SPE7L419R0026_-_reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION: SPE7L4-19-R-0026

SOURCE SELECTION INFORMATION – SEE FAR 2.101 AND 3.104

FOR OFFICIAL USE ONLY

[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/P/N QUANTITY EST. VALUE AMSC

Nozzle, Fuel Injection 2910-12-386-4658 87 each Q

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

LITTORAL COMBAT SHIP

ESTIMATED BASE VALUE

ESTIMATED TOTAL VALUE (BASE+ OPTIONS): N / A

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

10 U.S.C. 2304(c) (l) - 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:

MTU America Inc (72582) MTU Friedrichshafen GmbH DBA MTU (D8266)

The use of the authority cited in other than 10. U.S.C. 2304(c) (l) above:

AMC 1. Suitable for competitive acquisition for the second or subsequent time.

The use of the authority cited is based on:

AMSC Q. The Government does not have adequate data, lacks rights to data, or both needed to purchase this part from additional sources. The Government has been unable to economically buy the data or rights to the data, although the part has been undergoing full screening for 12 or more months. Breakout to competition has not been achieved, but current, continuing actions to obtain necessary rights to data or adequate, re-procurement technical data indicate breakout to competition is expected to be achieved. This part may be a candidate for reverse engineering or other techniques to obtain technical data. All AMSC Q items are required to be reviewed within the timeframes cited in 2-203(b). If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

Per telecom on 01/03/2019, the Product Specialist confirmed that the only approved sources for this item are MTU America Inc (72582) and MTU Friedrichshafen GmbH DBA MTU (D8266). They are the only sources that possesses the technical data required to manufacture this item. Competition has not been achieved, but current, continuing actions to obtain necessary rights to data indicate breakout to competition is expected to be achieved.

The data is not owned by the Government and is proprietary to the OEM. Per Product Specialist, ESA states the AMC/AMSC of 1Q is correct. The Government does not own the technical data for this item and cannot obtain the technical data economically.

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

The acquisition will be synopsized for 15 days prior to the solicitation opening. At the completion of the synopsis period, this PR will be solicited on the internet for 30 days via the DLA Internet Bid Board System (DIBBS).

Dealers of the manufacturers will be solicited.

Other. A sources sought notice was posted on FedBizOps on 20 December 2018 with a response date of 27 December 2018. No inquiries/responses were received.

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

• A PPI analysis will be performed, and procurement history will be reviewed. Based on past buy history, and researching RM, it is anticipated the award will be fair and reasonable. If multiple proposals are received for this solicitation, competition will also be used to determine the price as fair and reasonable. This is a definite quantity contract for a total quantity of 87 each. The Contracting Officer anticipates the cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition: Market Survey Questionnaire was sent via e-mail on 20

December 2018 to MTU America (72582), Howco Distributing (5E074), and W.W. Williams (1B318).

Response from Howco Distributing stated that their MTU dealer cannot access or purchase these items. They are unable to provide a quote.

Sources Sought Notice: A sources sought notification was posted on 20 December 2018 with a response date of 27 December 2018. No inquiries/responses were received.

The Contracting Officer has determined ALT, PLT, set-aside concerns, and commerciality as shown below:

Previous acquisition was solicited as Unrestricted under FAR Part 15. MTU America Inc and MTU Friedrichshafen GmbH DBA MTU are the only known approved sources of supply for this item. Based on review of past history, quotes from two small offers offering the product of at least two small domestic manufacturers are not expected.

ALT is 119 days MM03 Data 1 shows PLT of record is 290 days. Based on review of past acquisitions, taking into consideration quantity variance, the required delivery will be 87 each in 290 days.

The contracting officer reviewed this NSN and has determined this item is not a commercial item;

therefore, FAR Part 12 procedure will not be utilized. This item will be solicited under FAR Part 15. The following factors have led to this conclusion:

• The Commercial off the shelf (COS) field in the CTDF (EBS transaction MM03) is “Blank” and there are no statements regarding commerciality (See Tab 1 of Main File).

• Review of Material Master indicates that this item is a Code/PN item supplied by the following approved source:

MTU America Inc (72582) MTU Friedrichshafen GmbH DBA MTU (D8266)

• Review of the Internet does not show evidence that this item is available on the commercial market.

• Per FAR 12.205, a review of the item population shows that for the items being procured under this initiative, there is not generally product literature available in the industry to determine its adequacy for purposes of evaluation.

• Based on the aforementioned information the Contracting Officer has determined that this item is not a commercial item.

The following statement will be included in the synopsis, “Based upon market research, the Government is not using the policies contained in Part 12, in its solicitation for the described supplies. 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:

• Based upon the technical certification on file in DLA Land and Maritime- The Government does not have adequate data, lacks rights to data, or both needed to purchase this part from additional sources. The Government has been unable to economically buy the data or rights to the data, although the part has been undergoing full screening for 12 or more months. Breakout to competition has not been achieved, but current, continuing actions to obtain necessary rights to data or adequate, re-procurement technical data indicate breakout to competition is expected to be achieved.

• Item is a code and part number item and MTU America Inc (72582) and MTU Friedrichshafen GmbH DBA MTU (D8266) are the only approved sources for this NSN with the technical data needed to manufacture this item. ESA approval is required to add/delete sources. The data presently available reflects the minimum needs of the Government.

• DFARS PGI (Procedures, Guidance and Information) 206.303 and 206.304 state that justifications citing the authority at FAR 6.302-1 to permit the use of other than full and open competition shall include a copy of a previous justification. Contracting Officer has searched Records Management. No previous J&A could be found for this item.

10. A listing of sources, if any, indicating an interest in the acquisition is:

None

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

• The solicitation contains the DLA Land and Maritime Procurement Notes L04, Offers for Part Numbered Items, and M06, Evaluation of Offers for Part Numbered Items.

• Requirement will be synopsized for 15 days and posted to DIBBS for a period of 30 days.

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 $700,000, this signature serves as the approval.

______01/08/2019____

Georgia Shirey Date

Contracting Officer

APPROVAL REQUIREMENTS

[ X ] Up to $700,000 Contracting Officer