JA_SPE7MX21RX034_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPEMX-21-R-X034

DLA Land & Maritime Justification for Other Than Full & Open Competition

Source Selection Information – See FAR Part 2.101 and 3.104.

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[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. FAR Subpart 13.5 procedures are being used in accordance with 41 U.S.C. 1901.

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

BRIEF DESCRIPTION NSN/P/N

ANNUAL

DEMAND

QUANTITY

EST.

ANNUAL

DEMAND

VALUE AMC AMSC KID WSIC

UNIVERSAL JOINT,VEH 2520-01-256-3706 158 3 D 3 F

DECK BOX,REMOTE OPE 4820-01-256-0696 93 3 R 5 F

GEAR OPERATOR,VALVE 4820-01-257-1574 38 3 C 3 F

VALVE,REMOTE 4820-01-462-7586 20 3 C 5 F

GEAR OPERATOR,VALVE 4820-01-674-6700 39 3 D 5 F

GEAR OPERATOR,VALVE 4820-01-674-6725 10 3 D 5 F

GEAR OPERATOR,VALVE 4820-01-674-6743 86 3 D 3 F

GEAR OPERATOR,VALVE 4820-01-674-6747 42 3 D 5 F

GEAR OPERATOR,VALVE 4820-01-674-6755 44 3 D 5 F

1-year Estimated Value 2-year Estimated Value 5-year Estimated Value

Contract Maximum =

Estimated value and contract duration:

The proposed action is for the solicitation and award of a five-year, Firm-Fixed-Price, Indefinite Delivery Indefinite Quantity type contract. The three-year period is inclusive of one (1) two-year base period and three (3) one-year option periods. The five-year contract period estimated value is

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

The items are used on the following weapon systems in the Navy:

