65508462_J&A_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION ___SPE7L116R0032________________

DPACS pdp127 (JUNE 12)

ORIGINAL

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies/services on other than a full and open competition basis utilizing FAR 6.302-2 Unusual and Compelling Urgency.

3. The supplies/services required to meet the using activity's needs are described as follows:

BRIEF DESCRIPTION NSN/PN QUANTITY EST.VALUE AMSC

Parts Kit, Fuel Injection Nozzle 2910-01-399-4269 96 3R

Identify end item, weapon system, or class of item:

Subject NSN is described as a Parts Kit, Fuel Injection Nozzle. According to Customer

Account Specialist, Jesse Hubbart, this nozzle is in support of multiple 688 Class Submarines.

The 688 Class Submarines are also known as the Los Angeles Class Submarines. These submarines are a class of nuclear-powered fast attack submarines (SSN) in service with the navy.

39 of the class submarines are still in commission. The parts kit is gasketless with 2 injector pumps for each cylinder and can reach 810 RPM. A fuel injector is the introduction of fuel in an internal combustion engine. The nozzle atomizes the fuel through high pressure. The cylinders in the fuel injector nozzle open allowing fuel to flow and create fuel efficiency. The Department of the Navy is the primary customer for this Parts Kit.

ESTIMATED BASE VALUE____ _________

ESTIMATED TOTAL VALUE (BASE + OPTIONS)__ No Option; Customer Direct

MAXIMUM CONTRACT VALUE _____

FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING ______N/A_______

4. The statutory authority permitting other than full and open competition is:

10 U.S.C. 2304(c)(2) - the agency’s need for the property or services is of such an unusual and compelling urgency that the United States would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals.

The sole source for this item is COLTEC INDUSTRIES INC DBA (82796). This item is unique to the 688 class submarine and only this supplier has been approved to produce the parts. The weapon system indicator code for this NSN 2910-01-399-4269 is T. This means failure of this part will render end item inoperable.

FAR 6.302-2 - When the agency’s need for the supplies or services is of such an unusual and compelling urgency that the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals, full and open competition need not be provided for.

Justification for use of utilization of statutory authority

DFARS PGI 206.302-2 Unusual and compelling urgency.

DFARS PGI 206.302-2(b)(iv) states Purchase requests citing an issue priority designator under DoD 4140.1-R, DoD Materiel Management Regulation, of 4 or higher, or citing "Electronic Warfare QRC Priority fall into the application of unusual and compelling urgency of FAR 6.302-

2. PR 65508462 is for a quantity of 96 each all of which are IPG 1, Priority 03 backorders.

In addition to the authority listed above, an unusual and compelling statement was requested to the customer. provided the Contracting Officer a requirements certificate.

In the submission, requested urgent procurement of Parts Kit, Fuel Injection Nozzle, NSN: 2910-01-399-4269, P/N: 16611265. This item is for the Trident Refit Facility in Kings Bay, Georgia and in order to complete the installation of the parts kit, the customer’s required delivery is December 15, 2016 in order to prevent a work stoppage. Justification for item is that it is required for the alterations of the 688 Class Submarines which are only available for the installation during certain refit cycles. Also, the Trident Refit Facility’s ability to perform the installations to the submarines is constrained due to the limited availability to the submarines. Further, the installation of the parts kit is crucial and failure of this part will render the submarine as inoperable. Thus, any delay in purchase of this NSN has a negative and direct bearing on contributing to the submarines being out of commission and not war ready.

Therefore, delay in award would cause adverse financial harm as well as have a negative impact on mission capabilities to the Government. The Item is sole sourced to CAGE 82796 P/N 16611265.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

COLTEC INDUSTRIES INC DBA

CAGE (82796)

AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

AMSC R. Govt. does not own the data or rights to the data needed to purchase this part from another source and it has been determined not to be economically feasible to procure the data or rights to the data.

