JA63021cSPE7M224R0012.pdf

CUI

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M224R0012

Controlled by: DLA Land and Maritime Controlled by: Land and Maritime/ FMVC

CUI Category: PROCURE/SSI Distribution/Dissemination Control: FED ONLY

POC: Susan.Lupo@dla.mil

DLA Land & Maritime Justification for Other Than Full & Open Competition (March 2023)

[ 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/services on other than a full and open competition basis.

3. The proposed action is for solicitation and award of a Firm, Fixed Price (FFP) contract with no options. The supplies required to meet the using activity’s needs are described as follows:

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

Purchase Tape Assy 1710-00-045-7162 80 - 120 C

Identify end item, weapon system, or class of item: This NSN 1710-00-045-7162 is described as a Purchase Tape Assembly for the 82N Aircraft Launch and Recovery (ALRE) and is part of the arresting gear for shipboard aircraft recovery operations. The item is a Critical Safety Item (CSI) and has a special procedures category code of (01). This item will be solicited for a Firm-Fixed-Price (FFP) contract for 80 each with no options, but with quantity ranges up to 120 each.

ESTIMATED BASE VALUE 80 EA

MAXIMUM CONTRACT VALUE (With the Inclusion of Ranges) 120 EA

4. The statutory authority permitting other than full and open competition is:

[ x ] 10 U.S.C. 3204(a)(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 (83219) Murdock Webbing Company, Inc., is the only approved source listed by NAVAIR. NAVAIR (80020) is the design activity for the drawings. The sources listed by NAVAIR on their Technical Data Requirements (TDR) document are the only manufacturers that have the appropriate manufacturing expertise and quality capabilities. Although the government possesses drawings for this part, it is necessary to limit competition to those companies with engineering source approval by the design control activity. Part number 510534-8-920SP is a NAVAIR assigned part number for this NSN. The approved sources download the most current drawings and quote referencing the part number. Over the past 30-plus years, aircraft have continued to increase in weight, while many of the ALRE systems and components have not undergone significant redesign to accommodate these higher energy loads In response, NAVAIR established the ALRE Flight Safe Program, which governs the life-cycle management of ALRE Critical Safety Items (CSI) and Critical Application

SOLICITATION SPE7M224R0006

CUI Category: PROCURE/SSI

Items (CAI). These items, as determined by NAVAIR, are essential to weapons system performance and the preservation of life and the safety of operational personnel. ALRE CSI and CAI are identified in the DLA Enterprise Business Systems (EBS) Material Master, Classification Tab, CIM sub-tab, with a Special Procedures Code (SPC) of “01.” NAVAIR designates ALRE items as CSI or CAI through the Navy Joint Deficiency Reporting System, which feeds the code (SPC-01) into EBS. Technical Data Requirements (TDR) containing a list of approved sources, as designated by NAVAIR and NAVSUP, are required for all such items. When an ALRE item is coded SPC-01, DLA procures as instructed per the TDR from the list of approved sources in accordance with NAVAIRISNT 13800.18A. It is essential to the integrity of the ALRE Flight Safe Program and critical to naval aviation safety that DLA only procure the product of an approved source.

It has been demonstrated that CAGE (83219) Murdock Webbing Company, Inc., has the unique and proven manufacturing capabilities to establish and maintain the process controls to manufacture this item and are the only sources known to possess the manufacturing knowledge and capability to produce the item to required quality standards. The components being acquired under this solicitation have been classified as “critical” requiring engineering source approval by Naval Air Systems Command (NAVAIR). Only those companies who have submitted requests for source approval and have been approved will be eligible for award. Any manufacturers that are not approved by NAVAIR will be required to submit a Source Approval Request (SAR) Package for the Navy ESA to approve for future procurements.

In addition, NAVAIR INST 4200.56 states the following regarding sources. Per references (a) and (g), a CSI shall be purchased or repaired and/or overhauled only from sources approved by the Technical Authority (TA).

References are as follows: (a) Public Law 108 136, Sec. 802, Quality Control in Procurement of Aviation Critical Safety Items and Related Services and (g) SECNAVINST 4140.2.

On January 29, 2024 the Product Specialist, certified that the technical information, including the AMC/AMSC coding of 3/C is complete and accurate. (See Attached FAR 6.303-2 (c) Supporting Data Certification)

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

CUI Category: PROCURE/SSI 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. The weapon system indicator code is F “failure will render end item inoperable”. As such, acquisition from the currently approved sources is required to maintain the quality of the part.

Pursuant to the engineering and design activity, Naval Air Systems Command (NAVAIR) the sources cited in paragraph 5 have the appropriate knowledge, manufacturing expertise and quality capabilities to supply this NSN.

This is a flight critical safety item and in accordance with DFARS 209.270, DLA must procure this item only from those sources approved by the design control activity.