NSN WSIC WSDC LONG_NAME

2520012563706 F D3N FORD CLASS CARRIERS

2520012563706 F EZN TICONDEROGA CLASS CG (47)

2520012563706 F GBN LITTORAL COMBAT SHIP

2520012563706 F JAN NIMITZ CLASS CVN

2520012563706 F JDN ARLEIGH BURKE CLASS DDG

2520012563706 F JXN AVENGER CLASS MCM

2520012563706 F ZDN LPD-17 CLASS AMPHIBIOUS TRANSPORT DOCK

4820012560696 F EZN TICONDEROGA CLASS CG (47)

4820012560696 F JAN NIMITZ CLASS CVN

4820012560696 F JDN ARLEIGH BURKE CLASS DDG

4820012560696 F JXN AVENGER CLASS MCM

4820012560696 F ZDN LPD-17 CLASS AMPHIBIOUS TRANSPORT DOCK

4820012571574 F C9N DDG-1000 ZUMWALT CLASS DESTROYER

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NSN WSIC WSDC LONG_NAME

4820012571574 F EZN TICONDEROGA CLASS CG (47)

4820012571574 F JAN NIMITZ CLASS CVN

4820012571574 F JDN ARLEIGH BURKE CLASS DDG

4820012571574 F JXN AVENGER CLASS MCM

4820012571574 F ZDN LPD-17 CLASS AMPHIBIOUS TRANSPORT DOCK

4820014627586 F EZN TICONDEROGA CLASS CG (47)

4820014627586 F JAN NIMITZ CLASS CVN

4820014627586 F JDN ARLEIGH BURKE CLASS DDG

4820014627586 F JXN AVENGER CLASS MCM

4820016746700 F EZN TICONDEROGA CLASS CG (47)

4820016746700 F JAN NIMITZ CLASS CVN

4820016746700 F JDN ARLEIGH BURKE CLASS DDG

4820016746700 F JXN AVENGER CLASS MCM

4820016746725 F EZN TICONDEROGA CLASS CG (47)

4820016746725 F JAN NIMITZ CLASS CVN

4820016746725 F JDN ARLEIGH BURKE CLASS DDG

4820016746725 F JXN AVENGER CLASS MCM

4820016746743 F EZN TICONDEROGA CLASS CG (47)

4820016746743 F JAN NIMITZ CLASS CVN

4820016746743 F JDN ARLEIGH BURKE CLASS DDG

4820016746743 F JXN AVENGER CLASS MCM

4820016746747 F EZN TICONDEROGA CLASS CG (47)

4820016746747 F JAN NIMITZ CLASS CVN

4820016746747 F JDN ARLEIGH BURKE CLASS DDG

4820016746747 F JXN AVENGER CLASS MCM

4820016746755 F EZN TICONDEROGA CLASS CG (47)

4820016746755 F JAN NIMITZ CLASS CVN

4820016746755 F JDN ARLEIGH BURKE CLASS DDG

4820016746755 F JXN AVENGER CLASS MCM

2520012563706 L JKN WASP CLASS LHD

2520012563706 L JSN WHIDBEY ISLAND CLASS LSD

2520012563706 L JVN SAFEGUARD CLASS ARS

2520012563706 L MQN BLUE RIDGE CLASS LCC-19

4820012560696 L JKN WASP CLASS LHD

4820012560696 L JSN WHIDBEY ISLAND CLASS LSD

4820012560696 L JVN SAFEGUARD CLASS ARS

4820012560696 L MQN BLUE RIDGE CLASS LCC-19

4820012571574 L JKN WASP CLASS LHD

4820012571574 L JSN WHIDBEY ISLAND CLASS LSD

4820012571574 L JVN SAFEGUARD CLASS ARS

4820012571574 L MQN BLUE RIDGE CLASS LCC-19

4820014627586 L JKN WASP CLASS LHD

4820014627586 L JSN WHIDBEY ISLAND CLASS LSD

4820014627586 L MQN BLUE RIDGE CLASS LCC-19

4820016746700 L JKN WASP CLASS LHD

4820016746700 L JSN WHIDBEY ISLAND CLASS LSD

4820016746700 L MQN BLUE RIDGE CLASS LCC-19

4820016746725 L JKN WASP CLASS LHD

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NSN WSIC WSDC LONG_NAME

4820016746725 L JSN WHIDBEY ISLAND CLASS LSD

4820016746725 L MQN BLUE RIDGE CLASS LCC-19

4820016746743 L JKN WASP CLASS LHD

4820016746743 L JSN WHIDBEY ISLAND CLASS LSD

4820016746743 L MQN BLUE RIDGE CLASS LCC-19

4820016746747 L JKN WASP CLASS LHD

4820016746747 L JSN WHIDBEY ISLAND CLASS LSD

4820016746747 L MQN BLUE RIDGE CLASS LCC-19

4820016746755 L JKN WASP CLASS LHD

4820016746755 L JSN WHIDBEY ISLAND CLASS LSD

4820016746755 L MQN BLUE RIDGE CLASS LCC-19

2520012563706 T A9N SYSTEMS, JP-5 AVIATION FUELS

2520012563706 T FON MT WHITNEY LCC-20 CLASS

2520012563706 T FPN SHIP, SUPPLY CLASS TAOE

2520012563706 T VCN VICTORIOUS CLASS T-AGOS 19

2520012563706 T VDN IMPECCABLE CLASS T-AGOS 23

2520012563706 T VNN BOB HOPE CLASS T-AKR 300

2520012563706 T VPN T-AKR 310 CLASS

2520012563706 T XBN CVN NUCLEAR REACTOR BOUNDARY AREA

4820012560696 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820012560696 T FON MT WHITNEY LCC-20 CLASS

4820012560696 T FPN SHIP, SUPPLY CLASS TAOE

4820012560696 T VCN VICTORIOUS CLASS T-AGOS 19

4820012560696 T VDN IMPECCABLE CLASS T-AGOS 23

4820012560696 T VNN BOB HOPE CLASS T-AKR 300

4820012560696 T VPN T-AKR 310 CLASS

4820012560696 T XBN CVN NUCLEAR REACTOR BOUNDARY AREA

4820012571574 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820012571574 T FON MT WHITNEY LCC-20 CLASS

