JA Sole Source MDMC PPA Cold Spray System Signed_Redacted.pdf

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Justification for Sole Source Acquisition - VRC Cold Spray System
Solicitation number
ID22200105
Issued by

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This justification and approval document outlines a sole source acquisition by the General Services Administration for the U.S. Marine Corps for a VRC Cold Spray System from Phillips Corporation. The system, costing an estimated $878,000, will provide the Production Plant Albany the capability to repair damaged parts with long lead times using a high-pressure cold spray process reaching 1200m/s particle velocity. Market research identified no other suppliers of a system meeting the technical requirements. The justification cites the unique qualifications of Phillips Corporation, efforts to promote competition including an RFI receiving three responses, and fair and reasonable pricing anticipated. The contract was awarded sole source to Phillips Corporation on September 29, 2020.

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IDENTIFICATION OF THE AGENCY AND THE CONTRACTING ACTIVITY

The requiring activity is U.S. Marine Corps (USMC) Marine Corps Logistics Base (MCLB) Marine Depot Maintenance Command (MDMC) in Albany, GA. The contracting activity is the General Services Administration, Federal Acquisition Service (FAS)/Assisted Acquisition Service (AAS), Large Special Order Program (SOP), 819 Taylor St. (13A33), Fort Worth, TX 76102.

NATURE OF ACQUISITION BEING APPROVED

This Justification and Approval (J&A) for a Sole Source Acquisition is for the award of a sole source purchase order, for the procurement of a Cold Spray System to provide the Production Plant Albany (PPA) with the capability to repair damaged parts that have longer than normal lead times. This system is required as part of the PPA additive manufacturing process and must have the capability to reach 1200m/s velocity.

This J&A seeks approval to procure the necessary system on a sole source basis from the contractor, Phillips Corporation.

DESCRIPTION OF SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S NEED

The USMC MCLB MDMC PPA has identified a bona fide need for a Cold Spray System that will allow them to repair parts with longer than normal lead times. This equipment is mission critical as long lead times for replacement parts can limit the availability of equipment U.S. forces require to complete their mission.

Cold spray, also referred to as supersonic particle deposition, is a high-energy solid-state coating and powder consolidation process. Cold spray uses an electrically heated high-pressure carrier gas, like nitrogen or helium, to accelerate metal powders through a supersonic nozzle above a critical velocity for particle adhesion. The bonding mechanism is a combination of mechanical interlocking and metallurgical bonding from re-crystallization at highly strained particle interfaces. Cold spray can be used to deposit metals on sensitive or difficult-to-weld surfaces for never before possible combinations of unique materials. Cold spray can also be used to repair damaged areas of a finished part, without causing additional problems like warping, cracking, or softening of the part. Furthermore, properties approaching, or in some cases exceeding, the base material properties can now be achieved. This opens the door for cold spray to be used on more than just cosmetic surface restoration, but loaded areas can be repaired, including rebuilding entire features on a part. The system must have capabilities to reach particle velocity of 1200m/s.

EQUIPMENT SALIENT CHARACTERISTICS OF SPECIFICATIONS

Ruggedized Cold Spray Unit consisting of next-generation high pressure cold spray system. Design features to include:

- Aluminum skid on castors with foldable tow hitch

- Fork pockets, lifting eyes, and tie downs

- Deployable 21kW heater & powder feeder stored in unit

- 1000 PSI max pressure

- Tethered parameter readout with touch screen controls

- Hand-held spray capability

- Data capture & download capability

General Services Administration Federal Acquisition Service (FAS), Assisted Acquisition Service (AAS), Large Special Order Program (SOP)

JUSTIFICATION AND APPROVAL FOR

SOLE SOURCE ACQUISITION

ORDER No. ID22200105 / Solicitation PIID 47QSWC20N0006

- AC power, 50 Amp, 480V, 3 phase

- Footprint: 68"l x 32"w x 65"h

- 2 annual Calibrations

- Required consumables -****Able to reach 1200m/s velocity*****

- Acoustical Booth

- Portable Spray Enclosure

- Portable Wet Dust Collector

- Dust Collector

- Safety Kit

- Diffuser Assembly

- 6-Axis Robot Assembly

- 550 lb. 2-Axis Turntable

- Remote Controller System

- Flexible offline robot programming and simulation software

- 2 Year Warranty

- Delivery Included

This action is a one-time procurement of a Cold Spray System. This equipment will be delivered to MCLB MDMC located in Albany, GA. The estimated total value for the requirement is $878,000.00.

IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING SOLE SOURCE ACQUISITION

This acquisition is conducted under the authority of FAR 13.501(a), Sole Source Acquisitions, as this high pressure Cold Spray System is only available from one (1) source.

Acquisitions conducted under simplified acquisition procedures are exempt from the requirements of FAR part 6, thus the requirement for full and open competition does not apply in accordance with FAR 13.501(a)(1). The Contracting Officer completed this Justification and Approval for Sole Source Acquisition by utilizing the format listed in FAR 6.303-2 as required by FAR 13.501(a)(1)(ii) and modified the format to reflect FAR 13.5 procedures that were used in accordance with 41 U.S.C. 1901.

Finally, in accordance with FAR 13.501(a)(1)(iii), this approved combined justification document shall be posted to FedBizOpps within fourteen (14) days after contract award and shall be made publicly available for a minimum of thirty

(30) days.

DEMONSTRATION OF THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS TO PROVIDE

THE REQUIRED SUPPLY

The requested item is being procured by the US Government in support of the U.S. Marine Corps (USMC) Marine Corps Logistics Base (MCLB) Marine Depot Maintenance Command (MDMC) in Albany, GA. The required system must be able to reach 1200 m/s velocity. No other company has shown that they can meet the needs of the requesting client.

The client, MDMC PPA, consulted with a subject matter expert (SME), a Engineering Science and Mechanics Professor at the . According to the SME, higher pressure and temperature is needed to deposit the harder materials on materials of interest. The SME explained the comparison between the different systems (Low Pressure and High Pressure). The Critical velocity ratio (CVR) is the ratio of the particle velocity to the particle velocity required to get the particles to bond to the substrate; the higher the CVR, the better the coating properties.

The VRC system has a higher deposition efficiency and with Helium you can get near wrought properties with the VRC system.

Following standard industry practice, to be considered high pressure, a Cold Spray system should have an operating pressure of at least 360 psi and operate. Figure 1 of MIL-STD-3021 shows an operating pressure of 2.5 -4.5 MPa (24-45 bar) (362 -653 psi). At the time the MIL-STD was developed, the configuration of the system was used to designate the difference between high pressure and low pressure systems. The high pressure system shown in Figure 1 has the main process gas that flows through the heat and the carrier gas/powder flow entering the inlet of the nozzle. A low pressure system has the carrier gas/powder flow entering the center of the nozzle.

Figure 1: High Pressure System schematic from MIL-STD-3021 – Materials Deposition, Cold Spray

The VRC Cold Spray System offered by Phillips Corporation has a much wider operating window and can deposit a broader range of powders compared to the low pressure sonic systems and the low pressure Centerline systems. The Army Research Lab has used the VRC system to deposit a composite coating on armor steel that provided some improvement in V50. The low pressure sonic system uses powders that are specifically developed for that system so the powder selection may be limited especially ferrous and nickel based alloys whereas VRC uses commercially available powders. The VRC system also has the flexibility to be operated at the sonic conditions if needed.

DESCRIPTION OF EFFORTS TO PROMOTE COMPETITION TO THE MAXIMUM EXTENT

PRACTICABLE

The Government conducted market research in accordance with FAR Part 10 and also posted a Request for Information to industry via Beta.Sam.gov prompting interested parties to submit capability statements. The Government then provided the capability statements to MDMC PPA technical experts to review and determine if the products described in the capability statements could possibly meet the Government’s requirements.

