N32253_02088.7_BETA.SAM.pdf

DEPARTMENT OF THE NAVY

PEARL HARBOR NAVAL SHIPYARD

AND INTERMEDIATE MAINTENANCE FACILITY

667 SAFEGUARD ST SUITE 100

JBPHH, HAWAII 96860-5033

IN REPLY TO:

J&A No.: 02088.7 Code: 410.2 P.R. No.:

N3225320RC12278

Date: 15MAY2020

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

FAR 6.303

1. Contracting activity

Pearl Harbor Naval Shipyard & Intermediate maintenance Facility (PHNS & IMF), Contracts Division Code 400.

2. Description of the action being approved

a. Increase of value on a contract that was awarded on a limited sources basis for emergent repair actions to ’s (

) emergency diesel generator. Diesel generator overhaul includes installation of new upper and lower crankshafts. This requirement was first identified on 14FEB2020.

b. Original J&A 02088 was approved on 28FEB2020 for $2,520,352.

c. Revised J&A 02088.3 was approved on 03APR2020 for $3,367,138.

d. This amendment increases the J&A value by $1,311,876, from

$3,367,138 to $4,679,014.

3. Description of supplies/services

a. Diesel generator overhaul onboard the including replacement of both upper and lower crankshafts.

b. The total estimated dollar value: $4,679,014.

c. Period of performance: or until work completed.

d. The following in-scope RCCs were settled since J&A 02088.3 was approved. These RCCs did not increase the cumulative contract value beyond J&A 02088.3 price of $3,367,138, thus a revised J&A was not required to settle the RCCs:

RCC 2G, weld repair and quarantine, $61,932.24 RCC 4G, additional material, $67,410.74

(b) (1) (A) (b) (1) (A)

(b) (1) (A)

J&A No.: 02088.7

RCC 5G, prime contractor quarantine, $60,688 RCC 7G, additional material, $4,761.16

e. RCC 8G, for additional material, subcontractor machining and welding support, and prime labor, and RCC 9G for additional prime labor have been issued to the contractor. RCC 8G was issued because, after initial weld build up and machining of the crankline, Government and contractor inspections revealed that the crankline was not within parameters and required further welding and machining. RCC 8G will cover the prime contractor and the welding and machining subcontractors for another round of crankline modifications. RCC 8G also covers additional material that will physically support the crankline. RCC 9G will extend the prime contractor to complete crankshaft installation after the subcontractor work is complete. These RCCs are in scope and are mandatory requirements to fully repair the crankshaft. The RCCs will extend the contract performance from to .

The Government project team has requested to increase total funding by $1,311,876, from $3,367,138 to $4,679,014 to settle these RCCs.

4. Statutory authority permitting other than full and open competition

10 U.S.C. 2304(c)(2). Unusual and Compelling Urgency.

5. Rationale justifying use of cited statutory authority

The Repair and Overhaul identified in Paragraph 3 above is supporting an underway limiting CASREP. The is a forward deployer supporting real world events. If urgency is not applied there will be an impact to the operator’s mission causing a degradation in our Navy’s defense capabilities. The Emergency Diesel Engine is an integral submarine component. Loss of Emergency Diesel Engine capability would degrade and limit operational capability and maneuvers required of a forward deployer.

The customer identified the additional requirements for RCCs 8G and 9G on Tuesday 12MAY2020. These RCCs were issued as the result of inspections after the initial welding and machining were complete. It was not possible to foresee or plan for the results of the inspections without incurring significant financial risk by paying for a worst case scenario up front.

(b) (1) (A) (b) (1) (A)

J&A No.: 02088.7

6. Description of efforts made to solicit offers from as many sources as practicable

Per PHNS & IMF Engineering and Planning Department (EPD), Fairbanks-Morse owns the necessary equipment and is experienced in performing the appropriate procedures and services identified in Paragraph 3a. They are currently the only known vendor that has performed this particular repair, are the Original Equipment Manufacturer of Emergency Diesel Engine on the class submarines, and are the only known source capable of meeting this urgent requirement.

A sources sought (ID N32253-20-Q-0024) was posted on the Government Point of Entry (GPE), beta.sam.gov, on 13FEB2020. The posting sought sources “that are interested and capable of providing technical assistance for the reassembly, possible repairs, and testing of an class submarine diesel engine.”

No responses were received.

7. Determination of fair and reasonable cost.

The Contracting Officer will use cost and price analysis, including historical cost estimating relationships from previous diesel engine repair requirements to determine the final price to the Government is fair and reasonable.

8. Actions to remove barriers to future competition

PHNS & IMF will continue to solicit offers from as many sources as practicable under the circumstances of each requirement. PHNS & IMF plans to issue a Sources Sought notice for future requirements.

CERTIFICATIONS AND APPROVALS

TECHNICAL/REQUIREMENTS CERTIFICATION

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

(b) (1) (A)

(b) (1) (A)