JA SPE7MC22R0004 - FOIA.pdf

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Attached to
DISK, VALVE Federal contract opportunity
Solicitation number
SPE7MC22R0004
Issued by
Defense Logistics Agency Land and Maritime

About this file

This justification document outlines a non-competitive procurement by the Defense Logistics Agency Land and Maritime for disk valves. The procurement is for four disk valves identified by National Stock Number 4810-01-492-19, to be used in control and navigation systems on Virginia Class submarines. Vacco Industries is identified as the only approved source able to provide the item due to proprietary technical data rights. The justification cites authority for less than full and open competition. Market research found no other sources and a sources sought notice received no responses. A firm-fixed price solicitation was issued to Vacco Industries for a price of $1,020,800 and the contract was awarded on April 21, 2022.

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Text version

CUI

Justification for Other than Full and Open Competition (JA)- NON-LTC Solicitation: SPE7MC22R0004

CUI

DLA Land & Maritime Justification for Other Than Full & Open Competition (AUG 2016)

X ORIGINAL

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 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

AMC/AMSC

Valve, Disk 4810-01-492-19 0 4 EA $1,033,280.00 3/

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

Estimated SOLICITATION value: The estimated value of this PR is $1,033,280.00 quantity of 04 each. Additional quantity up to 07 each will be included with estimated total solicitation not to exceed $1,808,240.00. No option will be included.

Identify end item, weapon system, or class of item:

Subject NSN 4810-01-492-19 0, Disk Valve is a valve designed to prevent and regulate the flow of liquids and gases. The valve is used in the control and navigation systems of the weapon system. The end user is various services.

Weapon system: Virginia Class SSN (YJN).

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, quoted by OEM or authorized dealers.

This item is sole source because VACCO INDUSTRIES (99517) is the only known source with the technical data necessary to manufacture this item.

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

Approved Source:

VACCO Industries (99517) - large business.

The Government identifies VACCO Industries (99517) as having the appropriate manufacturing expertise to supply this NSN to DLA and the using military service. This manufacturer is the only known source that owns or has the rights to the technical data necessary to manufacturer this NSN item P/N (V3E10113-01).

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 = 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.

NOTE: I/A/W FAR 6.303-2(c), on 11/03/2021, the product specialist certified that the technical information relied upon in the J&A, including the AMC/AMSC codes and approve source, were complete and accurate.

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 currently.

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) a Sources Sought notice was posted to Beta.SAM.gov days from 11/03/21-11/10/2021 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 BetaSAM.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).

[ ] 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

Solicitation: SPE7MC22R0004

DLA Land & Maritime Justification for Other Than Full & Open Competition (AUG 2016) support for price reasonableness determination. Negotiations may be required and will be continued until suitable for both parties. Based upon 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 was conducted 10/20/2021-11/10/2021 Techniques used to conduct market research:

Past procurement review of the similar NSN items.

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

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

FLIS and GSA databases were queried to identify other potential sources for this item, no additional sources were found.

A Sources Sought notice was posted on Beta.SAM.gov from 11/03/2021 – 11/10/2021. No responses from interested parties were received.

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

Total number of vendors contacted: Based on the market research, one (1) market survey was sent via email to the direct source manufacturer:

1. VACCO Industries (99517) - OEM Response:

They are large concern manufacturer, USA located.

They will be offering their own P/N.

They do not utilize dealers and submit offers directly to the government.

They are willing to submit offer for this solicitation.

Delivery est. at 480 days ADO.

FOB Origin is acceptable.

This is not a commercial item.

Commerciality Determination:

According to the current market survey from the approved sole source manufacturer, this item is not commercial. Based on the procurement history, manufacturer VACCO Industries cage 99517 was the previous award participant and provided this NSN item to the government under the FAR15. I/A/W FAR 7.102(a)(4) the item is not GSA listed from sources other than DLA. The Internet and Haystack website searches indicated that it is not sold commercially. Data classification (SAP) industrial supply values/characteristics review indicates the item is not commercial. I/A/W FAR 2.101 the Contracting Officer determines that the item does not meet the definition of commerciality. 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 source(s), if any, indicating an interest in the acquisition is:

VACCO Industries (99517) – sole source approved OEM.

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 award issued below the simplified acquisition threshold.

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.

Solicitation: SPE7MC22R0004

CUI

DLA Land & Maritime Justification for Other Than Full & Open Competition (AUG 2016)

_______ 2-2621_________ _____11/10/2021__________ Contracting Officer Phone Date

Helen B. Davis

APPROVAL REQUIREMENTS

[X] Up to $750,000 Contracting Officer [X] $750,000 to $15,000,000 Competition Advocate

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Date

Attachment:

The product specialist certification AMC/AMSC (See TAB 15).

SHEARER.MARY.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2021.11.16 12:18:55 -05'00'

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