N0040618Q0191_JA-PHILADELPHIA_GEAR_N6275818RCUS832_redacted.pdf

J&A Number: 2018-027

Source Selection Information - See FAR 2.101 and 3.104 Rev 10/2015

CONTROL NUMBER 2018-027

PR#: N6275818RCUS832

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION under Simplified Procedures for Certain Commercial Items (FAR Subpart 13.5)

1. Contracting Activity.

NAVSUP Fleet Logistics Center Puget Sound (FLC PS)

2. Description of Action Being Approved.

This is a new contract action for a firm fixed price supply type contract for brand name bearings in support of the U.S. Naval Ship Repair Facility (SRF) Yokosuka, Japan.

This urgent acquisition requires that all requested supplies be procured only from the following manufacturer or one of their distributors:

Timken Gears & Services DBA Philadelphia Gear 12935 Imperial Highway Santa Fe, Springs, CA 90670

3. Description of Supplies/Services.

This requirement is for the delivery of fourteen (14) different bearings and fourteen (14) Connector Assemblies manufactured by Philadelphia Gear. The items are needed in order to repair the main reduction gears of a naval vessel.

The estimated dollar value of this procurement is . The estimated dollar value of brand name items represents one hundred percent (100%) of the entire requirement. The SRF & JRMC has submitted FY18 O&M, N funds in support of this requirement. Delivery is required as soon as possible, but no later than 15 May 2018.

a) Supplies: Philadelphia Gear is the OEM of the parts required to complete repairs to the main reduction gear (MRG) of a naval vessel. As the OEM only Philadelphia Gear can provide the compatible components needed to repair the MRG which also eliminates any risk of mismatch or rework. The following parts will be acquired:

Part Number Item Name Dimensions Type Quantity Unit of Issue

959E440G-2 Bearing 24x20, 3Lobe 1 EA

959E439G-2 Bearing 24x20, 3Lobe 1 EA

959E442G-2 Bearing 12x12, Elliptical 1 EA

959E442G-3 Bearing 12x12, Elliptical 1 EA

959E442G-8 Bearing 12x12, Elliptical 1 EA

959E442G-9 Bearing 12x12, Elliptical 1 EA

959E441G-3 Bearing 12x5.5, Elliptical 1 EA

959E441G-6 Bearing 12x5.5, Elliptical 1 EA

DEPARTMENT OF THE NAVY

REGIONAL CONTRACTING DEPARTMENT

NAVSUP FLEET LOGISTICS CENTER PUGET SOUND

467 W STREET

BREMERTON, WASHINGTON 98314-5120

(b) (5)

Rev 10/2015

959E441G-7 Bearing 12x5.5, Elliptical 1 EA

959E441G-4 Bearing 12x5.5, Elliptical 1 EA

4051G47G-4 Bearing 10x5.5, Elliptical 1 EA

4051G47G-5 Bearing 10x5.5, Elliptical 1 EA

4051G54G-2 Bearing 8.5x4, Pressure Groove 1 EA

4051G51G-3 Bearing 8.5x4, Pressure Groove 1 EA

2057G44-1 Connector, Assembly NA NA 14 EA

b) Services: No services are required.

4. Statutory Authority Permitting Other Than Full and Open Competition.

41 U.S.C. 1901 – A sole source acquisition under the authority of the simplified acquisition procedures for certain commercial items, as implemented by FAR 13.501(a).

5. Rationale Justifying Use of Cited Statutory Authority.

Philadelphia Gear is the OEM of the required bearings and connector assemblies needed to repair the main reduction gears of the vessel and has confirmed that the drawings and information needed to manufacture these items are proprietary and will not be released to the Government. Therefore, Philadelphia Gear is the only source for the required supplies. There are no other known manufacturers that can currently provide the required items. OEM parts are therefore required to ensure system integrity.

Use of any other manufacturer’s parts could cause the main reduction gear to prematurely fail and risk the safety of the ship and personnel. The failure of these components would jeopardize the ship’s ability to stay at sea and perform its mission. Therefore, Philadelphia Gear’s parts are the only acceptable parts that can be used with the existing systems and components. Fourteen (14) different Philadelphia Gear bearings and fourteen (14) connector assemblies are required in order to make necessary repairs to the MRGs of a naval vessel. The main reduction gears control propulsion of the vessel.

Contract award is required urgently because replacement of MRG bearings was not included in the original Selected Restricted Availability (SRA). At the time the SRA was initiated there was no plan or requirement for the bearings to be repaired. During the SRA metal fragments were found in gear oil samples. Further analysis of the fragments indicated that the MRG bearings needed to be replaced. At that time the ships force located existing supply stock and placed and urgent requisitions. Unfortunately, once the ships force began receiving and inspecting the requested parts they determined that the majority of them were either incorrect or unserviceable. At that point, the only remaining option was for the SRF & JRMC to place an urgent request for contractual procurement (NAVCOMPT FORM 2276).

Further delay in the delivery of the required parts risks an extension of the existing SRA which would result in a delay to follow-on SRAs for other naval vessels and sea trials. It is critical that the required items be expedited in order to complete the repairs allowing the vessel to support the fleet and fulfill its missions.

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

Market research indicates that only the proposed brand name bearings and connector assemblies are compatible with existing components on the vessel. The proposed contract will neither be synopsized nor posted to the NECO website due to the urgency of the requirement. Instead, this requirement will be solicited orally directly to Timkin Gears and Services, Inc. DBA Philadelphia Gear.

Rev 10/2015

7. Determination of Fair and Reasonable Cost.

The contracting officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

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

9. Contracting Point of Contact.

The contracting points of contact for this contract are, Charles Seipt, NAVSUP FLC PS Contract Specialist, 360-476-0267, charles.seipt@navy.mil and Austin Carter, NAVSUP FLC PS Contracting Officer, 360-476-0844, austin.carter@navy.mil.