JA6.302-1SPE7L520D5001.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L520RX003

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 an 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 this item is detailed by its 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:

NSN ITEM

UNIT ADQ UNIT

PRICE ADV AMSC

2510-01-479-0997 PARTS

KIT,FIFTH WHE EA 312 D

ESTIMATED BASE (3 YEAR) VALUE:

ESTIMATED TOTAL (4 YEAR) VALUE (BASE + 1 ONE YEAR OPTION):

MAXIMUM CONTRACT VALUE:

The item is used on the following weapon systems: 73A, TRUCK, M-915 SERIES, M-916A1 (LET). Short name is M-915 Truck.

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. At this time there is only 1 approved manufacturing source: CAGE 74410, HOLLAND USA INC.

The use of the authority cited above is supported by the following Acquisition Method Code (AMC) and Acquisition Method Suffix Code (AMSC) of the NSN; which were confirmed as complete and accurate by the Land Product Specialist on 9-11-19 during the technical review of the NSN for placement on this long term contract initiative.

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

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 below, confirmed by the DLA Land and Maritime Product Specialist on /date/, during the technical review of the NSN for placement on this long term contract initiative, is currently the only source with the necessary qualifications, ability, and approval to manufacture the item. Product Specialist confirmed via email that CAGE 74410, HOLLAND USA

INC, is the only entity that possesses the technical data necessary to manufacture this part. This is due to one or more of the following:

( ) The item is a Critical Part; therefore manufacturing sources require ESA approval.

At this time, the listed source is the only source approved by the ESA.

(X) The listed source is the only source that possesses the complete technical data, rights to the data, and capability necessary to manufacture the item for the required form, fit, function and quality.

(X) The Government either has no data, inadequate data, and/or lacks rights to the data needed to acquire this part from additional manufacturing sources. At this time, only the source listed possesses the complete data and rights to the data.

(X) The above is also supported by the information stated in the item’s applicable AMSC of ___D____.

Source:

NSN Description Approved

CAGE

Company Name Approved

Part Number

2510-01-479-0997 PARTS KIT,FIFTH WHE 74410 HOLLAND USA INC RK-331-1

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

The acquisition will be synopsized in Federal Business Opportunities at least 1 day prior to issuance of solicitation.

The solicitation will be posted to DIBBS for 15 days.

Dealers of the approved manufacturing sources will be solicited.

Product Specialist sent a 339 to the ESA on 11-7-19 in order to overcome barriers to competition. The case number was DSCC-FL-20-05388. ESA findings are included.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. A 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 included: Researching items on-line via the internet for availability, commerciality, and features; pulling previous procurements of items and determining previous acquisition methods; determining vendor interest in long term contracting for the items; researching/gathering info regarding commerciality of the items; vendor size and business status information; delivery; base year and option years; optimal lengths, and possible price/cost advantages.

Market research consisted of review of past procurements, market surveys received from interested parties, and internet sources. Market Research efforts show that this item has been purchased multiple times by DLA and has a relatively stable pricing history. Market research began with the analysis of prior procurements and their respective acquisition strategies. Market research in accordance with FAR Subpart 12.1 was conducted to determine the commerciality of this item.

DLA Land and Maritime’s Product Specialist indicated this item is commercial.

A review of the DLA Product Master Classification indicated that this is not a Commercial-Off-The-Shelf item which was confirmed by the ESA. The item is only available from one approved source as identified above. However, the approved part number searches on the internet yielded useful pricing information on the P/N.

Procurement history:

A Sources Sought Notice was posted to www.fbo.gov on August 15, 2019 for this specific item. The posting remained open until August 22, 2019. Vendors were requested to provide the name, location, and points of contact for any sources able to manufacture the item to the acquisition specialist listed in the announcement. No responses were received.

Market Surveys were sent out on August 15, 2019.

o Techniques used to conduct survey: E-mailed correspondence.

5. Daimler (64678) - Large Business Manufacturer – Did not respond to market survey.

6. SAF Holland (74410) – Large Business Manufacturer – Did not respond to market survey.

Buyer researched the Material Master, MM03, and coordinated with the Product Specialist.

o Commercial.

i. The Product Specialist indicated this item is Commercial. However, this item does not meet the definition of a COTS item per ESA.

ii. Contract specialist consulted with the product specialist who reached out to the ESA. Per Product Specialist:

1. Material’s “purpose is a Fifth Wheel Pad Replacement for semi-trailer hook up.”

2. Item is a “Replacement lube plate insert kit for Holland LowLube fifth wheels.”

Per Market research, approved part number is specifically designed for the following Holland Fifth Wheels:

” FW33 LowLube, FW31 No Lube, and FWAL Aluminum LowLube.”

LowLube and No Lube technologies are associated with the manufacturer, Holland, who developed these technologies per market research.

iii. Per PS and ESA: the characteristics were essential to the end user for the following reasons:

1. “Low maintenance” which reduces valuable time spent on this task

2. “These are the lube plates that reduce friction when hooking up trailers to the fifth wheel attachment on the truck”—essential for the smooth operation of the vehicle.

iv. When asked why no other commercial item can meet these essential requirements, the ESA “recommended buying the true OEM part for these.

We do not have any other information to provide, as these are not generic pads. These fit a specific set of Holland fifth wheels and are not commercial off the shelf generic lube plates that can be cut to size.”

v. Per ESA: “If there is a vendor interested in being approved as a source under this NSN, that company will have to submit a similar item Source Approval Request through the TACOM Competition Management Office.”

vi. In regards to Brand Name or Equal specification based on salient characteristics readily available in the commercial marketplace, the Product Specialist referred the matter to the ESA who stated: “This parts' technical data is fully owned by SAF Holland, and engineering does not have any characteristics and specifications for this part to provide to DLA.” Therefore, Purchase Order Text cannot be provided to develop Brand Name or Equal;

see also second bullet point in this section.

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 NSN included on this solicitation was provided to the DLA Land & Maritime Value Management (VM) Unit and DLA Land and Maritime Product Specialist for review; no additional sources were identified during those reviews. A previous approved source, Daimler (CAGE 64678), is no longer providing this material per Product Specialist.

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

o Worldwide Equipment Inc (3HVN9) – Large Business Dealer o CBT Corp (4N361) – Small Business Dealer o Badger Truck Center (06YZ5) – Small Business Dealer

11. This item is subject to the following methods of locating additional sources in an effort to overcome barriers to competition:

The solicitation will contain DLAD Procurement Note: L04-Offers for Part Numbered Items.

The solicitation will contain DLAD Procurement Note: M06-Evaluation of Offers for Part Numbered Items.

12. Previous J&A not available in Records Management for SPM7LX09D7136.

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 $700,000, this signature serves as the approval.

Contracting Officer Date

APPROVAL REQUIREMENTS

(X) Up to $700,000 Contracting Officer

TUBBS.JOHN.

D.1076026684

Digitally signed by

TUBBS.JOHN.D.1076026684

Date: 2019.11.29 09:45:01 -05'00'