JA USS ZUMWALT Boat Handling Device_FINAL.pdf

DEPARTMENT OF THE NAVY

SOUTHWEST REGIONAL MAINTENANCE CENTER

3755 BRINSER ST STE 1

SAN DIEGO, CA 92136-5299

J&A Number: N55236230065 Code:410B Sol Number: N5523622R0011 Date: 21 JUNE 2023 Work Item: 583-11-002

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING ACTIVITY

Southwest Regional Maintenance Center (N55236), Contracting Department Code 410B, 3755 Brinser Street, Suite #1, San Diego, CA 92136-5299.

2. DESCRIPTION OF THE ACTION BEING APPROVED:

This justification seeks approval to solicit a sole source requirement for a direct replacement of a transfer device assembly (Part No. 08000507) in support of the USS ZUMWALT (DDG-1000). The part is manufactured by Jered LLC Brunswick, GA 31525.

3. DESCRIPTION OF SUPPLIES/SERVICES:

The Southwest Regional Maintenance Center (SWRMC) requires a direct replacement part for the USS transfer device assembly, a highly specialized part. The USS ZUMWALT will be undergoing repair and maintenance in FY-24 Dry-docking Selected Restricted Availability (DSRA) from . The required delivery date for the transfer device assembly is 122 weeks after the acceptance order. The total estimated value of this acquisition is $1,741,571.39. Funding for the subject parts will be OPN FY23.

4. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN COMPETION

10 U.S.C. 3204(a)(1): the property or services needed by the agency are available from only one responsible source or only from a limited number of responsible sources and no other type of property or services will satisfy the needs of the agency.

5. RATIONALE JUSTIFYING USE OF CITED STATUTORY AUTHORITY

The original equipment manufacturer (OEM) is Jered LLC. Jered LLC supplied the parts and components to the original shipbuilder. Jered LLC holds the proprietary rights, patents, and copyrights to all materials, drawings, and equipment associated with these materials and is the only source for these parts and components. The specific replacement part must be compatible in all aspects (form, fit, and function) with the existing equipment presently installed; therefore, the parts must be procured directly from Jered LLC.

Jered LLC is the OEM for the specific boat handling transfer device assembly needed. As the sole provider for the transfer device assembly to the building yard Bath Iron Works, they have the engineering in place to meet this requirement. To attempt to procure this part from any other source would result in substantial duplication of costs to the Government that could not be recovered through competition because the Government would be required to purchase an entirely new transfer device assembly. Cost savings would not result from full and open competition to avoid the proprietary nature of the current configuration.

The Navy conducted a market survey through a Sources Sought notice in regards to this requirement to identify and locate additional possible sources that can provide the required part. The market survey found that Jered LLC is the only company that can produce and supply the transfer device assembly.

J & A Number: N55236230065

6. DESCRIPTION OF EFFORTS MADE TO SOLICIT OFFERS FROM AS MANY OFFERORS AS

PRACTICAL:

The Sources Sought notice was posted to SAM.gov website on 12 June 2023 with a closing date of 19 June 2023 required by FAR 6.303. No responses were received before the notification closed.

Jered LLC has verified that they do not have any authorized distributors. Due to the proprietary nature of this material and prior purchase history there is no reasonable expectation of obtaining proposals from vendors other than the OEM, Jered LLC.

7. DETERMINATION OF FAIR AND REASONABLE COST:

The contracting officer has determined that the anticipated cost to the Government of the supplies covered by this J&A will be fair and reasonable. Contractor will provide a price list for the supplies required and prior sales history for the same items so that a more detailed review of pricing can be performed to ascertain the reasonableness of the current offered pricing.

8. ACTION TAKEN TO REMOVE BARRIERS TO COMPETITION:

For the reasons set forth in Paragraph 5, SWRMC has no plans at this time to compete future contracts for the types of supplies covered by this document. If another potential source emerges, SWRMC will assess whether competition for future requirements is feasible.

J & A Number: N55236230065