PR_1300791506_SSJ.pdf

MEMORANDUM 5/20/19

From: William R. Buffkin, NSWC PCD Code E31 To: Luis Gely, NSWC PCD Code 024

Subj.: SOLE SOURCE MEMORANDUM TO ACQUIRE KVN UNITS AND DRIVES

FOR THE LSF-II REPUBLIC OF KOREA NAVY LANDING CRAFT AIR

CUSHION (LCAC) FOREIGN MILITARY SALES (FMS) CASE KS-P-GRL

(PURCHASE REQUEST TBD)

1. Identification of the agency and the contracting activity, and specific identification of the document as a “Limited Source Justification.”

This is a sole source justification. Contracting activity is the Naval Sea Systems Command, Naval Surface Warfare Center, Panama City Division (NSWC PCD), 110 Vernon Avenue, Panama City, FL 32407-7001 (Contracts Department Code 02).

2. Nature and/or description of the action being approved.

Authorization to procure commercially available parts from NAG Marine, LLC, 2511 Walmer Avenue, Norfolk, VA 23513 on the basis of other than full and open competition.

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

The contract effort is to acquire:

Description Part Number Quantity Unit Price Extended Price

KVN Unit 1001RS0001 15 $13,728.00 $205,920.00 KVN Drive 1001RS0040 15 $320.00 $4,800.00

The Government’s minimum needs have been verified by the certifying technical and requirements personnel. This memo does not authorize acquisition for other requirements. This acquisition will be conducted using simplified acquisition procedures with a total dollar value above micro-purchase levels, but not exceeding the simplified acquisition threshold of $250,000.00. All equipment will be delivered no later than sixteen (16) weeks after award of the order. The contract action will be funded with FY 2019 Foreign Military Sales (FMS) funds.

4. Identification of the justification rationale and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

10 U.S.C. 2304(c) (1) - Only one responsible source and no other supplies or services will satisfy agency requirements, FAR 6.302-1. NSWC PCD is the design authority for the Landing Craft Air Cushion (LCAC), Command, Control, Communications, Computers, and Navigation (C4N) Systems Baseline Configuration Four (SBC4). This system is part of the FMS case KS- P-GRL which entailed the sale and support of LCACs to the Republic of Korea. The Defense Acquisition Program Administration (DAPA) is in the process of building two (2) LSF-II craft configured with SBC4. The items being purchased are being provided under FMS case KS-P-

GRL to DAPA for integration with LSF-II craft under construction. The parts being purchased are slightly modified commercial items manufactured by NAG Marine and used in the SBC4 configuration. This procurement is not suitable for full and open competition and it is in the best interest of the Government to acquire this item using a non-competitive procurement because NAG Marine is the only company that makes this slightly modified commercial item that is compliant with the SBC4 Technical Data Package (TDP).

The items being purchased were specifically tested and evaluated against the Naval Sea Systems Command (NAVSEA) technical requirements as provided on the LCAC C4N System Baseline Configuration 4 (SBC4) product specification during the product’s initial prototyping and evaluation phase. These components are used in a Build-to-Print drawing package and if another vendor’s product is chosen at this point, there will be a redesign of the printed circuit board, heat sink, chassis, and harness modifications. No other source for these modules currently exists. Developing another source for these items would be cost and schedule prohibitive. The cost to develop, test and evaluate the KVN requirement is estimated at $1.5 million dollars. And, the lead time associated with the development, test and evaluation of this requirement is estimated at 36 months.

5. A determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 13.106-1(b).

The Contracting Officer has determined that the order represents the best value and results in the lowest overall cost alternative (considering price, reoccurring cost, administrative costs, engineering and redesign costs, etc.) to meet the Government’s needs.

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

This requirement will be synopsized via posting on the Federal Business Opportunities (FEDBIZOPPS) website in accordance with FAR 5.2. No additional market research was conducted for the reasons stated in paragraph 4.Any other facts supporting the justification: None.

7. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

As stated in paragraph 4 above, NAG Marine is the only company that can meet the requirement.

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