SPE7L322R0016 - reviewed_Redacted.pdf

CUI

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L322R0016

DLA Land & Maritime Justification for Other Than Full & Open Competition

(FEB 2017)

[X] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

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

2. The action being approved is the acquisition of supplies on other than a full and open competition basis.

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

BRIEF DESCRIPTION NSN QUANTITY EST. VALUE AMSC

RADIATOR,ENGINE COO 2930-01-423-5011 112 B

Estimated Base Value:

Estimated Max Value:

Identify end item, weapon system, or class of item: This part is a RADIATOR,ENGINE COO used on

FIGHTING VEHICLE SYSTEMS, BRADLEY (BFVS) manufactured by API HEAT TRANSFER

THERMASYS CORPORATION (4C8A9) P/N 1625.

IAW DFARS PGI 6.3, the previous J&A must be attached. All of the previous contract actions were under the Simplified Acquisition Threshold, therefore a J&A was not required. SPE7L720P1493 was awarded under SEPA authority, therefore a J&A was not required.

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

[X] 10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

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

API HEAT TRANSFER THERMASYS CORPORATION (4C8A9) P/N 1625

The use of the authority cited below:

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

The use of the authority cited is based on:

[X] AMSC B. This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

On 03/21/2022 the buyer received confirmation from the product specialist that the AMC/AMSC of 3/B is accurate. The approved source is API HEAT TRANSFER THERMASYS CORPORATION (4C8A9) P/N 1625.

Per the Product Specialist, this is the only known source that possesses the technical data for the manufacturing of this item, thus, demonstrating that API HEAT TRANSFER THERMASYS CORPORATION (4C8A9) has the unique design capability, engineering skills, and manufacturing knowledge for this NSN. The Engineering Support Activity (ESA) has declared API HEAT TRANSFER THERMASYS CORPORATION (4C8A9) P/N 1625 is the only acceptable part. API HEAT TRANSFER THERMASYS CORPORATION (4C8A9) is the only source listed

SOLICITATION SPE7L322R0016

DLA Land & Maritime Justification for Other Than Full & Open Competition

(FEB 2017)

CUI

on the source control drawing authorized, or able to produce this item. CAGE 67049 is no longer authorized for use. CAGE 1HM18 replied they are no longer able to make this item. CAGE 63079 has been replaced by CAGE 4C8A9 (See Attachment 2). Any other commercial, or non-commercial, offerings would be required to submit a Source Approval Request (SAR) to the ESA for approval. Product Specialist certified the above information is correct as of 03/21/2022 (See Attachment 1).

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

The acquisition will be synopsized on or about 03/12/2022 and will be on the DLA Internet Bid Board

(DIBBS).

Dealers of the manufacturers will be solicited.

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

The most recent buy for this NSN was on 03/03/2022. PO# SPE7L422P1662 was awarded to LINMARR ASSOCIATES, INC. (1GX03) for 30 EA at $17,995.00 each. This price was determined Fair and Reasonable based on market research, comparison to similar items and was coded BI.

There have been 5 purchases for this NSN since 2019. Previous purchases have been for quantities of 27 to 170 each. Prices have ranged from $3,807.00 to $17,995.00. The weighted average of all prices was

This is a DLA direct item. The estimated price of the solicited maximum quantity of 112 each may exceed

$2,000,000.00. A subcontracting plan will be required if the contract value exceeds $750,000.00. Certified cost and pricing will be required if the contract value exceeds $2,000,000.00.

In order to determine the cost as fair and reasonable, Price Analysis will be calculated using past procurement history, a Learning Curve and PPI. If additional analysis is needed for the fair and reasonable determination, support will be sought from the Pricing Office.

Negotiations procedures may be used pending price analysis results and competition.

Length of contract: A firm-fixed price contract will be issued.

Quantity: 112

8. Market Research/Efforts to Obtain Competition:

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

Market surveys were sent to Howco Distributing (5E074), Lynn Electronics (19151), Kampi Components (7Z016), Janels Industries (3B8L1), Linmarr Associates (1GX03) and API Heat Transfer (4C8A9) on 03/04/2022 with a respond by date of 03/11/2022. Howco and Kampi responded that they did not intend to submit a proposal.

Linmarr responded that they intended to quote. API Heat Transfer responded that they intended to return the market survey, but did not indicate if they intended to quote.