DETERMINATION ANTICIPATED COST WILL BE FAIR AND REASONABLE TO THE GOVERNMENT

A statement of price reasonableness will be included in the file. In this solicitation, Phillips Corporation will be requested to submit any available pricing data and sales history for the items requested in order to substantiate the price reasonableness of their quote to the Government. The contracting officer anticipates the use of a variety of price analysis techniques in order to substantiate the price reasonableness of the items requested in the award decision document. These techniques include but are not limited to the following:

- Requesting recent commercial and Government sales history

- Making indirect pricing comparisons to:

o The same or similar items in the marketplace o Competitive published price lists, and o Independent Government Cost Estimates

DESCRIPTION OF MARKET RESEARCH CONDUCTED

Market research was conducted in accordance with FAR Part 10 to determine the availability of products capable of meeting the Government’s requirement. The small business database was searched for companies with the capability to provide the required equipment and GSA Advantage was also searched. When the Government was unsuccessful at locating sources who could provide the required Cold Spray System, an RFI was posted to Beta.Sam.gov on August 12, 2020 and closed on August 19, 2020. The RFI resulted in three responses from interested parties. The three capability statements receive from interested parties were sent to the client technical team to evaluate if the systems described in the capability statements met the client’s required specifications for a high pressure Cold Spray System. After reviewing the capability statements, the client determined only the product proposed by Phillips Corporation would meet the required specifications. Market research indicates no company other than Phillips Corporation can provide the required equipment.

ANY OTHER FACTS SUPPORT THE AWARD OF A SOLE SOURCE CONTRACT

All factors are described under sections IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING SOLE SOURCE ACQUISITION and DEMONSTRATION OF THE PROPOSED CONTRACTOR’S QUALIFICATIONS TO PROVIDE THE REQUIRED SUPPLY are listed above.

LIST ANY OTHER SOURCES THAT EXPRESSED INTEREST IN WRITING

The government did attempt to seek competition and received two responses from two other companies that expressed an interest, Innovative Technology and Red Viking. However the client reviewed the cold spray system each of them proposed and determined that neither of the offerors could yet provide a high pressure system that met the required specifications for 24-45 bar (362-653 psi) which is much higher than the 5 bar (75 psi) the offerors proposed. Red Viking is still in the process of implementing their first Cold Spray System therefore development of a new system would not meet the client’s delivery requirements. Innovative Technology’s Inovati System also doesn’t allow for the use of commercially available powders which would result in much higher operating costs to the client, even if the Inovati System could meet the specifications, which it does not currently.

STATEMENT OF ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE BARRIERS TO

COMPETITION

Market research from commercial websites indicates that there are currently no available sources that supply the required high pressure Cold Spray System. Due to the highly specialized requirements of the MDMC, the only known source at this time capable of meeting their requirements is Phillips Corporation. In order to continue the process of overcoming barriers to competition, GSA and USMC MDMC will continue to evaluate the capabilities of other vendors through continuing market research to determine if any other vendors can meet the required specifications for this highly specialized equipment.

TECHNICAL/REQUIREMENTS CERTIFICATION THAT JUSTIFICATION IS ACCURATE AND

COMPLETE

I certify that the supporting data under my cognizance which is included in this justification is accurate and complete to the best of my knowledge and belief.

_____9/8/2020___________ Date

MDMC Albany, GA

CONTRACTING OFFICER CERTIFICATION

The contracting officer has determined that the actions taken under this acquisition meet the conditions described in FAR 13.106-1(b). The information contained in this justification is accurate and complete to the best of the Contracting Officer’s knowledge and belief.

Prepared By:

ox Date

Contracting Officer (7QFAD)

Approved By:

en Date One Level Above Contracting Officer

Regional Counsel Date

Director, Assisted Acquisition Division

COMPETITION ADVOCATE CERTIFICATION

I, the approving authority, determine that the circumstances identified in this document are accurate;

therefore, limiting competition to one source under FAR 8.405-6(a)(1)(i)(B) and FAR 13.501(a) is justified. The signature below also represents approval of this document.

Competition Advocate FAS Regional Commissioner's Office

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