SPE7LX16R0079_-_redacted_Redacted.pdf

SPE7LX-16-R-0079

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX-16-R-0079

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 Cylinder, Assemblies for the PFF Aircraft arresting systems using other than a full and open competition by restricting sources to the specified approved manufacturers per 10 U.S.C. 2304 (c) (1).

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

NSN Description ADQ ADV AMC AMSC

3040-01-393-7529 Cylinder, Assembly 26 3 R

3040-01-393-7983 Cylinder, Assembly 18 3 C

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

Aircraft arresting system (PFF) Transportable Shelter Lift Dolly Set (APA)

The items for this acquisition are Cylinder; Assembly used on end item Aircraft arresting system, WSDC PFF and Transportable Shelter Lift Dolly Set, WSDC APA. These items are categorized as weapon system level T, essential part to a critical weapon system, and failure of the item will render the end item inoperable (Mission Essential). The confirmation of the approved manufacturing source listed below was confirmed by Technical Support Personnel. Based on their response and the fact that the data needed to acquire these parts competitively is not physically available, it cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation (AMSC R and C, respectively), only the approved source can meet the Government’s needs and qualifications for the items at this time.

ESTIMATED ANNUAL DEMAND VALUE: CLIN 0001 CLIN 0002

ESTIMATED TOTAL VALUE W/OPTION YRS: CLIN 0001 CLIN 0002

MAXIMUM COMBINED CONTRACT VALUE:

FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING: Not Applicable

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:

NSN Description Approved

CAGE Company Name Approved Part

Number

3040-01-393-7529 Cylinder, Assembly 1NHH8 CDK Mobile Systems 8D00145-1

3040-01-393-7983 Cylinder, Assembly 1NHH8 CDK Mobile Systems 8D00146-1

The use of the authority cited in other than 10. U.S.C. 2304(c)(1) above:

(The following are condensed versions of the AMSC descriptions. The full text is available in DFARS PGI

217.7506 Part 2).

CLIN 0001 (X) AMC 3. Acquire, for the second or subsequent time, directly from the actual manufacturer.

(X) AMSC R. The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights.

CLIN 0002 AMC 3. Acquire, for the second or subsequent time, directly from the actual manufacturer.

(X) AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining 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.

As these items have AMSC codes of R and C, The data needed to acquire these parts competitively is not physically available, cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation and would require engineering source approval by the design activity. The use of incorrect manufacturing/process techniques during fabrication of these Cylinder Assemblies could result in a malfunction of the item. The approved source identified above has demonstrated proven manufacturing capabilities to reliably produce these items and is uniquely qualified to supply the items due to their ownership of the data or data rights necessary to manufacture the items.

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

(X) The acquisition will be synopsized on or about 30 March, 2016 (or 15 days prior to issuance of solicitation).

(X) Other: A sources sought was conducted on FedBizOps from July 8, 2015 through July 15, 2015.

There were no responses received to the sources sought notice that was published for 7 days. Based on technical review, the Government does not own the data or the rights to the data for these items to allow for full and open competition to exist (AMC/AMSC 3R and 3C). These NSN’s are suitable for competitive acquisition for the second or subsequent time

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. A price analysis will be conducted using historical pricing, the Producer Price Index (PPI), and learning curve analysis. The offeror(s) may be requested to submit information other than cost or pricing data for determining price reasonableness. Based on the above techniques, the Contracting Officer anticipates the costs to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

A sources sought notice was posted to FedBizOps on July 8, 2015. There were no responses.

A market survey was conducted on/during October 22, 2015 through October 29 2015.

Total number of vendors attempted contacted: 1

Names of vendor contacted and responding: Vendors successfully contacted were CDK Mobile Systems

(1NHH8).

Any alternate offers received will be directed to the value engineering office and the appropriate ESA in order to have the alternate offer evaluated for inclusion as an approved source for either of these NSN’s on future procurements.

Techniques used to conduct survey: A market research form was emailed to CDK Mobile Systems. A sources sought notice was posted to FedBizOps on July 8, 2015 with a response date of July 15, 2015. CDK Mobile Systems responded to the market research form and expressed an interest in proposing on the acquisition. There were no responses from the sources sought notice.

Types of information requested: Vendor was asked to identify if they are a manufacturer, dealer or distributor, and their business size. Vendor was also asked about interest in pursuing a Long Term Contract for the item, their inventory capability, if the item is quantity sensitive or hazardous, base/option year structure, willingness to propose option years, questions as to commerciality of the item, FOB points/impact on price, zone pricing, delivery information, packaging, and EDI capability.

Summary of information received:

CDK Mobile Systems indicated an interest in pursuing a Long Term Contract for the item.

. They stated they were a small business, the Government’s vendor look up system (MK03 in SRM) indicated they were a small business with less than 500 employees.

They stated the item was not a commercial item. They are not able to provide cost or pricing data.

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

The NSN’s included on this solicitation were reviewed by the Strategic Acquisition Programs Directorate (SAPD) Product Specialist during the project development phase. No additional sources were identified during that review.

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.

Previous Justification for other than full and open competition (J and A’s) could not be found in records management. History shows one CLIN 0001 was on an IDPO and CLIN 0002 has been procured as one time buys with none being above the simplified acquisition purchase threshold. No J and A’s were found for either NSN in records management.

Forecast information is available to all potential sources for both sole source and competitive items. The DLA Supplier Requirements Visibility Application (SRVA) is a database that is available via the DLA internet Bid Board System (DIBBS.) SRVA provides potential sources the opportunity to search for information on DLA’s anticipated requirements based on updated monthly forecasts. Essentially it provides 24 months of sole source and competitive projected purchase order quantities. Potential alternate sources for current sole source items can easily see DLA’s forecasted procurements and can contact the Value Management Unit to become approved sources for sole source and code and part number items. The DLA Land & Maritime Value Management Unit continually seeks out sole source, limited competition, over-priced, low reliability and hard to buy items to improve their value and support posture. The DLA Land & Maritime internet website contains information for all potential sources on how to challenge prices, how to submit a Value Engineering Change proposal, a link to DoD’s Value Engineering program and the necessary contact info for both the DLA Value Engineering program and the DoD Value Engineering program.

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

(1NHH8) CDK Mobile Systems

11. These items are subject to the following methods of locating additional sources:

(X) The solicitation contains the provision entitled Conditions for Evaluation and Acceptance of Offers for Part Numbered Items

( ) VE Bailment Program

( ) Source Development Review

( ) Reverse Engineering

(X) Other: A sources sought notice was posted to FedBizOpps on July 8, 2015 with a response date of July 15, 2015.

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.

__________________________________________ 614-692-5912 __________ Contracting Officer Phone Date Robert Harris Typed name of Contracting Officer

( X ) Up to $700,000 Contracting Officer

HARRIS.ROBERT.T.1283

673070

Digitally signed by HARRIS.ROBERT.T.1283673070

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, cn=HARRIS.ROBERT.T.1283673070

Date: 2016.03.22 08:08:58 -04'00'