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

[ X ] A Sources Sought notice was posted to SAM.gov/Contract Opportunities on January 26, 2024 for five (5) business days with an attached market survey. The Sources Sought notice produced no response. The acquisition will be synopsized on or about March 18, 2024 for 15 days to SAM.gov/Contract Opportunities. The solicitation will then be posted to DIBBs for 30 days.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. A price analysis will be conducted with usage of the BLS Producer Price Index (PPI) and the learning curve analysis to include the data from past awards in which the price was found to be fair and reasonable. Offerors may be required to submit Other Than Cost or Pricing Data pursuant to FAR 15.403-3 to support price analysis. Certified Cost or Pricing Data is not required as the current estimated value does not exceed the threshold of $2 Million, FAR 15.403-4.

However, the solicitation/award will include the clauses/provisions prescribed for Certified Cost or Pricing Data, in the event that the total value of award will exceed $2 Million.

8. Market Research/Efforts to Obtain Competition:

Market Survey [10 U.S.C. 3204(e)(2)(D)]: The most recent procurement was reviewed in Records Management.

Past procurement market research shows no indication of interest for this item from alternate sources, nor did the past solicitations produce alternate proposals or quotes. A Sources Sought notice was posted to SAM.gov to assist the buyer in preparing a beneficial solicitation. Market research was conducted via a survey sent to CAGE (83219) Murdock Webbing Company.

Total number of vendors contacted: One (1)

CUI Category: PROCURE/SSI

Names of vendors contacted and responding: CAGE (83219) Murdock Webbing Company, Inc., responded.

Techniques used to conduct survey:

• Posted a Sources Sought January 26, 2024, for 5 business days with an attached market survey to Sam.Gov/Contract Opportunities.

• Use of previous market surveys

• Internet Search.

Types of information requested: Business size, estimated price and delivery, economical quantities, commerciality, purpose and function, and capability to provide Certified Cost and Pricing Data.

Summary of information received:

Murdock Webbing Company, Inc., CAGE 83219:

Murdock is a small business manufacturer with 195 employees and has been the sole provider for the Purchase Tape Assembly.

Item is not commercially sold and not on a GSA Schedule.

Information received regarding the commerciality of the item(s): This is exclusively used for the ALRE, Catapult and Arresting Gear. Review of Material Master indicates that this NSN has an AMC/AMSC rating of 3/C, and the “Commercial Off the Shelf” box in MM03 is blank. An internet Google search was conducted and while this NSN is listed on multiple Government part resale sites, there is no pricing shown. No true commercial sales websites for this NSN were found. The item does not appear on GSA Advantage. Market research was conducted using an internet search and the technical information provided by the Product Specialist do not identify this item as commercial. There is no evidence that this NSN is available on the commercial market nor is it of a type customarily used by the general public or by non-governmental entities for purposes other than government or military purposes as defined in FAR 2.101. The contracting officer, after review of all the information provided regarding commerciality of the item, has determined that this item is non-commercial thus FAR 15 procedures will be utilized.

CUI Category: PROCURE/SSI

9. Additional facts supporting other than full and open competition are:

[ X ] Other: (Explain) This is a Critical Safety Item with a Special Procedures Category (SPC) code of “01”.

Naval Air Systems Command, Lakehurst (NAVAIR) is the design control activity and determines which manufacturers capable of producing the item to its CSI requirements. The components being acquired under this solicitation have been classified as “critical” requiring engineering source approval by Naval Air Systems Command (NAVAIR). Only those companies who have submitted requests for source approval and have been approved will be eligible for award. Any manufacturers that are not approved by NAVAIR will be required to submit a Source Approval Request (SAR) Package for the Navy ESA to approve for future procurements.

10. A listing of sources, if any, indicating an interest in the acquisition is: CAGE (83219) Murdock Webbing Company, Inc.

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

[ X ] Other (Explain) The solicitation will post to the DLA DIBBs website for 30 days. Any manufacturers or vendors who would like to pursue source approval will receive Source Approval guidance for submission to the design activity, NAVAIR, and the DLA Competition Advocate’s Office. The data presently available reflects the minimum needs of the Government. The solicitation will include DLAD Procurement Notes L04 and M06.

12. A J&A from the most recent award, SPE7M223R0003, is attached.

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 Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification: $

Competition Advocate Signature Date

WIEBUSCH.JAMIE.125

1897324

Digitally signed by

WIEBUSCH.JAMIE.1251897324

Date: 2024.03.18 15:58:44 -04'00'

POE.HERMAN.LEE.J

R.1214625691

Digitally signed by

POE.HERMAN.LEE.JR.1214625691

Date: 2024.02.27 08:31:42 -05'00'

CUI Category: PROCURE/SSI

APPROVAL REQUIREMENTS

[ x] Up to $750,000 Contracting Officer

[ x ] Over $750,000 to $15,000,000 Competition Advocate

Attachment(s):

1. FAR 6.303-2 (c) Supporting Data Certification

2. Previous J&A SPE7M223R0003