Per the Approved Manufacturer Parts List available for this NSN, only COLTEC INDUSTRIES INC DBA has been identified by the Government as having the complete technical data set and appropriate manufacturing expertise to supply this NSN to DLA and the using military service.

As such, acquisition from the currently approved source is required to maintain the quality of the parts kit. The last technical review of this item was conducted on October 5, 2016 and no additional sources beyond those listed in the AMPL were identified. Currently, there are no 339’s generated to the ESA for this material. Based on technical review, only the approved source as the technical data and manufacturing expertise to successfully manufacture this item for the Government and using military service.

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

The solicitation will be issued in accordance with FAR 6.101 to ensure as many sources as practicable are solicited.

o FAR 6.101 - Contracting officers shall provide for full and open competition through use of the competitive procedure(s) contained in this subpart that are best suited to the circumstances of the contract action and consistent with the need to fulfill the Government’s requirements efficiently (10 U.S.C. 2304 and 41 U.S.C.

3301).

o It is the Contracting Officer’s determination that FAR 6.302-2 is best suited to the circumstances of the contract action based on the urgent acquisition request of CLSS Hubbart and consistent with the need to fulfill the Government’s requirements efficiently (10 U.S.C. 2304 and 41 U.S.C. 3301).

o Per the exception found at FAR 5.202(a)(2), the requirement of posting a synopsis to FEDBIZOPS has been waived. The Contracting Officer has made the determination the proposed contract action is made under the conditions described in FAR 6.302-2 and the Government would be seriously injured if the agency complies with the time periods specified in FAR 5.203.

o Based upon the urgent nature of this requirement as determined by FAR 6.302-2 along with the potential of Operational Readiness being at risk which will endanger both our troops and their ability to protect our country, Other Than Full and Open Competition as allowed under 10 U.S.C. 2304(c)(2) – Urgency and solicitation will be posted at a GPE for a period not to exceed 15 days. This will provide for a reasonable amount of time for response from as many sources as practicable.

Alternate items will not be evaluated for this procurement, but will be referred for possible future acquisitions. For alternate offers, the supplier is required to provide a complete data package, which may take from 30 to 180 days to be evaluated. As of 10/03/16, the Integrated Data Sheet (IDS) shows that there are “3” lines of backorder with a total quantity of “144”. There are “0” KT of stock on hand and the Annual Demand Quantity (ADQ) is 31. Per CLSS the reason for the surge in the demand for this NSN is driven due to a requirement to upgrade the submarines for enhanced efficiency and mission ready against the warfighter’s adversaries.

Sources Sought notice posted to FedBizOpps on 09/26/16.

The OEM, COLTEC INDUSTRIES INC DBA, along with dealers of the OEM will be included on the mailing list for notification of the upcoming open solicitation for this requirement.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.

Past procurement history will be reviewed, and a PPI price analysis will be performed.

Other than cost and pricing data will be requested and analyzed. Additionally, discussions may be held with offerors, if needed, to determine price fair and reasonable.

This is a definite quantity firm fixed price contract for a total quantity of 96 each. An option is not being included as this is a customer direct requirement.

Multiple/Split awards will not be considered, as this item is being procured on an All or None basis.

8. Market Research/Efforts to Obtain Competition:

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

A market survey was conducted during September 26 – October 3 2016.

Total number of vendors contacted: the OEM and 6 dealers of the OEM Names of vendor contacted and responding: Market Survey was emailed on 09/23/16 to six dealers of the approved source: CAGE CODES: 82796(OEM); 1N8T8, 0YSA1, 4U235, 66200, 61125, and 5E074 (DEALERS). Market survey was returned back from CAGE 1N8T8 and 0SYA1 on 09/26/16. CAGE 4U235 responded on 09/28/16 and CAGE 66200 responded on 09/30/16. The OEM responded on 10/14/16.

Techniques used to conduct survey: The market survey was conducted by e-mail.

Types of information requested:

o Size of business o Manufacturer or dealer o Whether stock is on hand, or will need to be manufactured.

o Commerciality o Estimated delivery o Whether or not item has a minimum buy quantity o Intention to provide a proposal for NSN.

