N6449824G4000 GE Redacted CJA.pdf

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LM2500 + S1 HPT Blade
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This document is a Class Justification and Approval (CJ&A) for the award of a Basic Ordering Agreement (BOA) and subsequent orders on a sole-source basis to General Electric Company (GE) for spare LM2500 Marine Gas Turbine Engines (MGTEs), associated parts, digital upgrade materials, and replacement hot section materials. The LM2500 MGTE is the main propulsion engine for several U.S. Navy ship classes, and GE is the original designer and manufacturer of these engines. The BOA will have a 60-month ordering period, with annual reviews, and the agency has determined that GE is the only source capable of providing the required supplies within the needed timeframe to ensure ship readiness and mission capability. The related federal contract opportunity is the award of contract N6449824G4000 to General Electric Company for $799,776.00 on July 31, 2024.

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J&A Number: 0231-22-285-00 Code:

P.R. Number:

CLASS JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity

The Naval Sea Systems Command (NAVSEA), Naval Surface Warfare Center, Philadelphia Division (NSWCPD), Code

2. Description of Action Being Approved

Award of a Basic Ordering Agreement (BOA) and subsequent orders on a sole source basis for spare LM2500 Marine Gas Turbine Engines (MGTEs), associated parts, digital upgrade materials, and replacement hot section materials to General Electric Company (GE), General Aircraft Engines Company, 1 Neumann Way, Cincinnati, OH 45215-1900. This award is a follow-on agreement to the previous NAVSEA Fleet Support Contracts Division BOA No. N00024-18-G-4113. Authority to act under this Class Justification and Approval (CJ&A) expires 30 August 2028. The ordering period for the proposed BOA will be sixty (60) months after the date of award. In accordance with FAR 16.703(c)(2), this BOA will be reviewed annually before the anniversary of its effective date and revised as necessary to conform to the requirements of the FAR and DFARS.

3. Description of Supplies/Services

The LM2500 MGTE is a marine derivative of GE's well-established CF6-6 aero gas turbine engine. The LM2500 MGTE is comprised of two mating components: the gas generator and the power turbine. The LM2500 MGTE series is the main propulsion engine for the following U.S. Navy ship classes:

This series of engines was selected on the basis of meeting ship propulsion power performance specifications including, but not limited to, power output, power-to-weight ratio, and physical footprint. These MGTEs are managed using a rotating spares methodology that requires the procurement of spare rotatable pool assets, material to support the repair of those assets, and modification kits to ensure all assets are interoperable with the various ship configurations fielded. The life cycle management of the LM2500 MTGE series is accomplished outside of the major program acquisition offices to maximize, to the extent possible, a common engine configuration usable across all hull types.

The LM2500 MGTEs will also require a rotatable pool of spare parts when going through repairs and overhauls such as the thin, thick and multi-use nozzles that will be utilized to generate power when a power turbine is not available for attachment during test cell testing.

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

PHILADELPHIA DIVISION

5001 SOUTH BROAD STREET

PHILADELPHIA PA 19112-1403

IN REPLY REFER TO:

J&A Number: 0231-22-285-00

Further, award to any other source would result in unacceptable delays in fulfilling the agency�s requirements. The need date for this requirement is 30 August 2023 to allow for continued spares support, as the current BOA expires on 29 August 2023. NSWCPD has planned procurements in FY23 that would be jeopardized if there were to be a lapse in coverage.

As a result, GE, the original designer and manufacturer of the LM2500 MGTE, is the only source available that is capable of providing the supplies in an acceptable time to fulfill the agency�s requirement for ship readiness and mission capability, for the duration of the 60-month ordering period.

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

In accordance with DFARS PGI 206.302-1, a Request for Information (RFI) was posted to SAM.gov on 15 October 2021, and closed on 30 October 2021. Additionally, a synopsis was posted on 02 December 2021 with a closing date of 17 December 2021. No responses were received to either notice (other than from GE) as of the closing date of the notices, or the drafting of this CJ&A. Individual orders to be issued under this BOA will be published on the SAM.gov website. Any responses received will be considered.

7. Determination of Fair and Reasonable Cost

The Contracting Officer has determined that the anticipated cost to the Government for the supplies covered by the CJ&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition

For the reasons set forth in Section 5, the Government has no plans at this time to compete future contracts for the items covered by this document. If another potential source emerges, the Government will assess whether competition for future requirements is feasible. The circumstances surrounding the need to obtain the required supplies without providing full and open competition will be reviewed annually by the Contracting Officer. As this is a follow-on for supplies previously awarded on a non-competitive basis, in accordance with DFARS PGI 206.304(a)(i), the prior CJ&A was provided to the approval authority for review. Approval of this CJ&A signifies the approval authority has made the determination required by DFARS PGI 206.304(a)(ii).

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