Redacted_J A.pdf

Justification for Other Than Full & Open Competition (December 2011)

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L7-16-R-0011

[ 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/services on other than a full and open competition basis.

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

• This solicitation is for a DLA Direct requirement, PR 0061238837. Requirement is for 83 EA each (EA), NSN 6650-01-057-2376, Beam Splitter, Optical.

• Material is used to on the F-15 Aircraft.

• The AMC/AMSC code for this item is 1/C.

• The solicitation has an estimated base value of

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

• 10 U.S.C. 2304(c)(2)-Urgency. NSN 6650-01-057-2376 is used on the F-15 aircraft. The customer requests urgency in awarding contracts for NSN 6650-01-057-2376 in order to support the near-term deployments related to Operation Atlantic Resolve (OAR). OAR supports the European Reassurance Initiative. Due to increased deployments to this Area of Responsibility (AOR) there are multiple additional demands on the next higher assembly for which repair is at a work-stoppage due to the non-availability of the beam splitter glass.

All 83 lines of backorders are IPG-1 backorders for a total backorder quantity of 83 EA (see attachment #1). The customer stated that all 83 EA on backorder are needed to support the contingency operation (see attachment #2).

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

• There is three (3) sources of supply:

Synergetic Technologies Group, CAGE 1BAM3 II-VI Optical Systems Inc., CAGE 22669 Boeing Company, CAGE 76301

• AMC 1. Competitive – Items screened and found to be already competitive.

• AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. The FLCA Product Specialist confirmed on 4/6/16 that the only approved manufacturers of this part are Synergetic Technologies (CAGE 1BAM3), II-VI Optical Systems (CAGE 22669), and The Boeing Company (CAGE 76301).

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

• Requirement will NOT be synopsized for Federal BizOps (FBO) for a period of 15 days based on FAR 5.202(a)(2): The proposed contract action is made under the conditions described in 6.302-2 (see attachment #1).

• Based on 6.302-2 -- Unusual and Compelling Urgency the solicitation will be available for 14 days on the DLA Internet Bid Board System (DIBBS).

http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/06.htm#P117_17256

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. PPI code being used for analysis is PCU 333314333314, optical instrument and lens manufacturing.

• It is anticipated that the award will be determined fair and reasonable based on past procurement history price analysis, other than cost or pricing data, and potentially competition.

• Requirement is for a definite quantity contract.

8. Market Research/Efforts to Obtain Competition:

• Market survey was emailed on January 13, 2016 and on March 30, 2016 (Boeing).

• Total number of vendors contacted: 4

• Sources Sought Notice will not be posted to FedBizOps (FBO) because this procurement is being issued using the authority prescribed in FAR 6.302-2.

• Names of vendors contacted and responding: Synergetic Technologies Group (Synergetic), CAGE 1BAM3, II-VI Optical Systems (II-VI), CAGE 22669, Optex Systems Inc. (Optex), CAGE 0BK64, and The Boeing Company (Boeing), CAGE 76301.

• Techniques used to conduct survey: Market Survey was emailed to Synergetic, II-VI, and Optex with a suspense date of January 15, 2016, and a market survey to Boeing with a suspense date April 1, 2016. Four responses were received to the FLCA Contract specialist’s request for market survey.

• Types of information requested:

o Manufacturer or dealer o Business size o Commerciality o Estimated delivery o Quantity sensitivity

• Summary of information received:

o Synergetic, CAGE 1BAM3, is a small business manufacturer. Material is not considered commercial. Synergetic is interested in this procurement.

o II-VI, CAGE 22669, is a large business manufacturer. Material is not considered commercial. II-VI is interested in this procurement.

o Optex, CAGE 0BK64, is a small business manufacturer. They responded to the market survey stating they are not familiar with this NSN, nor do they have the drawings. Optex stated that this item appears to be a Boeing item, and not something they manufacturer.

o Boeing, CAGE 76301, is a large business manufacturer. They responded that at this time the Boeing St. Louis site is unable to respond to Market Surveys.

• Per FAR 2.101, this item does not meet the definition of a commercial item and has been determined to be non-commercial. The FLCA Product Specialist also confirmed that NSN 6650-01-057-2376 is military specific and therefore not commercial.

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

• NSN 6650-01-057-2376 requires existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved sources(s). The approved source(s) retain the data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintain the quality of the part. An alternate source must qualify in accordance with the design control activity’s procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application. The FLCA Product specialist supervisor stated on April 27, 2016 that the three approved sources (CAGEs 1BAM3, 22669, and 76301) build this part to a proprietary vendor (McDonnell Douglas Corp, CAGE 12464) controlled drawing (see attachment #3).

• Per the FLCA Product Specialist Supervisor the material is supported by specifications and drawings, but is made in accordance with a part number. The Governmnet does possess data. However, the data is restricted and proprietary. The FLCA Product Specialist Supervisor stated on April 27, 2016, that the three approved sources (CAGEs 1BAM3, 22669, and 76301) for NSN 6650-01-057-2376 build the approved part to a proprietary vendor (McDonnell Douglas Corp, CAGE 12464) controlled drawing (see attachment #3).

• Per PGI 206.304 (a)(1), the requirement states that “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.” All previous orders for subject NSN were under the simplified acquisition threshold (SAT). Therefore, a J&A was not required and is not available for review. At this time, the requirement/guidance in PGI 206.304 has been fulfilled.

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

• Synergetic Technologies Group, CAGE 1BAM3

• II-VI Optical Systems, CAGE 22669

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

• Requirement will be posted to DIBBS for a period of 14 days.

12. Attachments

1. Urgency Statement & SEPA Letter

2. F-15 Avionics Systems Program Manager Email

3. FLCA Product Specialist Supervisor Email