numbered Items

M06; Evaluation of Offers of Alternate Product for Part Numbered Items

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. If not exceeding $700,000, this signature serves as the approval.

Contracting Officer Date

Christine D. Boyer__________________________ Typed name of Contracting Officer

APPROVAL/CERTIFICATION

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

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

( ) Up to $700,000 Contracting Officer

(X ) $700,000 to $13,500,000 Competition Advocate

( ) $13,500,00 –$93,000,000 Head of the Contracting Activity (HCA)

( ) over $93,000,000 Senior Procurement Executive (AQ)

BOYER.CHRIST

INE.D.12496996

Digitally signed by

BOYER.CHRISTINE.D.1249

699639 Date: 2020.01.31 06:48:00 -05'00'

SHEARER.M

ARY.E.12507

02449

Digitally signed by

SHEARER.MARY.E.125

0702449 Date: 2020.02.10 13:31:07 -05'00'

File details come from the government source that posted it. Updated .