Attachment 2-Sole Source Justification ILS Revised 1.23.25_Redacted.pdf

Controlled Unclassified Information (CUI)

Source Selection Information – See FAR 2.101 & 3.104

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED:

This justification authorizes the use of other than full and open competition for the procurement of the Internet Subscription Service provided by ILSMart, a critical platform that enables the Defense Logistics Agency (DLA) to locate hard-to-find items and provides extensive market research information for US Government managed/cataloged items.

3. A DESCRIPTION OF SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS:

The Defense Logistics Agency (DLA) Troop Support has a requirement for Internet Subscription Service for access to all available parts in the Aviation, Marine and Defense Companies, Airlines, DoD departments, Military Installations, Industrial Distributors Machine Shops, Manufacturing Companies, and many segments of the Marine Industry. This service will provide end users the ability to locate active surplus or hard to find parts and shelf stock from Manufacturers and dealers across the United States.

The Period of Performance (PoP) for this contract action will be a 12-month Base Period with two (2) 12-month Option Periods. The Period of Performance reads as follows:

Base Year: February 19, 2025 – February 18, 2026 Option Year 1: February 19, 2026 – February 18, 2027 Option Year 2: February 19, 2027 – February 18, 2028

4. IDENTIFICATION OF THE JUSTIFICATION RATIONALE AND DEMONSTRATION OF

THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS TO PROVIDE THE

REQUIRED SUPPLY OR SERVICE.

The statutory authorities permitting other than full and open competition are 10 U.S.C. 3204(a)(1), as implemented by FAR 6.302-1(a)(2), “Only one Responsible Source and no other supplies or services will satisfy agency requirements,” FAR 6.302-1(a)(2)(iii)(B), “Unacceptable delays in fulfilling the agency’s requirements.” The services required by the requiring agency are available from only one or a limited number of responsible sources, and no other type of supplies will satisfy agency requirements.

The reason for this requirement is to be able to provide an ILSMart Internet Subscription Service.

ILSMart is the only known Service Provider that offers an extensive database that links with the Federal Logistics Information System (FLIS) to industrial supplier databases, so this Service is generally considered the leading source for technical/procurement information and is widely used by U.S. Government activities including all Major Subordinate Commands (MSCs) of DLA. Further, ILSMart requires DLA activities to register an account that is accessible from Government computers with a Common Access Card (CAC) thereby indicating this platform/system complies with J-6 Information Operations regulatory requirements.

5. A DETERMINATION BY THE CONTRACTING OFFICE THAT THE ANTICIPATED

COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE.

As the Contracting Officer, I hereby determine that pricing will be fair and reasonable based on a pricing analysis in accordance with FAR 15.404-1. It is anticipated that the Government will use various prices analysis techniques including, but not limited to: 1) comparison with competitive published price lists (reference FAR 15.404-1(b)(2)(iv); and 2) comparison of proposed prices obtained through market research of the same or similar items (reference FAR 15.404-1(b)(2)(vi), in order to obtain a fair and reasonable price.

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:

Per the request for Internet Subscription Service, Market Research techniques included a review of Acquisition History for contracts used by the directorate to procure similar services and searching the FedBiz and GSA websites for other vendors with similar data service offerings. As a result, only one business was identified as a responsible business to support this requirement. Inventory Locator Services, LLC. was the only business identified for this requirement and is currently providing subscription under contract SP4701-22-P-0019.

Although ILSMart is the only known source for this type of extensive information, any new type of Service Provider offering something comparable would require cyber security validation and assessment by J-6 that could take a significantly long time as well as a prolonged development schedule to provide everything currently available to DLA.

Market Research Recommendation

Per the results of the market research, ILSMart is essentially considered the only known and responsible Service Provider that can meet the minimum needs of DLA. The acquisition will be solicited as a sole source Firm Fixed Price (FFP) service directly to Inventory Locator Services, LLC as they are the only available source to provide this service.

7. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION

N/A.

8. LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING AN INTEREST IN

THR ACQUISITION

Inventory Locator Services, LLC.

9. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO REMOVE OR

OVERCOME ANY BARRIERS THAT LEAD TO THE RESTRICTED CONSIDERATION

BEFORE ANY SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES IS MADE:

At this time, Inventory Locator Services, LLC is the only service that will support DLA’s requirements and meet the Government’s needs. However, DLA has exercised, and continues to exercise, competition as often as possible and is required to conduct ongoing reviews to keep abreast of new technology, both in industry and the Government. As a continuing effort, DLA utilizes a variety of vendors, manufacturers, and contracts to fulfill its requirements and will continue the practice of surveying the market to ensure full and open competition to the maximum extent practicable.

10. CERTIFICATIONS

Technical/Requirements Certification:

I hereby certify that the information provided for which I am responsible, and which form a basis for this justification are complete and accurate.

Contracting Certification:

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