JA SPE7MX22R0014 Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX22R0014

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 for a firm-fixed-price Indefinite Quantity Contract (IQC) on other than a full and open competition basis. This is necessary because the Government either lacks complete technical data required to manufacture the supplies or must restrict sources due to the criticality of the part. The rationale specific to these items is detailed by their Acquisition Method Suffix Code (AMSC) as stated below in paragraph 4.

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

ITEM NSN Item Name ADQ Standard Price

Estimated

ADV UNIT AMC AMSC

1 4820015181255 VALVE,FLOW CONTROL 578 EA 3 D

2 4820015184270 REGULATOR,COMPRESSED GAS 94 EA 3 D

3 4820016541850 VALVE,REGULATING,FL 47 EA 3 C

ESTIMATED BASE (3 YEAR) VALUE:

MAXIMUM CONTRACT VALUE:

The items are used on the following Weapon System Designator Code (WSDC) platforms:

NSN WSDC LONG_NAME

4820015181255 17N AIRCRAFT, HAWKEYE E-2C

4820015181255 40N HELICOPTER, SEA KNIGHT H-46

4820015181255 44N HELICOPTER, LAMPS MARK III, SH-60B

4820015181255 48N HELICOPTER, UTILITY/SEARCH AND RECOVERY UH-1N

4820015181255 52N TA-4J AIRCRAFT

4820015181255 55N AIRCRAFT, HARRIER AV-8B

4820015181255 58N AIRCRAFT, HERCULES C-130F

4820015181255 59N AIRCRAFT, HERCULES KC-130

4820015181255 63N AIRCRAFT, ORION P-3

4820015181255 BPN AIRCRAFT, C-2A (REPROCURED)

4820015181255 C4N HELICOPTER, H1 ALL VERSIONS

4820015181255 CPN HELICOPTER, ADVANCE ATTACK, AH-1W

4820015181255 EEN E2/C2 ALL SERIES AIRCRAFT

4820015181255 ERN HELICOPTER, CARRIER BASED ASW, SH-60F

4820015181255 ESN HELICOPTER, SEARCH AND RESCUE, HH-60H

4820015181255 ETN HELICOPTER, USCG SEARCH AND RESCUE, HH-60J

4820015181255 MBN CONSOLIDATED GROUND SUPPORT EQUIPMENT

4820015184270 17N AIRCRAFT, HAWKEYE E-2C

4820015184270 40N HELICOPTER, SEA KNIGHT H-46

4820015184270 44N HELICOPTER, LAMPS MARK III, SH-60B

4820015184270 48N HELICOPTER, UTILITY/SEARCH AND RECOVERY UH-1N

4820015184270 52N TA-4J AIRCRAFT

4820015184270 55N AIRCRAFT, HARRIER AV-8B

4820015184270 58N AIRCRAFT, HERCULES C-130F

4820015184270 59N AIRCRAFT, HERCULES KC-130

4820015184270 63N AIRCRAFT, ORION P-3

4820015184270 BPN AIRCRAFT, C-2A (REPROCURED)

4820015184270 EEN E2/C2 ALL SERIES AIRCRAFT

4820015184270 ERN HELICOPTER, CARRIER BASED ASW, SH-60F

4820015184270 ESN HELICOPTER, SEARCH AND RESCUE, HH-60H

4820015184270 ETN HELICOPTER, USCG SEARCH AND RESCUE, HH-60J

4820015184270 MBN CONSOLIDATED GROUND SUPPORT EQUIPMENT

4820016541850 JDN ARLEIGH BURKE CLASS DDG

4820016541850 TEN MK 32 SURFACE VESSEL TORPEDO TUBES (SVTT)

4820016541850 YRN FMS - BUILD FRIGATES CLASS SHIPS

4. The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1) -available from only one or a limited number of sources. Currently, there is only one approved manufacturing source for the NSN items:

NSN CAGE CAGE COMPANY NAME PART NUMBER

4820015181255 13669 TESCOM CORPORATION VAC1VB99999-051

4820015184270 13669 TESCOM CORPORATION 20-1012-CM12-029

4820016541850 13669 TESCOM CORPORATION 26-1064-34-907

The use of the authority cited above is supported by the following Acquisition Method Code (AMC) and Acquisition Method Suffix Code (AMSC) of each NSN, which was confirmed as complete and accurate by the Strategic Acquisitions Program Directorate (SAPD) Product Specialist on 7/21/2021 during the technical review of the NSNs for placement on this long-term contract initiative.

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

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.

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.

5. The source listed in the table above in paragraph 4, confirmed by the SAPD Product Specialist 7/21/2021 during the technical review of the NSNs for placement on this long-term contract initiative, is currently the only source with the necessary qualifications, ability, and approval to manufacture the items. The listed source is the only source that possess the complete technical data, rights to the data, and capability necessary to manufacture the items for the required form, fit, function, and quality.

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 issuance of solicitation.

