Justification for Other Than Full and Open Competition.pdf

August 2020

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SIMPLIFIED ACQUISITION PROCEDURES (SAP) FAR 13.106-1(b)

SOLICITATIONS MAY BE LIMITED TO ONE SOURCE ONLY IF THE CONTRACTING OFFICER DETERMINES THAT ONLY ONE SOURCE IS REASONABLY AVAILABLE. THIS DETERMINATION MUST BE SUPPORTED WITH FULL JUSTIFICATION FOR SOLE SOURCE FROM THE CUSTOMER. WHEN THE CUSTOMER DESCRIBES AN ITEM WITH A PURCHASE DESCRIPTION WHICH LIMITS THE AVAILABILITY TO ONE SOURCE, THE JUSTIFICATION MUST EXPLAIN WHY THE ITEM IS THE ONLY ONE THAT WILL MEET THE GOVERNMENT’S REQUIREMENT. STATEMENTS SUCH AS "ONLY KNOWN SOURCE" OR "ONLY SOURCE WHICH CAN MEET THE REQUIRED DELIVERY DATE" ARE INADEQUATE TO SUPPORT A SOLE SOURCE PURCHASE. Do not use marketing language in this document. Language such as “This company has made its mark,” “This company is recognized as industry’s best,” and “This company is the leader in…” is unacceptable.

PURCHASE REQUEST OR REQUISITION

NUMBER

2022179-GN01

PROJECT/TASK

NUMBER

ESTIMATED AMOUNT (Over Micro- Purchase Threshold, but up to the SAT)

$140,757.65

IDENTIFICATION OF THE AGENCY AND THE CONTRACTING OFFICE, AND SPECIFIC IDENTIFICATION OF THE DOCUMENT AS A “JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION.” PLEASE CITE THE

AUTHORITY AND TYPE OF JUSTIFICATION.

The United States Coast Guard (USCG), Aviation Logistics Center (ALC), Engineering Services Division (ESD) anticipates the award of a firm-fixed price purchase order on a sole source basis. This justification for other than full and open competition is submitted for approval in accordance with (IAW) Federal Acquisition Regulation

(FAR) 6.303-1(a) using the authority in FAR 6.302-1(b) – only one responsible source and no other supplies or services will satisfy agency requirements.

BRIEF DESCRIPTION OF SUPPLIES OR SERVICES REQUIRED, AND THE INTENDED USE.

The USCG intends to purchase the items shown in the table below on a sole source basis directly from the

Original Equipment Manufacturer (OEM) – Olympus America Inc. (CAGE Code 1KY21), hereinafter referred to as Olympus.

Description

Quantity

Local/National Stock Number (L/NSN)

Part Number (PN)

Industrial Videoscope Kit 5 each 6650-01-HS3-6081 K90000455

The Industrial Videoscope Kit features an advanced type of borescope that houses a fiber-optic rod attached to a camera that transmits images from the rod to a display screen and can be articulated for viewing. The Videoscope allows technicians to view and inspect hard-to-reach places on USCG aircraft engines and other airframe components, to include the Outer Flap Assembly on HC-144 aircraft.

UNIQUE CHARACTERISTICS THAT LIMIT AVAILABILITY TO ONLY ONE SOURCE, WITH THE REASON NO OTHER

SUPPLIES OR SERVICES CAN BE USED.

The Industrial Videoscope Kit manufactured by Olympus is a highly sophisticated and complex piece of equipment comprising a large number of interconnected parts and components. This Kit is the only borescope on the market suitable for use by the USCG to conduct comprehensive inspections and take precise stereo measurements of defects. The Videoscope provides stereo measurements of distance between two points;

perpendicular distance between a point and a user-defined line; orthogonal depth/height distance between a point and a user-defined plane; and area/line measurements of multiple point circumference and area. The Industrial

Videoscope Kit conforms to United States Military Standard MIL-STD-810G: Environmental Engineering

Considerations and Laboratory Tests, including Test Method 511.6 for Explosive Atmosphere. The Kit is also compliant with MIL-STD-461G; Requirement for the Control of Electromagnetic Interference Characteristics of

Subsystems and Equipment so it is suitable for shipboard use. This same model of Videoscope with a 6-foot probe is currently in use at all USCG Air Stations. The Videoscopes to be acquired feature a 12-foot probe which allows easier inspection of HC-144 aircraft.