Summary of information received:

o CAGE 1N8T8 is a small business dealer willing to quote NSN 2910-01-399-4269.

SN 2910-01-399-4269 is not a commercial item and o CAGE 0YSA1 is a small business dealer willing to quote NSN 2910-01-399- 4269.

NSN 2910-01-399-4269 is not a commercial item o CAGE 66200 is a small business dealer willing to quote NSN 2910-01-399-4269.

NSN 2910-01-399-4269 is not a commercial item an o CAGE 4U235 is a small business dealer willing to quote NSN 2910-01-399-4269.

NSN 2910-01-399-4269 is not a commercial item and o Market Research was also sent to the OEM, CAGE 82796. On October 14, 2016 from COLTEC INDUSTRIES responded to the market research request. She stated their company quotes through dealers and not the Government directly.

In addition to the completed market survey, a Sources Sought Notice was posted on

FedBizOpps, in accordance with DFARS PGI 206.302-1, seeking to identify potential sources of supply for NSN 2530-00-525-2229. The Sources Sought Notice was posted on 09/26/16, with a response date of 10/03/16. One response from CAGE 0D5X4 was received on the Sources Sought notice. CAGE 0D5X4 is a large business dealer willing to quote NSN 2910-01-399-4269. The item is not kept in inventory and no stock is on hand. The company does not consider the part to be hazardous NSN 2910-01-399-4269 is considered a commercial item but catalog prices do not exist and no other supporting commercial documentation was submitted. CAGE 0D5X4 accepts FOB origin. The company did not respond to the economical quantity question or provide quantity breaks.

CHAND LLC, CAGE 0D5X4, stated they do not have a minimum buy quantity and the kit is not quantity sensitive. Estimated delivery would be 280 days ARO.

Information received regarding the commerciality of the item: AMC/AMSC of 3R, market survey responses, blank SAP COTS status, and 0 results found on the GSA Advantage site, NSN 2910-01-399-4269, in accordance with FAR 2.101, is considered non-commercial.

Previous history for this item shows two purchase orders made to small business concern dealers. Research into these orders reveal no alternate offers were received. All quoters offered the product of the approved source CAGE 82796. Therefore, there is no reasonable expectation of receiving offers from at least two or more small businesses offering the domestic product of different small business concerns.

Currently NSN 2910-01-399-4269 has two additional open PR open. One for quantity of

16 and the other for a quantity of 32. PR 65621126 and 65552848 are estimated to fall below the Simplified Acquisition Threshold. Due to the urgency of the material, it is the Contracting Officer’s determination that it is in the best interest of the Government to award the PRs separately. PR 65621126 and 65552848 will allow the customer access to the material in the interim of PR 65508462. Awarding the PRs separately will decrease the risk of adverse harm to the Government and increase operational readiness. There is no evidence that the agency created the urgent need through a lack of advance planning

9. Additional facts supporting other than full and open competition are:

Based upon the technical certification on file in DLA Land and Maritime-VEP, technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state)

JGILS LLC (1N8T8)

STAG ENTERPRISE (0YSA1)

PIONEER INDUSTRIES (66200)

DELA TECHNOLOGY CORPORATION (4U235)

CHAND LLC (0D5X4)

OEM COLTEC advised quotes will be submitted via dealers.

11. this item is subject to the following methods of locating additional sources:

The solicitation contains the PROC NOTES 104 Offers for Part Numbered Items and M06 Evaluation of Offers for Part Numbered Items.

CONTRACTING OFFICER CERTIFICATION

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. If not exceeding $650,000, this signature serves as the approval.

__________________________________614-692-7046_______ Contracting Officer Phone Date

__Linda J. Allensworth_____________________________ Typed name of Contracting Officer

ALLENSWORTH.LINDA.J.125

1894627

Digitally signed by

ALLENSWORTH.LINDA.J.1251894627

Date: 2016.11.03 08:13:10 -04'00'