MHE Shore Assets JA 13 July 2022-2 Redacted.pdf

J&A N0. N102D22Q2198

JUSTIFICATION AND APPROVAL (J&A)

FOR OTHER THAN FULL AND OPEN COMPETITION

Upon the basis of the following justification, I, as Competition Advocate, hereby approve the use of other than full and open competition for the proposed contractual action described below pursuant to the authority cited herein:

1. Contracting Activity:

Military Sealift Command (MSC) N10

2. Description of the Action Being Approved:

Material Handling Equipment (MHE) services (Maintenance and Repairs) for Weight Testing and Certification in support of Military Sealift Command (MSC) Headquarters ashore assets using Brand- Name materials.

3. Description of the Supplies/Services:

MSC has an immediate requirement for the maintenance, repair, weight test and certification of ninety-three (93) Hyster forklifts at its Bldg. LP-26 location in Norfolk, VA. This requirement must use Original Equipment Manufacturer (OEM) parts in order to comply with Hyster’s Class IV and V warranty for its Industrial Trucks. There are an additional forty-eight (48) minor MHE assets covered in this requirement that will not require OEM parts. The total value of this requirement is $XXX. The amount that applies to the Brand-Name approval level is $XXX

4. Statutory Authority Permitting Other than Full and Open Competition:

IAW 10 U.S.C. 3204(c)(1) as implemented by FAR 6.302-1(c)(i)(ii), (for Department of Defense (DoD), National Aeronautics and Space Administration (NASA), and the Coast Guard), if only a portion of the acquisition is for a brand-name product or item peculiar to one manufacturer, the justification and approval is to cover only the portion of the acquisition which is brand-name or peculiar to one manufacturer. The justification should state it is covering only the portion of the acquisition which is brand-name or peculiar to one manufacturer, and the approval level requirements will then only apply to that portion. The approval level only applies to the $XXX Hyster portion of this requirement.

The funding for Fiscal Year 22 (1 Oct 2022 - 30 Sep 23) and the appropriations will be O&MN funds issued through an individual firm fixed price contract.

5. Rationale Justifying Use of Cited Authority:

Hyster maintains a Class IV and V Warranty on all of its Industrial Trucks whereby it mandates the use of OEM in all of its repairs and services. Additionally, there are service control modules that require proprietary software to program and install on each of the Hyster assets. The service providers must also have the ability to access Hyster’s proprietary software programs in order to remove and reinstall these service modules on the Hyster assets. There are several known service providers capable of providing the service using Brand-Name materials to support this requirement.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practical:

Market research consisted of internet searches for businesses capable of providing the required services.

Additionally the selected NAICS was searched on the Dynamic Small Business Search (DSBS) website https://web.sba.gov/pro-net/search/dsp_dsbs.cfm. An internet search on a list of possible vendors provided by the customer was conducted. One (1) large business has certified OEM mechanics to work on the Hyster forklifts but was no longer current in Sam.gov. Four (4) identified vendors were small businesses and capable of performing the service using OEM parts. There was one (1) small business that has a five (5) year MHE repair service IDIQ contract through NAVSUP FLC-Norfolk. However, that contract has insufficient ceiling to support this requirement. Four (4) small businesses have provided MHE maintenance, repair, weight test and certification services to MSC in the past using Brand-Name OEM parts.

7. Determination of Fair and Reasonable Cost:

The Contracting Officer will determined the anticipated cost to the Government of the services covered by this J&A will be fair and reasonable once proposals are received.

8. Actions to Remove Barriers to Future Competition:

For the reasons set forth in Paragraph 5, MSC will compete all service requirements using Brand-Name OEM part, if required, for the types of services covered by this document. If another potential source emerges, MSC will assess those sources as potential sources of supply and service.