FBO_J A_IMECO.pdf

MILITARY SEALIFT COMMAND NORFOLK

SP64 471 EAST C STREET

NORFOLK, VA 23511-2419

J&A No. N104-TAKE IMECO

CLASS JUSTIFICATION AND APPROVAL FOR USE OF

OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity. Department of the Navy, Military Sealift Command (MSC) - Norfolk.

2. Description of the Action Being Approved. This is a brand name justification for the procurement of replacement parts for the York Refrigeration of Hoejbjerg Demark Cargo Refrigeration System onboard T-AKE class dry cargo/ammunition ships. Authority to act under this justification expires on February 29, 2016.

3. Description of Supplies/Services. MSC Norfolk requires York Refrigeration of Hoejbjerg Demark Original Equipment Manufacturer (OEM) parts for the operation of the Cargo Refrigeration System, Chiller and Condenser Model Number VSB151LE.

There are two (2) Cargo Refrigeration System, Chiller and Condensers on each of the T- AKE class dry cargo/ammunition ships. The only known authorized OEM distributors are IMECO Inc., and Johnson Controls, Inc. The actions executed under this class J&A have an estimated value of approximately , using FY15 and FY16 Operations & Maintenance funds.

4. Statutory Authority Permitting Other Than Full and Open Competition. The statutory authority for commercial procurements greater than $150,000.00 will be Section 4202 of the Clinger-Cohen Act of 1996 as implemented by FAR Part 13.501(a). Section 815 of the National Defense Authorization Act (NDAA) of Fiscal Year 2015 makes this authority permanent. The statutory authority for procurements less than $150,000.00 and for FAR Part 15 procurements will be FAR 13.106-1 and 10 USC.2304(c)(1) as implemented by FAR Part 6.302-1, respectively.

5. Rationale Justifying Use of Cited Statutory Authority. The cargo refrigeration system original equipment manufacturer (OEM) is Johnson Controls, Inc. (formerly York International Refrigeration of Hoejbjerg Denmark) for the T-AKE class dry cargo/ammunition ships. Both Johnson Controls, Inc. and IMECO, Inc. are York International’s United States service representatives and parts distributors. Each has access to the proprietary information and drawings. This includes proprietary rights to the software and programming codes are essential for repair and programming of the alarm sensor set points of the T-AKE cargo refrigeration system.

Only OEM and authorized OEM distributors can supply repair parts for the cargo refrigeration system. Johnson Controls, Inc. and IMECO, Inc. are the only known distributor for cargo refrigeration system parts. Any deviations from OEM repair parts could result in personal injury or equipment failure and damage. Cargo Refrigeration is critical to the CFL inventory management and control of 9M Food products and 1Q Ship

J&A No. N104-TAKE IMECO

Store materials. Without a fully operational cargo refrigeration system, T-AKE class dry cargo/ammunition ships are unable to achieve MSC Strategic Priority 1, “ships ready for tasking.”

MSC did not acquire the proprietary information and technical data rights beyond general arrangement drawings thus, MSC does not have manufacturing and technical information required to evaluate and determine whether non-OEM replacement parts offered are equivalent to the OEM components and replacement parts.

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

The Government intends to synopsize when required and to post request for quotations (RFQ) and request for proposals (RFP) at the Government Point of Entry, the FedBizOpps website for each separate procurement with the intent of awarding a firm-fixed-price contract.

7. Determination of Fair and Reasonable Cost. The Contracting Officer will determine the price of the supplies/services covered by this J&A fair and reasonable pursuant to FAR Part 13.106-3 or 15.404-1, as appropriate.

8. Actions to Remove Barriers to Future Competition. For reasons set forth in Paragraph 5, MSC has no plans at this time to compete future contracts for the types of supplies covered by this document. If another potential source emerges, MSC Norfolk will assess whether competition for future requirements is feasible. Should MSC determine that OEM parts are no longer required; this J&A will become null and void.