Redacted_-_Approved_J A.doc

MILITARY SEALIFT COMMAND

471 EAST C STREET

NORFOLK VA 23511-2419

J&A No. N102-16-D-2003

J&A No. N102-16-D-2003

JUSTIFICATION AND APPROVAL (J&A)

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity:

Military Sealift Command, Services and Ship Support Division (N102).

2. Description of the Action Being Approved:

Award of Contract N32205-16-D-2003 to GE Energy Power Conversion USA, Inc. on an other than full and open competition basis for engineering services in support of the T-AKE, T-ESB, T-AO, and LCC-20 Class vessels. This will be an indefinite-delivery indefinite-quantity type contract with firm-fixed-price task orders.

3. Description of Supplies/Services:

GE Energy Power Conversion USA, Inc. “GE” will provide all management, supervision, personnel, labor, materials and equipment (except for Government furnished items) required to maintain and support the Machinery Plant Systems and Components and Machinery Centralized Control System (MCCS) on the Military Sealift Command (MSC) T-AKE, T-ESB, T-AO Class Vessels with the Power Take Off (PTO)/Power Take In (PTI) systems installed on certain MSC T-AO Class vessels with GE installed systems, and the USS MOUNT WHITNEY (LCC-20) with installed GE Assured Power Modifications. Support shall include periodic equipment grooms, technical representative visits, telephone consultations, remote technical support via e-mail and phone, hardware and software configuration management services, new/overhauled parts supply, training, assistance in accomplishing technical refresh efforts to address obsolescence issues, and other related tasks.

The total estimated value of this requirement is XXXXXX which includes the base period of one-year and four one-year option periods. The total estimated dollar value is outlined below:

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

This is an other than full and open competition procurement under the statutory authority of 10 U.S.C. 2304(c)(1) as prescribed by FAR 6.302-1, "Only one responsible source and no other supplies or services will satisfy agency requirements."

5. Rationale Justifying Use of Cited Statutory Authority:

This requirement is a follow-on to contract N00033-12-D-8023, which MSC awarded to GE as a sole source indefinite delivery/indefinite quantity contract with firm-fixed price task orders. The services GE will provide under contract N32205-16-D-2003 for the T-AKE, T-ESB, T-AO, and LCC-20 class vessels are a unique combination of logistic, material, engineering, field support, and automation control, which are all specific to these classes of vessel. The services require access to propriety information held exclusively by GE, the original equipment manufacturer. GE holds privileges to the data required to provide the necessary parts, and also holds all the proprietary rights for the electrical propulsion drive software, MCCS updates, PTO/PTI systems, and Assured Power Modifications.

The T-AKE class vessels were constructed under contract N00024-02-C-2300, which was competitively awarded by Naval Sea Systems Command (NAVSEA) to General Dynamics National Steel and Shipbuilding Company (NASSCO) on 18 October 2001. NASSCO subcontracted with Converteam, Inc. (which was bought by GE) to design, integrate, install, test and commission the MCCS, the propulsion control system, the propulsion motor, generators, propulsion transformers & heat exchangers, harmonic filters, and ship's service transformers. NAVSEA did not obtain the rights to the technical data the Government needs to compete the services GE will provide under contract N32205-16-D-2003. Consequently, GE is the only contractor in a position to provide the required services.

GE also provides OEM support for the PTO/PTI systems and MCCS switchboards installed on five of MSC’s T-AO vessels and the T-ESB vessels and the Assured Power Modifications on the LCC-20. Like the T-AKEs, the Government does not have the data rights to the detailed drawings of the systems to perform maintenance or repairs or to obtain other than OEM replacement parts. The MCCS and PTO/PTI systems and Assured Power Modifications are vital to the operation of the vessels and require OEM maintenance and repair support to keep the systems working properly. Therefore, the Government has no option but to procure the required services and parts from GE.

6. Description of Efforts Made to Solicit Offers from as Many Potential Sources as Practicable:

MSC has issued numerous sources sought synopses over the history of this contract to determine if any other potential sources for this service exist. N40442-11-R-3013 was posted on Federal Business Opportunities (FBO) in March 2011 under NAICS 33599 with only Converteam, Inc. responding. A follow-on synopsis was posted to FBO in May 2012 under N00033-12-D-8023 Amend 1 with no responses being received.

For this J&A, a final synopsis was posted under to FBO on 3 August 2015 under number N1023-15-0010. The purpose of the synopsis was to act as a notice of intent to award a sole-source contract and was not a request for competitive proposals. However, all responsible sources were asked to submit a capability statement demonstrating the ability to provide the requested items or their objections to the intent to purchase on a sole source basis. Upon the closing of the notice on 18 August 2015, no responses were received.

As described in paragraphs 4 and 5 above, the proposed contract action is executed pursuant to FAR 6.302-1 as services were determined to be available from only one source. The lack of any response to multiple sources sought throughout the history of this requirement validates that determination.

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 above, MSC has no plans at this time to compete future contracts for the types of services covered by this document. If another potential source emerges, MSC will assess whether competition for future requirements is feasible.

CERTIFICATIONS AND APPROVAL:

TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance, which are included in this Justification and its support acquisition planning documents, are complete and accurate to the best of my knowledge and belief.

Signature Name (Printed) Phone No. Date

CONTRACTING OFFICER CERTIFICATION

I certify that this Justification is accurate and complete to the best of my knowledge and belief.

Signature Name (Printed) Phone No. Date

LEGAL REVIEW

I certify that this Justification is legally sufficient.

Signature Name (Printed) Phone No. Date

EXECUTIVE DIRECTOR, MILITARY SEALIFT COMMAND

Upon the basis of the above Justification, I hereby approve, as Competition Advocate, Military Sealift Command, the contract action described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1).

Signature Name (Printed) Phone No. Date

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