Total number of vendors contacted: 6 Names of vendors contacted and responding: Linmarr Associates (1GX03) and API Heat Transfer (4C8A9)

Techniques used to conduct survey:

The market survey was sent via email. A Sources Sought was posted 03/09/2022 and closed on 03/16/2022.

One response was received on 03/14/2022, “MAHLE Industrial Thermal Systems America (Cage #43EN8) is an interested source of supply for NSN 2930-01-423-5011. My assumption is that we would have to work this through a SAR package, correct?” On 03/17/2022 the buyer responded “Yes, you would need to follow the SAR process. For further information, please reference the DLA Land Maritime web page shown below and click on the highlight: Alternate Offer/Source Approval Program for detailed explanation for the information and format necessary for a SAR and for the SAR approval process.

https://www.dla.mil/Land-and-Maritime/Business/Selling/Alternate-Offers/”

SOLICITATION SPE7L322R0016

DLA Land & Maritime Justification for Other Than Full & Open Competition

(FEB 2017)

Types of information requested:

Information requested included: business size, commerciality, preference for submissions of offers through distributors/dealers or directly to the government, source of supply, catalogue price, is the item in inventory, willingness to quote the item, economical production quantities, their price break ranges, delivery, and if they are registered in SAM.

Summary of information received:

Linmarr (1GX03) responded that they are a Small Business. . This item is not commercial. Linmarr also provided the following statement: Linmarr is the sole contracted supply chain partner for API HT the approved OEM on this item. We have been advised by the OEM that supply chain constraints, . Therefore, availability of items has been significantly constrained and lead times have moved out. We have advised the DLA previously in earlier March 2022 that availability, will be extremely limited for all of 2022, and 2023 if not nonexistent.

of API Heat Transfer (4C8A9) was contacted via telephone 03/17/2022 to verify the statement received from Linmarr. He indicated this NSN is in current production and available. He stated the item is not commercial.

Information received regarding the commerciality of the item(s):

The COTS field in SRM is blank. Market research did not yield any readily available published catalog price lists, schedules or other form of commercial pricing that are regularly maintained and updated by a manufacturer or vendor that are available to the general public for inspection nor is there evidence of sale prices at which sales were made to a significant number of buyers constituting the general public. Therefore, the Contracting Officer determines this item to be non-commercial and the solicitation shall be issued pursuant to FAR Part 15 procedures.

Synopsis will state that based upon market research, the Government is not using the policies contained in FAR Part 12. However, interested persons may identify to the contracting officer their interest and capability to satisfy the Government’s requirement with a commercial item within 15 days of this notice.

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

[X] 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) Linmarr (1GX03) and API Heat Transfer (4C8A9) expressed an interest in quoting this requirement.

11. The following actions are being taken to identify additional sources:

This solicitation will contain L22 Restrictions of Alternate offers for Source Controlled Items.

Per PGI 206.304 (a)(1), the requirement states, “The justification shall include a copy of the previous justification to assist the approval authority in determining whether the planned actions to remove any barriers to competition cited on the previous justification were completed.”

SPE7L422P1662 3/3/2022 under the Simplified Acquisition Threshold; therefore a J&A was not required.

SPE7L722P0622 11/19/2021 under the Simplified Acquisition Threshold; therefore a J&A was not required.

SPE7L722P0050 10/28/2021 under the Simplified Acquisition Threshold; therefore a J&A was not required.

SPE7L720P1493 1/16/2020 SEPA authority under the Simplified Acquisition Threshold; therefore a J&A was not required.

SPE7L520P0308 12/18/2019 under the Simplified Acquisition Threshold; therefore a J&A was not required.

SOLICITATION SPE7L322R0016

DLA Land & Maritime Justification for Other Than Full & Open Competition

(FEB 2017)

CUI

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

Monica Whiting, Contracting Officer Date

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ ] Up to $750,000 Contracting Officer

[ X] $750,000 to $15,000,000 Competition Advocate

ATTACHMENT:

Attachment 1: Product Specialist Certification Attachment 2: Product Specialist email

WHITING.MONICA.L.

1378381815

Digitally signed by

WHITING.MONICA.L.1378381815

Date: 2022.03.29 14:32:55 -04'00'