4820012571574 T FPN SHIP, SUPPLY CLASS TAOE

4820012571574 T VCN VICTORIOUS CLASS T-AGOS 19

4820012571574 T VDN IMPECCABLE CLASS T-AGOS 23

4820012571574 T VNN BOB HOPE CLASS T-AKR 300

4820012571574 T VPN T-AKR 310 CLASS

4820012571574 T XBN CVN NUCLEAR REACTOR BOUNDARY AREA

4820014627586 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820014627586 T XBN CVN NUCLEAR REACTOR BOUNDARY AREA

4820016746700 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820016746725 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820016746743 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820016746747 T A9N SYSTEMS, JP-5 AVIATION FUELS

4820016746755 T A9N SYSTEMS, JP-5 AVIATION FUELS

2520012563706 Z JWN FMS - NEWPORT CLASS LST

4820012560696 Z JWN FMS - NEWPORT CLASS LST

4820012571574 Z JWN FMS - NEWPORT CLASS LST

4820014627586 Z JWN FMS - NEWPORT CLASS LST

4820016746700 Z JWN FMS - NEWPORT CLASS LST

4820016746725 Z JWN FMS - NEWPORT CLASS LST

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NSN WSIC WSDC LONG_NAME

4820016746743 Z JWN FMS - NEWPORT CLASS LST

4820016746747 Z JWN FMS - NEWPORT CLASS LST

4820016746755 Z JWN FMS - NEWPORT CLASS LST

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. Acquisition is restricted only to the following source(s) of supply for the items:

NSN CHAIN CAGE NAME CAGE PART

NUMBER

2520-01-256-3706 LAND TRIUMPH CONTROLS, LLC 78710 57361-00

4820-01-256-0696 MRTM TRIUMPH CONTROLS, LLC 78710 57343-03

4820-01-257-1574 MRTM TRIUMPH CONTROLS, LLC 78710 57348-00

4820-01-462-7586 MRTM TRIUMPH CONTROLS, LLC 78710 57989-04

4820-01-674-6700 MRTM TRIUMPH CONTROLS, LLC 78710 80509-01

4820-01-674-6725 MRTM TRIUMPH CONTROLS, LLC 78710 58204-03

4820-01-674-6743 MRTM TRIUMPH CONTROLS, LLC 78710 65108-00

4820-01-674-6747 MRTM TRIUMPH CONTROLS, LLC 78710 80507-07

4820-01-674-6755 MRTM TRIUMPH CONTROLS, LLC 78710 80507-09

The use of the authority cited below:

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

The use of the authority cited is based on:

[X] 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.

[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.

[X] AMSC R. The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights. If only one source has the rights or data to manufacture this

(May 2018) P a g e | 5 item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid.

[X] Other: (Explain) Per the approved manufacturers’ list for this NSN in SAP (as received from the Defense Logistics Information Services), only CAGE 78710 has been identified as having the proper complete technical data and manufacturing expertise to supply the item to DLA and the using military services. The Government does not have rights to the technical data. The NSNs have a highest WSIC code of F, indicating that failure will render the end item inoperable (WSEC 1). These items are replacement parts incorporated into many types of naval surface ships, most notably the Ford and Nimitz class aircraft carriers, the Littoral combat ships, and the Ticonderoga class guided missile destroyers. Product from the approved CAGE is the only known material that will ensure the various weapon systems operate properly. Therefore, competition must be limited to offers of the product of CAGE 78710. A technical review in support of a potential LTC was performed in January 2021. The NSNs were determined to be suitable for an LTC at that time by SAPD’s product specialists. The product specialist certified on 01/26/2021 that the technical information, including the AMC/AMSC codes and approved source, is complete and accurate.

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

[X] The acquisition will be synopsized on or about 06/01/2021 for 15 days. At the completion of the synopsis period, this acquisition will be solicited on the Internet for a minimum of 30 days via the DLA Internet Bid Board System (DIBBS).

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

This will be a five-year, firm fixed price, indefinite delivery indefinite quantity type contract. The five-year period is inclusive of one (1) two-year base period and three (3) 1-year option periods. As such, the price analysis for the future years will be based on the Global Insights Producer Price Index (PPI) forecasts. The Global Insights PPI forecast provides timely, accurate price and cost analysis, and historical records for thousands of commodity prices and wages around the globe, allowing procurement professionals to understand supplier cost structure and better negotiate supplier quotes.