As the OEM, Olympus owns all rights to the technical data, specifications, and drawings required to manufacture the Videoscope as well as all of the service manuals, etc. required for their repair and maintenance. The rights to the technical data necessary in order to acquire these items or have these items serviced from sources other than the OEM are not owned by the Government and it has been determined that it is uneconomical to purchase these rights.

August 2020

A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT QUOTATIONS OR OFFERS ARE SOLICITED FROM AS MANY

POTENTIAL SOURCES AS PRACTICABLE (INCLUDE YOUR MARKET RESEARCH EFFORTS HERE).

Market research was conducted using both Government and commercial sources. This included querying the following information systems and web sites: Defense Logistics Agency (DLA) Federal Logistics Information

Service (FLIS); Department of Defense Electronic Mall (DoD EMall); the General Services Administration’s

(GSA) on-line purchasing service – GSA Advantage!®; Inventory Locator Service e-marketplace (ILSmart);

internet search engines; and the OEM’s web site. These items are not available from any mandatory Government source IAW FAR 8.002 or from any non-mandatory sources IAW 8.004.

Olympus does not sell the Industrial Videoscope Kits through any authorized distributors. IAW FAR 5.101(a)(1), a combined synopsis/solicitation will be posted to the Governmentwide Point of Entry (GPE), the Contract

Opportunities section of the web site at www.sam.gov. All responsible sources may submit a capability statement, proposal, or quotation which shall be considered by the agency.

REASON THAT SUGGESTED SOURCE IS THE ONLY SOURCE WHICH CAN PROVIDE THE SUPPLIES OR SERVICES.

USCG Aviation Engineering has assigned this item an Acquisition Method Code (AMC) of “3” IAW Volume 10, Table 71 of DoD 4100.39 (series). An AMC of “3” indicates that the item shall be acquired directly from the actual manufacturer, whether or not the prime contractor is the actual manufacturer.

The USCG currently employs these same Videoscopes at all Air Stations except that they are equipped with the shorter, 6-foot probe instead of the 12-foot probe required for the HC-144 aircraft. These probes are hard-wired and can only be removed, switched, or replaced by the OEM due to the highly sophisticated and precise nature of this equipment.

As the OEM, Olympus the rights to the technical data, specifications, and drawings required to manufacture and service these Industrial Videoscope Kits. Olympus has not licensed the rights to the technical data required to manufacture or service these Kits. Therefore, there are no other sources capable of manufacture.

EXPLAIN WHY AN ADEQUATE PURCHASE DESCRIPTION OR OTHER INFORMATION SUITABLE TO SOLICIT BY FULL

AND OPEN COMPETITION HAS NOT BEEN DEVELOPED OR ARE NOT AVAILABLE.

The Government does not own or possess any rights to the relevant technical data, specifications, manuals, and drawings required to develop an adequate purchase description. In addition, the Government has not developed the technical data required to reverse engineer this equipment and has no plans to do so. It has been determined that it would be uneconomical for the Government to either purchase the data rights or to develop the technical data necessary to develop an adequate purchase description for the manufacture or servicing of the Industrial

Videoscope Kits.

PROVIDE A STATEMENT OF ACTIONS, IF ANY, THE GOVERNMENT MAY TAKE TO REMOVE OR OVERCOME ANY

BARRIERS TO COMPETITION BEFORE FUTURE ACQUISITIONS ARE REQUIRED.

As previously stated, the Government does not own or possess any rights to the service manuals, technical data, performance specifications, or drawings required to manufacture or service these items. This has prevented the

USCG from being able to provide an adequate technical description to potential new sources. Therefore, it is difficult to take steps to foster competition when the service manuals, calibration, performance, and testing data are proprietary to the OEM.

SIGNATURE AND TITLE OF CUSTOMER CODE TELEPHONE NUMBER DATE

xxxxxxxxxxxxxxxxxxxxxxxxxxxxx

Steve Durhamxxxxxxxxxxxxxxxxx

Item Manager – ESD, PLBxxxxxx

(252) 335-6571

08/04/2022

SIGNATURE OF CONTRACTING OFFICER CODE TELEPHONE NUMBER

DATE

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

Gary S. Woolardxxxxxxxxxxxxxxxxx

Contracting Officer – ESD/IODxxx

(252) 335-6834 xxxxxxxxxxx http://www.sam.gov/