JA Redacted SPE7MX22R0040.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX22R0040

DLA Land & Maritime Justification for Other Than Full & Open Competition (October 2020)

The DLA product specialists work with the Engineering Support Active (ESA) for each branch of the military to review and manage the spare parts procured by DLA. The items can be designed and controlled by the military, private industry, or a combination of the two. An acquisition method code (AMC) and an acquisition method suffix code (AMSC) is assigned to the parts to identify the technical characteristics and availability.

The DLA product specialist performed a technical review on 9/30/21 and confirmed the NSNs AMC/ AMSC.

CLINs 0001 and 0002 require ESA approval, and the Government does not own the rights to these parts. The approved sources are the only sources approved by the design control activity because they retain the data rights, manufacturing knowledge, or technical data that is not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part.

The use of the authority cited below:

AMC 1. Suitable for competitive acquisition for the second or subsequent time.

The use of the authority cited is based on:

AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application. If one source is approved, AMCs 3, 4, or 5 are valid. If at least two sources are approved or if data is adequate for an alternate source to qualify in accordance with the design control activity's procedures, AMCs 1 or 2 are valid.

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

The acquisition will be synopsized at least 15 days prior to solicitation release. The solicitation will be posted on sam.gov for 30 days. A Sources Sought Notice was posted on sam.gov on 1/5/2022 for 15 days with no responses.

Market surveys were emailed to companies in history and a Source Sought Notice was posted on sam.gov on 1/5/2022 for 15 days. There were no responses to the Sources Sought Notice.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. A price analysis will be conducted using historical pricing, the Producer’s Price Index (PPI), and a learning curve analysis. The offeror may be required to submit other than certified cost or pricing data (CCPD) in order to determine prices fair and reasonable. Based on the above techniques, the Contracting Officer anticipates the costs to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

The item was researched online via the internet for availability, commerciality, and like features. The item or like items were not found on the internet. Previous procurements were reviewed as well as previous acquisition methods and sources. Records show that this item has been purchased multiple times by DLA and the item has a relatively stable price history. Previous justifications and approvals were not found in records management because all purchases were under the simplified acquisition threshold. The item is only available from the approved source as identified above. Information indicating commerciality was not found. Searches on the internet yielded no useful information on the P/N or pricing information.

The Sources Sought Notice was posted on 10/25/2021 and 10/25/2021 for 15 days (for each NSN) and market surveys were requested to determine vendor interest in long-term contracting for the items, commerciality, vendor size, delivery, optimal contract lengths, quantity sensitivity, and possible price/cost advantages.

Surveys were sent to all the approved sources listed above. CAGE 81755 is not interested and stated the items are very old part numbers and are no longer stock. CAGE 81755 referred the Government to 0WW63. CAGE 0WW63 did not respond to multiple marketing attempts. CAGE 1BAM3 responded favorably to the survey. It is a small business manufacture and is interested in both CLINs. 1BAM3 has rights to CLIN 0001 but does not have the rights to CLIN 0002 but would like them. CAGE 67291 responded favorably to the survey. It is a small business manufacture and is interested in both CLINs. CAGE 67291 has rights to CLIN 0002 but does not have the rights to CLIN 0001 but would like them. Alternate offers will be considered as technical note CS1199 Alternate Offeror Requirements is included in the Product Item Description within the solicitation.

The technical note CS199 provides the procedures for offering an alternate offeror.

The market surveys from CAGE 1BAM3 and CAGE 67291 both indicated the items were not commercial.

CAGE 1BAM3 further indicated in their market survey response that they have manufactured CLIN 0001 for 18 years and that the item has only been manufactured for and sold to the government on DLA administered contracts. Further market research did not yield any catalog price list or any commercial sources and there is no evidence that these items are customarily used by the general public or by nongovernmental entities for purposes other than governmental purposes. The contracting officer determines the items are non-commercial and the solicitation will be issued under FAR Part 15 procedures.

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

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.

During the project development stage, the NSN included on this solicitation was provided to the DLA Land & Maritime Value Management (VM) Unit and DLA Land and Maritime Product Specialist for review; no additional sources were identified during those reviews.

10. A listing of sources, if any, indicating an interest in the acquisition is: CAGE 1BAM3 and CAGE 67291 are interested in this acquisition.

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

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

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 Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[X ] Up to $750,000 Contracting Officer

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

Attachments:

Tech Certification

STROUPE.AMANDA.L.1239159873 Digitally signed by STROUPE.AMANDA.L.1239159873 Date: 2022.01.27 13:05:33 -05'00'

SHEARER.MARY.E.1250702449 Digitally signed by SHEARER.MARY.E.1250702449 Date: 2022.02.02 08:45:01 -05'00'