PR 1301089056 SSJ - Induction Heater_Redacted.pdf

NSWCCD Sole Source/Brand Name Justification Under SAT Rev 3 Template Effective February 2023

MEMORANDUM FOR FILE

FROM:

CODE: Code 622 TO: Code 02 SUBJECT: Sole Source/Brand Name Justification / Limited Source Justification for Use of Other than Full &

Open Competition for an Acquisition under the Simplified Acquisition Threshold (SAT)

I. BACKGROUND

1. FAR 13.106-1(b)(1)(i) states for purchases not exceeding the simplified acquisition threshold, Contracting Officers may solicit from one source if the Contracting Officer determines that the circumstances of the contract action deem only one source reasonably available.

2. FAR 8.405-6(b)(1) states Brand name specifications shall not be used unless the particular brand name, product, or feature is essential to the Government’s requirements, and market research indicates other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the agency’s needs.

3. As required by FAR 13.106-3(b)(3)(i), this memorandum explains the absence of competition for this acquisition, as only one source will be solicited for this requirement (or for a portion of the requirement) and the requirement is not expected to exceed the simplified acquisition threshold.

4. This memorandum is derived from Enclosure 3, Department of Navy Simplified Acquisition Procedures Guide (April 2018) and is only applicable to acquisitions under the SAT.

II. DESCRIPTION OF ITEM OR SERVICE

The induction heater is used for preheating and maintaining inter-pass temperature on high strength steel weldments. The heater required is the Miller Pro-Heat 35. This particular heater is required so that the components are interchangeable with those currently being used in the model fabrication facility. The Pro-Heat 35 has been incorporated into the model fabrication procedures utilized for high strength steel welding. The facility has been tasked to produce a large volume of tight tolerance high strength steel models and another system is required to meet the build schedule.

MANUFACTURER: Miller Electric Manufacturing Company ADDRESS: 1635 W. Spencer St, Appleton, WI 54914

ESTIMATED TOTAL PRICE INCLUDING OPTIONS:

III. BASIS FOR DETERMINATION FOR USE OF OTHER THAN FULL & OPEN COMPETITION

Other suitable units were not located under any brand other than Miller for suitable sizes of systems. Smaller units were found but nothing comparable in a size range that would be suitable for the purpose of the model fabrication this purchase is supporting. It is also required that the system be compatible with the Miller Pro-Heat 35 so that parts are interchangeable and personnel do not require retraining on another system.

A. BRAND NAME:

NSWCCD Sole Source/Brand Name Justification Under SAT Rev 3 Template Effective February 2023

1. Restrictive Rights: The source has established proprietary rights, limited rights in data, patent rights, copyrights, or secret processes in the item or service required.

2. Exclusive Licensing Agreements: The item or service is only available from the Original Equipment Manufacturer (OEM).

3. Other Reasons:

B. SOLE SOURCE (select all that apply)

1. Restrictive Rights: The source has established proprietary rights, limited rights in data, patent rights,

2. Exclusive Licensing Agreements:

Per single source letter received from the manufacture (received 6/01/23), Miller Electric Manufacturing, LLC has no resellers and is the sole source for the required equipment.

3. Other Reasons:

The Miller Pro-Heat 35 is required so that parts are interchangeable between the two systems that we currently are utilizing in the model fabrication facility. The personnel in the facility have also been trained on the system and have been utilizing it for years supporting fabrication of models critical to the Navy. Changes to the system will impact the welding procedures that have been developed specifically for fabrication of these critical models.

Verifying and adjustments to the welding procedures for use of a new brand of system could cost an additional and could cause program schedule delays of approximately two months. Based upon the current aggressive program schedules, delays of this nature would be unacceptable. If a new brand of system is procured the technicians will also require training on the new system. The cost of the labor for training would be and would result in additional program scheduling delays.

The cost of the new heater being procured is still very comparable to the cost of the system was purchase in 2018.

Additionally, the heaters currently on hand have been in service for several years, confirming the durability and longevity of the system.

Finally, due to the critical nature of the models being fabricated, it would be a considerable risk to change to another system at this time.

C. LIMITED SOURCE (FAR 8.405-6):

Item required must be a brand name product, or feature of a product, particular to one manufacturer.

1. Restrictive Rights: The source has established proprietary rights, limited rights in data, patent rights,

2. Exclusive Licensing Agreements: The item or service is only available from the Original Equipment Manufacturer (OEM).