The solicitation will be posted to DIBBS.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. Price analysis will be conducted using historical pricing, the Producer’s Price Index (PPI), and a learning curve analysis. Offerors may also be required to submit information other than certified cost or pricing data if deemed necessary by the Contracting Officer 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:

A Sources Sought Notice was posted 9/16/2021 for seven days to beta.SAM.gov. Vendors were requested to provide the name, location, and points of contact for any sources able to manufacture the items to the acquisition specialist listed in the announcement. In addition, a market survey was attached to the Sources Sought Notice for interested vendors to complete and return.

Potential sources would be added to the solicitation mailing list. No responses were received.

Market Surveys were sent to the manufacturing source Tescom Corp. and seven dealers appearing in the procurement history:

COMPANY NAME CAGE MARKET SURVEY RESPONSE

TESCOM CORP 13669 Not Interested - Go through dealer Chase Supply CHASE DEFENSE PARTNERS 1RZM1 Interested – Completed and Returned Survey PROCTOR, STANLEY M COMPANY 7A368 No Response TNL SALES 1XLG2 No Response LARKOS PACKING AND DISTRIBUTION 6PZL1 Not Interested – Tescom quotes through Chase Supply NEW ERA CONTRACT SALES 0FA68 Not Interested – Mfg. will only hold price 30 days.

T AND T PRODUCTS 78HR2 No Response HOWCO DISTRIBUTING 5E074 No Response

Chase Supply, Inc. DBA Chase Defense Partners, CAGE 1RZM, is the only company that responded with interest and completed the market survey. The survey was completed by its Program Manager, Ross Fielding and returned 7/21/2021. A summary follows:

Small business dealer for Tescom Is interested in an LTC with

Items are commercial

The Acquisition Specialist contacted Chase Supply 9/13/2021 requesting supporting information and data regarding the commerciality of the items since none was provided with its market survey response. The contractor provided brochures, an internal price list, and old sales invoices for each part for a quantity of one each. The invoices were from 2016, 2017, and 2018. The contractor had no other invoices, nothing more recent, or for more quantity. Two invoices had information related to Government contracts, an NSN reference and a DFARS reference.

Additional research was also conducted by the acquisition specialist as indicated in the bullets below.

Researched item on-line via the internet for commercial availability. The items were not found for sale on the internet or on the GSA Advantage website.

Reviewed Technical Guidance Information (TGI) in the Material Master (MM). The NSNs were not identified as a commercial item in the MM.

Contacted the Product Specialists (PS) of record for the items regarding commerciality of the items. Responses were that items are not considered commercial.

Reviewed previous procurements of the item for acquisition method and any commerciality determinations: the items have all been previously purchased under small purchase procedures, below SAT, without any commercial review or determination.

Based on the market research, the Contracting Officer has not determined the items to be commercial and they will be procured 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 NSNs included on this solicitation were provided to the DLA Land & Maritime Value Management (VM) Unit and the Strategic Acquisition Programs Directorate (SAPD) Product Specialist for review; no additional sources were identified during those reviews, and all means to obtain a technical data package adequate for manufacture of the items has been exhausted.

10. A listing of sources, if any, indicating an interest in the acquisition: Chase Supply, Inc., CAGE

1RZM1.

11. The items are subject to the following methods of locating additional sources in an effort to overcome barriers to competition:

The solicitation will contain DLAD Procurement Notes: L04-Offers for Part Numbered Items and M06-Evaluation of Offers for Part Numbered Items. Offers for alternate products may be submitted in response to the solicitation and may be considered for the current or future procurements.

Forecast information is available to all potential sources for both sole source and competitive items. The DLA Supplier Requirements Visibility Application (SRVA) is a database that is available via the DLA internet Bid Board System (DIBBS.) SRVA provides potential sources the opportunity to search for information on DLA’s anticipated requirements based on updated monthly forecasts. Essentially it provides 24 months of sole source and competitive projected purchase order quantities. Potential alternate sources for current sole source items can easily see DLA’s forecasted procurements and can contact the Value Management Unit to become approved sources for sole source and code and part number items. The DLA Land & Maritime Value Management Unit continually seeks out sole source, limited competition, over-priced, low reliability and hard to buy items to improve their value and support posture. The DLA Land & Maritime internet website contains information for all potential sources on how to challenge prices, how to submit a Value Engineering Change proposal, a link to DoD’s Value Engineering program and the necessary contact info for both the DLA Value Engineering program and the DoD Value Engineering program.

12. Recent procurements of the items were conducted under SAT procedures and did not require justification for other than full and open competition.

CONTRACTING OFFICER CERTIFICATION:

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 Signature & Date

APPROVAL/CERTIFICATION:

I have reviewed and approve this justification:

Competition Advocate Signature & Date

10/26/2021

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2021.10.29 12:38:22 -04'00'

APPROVAL REQUIREMENTS:

( ) Up to $750,000 Contracting Officer

(X ) $750,000 to $15,000,000 Competition Advocate

Attachments:

1. Technical Certification