SPE7LX-16-X-0028_-_J_and_A_reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX-16-X-0028

DLA Land and Maritime Justification & Approval for Other than Full and Open Competition (J&A) (April 2014)

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/services required to meet the using activity's needs are described as follows:

Item Name NSN Approved Source CAGE Part No. ADQ ADV AMC AMSC

PARTS KIT, HEADSET 5965-01-416-9564 OREGON AERO, INC. 0WY76 83006E 3,433 3 D

PHT AEROSPACE LLC 0KAA8 158748

OREGON AERO, INC. 0WY76 83006DM

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

AIRCRAFT, AIRLIFTER C-17A

ESTIMATED BASE VALUE:

ESTIMATED TOTAL VALUE (BASE + OPTIONS):

MAXIMUM CONTRACT VALUE:

FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING: N/A

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: OREGON AERO (0WY76) and PHT AEROSPACE LLC (0KAA8). The approved source listed in the J&A is uniquely qualified to provide these items. For this item with an AMSC of D the sources are uniquely qualified because they either own the drawings necessary to manufacture the item or have rights/access to the drawings to manufacture the item. If a product different from the approved part is offered, the companies must get their part numbers approved, and can go through the Alternate Offer process. The approved sources listed in the J/A are the only known sources that possesses the manufacturing knowledge and capability to produce the items in the quantity and quality required by the Government. The SAPD Technical Team verified the AMC/AMSC of 3 D when the project was being verified as a good Long Term Contract Candidate.

The use of the authority cited is based on:

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

(The following are the AMSC descriptions. The full text is available in DFARS PGI 217.7506 Part 2).

DLA Land and Maritime Justification & Approval for Other than Full and Open Competition (J&A) (April 2014)

[X ] AMSC D. The data needed to acquire this part 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. AMCS 3, 4, or 5 are valid.

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

(X) The acquisition will be synopsized on or about May 17, 2016. The synopsis period will remain on the Internet for 15 days, via the DLA Internet Bid Board System (DIBBS).

(X) All companies who expressed an interest in the project during the market survey period will be sent a copy of the solicitation as soon as it has opened on DIBBS.

( ) Manufacturers of similar products identified in the market research will be solicited.

(X) Dealers of the manufacturer will be solicited.

(X) Alternate items will be evaluated for this procurement if they are offered.

( ) A synopsis exception cited in FAR 5.202 applies. (explain) (X ) Other: Any sources from Market Surveys/and or previous procurements. In an effort to encourage participation by manufacturers in the acquisition process and to help decrease barriers for companies looking to become sources of supply, DLA Land & Maritime hosts Captains of Industries and the DLA Industry Forum, bringing in industry leaders for particular commodities or weapon systems.

The previous solicitation for this NSN did not have a J&A completed for that initiative.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. This contract is anticipated to reflect three (3) base years plus two (2) option years. Price analysis, “should cost” negotiations, Producer Price Index (PPI), learning curve analysis, comparison to commercial catalogs and part numbers available on the Internet, and/or informal cost breakdown will be used to make a price reasonableness determination.

8. A Sources Sought Notice:

(X) Was posted on Fed Biz Ops (www.fbo.gov) on: April 22, 2015 thru April 29, 2015 by the Market Research Team. The sources sought notice had no responses. Another sources sought was issued by the Contracting Officer on March 25, 2016 thru April 1, 2016 since the other FBO notice was almost a year old. The 2016 FBO notice had no responses.

Types of Information Requested: Sources interested in becoming approved sources for this NSN was asked to submit the appropriate information to become approved outlined in DLAD 52.217-9002, Conditions for Evaluation and Acceptance of Offers for Part Numbered Items. A complete market survey questionnaire was also uploaded and attached to the sources sought notice and sources interested in offering on this solicitation were asked to complete the market survey questionnaire and return it to the Strategic Sourcing Specialist or the Contracting Officer.

9. Market Research/Efforts to Obtain Competition:

A Market Survey was conducted from March 17, 2015 thru April 1, 2015 by the Market Research Team and again March 25, 2016 thru April 20, 2016 by the Contracting Officer to validate the 2015 information.

DLA Land and Maritime Justification & Approval for Other than Full and Open Competition (J&A) (April 2014)

Total number of Vendors Contacted: 4 Number of vendors Responding: 4, (0WY76) Oregon Aero, (7Z016) Kampi, and (7A2S8) Comfort Cushion Products and (0KAA8) PHT Aerospace.

Techniques used to conduct survey: Email and telephone Types of information requested: The following includes some of the information requested on the market survey: Interest in Long Term Contract & number of years preferred, commerciality per FAR 2.101(b), business type (large, small, SDVOSB, WOSB), would an offeror be willing to provide cost and pricing data, estimated delivery, whether an item is quantity sensitive, among other questions.

Summary of information received: All information received is contained on the market survey J&A Attachment.

Information received regarding the commerciality of the item(s): Both manufacturers (0WY86) Oregon Aero, (0KAA8) PHT Aerospace and (7A2S8) Comfort Cushion Products indicated that the item was commercial. Oregon Aero provided un-redacted invoices for purchases that were made to individual commercial customers.

DLA history shows purchases ranging between 259 and 1,253 over the last year which would lead to cheaper pricing than is available commercially online for 1 EA purchases. The items were researched online using the manufacturer name and part number and all were found online for sale from various dealers. The pricing found online is matches the commercial invoices provided by Oregon Aero. A commercial catalog was also provided by Oregon Aero. All commerciality documents are provided as an attachment to this J&A.

As this item has been determined commercial, it will be solicited through FAR Part 13.5- Simplified Procedures for Certain Commercial Items.

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

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 Bailment program.

11. A listing of sources, if any, indicating an interest in the acquisition is: (0KAA8) PHT Aerospace (0WY76) Oregon Aerospace and (7A2S8) Comfort Cushion Products. Oregon Aerospace indicated that Comfort Cushion Products would be providing a quote for them as their dealer. Kampi (7Z016) is not an

DLA Land and Maritime Justification & Approval for Other than Full and Open Competition (J&A) (April 2014) interested party as they indicate they have not provided this NSN in the past and have no information about it.

12. This item is 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

(X) VE Bailment Program

(X) Reverse Engineering

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.

2-7568 May 11, 2016 Contracting Officer Phone Date

Carrie Spayde

Approval/Certification

I have reviewed and approve this justification. The estimated total value of the J&A is

Competition Advocate Phone Date Signature

APPROVAL REQUIREMENTS

( ) Up to $700,000 Contracting Officer

(X) $700,000 to $13,000,000 Competition Advocate

1. Market Survey Attachment

2. Commerciality documents

SPAYDE.CARRIE.L.12

99372029

Digitally signed by SPAYDE.CARRIE.L.1299372029

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, cn=SPAYDE.CARRIE.L.1299372029

Date: 2016.05.11 13:30:31 -04'00'

COUTURE.MARY.E.1230

253613

Digitally signed by COUTURE.MARY.E.1230253613

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, cn=COUTURE.MARY.E.1230253613

Date: 2016.05.20 09:24:16 -04'00'