JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY USS INDIANAPOLIS (LCS 17) SERM 005-26 RCC 2N (redacted).pdf

J&A Number: N40027_26_0001

DEPARTMENT OF THE NAVY

SOUTHEAST REGIONAL MAINTENANCE CENTER

CONTRACTS DEPARTMENT

P.O. BOX 280057

NAVAL STATION MAYPORT

JACKSONVILLE, FL 32228-0057

J&A Number: N40027_26_0001

CODE: 320

Contract: N4002726F0015

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

JUSTIFICATION

1. Contracting Activity.

The agency is the Naval Sea Systems Command (NAVSEA). The contracting activity is the Southeast Regional Maintenance Center

(SERMC).

2. Description of the action being approved.

This is a new work Request for Contract Change (RCC) to firm fixed price delivery order N40027-27-F-0015, issued under IDIQ/MAC N00024-21-D-4462 to Tecnico Corporation (JAX), to accomplish Main Deck and Above preservation on the Superstructure, Main Mast and the Port and Starboard Weather decks onboard USS INDIANAPOLIS (LCS 17).

3. Description of supplies/services.

The Government has an urgent need to accomplish immediate preservation to the Main Deck and Above on the Superstructure, Main Mast and the Port and Starboard Weather decks on USS INDIANAPOLIS (LCS 17). USS INDIANAPOLIS is currently in a CMAV, SSP SERM-005-26, with a period of performance from . The work item to be added, 631-11-001 (RCC 2N), will be performed during the existing contract delivery period of 005-26 with a 2-month extension ( ).

The total estimated value of the new work, RCC 2N, is . The proposed and agreed upon period of performance is .

4. Exception to the fair opportunity process and supporting rationale.

The authority which permits exception to fair opportunity is FAR 16.505(b)(2)(i)(A) – The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays. The ordering process, as called out under the FY24 IDIQ MAC Contract, allows orders to be issued non-competitively but must be supported by documentation as required by FAR 16.505(b)(2)(i). The requirements were sole sourced to TEC since they were awarded this delivery order and have the capacity to perform and finish the work requirements within the agreed period of performance.

The following supports the exception to fair opportunity:

In an effort to retard corrosion and to minimize visual detectability of all FREEDOM Class LCS ships, COMNAVSURFLANT (TYCOM) has directed all Mayport based LCS ships to conduct topside preservation during their next planned maintenance availability.

The Contractor currently contracted to perform the CMAV, Tecnico Corporation (JAX), has previously accomplished similar work, and has direct access to the suppliers of the required manpower and material resources. The scope and nature of the work, combined with the need to deconflict with previously planned activities in the CMAV, necessitates that all tasks be performed by a single prime contractor.

Therefore, the schedule risks associated with the time required to provide fair opportunity to other eligible MAC contractors on the IDIQ, and the subsequent time for another contractor to plan to accomplish work with the required support services, does not support the successful completion of top side preservation in support of INDIANAPOLIS’s mission.

5. Determination that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer determined the price fair and reasonable using the Independent Government Estimate, Technical Advisory Reports and by comparison to historical prices paid.

Additionally, the base IDIQ MAC for the anticipated delivery order was competitively awarded with established ceiling labor rates, including material and subcontractor burden rates. The Contracting Officer will use those rates to negotiate a fair and reasonable price.

6. Other facts supporting the justification for the exception to the fair opportunity process.

Schedule and planning of the preservation are the limiting factors in providing fair opportunity for INDIANAPOLIS’s superstructure preservation. The delay associated with providing fair opportunity for the INDIANAPOLIS preservation could result in unfulfilled commitments and could place the Ship and Crew in jeopardy.

7. Actions, if any, the agency will take to remove or overcome any barriers that led to restricted consideration before any subsequent acquisition for supplies and services is made.

As the root cause for the exception to fair opportunity was unforeseen preservation requirements, there is not a specific barrier to remove. Analysis of the causes of the additional requirements may determine a course of action to prevent corrosion from occurring in other ships but it is premature to assume.