JA SPE7M424R0003-FOIA.pdf

CUI- Justification for Other than Full and Open Competition (JA) - NON- LTC Solicitation: SPE7M424R0003

1 | Pa g e CUI - Source Selection Information- See FAR 2.101 & 3.104 DLA Land & Maritime Justification for Other than Full & Open Competition

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 PR ESTIMATED

QUANTITY

PR ESTIMATED VALUE AMS/AMSC

HOSE AIR DUST 4720-015313141 292 EA 3/C

PROCUREMENT- Request for Proposal (RFP), single NSN, large, one time, firm-fixed price:

Estimated SOLICITATION value: The estimated value of this PR was originally at quantity of 292 each.

However, based on the recent market survey’s unit price rate, the estimated RFP total was calculated not to exceed with quantity QTY up to 525 each. No option will be included.

Briefly identify end item, weapon system, or class of item:

Subject NSN 4720-015313141 is described as HOSE, AIR DUST; a flexible, tubular item of light wall construction. It must have single or multiple layers of nonmetallic material, but may contain metal wire reinforcement, foil type liner, and/or woven or braided cover. It is designed to convey under low pressure gaseous material, such as air and fumes, and light weight solid materials, such as dust, powders, and fibers. For items with couplings, see hose assembly, air duct. For items of sleeve section design rated for high pressure use, see sleeve, seal, coupling. Weapon system 0FM, used on AirBeam, Base-X and DRASH shelter systems and Nordic Air severe duty systems. End user: the US Navy and Marines, and the US Army.

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

[X] 10 U.S.C. 3204(a)(2) - Available from only one or a limited number of sources, quoted by OEM or authorized dealers.

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

Approved Source:

HDT EXPEDITIONARY SYSTEMS INC., CAGE 0WJE1- large business.

The Government identifies HDT EXPEDITIONARY SYSTEMS INC., CAGE 0WJE1 as having the appropriate manufacturing expertise to supply this NSN to DLA and the using military service. This manufacture is the only source approved by the design control activity because it retains 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 this NSN item P/N 064-00027. Therefore, a complete data package of drawings/specs will not be available at the time of solicitation.

The use of the authority cited below:

AMC = 3. Acquire for the second or subsequent time, directly from the manufacturer.

The use of the authority cited (DFARS PGI 217.7506 Part 2.) 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.

NOTE: I/A/W FAR 6.303-2(c), on September 25, 2023, the product specialist certified that the technical data, including the AMC/AMSC codes and approve source, were complete and accurate, see attachment #1.

ORIGINAL

2 | Pa g e CUI - Source Selection Information- See FAR 2.101 & 3.104 DLA Land & Maritime Justification for Other than Full & Open Competition

The Engineering Support Activity (ESA), via DLA form 339, must approve any alternate source offers. The offeror must provide a complete data package including data for the approved parts and alternate part for evaluation. According to the product specialist there are no other concerns seeking source approval at this time.

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

[X] I/A/W DFARS PGI 206.302-1(d) sources sought notice posted to SAM.gov from 09/19/2023 to 09/27/2023 as part of market research to make sure that offers will be received “from as many potential sources as is practicable under the circumstances” (FAR 6.302-1), see market research paragraph 8 (eight) below.

[X] The acquisition will be synopsized on SAM.gov for 15 days prior to the solicitation opening.

[X] At the completion of the synopsis period, this PR will be solicited on the internet for 30 days via the DLA Internet Bid Board System (DIBBS).

[X] Dealers of the manufacturer will be solicited.

7. The Contracting Officer is hereby determining that the anticipated price/cost will be fair and reasonable in accordance with FAR 6.303-2(b)(7). In accordance with FAR 15.403, certified cost and pricing data is not required under this acquisition threshold, however, other than certified cost and pricing data may be obtained from the contractor to provide additional support for price reasonableness determination. Negotiations may be conducted and will be continued until suitable for both parties. Based on the above techniques, the Contracting Officer hereby determines that the anticipated cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

Market research for this procurement conducted 09/18/2023 to 10/05/2023.

Techniques used to conduct market research:

Past procurement review of the similar NSN items.

Review of the market research data that was available from the previous procurement for the same

NSN item.

Data classification (SAP) industrial supply values / characteristics review of current NSN.

NSN web search for commercial use of the NSN item P/N requested.

Haystack (FLIS) database queried to identify other potential sources for this item, no additional sources found.

A sources sought notice was posted on SAM.gov from 09/19/2023 to 09/27/2023. No additional responses received from interested parties.

Market Survey [10 U.S.C. 3204(e)(2)(D)]:

Total number of vendors contacted: According to the procurement history, surveys were sent to:

- Designated dealer WINDWARD ENTERPRISES, LLC, CAGE 0UKB6 offering item of the large approved sole source OEM HDT EXPEDITIONARY SYSTEMS INC., CAGE 0WJE1 since 2020.

- The PIONEER INDUSTRIES CAGE 66200 received couple of awards in 2017-2019.

One market survey response was received from WINDWARD ENTERPRISES, LLC, CAGE 0UKB6,

- A small business designated dealer, US operated.

- OEM HDT Expeditionary Systems Inc., CAGE 0WJE1 US operated.

- OEM HDT Expeditionary Systems Inc is large business concern.

- HDT CAGEs: both valid 0WJE1 and 92878; 0WJE1 is the manufacturing facility, whereas 92878 is the administrative office.

3 | Pa g e CUI - Source Selection Information- See FAR 2.101 & 3.104 DLA Land & Maritime Justification for Other than Full & Open Competition

- SAM current registration

- There is no commercial market for this item.

Based on the history records, all awards since 2020 issued to WINDWARD ENTERPRISES with the single offer received.

No response from PIONEER INDUSTRIES CAGE 66200. The Contracting Officer is very familiar with this dealer.

They usually only participate in the solicitations if they can support the NSN item. Follow up resulted with no response.

Since WINDWARD ENTERPRISES is now a designated dealer, no expectation that Pioneer will be submitting an offer for this solicitation, nor offer received from them in the last four (4) years.

Non-Commercial Item Determination:

According to the designated dealer’s current survey this is a non-commercial item. Windward Enterprises sales this item to the government since 2020 as stated above. According to some addtitional market research this NSN has sole source supplier that is listed as an active supplie. NSN is deemed design controlled or valid supply part, and it is not replaceable by any other NSNs. I/A/W FAR 7.102(a)(4) the item is not GSA listed from sources other than DLA. The DoD Commercial Item Database was searched for any items applicable, no record found that item is commercial. Data classification (SAP) industrial supply values/characteristics review indicates the item is not commercial. There was no commercial sales history or announcements provided for this item to the general public. I/A/W FAR 2.101 the Contracting Officer determines that the item is non-commercial. Therefore, the solicitation will be issued utilizing FAR 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.

10. A listing of sources, if any, indicating an interest in the acquisition is:

Dealer WINDWARD ENTERPRISES, LLC, CAGE 0UKB6.

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

I/A/W DLAD prescription 11.391(b) Procurement Notes L04, “Offers for Part Numbered Items” and M06, “Evaluation of Offers for Part Numbered Items” will be included in this solicitation.

12. The procurement history shows that prior awards were issued under the simplified acquisition threshold (SAT), therefore, a J&A was not required.

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.

_ _____ ___ 2-2621 Contracting Officer/ x-Phone Date: 10/10/2023

APPROVAL REQUIREMENT:

[X] Up to $750,000 - Contracting Officer