Amend 0003 Attachment 3 - Redacted JA - DR-GOES_Redacted.pdf

This document is a Justification for Other Than Full and Open Competition (J&A) from the Defense Logistics Agency (DLA) Strategic Materials. The document outlines a sole-source, fixed-price Indefinite Delivery/Indefinite Quantity (IDIQ) contract with Cleveland-Cliffs Inc. for Domain Refined Grain Oriented Electrical Steel (DR-GOES), a specialized material used in electrical transformers. The proposed five-year contract will be awarded to Cleveland-Cliffs Inc., the only domestic producer of this material, to supply DR-GOES for the National Defense Stockpile, with the first delivery order expected within two years of contract award.

The J&A cites several justifications for the sole-source procurement, including national security interests, Executive Orders promoting domestic manufacturing, and the lack of alternative domestic suppliers. DLA Strategic Materials conducted extensive market research from October 2020 to February 2025, including interviews with material users and government offices, which confirmed Cleveland-Cliffs Inc. as the sole qualified domestic producer. The contract will be solicited through a Request for Proposals (RFP) under Federal Acquisition Regulation (FAR) procedures, with potential offerors given approximately two weeks to respond. The estimated contract value is redacted, but the material will be stored at the DLA-SM Hammond Depot.