Justification for Other Than Full Commercial SPE7L123Q0222 REVIEWED_Redacted12.pdf

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SHAFT, DRIVE, FLEXIBL NSN: 3040-01-594-2439
Solicitation number
SPE7L123Q0222
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This document is a justification for a sole source contract award. The Defense Logistics Agency Land and Maritime will acquire 90 each of shaft drives flexibles, National Stock Number 3040-01-594-2439, from Woodward HRT, Inc. for an estimated $11,110 per unit. According to the justification, Woodward HRT, Inc. is the only company capable of providing these parts as the government does not possess the required technical data and it is not economically feasible to reverse engineer the items or develop the data for full and open competition. The agency conducted market research including contacting one vendor, reviewing past procurement history showing consistent pricing, and posting a sources sought notice with no other sources identified. The contract was awarded sole source on April 27, 2023 for an unknown amount to an unknown vendor.

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CUI

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L123Q0222

CUI

DLA Land & Maritime Justification for Other Than Full & Open Competition

(October 2020)

[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 on other than a full and open competition basis.

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

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

SHAFT,DRIVE,FLEXIBL 3040-01-594-2439 90 EA D

End item, weapon system, or class of item: AIRCRAFT, EAGLE F-15 Estimated base value:

Estimated base value (Base + Options): N/A

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.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

WOODWARD HRT, INC. 81873 P/N 3151-835

The use of the authority cited below:

AMC "3” Items found to be procured from the actual mfgr or vendor, including a prime contractor who is the actual mfgr.

AMSC "D" The data needed to acquire these parts 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. Stratus Systems is the only company at this time that can provide these parts since it is not economically feasible for the government to reverse engineer the items at this time. Based on all available information provided to the Contracting Officer, no other source can provide this item.

Product Specialist, , confirmed the technical certification on 11.28.22:

This item is an AMC/AMSC of 3/D. This item supports the F-15 Aircraft, IS a critical application item, and IS NOT a critical safety item. WOODWARD HRT, INC. 81873 are the only source capable of making this item. The Government DOES NOT HAVE the data or drawings for full and open competition; the approved source(s) are the only source(s) known to possess the required drawings. There ARE NOT currently 339’s out to the ESA (Engineering Support Activity).

(See Attachment 1)

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

The acquisition will be synopsized for 1 days on SAM.gov prior to the solicitation opening. At the completion of the synopsis period the Request for Proposal will be posted on the DLA Internet Bid Board (DIBBS) for 10 days.

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

Past procurement history will be reviewed, and a PPI analysis will be performed. The Contracting Officer will compare the offered prices to the historical prices paid for the item to determine whether the prices are fair and reasonable. This is a definite quantity contract for a base quantity of 90 each. Based upon the above techniques, the Contracting Officer hereby determines that the anticipated cost to the Government will be fair and reasonable.

Controlled by: DLA Land and Maritime:

Controlled by: FLSC CUI Category:

PROCURE Limited Distribution Control:

FED ONLY POC: Thomas.Duffey@DLA.mil

SOLICITATION SPE7L123Q0222

CUI

DLA Land & Maritime Justification for Other Than Full & Open Competition

(October 2020)

8. Market Research/Efforts to Obtain Competition:

Market research consisted of review of past procurements, market surveys received from interested parties, Market surveys were sent to WOODWARD HRT, INC. 81873 on NOV 25, 2022 with a respond by date of Dec 1, 2022.

Total number of vendors contacted: 1. Names of vendors contacted and responding: 1

Procurement history:

The most recent buy for this NSN was on 11/2022. Solicitation number SPE7L321P0651 was awarded to WOODWARD HRT, INC. 81873 at $11,110.00 per unit. This price was determined Fair and Reasonable based on comparison to purchase history and was coded BB. There have been 28 purchases for this NSN since 06/2018. Previous purchases have all been consistent from 14 to 30 each. Per unit prices has been relatively stable ranging between 0 to 0 since 06/2018. Per WOODWARD HRT, INC. 81873 survey received on December 1, 2022 an order quantity sensitive matrix was given. Qty (1-4) higher, for Qty (5-9) higher, Qty 10-24 higher. It is determined since 2018 the price per unit has decreased about since 06/2018. This is a DLA direct item. In order to determine the cost as fair and reasonable, Price Analysis will be calculated using past procurement history, a Learning Curve and PPI. If additional analysis is needed for the fair and reasonable determination, support will be sought from the Pricing Office. Negotiations procedures may be used pending price analysis results and competition. Length of contract: A firm-fixed price contract will be issued.

Commercial Determination:

Market research did yield readily available published catalog price lists, schedules were found and other form of commercial pricing that are regularly maintained and updated by a manufacturer or vendor that are available to the general public for inspection there is evidence of sale prices at which sales were made. General public is interpreted as individuals using such parts in a non- governmental or military capacity. Product Specialist, , confirmed the technical certification on 11.28.22 while doing so reviewed NSN 3040-01-594-2439 and determined it to be commercial of a type.

WOODWARD HRT, INC. 81873 filled out a Market Survey questionnaire and in the return email, dated 11.30.2022 attached multiple documents detailing why it was a commercial of a type of item. These items are attached to the MRCDM to support commercial of a type of item. Lastly, the last purchase for NSN 3040-01-594-2439 SPE7L321P0651 was awarded as commercial under FAR Part 13.5. Synopsis will state that based upon market research, the Government is using the policies contained in FAR Part 13.5. Therefore, the Contracting Officer determines this item to be commercial of a type and will solicited using FAR part 13.5 Simplified Procedures for Certain Commercial Items in accordance with 41 U.S.C.

1901.

A sources sought notice was posted on SAM.gov from 11/24/2022 to 12/01/2022. No responses from sources sought.

Market Survey [10 U.S.C. 2304(f)(3)(D)] A market survey was conducted on: NOV 26, 2022 Techniques used to conduct survey: SAM.gov and e-mail and phone correspondence

Types of information requested: Business size, manufacturer or dealer, price breaks, commerciality, estimated delivery, and quantity sensitivity

Total number of vendors contacted: 1

Names of unresponsive vendors:

N/A

Names of vendors and summary of information from responses:

WOODWARD HRT, INC. 81873 filled out a Market Survey questionnaire. .

SOLICITATION SPE7L123Q0222

CUI

DLA Land & Maritime Justification for Other Than Full & Open Competition

(October 2020)

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.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state)

WOODWARD HRT, INC. 81873

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

Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items

12. DFARS PGI (Procedures, Guidance and Information) 206.303 and 206.304 state that justifications citing the authority at FAR 6.302-1 to permit the use of other than full and open competition shall include a copy of a previous justification. Last buy was completed under 13.5 will attach pervious J&A. Solicitation was originally started as a FAR Part 15 after solicitation closed it was completed under Far 13.5.

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

Competition Advocate Date

APPROVAL REQUIREMENTS

[ X ] Up to $750,000 Contracting Officer [ X ] Over 750,000 to 15,000,000 Competition Advocate

ATTACHMENTS (S): 1. Memorandum For Record Technical Data Supporting Certification

2. Pervious J&A

WHITING.MONIC

A.L.1378381815

Digitally signed by

WHITING.MONICA.L.137838181

Date: 2022.12.15 06:38:52 -05'00'

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2022.12.15 08:14:56 -05'00'

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