N64498_02412546800 JA _Redacted.pdf

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N6449826R0006-Sole Source
Solicitation number
N6449826G0001
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This is a Class Justification and Approval (CJ&A) document for a sole source award of a Basic Ordering Agreement (BOA) with Firm-Fixed-Price (FFP) ordering provisions.

The Naval Sea Systems Command, Naval Surface Warfare Center Philadelphia Division (NSWCPD) is awarding a BOA to Howell Laboratories, Inc. (HLI), located at 188 Harrison Road, Bridgton, Maine, to provide Original Equipment Manufacturer (OEM) installation support services, troubleshooting and repair services, engineering support services, and equipment manufactured by HLI. The services cover design, development, fabrication, test, repair, and fleet implementation of equipment, with purchase ability for specified equipment where HLI is the OEM, including shipboard chlorine generators and air dehydrator equipment. This is a follow-on procurement from previous contracts N64498-16-D-0016 and N64498-21-D-4007. The BOA master agreement authority expires five years after issuance, with an ordering period of five years from award date. The estimated total procurement value is redacted but funding will be provided through individual orders against the BOA.

The justification for sole source award under 10 U.S.C. 3204(a)(1) is based on HLI being the only company with requisite engineering expertise, qualified sources, design, production, and support capabilities for equipment designed and manufactured by HLI. Key factors include HLI's OEM status for chlorination and air dehydrator equipment, specialized expertise and training of personnel, proprietary equipment drawings and testing techniques, and HLI's retention of data rights on non-logistics documents. A Sources Sought Notice was posted to SAM.gov on 15 July 2025 with no responses, and a Synopsis was posted on 8 October 2025 with a closing date of 22 October 2025, also resulting in no responses. Cost/pricing information will be requested as part of the Request for Proposal (RFP) and evaluated by technical and cost/price analysts with support from the Defense Contract Audit Agency (DCAA) and Defense Contract Management Agency (DCMA). The document includes certifications from technical and requirements personnel, legal review, the Contracting Officer, and approval by the Acting Chief of the Contracting Office as Competition Advocate.

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Text version

J&A No. 0241-25-468-00

Based on the information above, an award to a source other than Howell Laboratories Inc. would result in substantial, unrecoverable costs to the government estimated at that are not likely to be recovered through competition.

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

In accordance with the Defense Federal Acquisition Regulation Supplement (DFARS) Procedures, Guidance, and Information (PGI) 206.103-170(d), a Sources Sought Notice (SSN) was posted to SAM.gov on 15 July 2025. No contractors have responded to the posting as of the drafting of this J&A on 15 September 2025. A Synopsis was posted on SAM.gov on 08 October 2025 with a closing date of 22 October 2025. No responses were received as a result of that posting. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any contractor other than HLI to provide the required supplies and services.

7. Determination of Fair and Reasonable Cost.

J&A No. 0241-25-468-00

The Contracting Officer has determined that the anticipated cost to the Government for the services/supplies covered by the CJ&A will be fair and reasonable. The Contractor will be required to submit a formal price proposal and sufficient information to support the accuracy and reliability of the estimate for each solicitation issued under this BOA. The contractor’s proposal will be reviewed by experienced technical and cost/price analysts with the aid of necessary field pricing support. Assistance from the Defense Contract Audit Agency (DCAA) and the Defense Contract Management Agency (DCMA) will be utilized to analyze, evaluate, and assist in negotiations based upon detailed cost and pricing data, which will be certified by the Contractor at the conclusion of negotiations. Services and equipment similar to those in this solicitation were procured previously from HLI. Cost/pricing information will be requested as part of the Request for Proposal (RFP) and should prove sufficient to lend further support to the fair and reasonable price determination of this procurement.

8. Actions to Remove Barriers to Future Competition.

For the reasons set forth in Paragraph 5, NSWCPD has no plans at this time to compete future contracts for the types of supplies/services covered by this document. If another potential source merges, NSWCPD will assess whether competition for future requirements is feasible.

As this is a follow-on for supplies and services previously awarded on a noncompetitive basis, in accordance with DFARS PGI 206.104-72(a), the prior J&A was provided to the approval authority for review. Approval of this J&A signifies the approval authority has made the determination required by DFARS PGI 206.104-72(b).

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