MEPS One-Time Buy JOTFOC_ Fully Redacted.pdf

is concurrently pursuing the follow-on to 70Z04020D56750B00, a

Requirements-type contract for the overhaul and supply of MEPS Generators and

ACUs utilized across various USCG platforms, including the 45’ RB-M assets.

The follow-on requirement has an estimated $7.3 million value and resulting review threshold of the PAAC, which can potentially cause delays in award. So even though there will be an option to purchase the 10kW Generators and 8kW

ACUs on the follow-on contract, due to stock shortages for these parts, it is in the Government’s best interest to pursue a One-Time Definitive Contract in addition to the follow-on contract.

3. Description of Supplies/Services.

The requirement is for the supply of MEPS 10kW Generators and 8kW ACUs. The vendor will provide new, genuine OEM parts that will be preserved, packaged and marked in accordance with government specifications. No aftermarket parts will be accepted.

CLIN Description OEM Part Number Unit Quantity

0001 8kW ALTERNATING CURRENT

UNIT (ACU)

8806124-300 EA 80

0002 10kW GENERATOR, ENGINE

ACCESSORY

7102252-00 EA 50

4. Identification of Statutory Authority Permitting Other Than Full and Open

Competition.

The statutory authority permitting other than full and open competition is 10 U.S.C. § 3205 implemented by FAR Subpart 13.501(a) sole source (including brand name) acquisitions as defined in FAR 2.101.

5. Identification of Exception to the Buy American Act.

Exception is not applicable – parts are U.S. Manufactured.

6. Demonstration that the Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Require Use of the Authority Cited.

Mobile Electric Power Solution (MEPS), located in Garland, TX is the OEM for the required MEPS 10kW Generators and 8kw ACUs. These MEPS Generators and ACUs are the only authorized systems configured for the USCG 45’ RB-M platforms. The USCG does not possess the technical data necessary to support a competitive solicitation for non-

OEM replacement for the MEPS Generators and ACUs, nor is the USCG aware of any alternative supplier of compatible Generators and ACUs. These data rights were not acquired when these vessels were first designed and built. Due to this limitation, the

USCG must procure OEM parts because the necessary data rights cannot be provided to industry to allow for non-OEM parts to satisfy the USCG’s requirement. Moreover, the

USCG cannot evaluate alternative solutions due to the lack of the necessary data rights; the

USCG cannot verify the compatibility of alternative solutions to the parts that are currently installed on the 45’ RB-M vessels. During previous acquisitions, the USCG has offered to purchase the data rights necessary to promote full and open competition, however Mobile

Electric Power Solutions, Inc. has declined at each instance.

These are considered critical items per FAR 46.101. Failure to procure the required MEPS

Generators and ACUs will hinder the Coast Guard’s ability to replenish stock shortages which would, in turn, prevent the Coast Guard from being fully mission ready.

Based on the results of the market research effort, the only company that can provide OEM

Generators and ACUs is the OEM, Mobile Electric Power Solutions (MEPS).

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many

Potential Sources as is Practicable.

In effort to identify potential alternative sources, as well as to notify industry of the

Government’s intent to solicit as a sole source requirement, a Notice of Intent to Solicit as

Sole Source, 70Z04025Q51400B00, was posted to SAM.gov on 10/22/2024 and closed

11/04/2024. The notice advised industry that it was the Government’s belief that only

Mobile Electric Power Solutions, the OEM, possessed the necessary technical data to successfully manufacture these parts and ensure form, fit, and function. The notice allowed fifteen (15) calendar days for potential sources to demonstrate their capability to supply these parts to OEM specifications. No responses were received.

8. Determination by the Contracting Officer that the Anticipated Cost to the

Government will be Fair and Reasonable.

The Contracting Officer (KO) will determine that the anticipated price(s) will be fair and reasonable based on comparison with the Independent Government Estimate (IGE), which was created using historical data from the OEM.

9. Description of Market Research.

Market research, as prescribed in FAR Part 10, was conducted by the Contracting Officer’s

Representative (COR) between August 2024 and December 2024 to identify sources that can satisfy this requirement. In order to identify additional sources, Notice of Intent to Solicit as

Sole Source was posted to SAM.gov on 10/22/2024 and closed 11/4/2024. No responses were received. APFS Record F2025068401 was published on 10/7/2024 and did not yield any additional sources.

The COR conducted extensive research by reviewing historical purchases and the Federal

Stock System, as well as using his own knowledge and experience with the OEM and the current contract requirements. In a letter provided by the OEM to the Government on

03/06/2024, MEPS stated that they are “the sole source provider of [the required] belt-driven generator systems.” In an effort to obtain the technical data to allow for a competitive acquisition, the Government sent a Request for Data Rights Letter to MEPS on 10/18/2024, which was denied. While other generators and ACUs may exist within the commercial marketplace, the Government does not possess the necessary technical and engineering data and drawings required to determine if these alternate sources can adhere to the OEM specifications and standards to ensure form, fit, and function within the existing systems.

From the results of market research and information provided by the OEM, it is anticipated that only the OEM can effectively respond to the solicitation requirements once it is posted.

10. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

The Government does not have the technical data rights to share technical data and the complete technical data package necessary to manufacture of replacement parts, which could be used to compete the production of replacement parts. Also, because the Government does not possess the full technical data package, it would be impossible for us to evaluate any submission to determine if that complies with this requirement.

It is highly unlikely that the Government would recover the cost of obtaining the technical data package through competition because it would be expensive for other contractors to create the tooling and develop the manufacturing process that would provide similar products. Also, it is highly likely that the process of obtaining data rights, paying for the data and competing for manufacture of replacement parts would engender significant delays.

11. A Listing of the Sources, if Any, that Expressed, in Writing, an Interest in the

Acquisition.

Mobile Electric Power Solutions, Inc.

2623 National CIR

Garland, TX 75041-2316

UEI: V3LJZKQJ51J8

Small Business

12. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any

Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services

Required.

Mobile Electric Power Solutions Inc. owns the proprietary technical data rights for the required MEPS Generators and ACUs that would be required to compete and evaluate as a full and open competition. The USCG sent a letter to MEPS on 10/18/2024 requesting permission to obtain the technical data package for these OEM parts. MEPS has stated that they are unwilling to provide this information to the USCG, or any other Government

Agency. For future requirements, the USCG will continue to engage the OEM for release of the complete technical data package prior to any subsequent acquisition.