Based on the results of market research, the buyer anticipates receiving only one offer of the sole approved manufacturer’s part, from the approved manufacturer’s authorized Government distributor.

Adequate price competition is not expected to exist at time of evaluation of proposals. The buyer anticipates using comparison to past reasonable purchases (adjusted for passage of time and quantity sensitivity), in addition to comparison to commercial market prices for potentially similar items, to support a reasonableness determination.

8. Market Research/Efforts to Obtain Competition:

DLA Land and Maritime conducted various forms of market research including the publishing of a formal Sources Sought notice and market survey to www.beta.sam.gov. The approved OEM and one distributor were contacted by the sourcing strategy specialist and contracting officer regarding interest in a potential LTC. Neither Triumph Controls, LLC nor Triman Industries, Inc. provided completed survey documents to either the sourcing strategy specialist or the contracting officer.

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Sources Sought Notice:

On 03/08/2021, a Sources Sought notice was posted to www.beta.sam.gov, which also contained attached market survey documents. The date of return referenced on the sources sought notice was 03/23/2021. That sources sought notice contained the list of NSNs. As of 05/12/2021, no sources responded to the notice.

Market Research Conclusion:

A market survey was conducted: 01/11/2021 – 05/07/2021 Names of vendors contacted and responding:

CAGE 78710 / Triumph Controls, LLC – did not respond directly.

CAGE 0ZBE8 / Triman Industries, Inc. – responded.

Techniques used to conduct survey: E-mail, telephone.

Types of information requested: Commerciality, Length of Contract, FOB, Delivery & General information questions.

Summary of information received:

1. CAGE 0ZBE8 / Triman Industries, Inc. indicated the following:

i. POC

ii. All nine parts are active and procurable.

iii. They are quoting as the exclusive Government distributor for Triumph Controls, LLC

/ 78710.

iv. Lead times would be evaluated at time of solicitation issuance.

v. Estimates for option years/outyears are often difficult.

Information received regarding the commerciality of the item(s): MM03 COTS field for all nine NSNs does not have an entry, indicating the technical community has not made any recommendation to determine the items commercial. Triman Industries, Inc. / 0ZBE8 and Triumph Controls, LLC / 78710 both consider these items to be commercial in nature. The contracting officer researched these items in Google. These specific part numbers were not found to be available for purchase by the public. The higher-level assembly these items are used on, a remote manual valve actuator (RMVA), is used in non-Governmental applications in the gas and oil industry, the nuclear power generation industry, and in the petrochemical industry. An RMVA works to allow an operator to operate hard-to-reach valves in inaccessible or hazardous environments. This RMVA unit has slight modifications made to address its usage within Naval ships. Those modifications are necessary to meet the Government’s requirements within the weapon systems (Naval ships) using the item, but do not change the purpose of the part.

Therefore, the contracting officer has determined that this item meets the FAR Part 2.101 definition of a “commercial item” under (3)(ii), and the acquisition will be conducted under FAR Part 13.5, Acquisition of Certain Commercial Items. Finally, the NSNs are not listed on any GSA Federal Supply Schedules.

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.

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10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) Triman Industries, Inc. / 0ZBE8.

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

[X] The solicitation contains DLAD Procurement Notes L04, Offers for Part Numbered Items, and M06, Evaluation of Offers for Part Numbered Items.

[X] The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future actions for this item to be competitive.

12. None of the previous acquisitions appearing in the NSNs’ purchase history were estimated above the simplified acquisition threshold and do not have any previous justification and approvals for the contracting officer to review.

Approvals appear on the next page.

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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.

Carol M. Bucher Date Contracting Officer

APPROVAL/CERTIFICATION

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

Competition Advocate Date Signature

APPROVAL REQUIREMENTS

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

Attachments:

Tech Cert CM21011005

Digitally signed by

BUCHER.CAROL.M.1267565690

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, cn=BUCHER.CAROL.M.1267565690

05/24/2021

HOPSON.LILLI

.A.1230127324

Digitally signed by

HOPSON.LILLI.A.1230127324

Date: 2021.06.01 09:27:13 -04'00'

06/01/2021