1.2.2 N6275824RCPS018 J&A FINAL_Redacted.pdf

FAR SUBPART 13.5 SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS – SOLE SOURCE JUSTIFICATION AND APPROVAL

CONTROL NUMBER: 2024-011

REQUISITION NUMBER: N6275824RCPS018

Requiring Activity:

Ship Repair Facility and Japan Regional Maintenance Center – Sasebo

Description of Requirement:

Authority: Simplified Procedures for Certain Commercial Items, 41 U.S.C. 1901 as implemented by FAR Subpart 13.5. Sole-Source Justifications as required by FAR Part 6 and implemented at FAR 6.303-2 IAW 41 U.S.C. 1901 and 10 U.S.C. 3204(a)(1).

Amount:

1. Agency Contracting Activity:

N00406 – Naval Supply Fleet Logistics Puget Sound

2. Description of Action:

Award of a firm-fixed price, commercial, supply type contract, sole sourced to Caterpillar Defense, for Ships Service Diesel Generator (SSDG). The Government projects an award for March 2024, using FY24 O&MN funds.

3. Description of Supplies/Services:

Provide onsite OEM technical support and oversight of engine repairs of Ships Service Diesel Generator (SSDG) CATERPILLAR model 3608 on board

Caterpillar Defense (CAT) has all the original build specifications, qualification data, and proprietary information necessary for repairs, maintenance, and design changes on CAT engines used on Navy ships. Repairs of this complexity are expected to require technical advice and oversight that is beyond the capability of the US Government.

4. Basis for Sole Source

a. Authority Cited: Simplified Procedures for Certain Commercial Items, 41 U.S.C. 1901 (or 41 U.S.C. 1903 for Special Emergency Procurement) as implemented by FAR Subpart 13.5:

Unusual and compelling urgency ☐ Exclusive licensing agreements ☐ Industrial mobilization

☐ Brand Name (Note approval level requirements are applicable only to this portion

FAR 13.501(2)

Other: Sole Source

b. Reason for Authority Cited:

CAT is the designer and Original Equipment Manufacturer (OEM) for the required diesel engines. CAT holds sole proprietary rights to the 3608 SSDG set equipped on the US Navy LPD- 17 class ships. CAT owns the original build specifications, qualification data, and proprietary information necessary to perform for any maintenance, design changes, and oversight required.

Only CAT representatives have the technical knowledge of the specified equipment and are the only representatives able to perform or oversee repairs to the CAT Model 3608 type engines aboard this Naval Vessel. OEM proprietary procedures are required to identify and correct non-conformances, and only CAT can execute repairs and rapidly return naval vessels back to operational status to meet the US Navy’s mission critical needs.

CAT’s technicians are uniquely trained and certified to specific engine lines. In this case, technicians are required to be certified as CAT master mechanics. The training and certifications these individuals receive, coupled with access to their OEM repair procedures, and experience of historic technical information repairing similar vessels, is what makes CAT technicians uniquely qualified to perform the requirements of this contract. CAT does not offer this training or certification to non-CAT employees.

The Navy requires OEM parts for this requirement in order to ensure proper fit, manufacture, function, operation, longevity, and reliability. CAT is the sole owner of the rights to its proprietary design, fabrication, and assembly drawings that support this equipment. Proprietary information includes design dimensional data (e.g. measurements, tolerances, clearances), component surface finishes, component wear limits, manufacturing processes, and repair specifications that are sole property of CAT and not available to the Government or other potential contractors without a contractual agreement with CAT.

Previous contract N0040623C0031 was solicited and awarded on a sole source basis to Caterpillar Defense. Additional market research was performed on the Federal Procurement Data Systems (FPDS) website. Contract Specialist identified 2 recent contracts awarded to the U.S. Coast Guard: 70Z04022P65024B00 and 70Z02323F93230002 Both were solicited and awarded on a sole source basis to Caterpillar, Inc.

5. Efforts to Obtain Competition:

The Contracting Officer shall publish the notices required by FAR 5.201.

6. Actions to Increase Competition:

Market research indicates that Caterpillar INC is the only known source who can provide the required services for the SSDG CAT model 3608. Past SSDG requirements were sole sourced to Caterpillar INC.

7. Market Research:

The required mandatory sources were screened in accordance with FAR Part 8 and FAR Part 10 and are not provided by AbilityOne, GSA, or UNICOR.

The demand for SSDG technical support is recurring and there is currently only one known source for the CAT model 3608. Previous contract N0040623C0031 was awarded on a sole source basis to Caterpillar INC for the same services.

8. Actions to Remove Barriers to Future Competition For the reasons set forth in Paragraph 4, NAVSUP 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, NAVSUP FLC Puget Sound will assess whether competition for future requirements is feasible.

9. Any Other facts supporting the use of other than full and open competition.

Not Applicable

(End of page)

10. Technical Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name: Date:

Title: Signature:

11. Requirements Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name: Date:

Title: Signature:

HUMBRECHT.DAVID.

ALAN.1117837579

Digitally signed by

HUMBRECHT.DAVID.ALAN.111783

Date: 2024.04.03 08:41:44 +09'00'

HUMBRECHT.DAVID

.ALAN.1117837579

Digitally signed by

HUMBRECHT.DAVID.ALAN.11178

37579 Date: 2024.04.03 08:42:15 +09'00'

12. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable.

13. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Typed Name: Date:

Title: Contracting Officer Signature:

Legal Counsel:

Phone:

Typed Name: Signature:

Counsel has reviewed this J&A for legal sufficiency and concurs with the Contracting Officer.

Vivienne Nguyen Assistant Counsel (N03)

NGUYEN.LILY.P

HI.1514584253

Digitally signed by

NGUYEN.LILY.PHI.1514584

Date: 2024.04.03 10:44:58 -07'00'

NGUYEN.VI

VIENNE.AI.1

403936762

Digitally signed by

NGUYEN.VIVIENNE.

AI.1403936762

Date: 2024.04.04 11:48:43 -07'00'