N00174_FY26-DEC29-24.pdf

J&A Number:

The Government�s minimum needs have been verified by the certifying technical and requirements personnel.

4. Statutory Authority Permitting Other Than Full and Open Competition

10 U.S.C. 3204(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority This is a follow-on acquisition from previously awarded sole source contract N0017421P0145 approved under the authority of J&AFY21-FEB11-31. MESH, Inc. is the original equipment manufacturer (OEM) and the owner of the MCAD system technology.

This proprietary product is a unique design that requires comprehensive knowledge of the technology. A copyright and proprietary data limits competition. As the OEM, MESH, Inc., has the unique expertise and access to proprietary data needed to service and maintain the MCAD systems. No other vendor has the knowledge or permission to service these systems. Additional research through email contact with the OEM representative has shown that there are no distributors available worldwide with only MESH, Inc. providing service and sales within the United States.

The representative has verified that this product is not available from distribution/resellers. It is sold direct from the company and only serviced by the company which is unwilling to sell the rights to the Government.

Open competition or redesign will present tremendous risk to the capability of the MCAD sensor array, with a likely potential to degrade operational availability for extended periods of time. If one MCAD system is rendered unrepairable, the replacement cost of one system will be approximately $300,000, with replacement of the full array and spare parts costing upwards of $2,400,000.

Inability to procure maintenance service from MESH, Inc. could produce an unacceptable vulnerability in the CBR Sensor System, which is a critical life safety system. Additionally, redesign or a contract re-compete of this system will cause an unacceptable delay of approximately 6-12 months, based on the original system integration timeline. The impact would result in the CBR Sensor System being placed in a non-operational status which would result in additional vulnerabilities.

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

J&A Number:

To further broaden market research and to satisfy the requirements of DFARS PGI 206.301-1(d), a Sources Sought notice was posted on SAM.gov website on 12 December 2025. No responses were received.

The Government also synopsized the proposed contract action on 13 January 2026 via the SAM.gov website. No responses were received.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined that the anticipated cost to the Government for the services covered by the J&A are fair and reasonable.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, NSWC IHD Contracts Department has no plans at this time to compete future contracts for the types of services covered by this document. If another potential source emerges, NSWC IHD Contracts Department will assess whether competition for future requirements is feasible.

As this is a follow-on for services previously awarded on a non-competitive basis, in accordance with DFARS 206.104-71, the prior J&A was provided to the approval authority for review. Approval of this J&A signifies the approval authority has made the determination required by DFARS 206.104-72.