Redacted_J A.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX-16-R-0142

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

(May 2016) P a g e | 1

[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

Relay, Electromagnetic 5945-01-229-4686 277 (est. ADQ) R

3 Year Base Estimated Value = $

5 Year Total Estimated Value = Contract Maximum =

Identify end item, weapon system, or class of item: Weapon Systems are listed below.

WSDC WSIC Definition

06F F AIRCRAFT, HERCULES C-130

86F F SUPPORT EQUIPMENT, C-5 AIRCRAFT

ATF F AC-130H, J, MC-130

EWN F AIRCRAFT, HERCULES C-130J

58N L AIRCRAFT, HERCULES C-130F

59N L AIRCRAFT, HERCULES KC-130

63N L AIRCRAFT, ORION P-3

05F K AIRCRAFT, STRATOLIFTER C/KC-135

BHF K ENGINE, AIRCRAFT, T56-A-7/15 (C-130B/E/H/)

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

[X] 15 C.F.R. 657f - Procurement programs for small business concerns owned and controlled by service-disabled veterans.

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

Polytechnic Industries, Inc. / CAGE 4K539

[X] Procurement from a specified source or agency is authorized by statute 15 C.F.R. 657f.

[X] Other: (Explain) This NSN has been identified as a candidate for a sole source service-disabled veteran-owned small business acquisition by virtue of having an SDVOSB dealer offering the product of a small business manufacturer, per the SBA’s procurement center representative.

a) The proposed sole source offeror is determined to be a responsible vendor with respect to the subject opportunity by virtue of an acceptable PPIRs score for this FSC (greater than 70), and successful past performance as evidenced by the purchase history of the NSN.

b) The contracting officer does not have the expectation of receiving two or more offers from responsible small businesses owned and controlled by service-disabled veterans.

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c) The anticipated award price of the contract, including options, will not exceed $5,000,000.

d) The award can be made at a fair market price in the estimation of the contracting officer.

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

[X] A synopsis exception cited in FAR 5.202 applies. (explain) Requirement for synopsis is waived I/A/W FAR 5.202(a)(10).

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

This will be a five-year, firm fixed price, indefinite delivery indefinite quantity type contract. The five year period is inclusive of one three-year base period, and two separately priced one-year option periods. As such, the price analysis for future years will be based on the Global Insights Producer Price Index (PPI) forecasts. The Global Insights PPI forecast provides timely, accurate price and cost analysis, and historical records for thousands of commodity prices and wages around the globe, allowing procurement professionals to understand supplier cost structure and better negotiate supplier quotes. Base year period pricing will be compared to reasonable past purchases of the same items using PPI analysis to adjust for quantity sensitivity and passage of time for a fairness and reasonableness determination. In addition, if determined necessary, the contracting officer will request informal cost/price data from the offeror to support a reasonableness determination.

8. Market Research/Efforts to Obtain Competition:

a) A market survey was conducted from 06/02/2016 to 06/10/2016.

Total number of vendors contacted: Three (3).

Names of vendors contacted and responding:

99193 / Honeywell International, Inc. (did not respond);

1G5X3 / Sel Sales Inc. DBA Selco Products Company (did not respond);

4K539 / Polytechnic Industries, Inc. (responded).

Techniques used to conduct survey: Emailed market survey documents, review of past purchase information available electronically, sources sought notice published to www.fbo.gov; any publicly available information for part through Internet research.

Types of information requested: Interest in acquisition, availability of part, approximate lead-time, quantity/price breaks recommended, business size, business status, preferred terms and conditions;

commerciality of part.

b) Describe the market research conducted and the results. The buyer conducted updated market research for this project, as the original information supplied by the Sourcing Strategy Branch ZAA was accumulated in March through May of 2014 and was considered out of date. The results of the surveys are documented below.

1. CAGE 99193 / Honeywell International, Inc. did not respond to the market survey sent to an individual within the company who provided an electronic quote on the last purchase order for this

NSN.

2. CAGE 1G5X3 / Sel Sales, Inc. DBA Selco Products Company did not provide a completed market survey. Previously, in May 2014 during the first round of market research, they indicated to the sourcing strategy specialist that they would not be completing the survey.

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3. CAGE 4K539 / Polytechnic Industries, Inc. did not complete the survey, but indicated the following in their response to the contracting officer.

i. Interested in a Long Term Contract

ii. Item is considered commercial, but is only sold to the Government

iii. Dealer; manufacturer is Electronic Controls Corporation / CAGE 81844 (# of employees unknown)

4. CAGE 1PWB6 / Washington Foundries, Inc. provided the following responses to the market survey sent in May 2014. They also provided unsuccessful quotes on the last 5 purchase orders.

i. Interested in a Long Term Contract

ii. Woman-owned small business/ Employees = 6

iii. No parent company

iv. Dealer; manufacturer is Electronic Controls Corporation / CAGE 81844

x. Item is not commercial

5. A sources sought notice in FBO was published on 03/25/2014, and closed on 04/02/2014. An updated sources sought notice was posted to www.fbo.gov on 06/03/2016 and closed 6/10/2016. As of 06/13/2016 no responses had been received.

6. A review of the GSA Schedule website showed that neither the NSN nor corresponding part numbers was listed.

c) Information regarding commerciality of the item: MM03 COTS field is blank for this NSN indicating the technical community has not made the recommendation to determine the item commercial. Based on the market research responses received, and Internet and GSA research, the contracting officer has determined that this item is not commercial.

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.

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10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) Polytechnic Industries, Inc. / CAGE 4K539

11. The following actions are being taken to identify additional sources before any subsequent acquisitions are made:

(If none, so state and explain why not.)

[X] The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future actions for this item to be competitive.

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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.

Contracting Officer

APPROVAL REQUIREMENTS

[X] Up to $700,000 Contracting Officer c011610 Signature