Signed_CJ A_Redacted.pdf

O DEPARTMENT OF THE NA

~ NAVAL SEA SYSTEMS COMMAND

• WASHINGTON NAVY YARD DC 2O376~ N REPLY TO

CJ&A Number. 20,866.10 Code: SEA 0222 P.R. Number: N0002414MR53137

CLASS JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command Shipbuilding Contracts Division

(SEAO22)

2. Description of the Action Being Approved

Award of a contract through the use of other than full and open competition to procure a spare/replacement turbocharger from Fairbanks Morse Engine (FME), 701 White Aye, Beloit, WI 53511, and award of a contract for specific spare/replacement propulsion components from Wartsila, 3617 Koppens Way, Chesapeake, VA 23323, for the Mobile Landing Platform (MLP) class of USN ships.

Authority to act under this CJ&A expires 30 September 2016.

3. Description of Supplies/Services

The planned contract actions will provide for procurement of a spare/replacement Turbocharger and fifteen specific spare propulsion and engine components identified in the list below.

Two separate contracts are planned to be awarded; one to FME for procurement of the turbocharger and one to Wartsilia for the procurement of propulsion components.

QTY Description of each Propulsion Component

Fairbanks Morse Engine Parts:

1 - Head, Cylinder Full, OEM: FME, Part No. M12701508 1 - Honing Device, PNEU, OEM: FME, Part No. 050.136 1 - Honing Device, CYLI, OEM: FME, Part No. 050.087 2 - Rubber, Element, OEM: FME, Part No. Ml2702002 1 — Cylinder Head, UNDSD, OEM: FME, Part No. Xll.05500~0859*AP

Wartsila Parts:

1 - Thrust Bearing, OEM: RENK AG, Part No. LAZR-50-515 STE

1 - Thrust Bearing, OEM: RENK AG, Part No. LAZRT 50-515 PS 1 - Propeller, Fixed Pitch, OEM: RENK AG, Part No. PAAIO6O9SS 1 - Propeller, Fixed Pitch, OEM: RENK AG, Part No. PAA1060329 1 - Line shaft Bearing, OEM: RENK AG, Part No. LRZPW 52-470 PS 1 - Line shaft Bearing, OEM: RENK AG, Part No. LRZPW 52-470 STB 2 - Propeller Cap, Port & STBD, OEM: Wartsila Inc., Part No.

084831406 2 - Forward Stern Tube Bearing, OEM: Wartsila Inc., Part No.

PAA1060796

2 - Aft Stern Tube Bearing, OEM: Wartsila Inc., Part No.

PAA1060791

1 - Propeller Tailshaft, OEM: Wartsila Inc., Part No.

PAA1060666

The government’s minimum needs have been verified by the certifying technical and requirements personnel.

The period of performance is from 01 November 2014 through 30 September 2016. The estimated cost to procure a single turbocharger is , and the estimated cost to procure the fifteen spare parts/propulsion components is , for a total estimated cost of .

Table 1 - Estimated Dollar Value

4. Statutory Authority Permitting Other Than Full and Open Competition

10 U.S.C. 2304(c) (1). Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority:

The Navy competitively awarded Contract N00024-09-C-2229 for Phase I System Design of the MLP Ship Class to General Dynamics

- National Steel and Shipbuilding Company (NASSCO) on 13 Feb 2009 with an option for the Phase II Detail Design & Construction (DD&C) . The Navy exercised the option as a follow on contract for MLP 1 DD&C on 13 August 2010.

As a prime subcontractor to NASSCO, FME designed and provided the main diesel generators for the MLP class of ships.

Warstilia, the prime subcontractor to NASSCO, designed and provided the propulsion components for the MLP class. SUPSHIP Bath San Diego Detachment solicited NASSCO on a sole source basis for procurement of the spare/replacement parts identified herein. NASSCO provided a proposal to the Navy, which was determined to be unreasonable and unaffordable to the Navy due to excessive pass through burden costs and profit. Therefore, SUPSHIP utilized market research to determine that soliciting Original Equipment Manufacturers (OEM) for these spare items resulted in a more cost effective, affordable procurement, deemed fair and reasonable.

FME’s turbocharger and engine spares were designed and manufactured in accordance with FME’s proprietary specifications and is highly specialized to the diesel generator design. The main diesel generators are mission critical to the ships. In order to avoid degradation or malfunction of current systems, spare components must be procured from the manufacturer that supplied the original equipment. FME is the only source capable of providing the required turbocharger without substantial duplication of cost to the Government that is not expected to be recovered through competition and an unacceptable delay in fulfilling the Agency’s requirements.

Wartsilia’s major components of the propulsion system were designed and manufactured in accordance with the company’s proprietary specifications and are highly specialized to the propulsion system. The ten propulsion components listed herein are mission critical to the MLP class of ships. Wartsilia, as the designer and manufacturer of the propulsion system on the MLP, is the only source capable of providing the required items without substantial duplication of cost to the Government that is not expected to be recovered through competition and an unacceptable delay in fulfilling the Agency’s requirements.

RENK AG is the OEM for six of the propulsion system components.

RENK AG exclusively works directly with Wartsilia as a dealer and does not supply components directly to the Government or to the shipbuilder. Therefore, Warstilia will procure and provide the RENK AG propulsion system components for the MLP class of ships.

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

As noted in Paragraph S above, the SUPSHIP Bath Contracting Officer used market research and in accordance with FAR 5.2 and utilizing a combined synopsis/solicitation prepared in accordance with FAR 12.6 to determine that these spare items would be procured in a more cost effective and affordable manner. The justification will be posted on the Federal Business Opportunities (FedBizOpps) website. The responses from industry stated in paragraph 5. In this case, FedBizOpps synopsis is considered to perform the same function as a market survey, advising industry of pending acquisition and soliciting inquiries from interested parties.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined the anticipated cost to the Government for the subject spare/replacement components covered by this CJ&A will be fair and reasonable.

Similar quantities of this requirement have been purchased in the past. Historical pricing will be used to support analysis of the proposed price and will be sufficient to support fair and reasonable cost determination for this procurement.

S. Actions to Remove Barriers to Future Competition:

For the reasons set forth in paragraph 5, the Naval Sea Systems Command has no plans at this time to compete future contracts for the components covered by this document. If another potential source emerges, the Naval Sea Systems Command will assess whether competition for future requirements is feasible.

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION (FAR 6.303-2(b))

I certify that the facts and representations under my cognizance, which are included in this justification and its supporting acquisition planning data, including MLP Acquisition Strategy approved on 13 June 2008 by USD(AT&L) as amended by multiple MLP AFSB Acquisition Decision Memorandums, except as noted herein, are complete and accurate to the best of my knowledge and belief.

TECHNICAL COGNIZANCE:

LEGAL SUFFICIENCY REVIEW (NI4CARS 5206.303 (90))

I have determined this justification is legally sufficient.

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2 (a) (12))

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

APPROVAL BLOCK (FAR 6.304 for Approving Official)

Upon the basis of the above justification, I hereby approve,, as Designee of the Head of the Contracting Activity, the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c) (1).

DESIGNEE OF THE HEAD OF THE CONTRACTING ACTIVITY:

i%L~1(~~L

Signature Name (Print) and Title (Code) Phone No. Date

REQUIREMENTS COGNIZANCE: