JA63021cSPE7M220P2006.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M220Q0307

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)

[ 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 a full and open competition basis.

Simplified acquisition Procedures are being used in accordance with FAR 13.5.

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

BRIEF DESCRIPTION NSN/P/N QUANTITY EST. VALUE AMSC

DEHUMIDIFIER,

DESICCANT, ELECTRIC

4440-01-190-6213 91 to 100 EA Z

Identify end item, weapon system, or class of item: 4440-01-190-6213 is described as a Honeycomb Desiccant Rotary Dehumidifier used on /with main reduction gear, submarine hatch and surface craft. Item is used by the Navy for Weapon System 21N, Nuclear Reactors Program. Item is only manufactured by CAGE 82974 Munters Corporation DBA Munters, P/N GC-150 D30116.

ESTIMATED BASE VALUE:

ESTIMATED TOTAL VALUE: w/Quantity Ranges up to 100 EA

A J&A for the previous buy is not found in Records Management. The J&A for SPE7M216M1486 is attached.

Product Specialist of record conducted a review during the market research phase, and AMC/AMSC is 3Z. The Product Specialist confirmed on June 18, 2020 via SRM technical referral that the desiccant dehumidifier, NSN 4440-01-190-6213 is coded as a commercial of the shelf (COTS) item. The unit is used to control the air in large areas containing electrical equipment, military equipment and food storage. The item is used on ships, in hotels and other commercial buildings. Even though the item is coded as (COTS), the PS did not provide salient features or explanation as to the Navy’s reasons for procuring from Munters without a 339 referral to the ESA. The Government cannot pursue Equal or Brand Name (FAR 52.211-6) at this time.

While the Product Specialist was able to provide the characteristics/features, these are incomplete for purposes of an item description of brand name or equal, and more information from the ESA on characteristics and features is needed in order to pursue BNOE. A 339 request to the ESA to obtain additional information has been submitted. The request is also to ascertain what makes this item from Munters necessary to the military customer.

The information provided by the Product Specialist for part number GC-150 D30116 is cited below.

Features for Military and Commercial Customers:

Characteristics of this NSN that are essential to the end user:

- Efficient humidity control for applications including product drying, mold and mildew control, corrosion protection, storage and condensation control

- Durable unitized body with welded aluminum construction

- Easy access panel for inspection and maintenance

- Simple ductwork connections

- Compact, low profile design

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)

Features that are essential to the end user:

- Process Air: flow rates of 125-150 scfm at 2" ESP. Nominal moisture removal: 2-4 lbs/hr. Capable of processing saturated, conditioned or outside air.

- Reactivation Air: flow rates of 40-50 scfm at 0.2" ESP.

- Electrical Controls: continuous automatic operation with motor starters, control relays and overload protective devices.

- Drive System: simple drive belt arrangement, few moving parts.

- Rulon air seals: separate process and reactivation air. Minimum leakage. 5 year life expectancy.

- Process, Reactivation and Booster Fans: centrifugal, direct drive totally enclosed non-ventilated.

- Dehumidifier Housing: process and reactivation air flow insulation. Blower motors and controls isolated from air streams. Volume control dampers for process and reactivation air streams. All welded aluminum cabinet.

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. If restricted to the only source(s) of supply, include source(s) and CAGE code: CAGE 82974 Munters Corporation DBA Munters, P/N GC-150 D30116. At this time, CAGE 82974 Munters is the only known manufacturer. Information on essential/unique characteristics is available from local Product Specialist. A 339 had been sent in 2018 in which the Navy responded that the item is manufactured to a drawing that belongs to Munters. The complete part number is GC-150 D30116. The D30116 references the Munters drawing for the humidifier. The Navy requires that the unit must pass navy shock and vibration tests. Much of the construction process is patented.

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 is based on:

AMSC Z. This part is a commercial/nondevelopmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid.

Manufacturer catalogs exist, but an interchange catalog was not available. See paragraph 8.

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

[X] The acquisition will be synopsized on or about July 13, 2020.

[X] Other. (Explain) Will be posted to the DLA Internet Bid Board System (DIBBs) for interested parties.

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

The most recent procurement was in November of 2018 for 125 units. A fair and reasonable price will be awarded after review of offers and the use of a PPI and Learning Curve Analysis calculation. Other than cost and pricing data may be required to determine price fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

A Sources Sought notice was posted to Beta.Sam.gov on June 19, 2020 and closed on June 26, 2020 with an attached questionnaire, titled “13.5 Market Research Questionnaire”. Two (2) responses were received from

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018) needs of the Government. Any vendor supplying an alternate Cage and Part Number will require a Source Approval Request (SAR) Package.

[ x]Other: (Explain) Action has been taken to overcome barriers to competition. A 339 will be referred to the ESA to determine if this item can be rescreened for less restrictive coding and or to include salient characteristics.

10. A listing of sources, if any, indicating an interest in the acquisition is: 82974 Munters, (0BJV1) Logis-Tech and 768R4 B&H International.

11. The following actions are being taken to identify additional sources:

[ X ] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items [ X ] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items [ X ] Other: 339/ESA Referral as an action to overcome barriers to competition.

[ X ] Other: Will request a Source Approval Request Package from any interested alternate sources.

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.

James E. Duffala/Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ x] Up to $700,000 Contracting Officer

[ x] $700,000 to $13,500,000 Competition Advocate

[ ] $13,500,000 to $93,000,000 Head of Contracting Activity (HCA)

[ ] over $93,000,000 Senior Procurement Executive (AQ) (DLA General Counsel signature line required when sending to AQ)

DUFFALA.JAMES.E.12

30229100

Digitally signed by

DUFFALA.JAMES.E.1230229100

Date: 2020.08.03 07:42:52 -04'00'

HOPSON.LILLI

.A.1230127324

Digitally signed by

HOPSON.LILLI.A.1230127324

Date: 2020.08.03 16:22:56 -04'00'

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)