SPE7LX21R0045_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX-21-R-0045

DLA Land & Maritime Justification for Other Than Full & Open Competition (April 2014) 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

ANNUAL

DEMAND

QUANTITY

EST.

ANNUAL

DEMAND

VALUE AMC AMSC

Storage, Battery 6140-01-457-5469 5,611 3 Z Storage, Battery 6140-01-475-9355 5,088 3 Z Storage, Battery 6140-01-475-9361 1,577 3 Z Storage, Battery 6140-01-502-4973 670 3 Z Storage, Battery 6140-01-523-6288 3 Z

3-year estimated total value = 5-year estimated total value = Contract maximum =

Estimated value and contract duration:

The proposed action is for the solicitation and award of 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. The 3-year base period estimated value is and the base period plus two option years’ estimated value is . The contract maximum is

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

The NSNs are tied to various weapon systems as listed below. The batteries are primarily associated with powering the systems that include them, and are operated by the US Army, US Air Force, and US Navy. They have been assigned the highest weapon system indicator codes (WSICs) of F, L, R, or T.

Codes F, L, and T are assigned when failure of the item will render the end item inoperable. Code R is assigned when the item’s failure will reduce the end item’s effectiveness.

Material # WSDC WSIC Weapon System

014575469 C7N L NAVY EXPEDITIONARY PROGRAMS

014575469 Z8N L LANDING CRAFT UTILITY (LCUS)

014575469 ZLA L RECOVERY VEHICLE FU

014575469 1RN T TRUCK, STAKE

014575469 2AN T LOADER SCOOP WH

014575469 40N T HELICOPTER, SEA KNIGHT H-46

014575469 41A T 200 KW TACTICAL QUIET GENERATOR (TQG)

014575469 42A T 100 KW TACTICAL QUIET GENERATOR (TQG)

014575469 FUN T CASS OPERATIONAL TEST PROGRAM SET - SH-60

014575469 ICA Y SKID STEER LOADER, TYPE II

014575469 IDA Y SKID STEER LOADER, TYPE III

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

(April 2014) P a g e | 2

Material # WSDC WSIC Weapon System

014575469 14F S CARGO SYSTEM, 463L

014575469 AEF Z KC-46A SUPPORT EQUIPMENT FOR AERIAL REFUELING

014759355 01F F MISSILE, MINUTEMAN III, LGM-30

014759355 86F F SUPPORT EQUIPMENT, C-5 AIRCRAFT

014759355 C9N F DDG-1000 ZUMWALT CLASS DESTROYER

014759355 D3N F FORD CLASS CARRIERS

014759355 EZN F TICONDEROGA CLASS CG (47)

014759355 GBN F LITTORAL COMBAT SHIP

014759355 GJN F LCS MISSION MODULES

014759355 JAN F NIMITZ CLASS CVN

014759355 JDN F ARLEIGH BURKE CLASS DDG

014759355 JXN F AVENGER CLASS MCM

014759355 ZDN F RECOVERY VEHICLE FU

014759355 25F H AIRCRAFT, AWACS, E-3A

014759355 C7N L NAVY EXPEDITIONARY PROGRAMS

014759355 EDN L LANDING CRAFT AIR CUSHION (LCAC)

014759355 JKN L WASP CLASS LHD

014759355 JLN L TARAWA CLASS LHA

014759355 JMN L EMORY S. LAND CLASS AS

014759355 JSN L WHIDBEY ISLAND CLASS LSD

014759355 JVN L SAFEGUARD CLASS ARS

014759355 KBN L USNS HENRY J. KAISER CLASS TAO

014759355 MNN L MERCY AND COMFORT HOSPITAL SHIPS CLASS TAH

014759355 MQN L BLUE RIDGE CLASS LCC-19

014759355 PAN L PATHFINDER CLASS T-AGS 60

014759355 Z8N L LANDING CRAFT UTILITY (LCUS)

014759355 ZON L PC CLASS/COASTAL PATROL BOATS

014759355 03N T RIVERINE PATROL BOAT

014759355 2KN T MK VI PATROL BOAT

014759355 FJA T LIGHTWEIGHT 155MM TOWED ARTILLERY SYSTEM, M777A2

014759355 FON T MT WHITNEY LCC-20 CLASS

014759355 FPN T SHIP, SUPPLY CLASS TAOE

014759355 G2N T MK46 GWS

014759355 GUN T LCS SUW MISSION MODULE

014759355 GXF T RADAR (HIGHPAR) AN/GPN-22(V)

014759355 NRN T AN/SRN-25(V) NAVIGATION RADIO SET

014759355 VGN T POWHATAN CLASS T-ATF 166

014759355 JCN Z FMS - KIDD CLASS DDG

014759355 JRN Z FMS - KNOX CLASS FF

014759355 JWN Z FMS - NEWPORT CLASS LST

014759355 YQN Z FMS - LST 511-1152 CLASS

014759355 YRN Z FMS - BUILD FRIGATES CLASS SHIPS

014759361 92F L KC-46A SUPPORT EQUIPMENT FOR AERIAL REFUELING

014759361 1FA T LARGE CAPACITY FUEL HEATER (350K BTU HEATER)

014759361 C7N R NAVY EXPEDITIONARY PROGRAMS

014759361 EDN R LANDING CRAFT AIR CUSHION (LCAC)

015024973 14F R CARGO SYSTEM, 463L

015236288 J1A T AVIATION LIGHT UTILITY MAINTENANCE CART

015236288 AGF Y MIDS JTRS AN/USQ190

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:

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CAGE 0UJ55 / Optima Batteries, Inc.

The use of the authority cited below:

[X] AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

The use of the authority cited is based on:

[X] AMSC Z. This part is a commercial/nondevelopmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid (When one or a limited number of sources are available, then a J&A is required. When an item is coded with AMSC “Z” and is listed on an interchange catalog or appears on a commercial cross reference list, this constitutes full and open competition, and a J&A is not necessary).

[X] Other: (Explain) The Government has reserved the right to approve sources and only CAGE 0UJ55 has been approved. In addition, per the approved manufacturer parts list for these NSNs in SAP (as received from the Defense Logistics Information Service), only CAGE 0UJ55 has been identified as having the proper complete technical data and manufacturing expertise to supply these particular items to DLA and the using military services. Therefore, competition must be limited to offers of the product of CAGE 0UJ55. The most recent technical review in support of a potential LTC was performed on 10/20/2020. The NSNs were determined to be suitable for an LTC at that time.

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

[X] The acquisition will be synopsized on or about 12/20/2020.

[X] The solicitation will be posted to DLA DIBBS on or about its issuance date of 01/04/2021 and will be posted for 30 days.

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 (1) three-year base period, and two (2) 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. Based on the results of market research, the buyer anticipates receiving more than one offer, and adequate price competition is expected to exist at time of evaluation of proposals. This is a commercial item as determined in paragraph 8 below. Therefore, in accordance with FAR Part 15.403- 1(b)(3), it is prohibited to request Certified Cost/Price Data. Other Than Cost or Pricing Data will be used to determine a fair and reasonable price. This data includes the commercial market value of similar items and their difference to the government required configuration, price analysis, negotiation procedures, traceability, and the use of resources available through the Pricing Office.

8. Market Research/Efforts to Obtain Competition:

DLA Land and Maritime conducted various forms of market research including the publishing of a formal Sources Sought notice and market survey to www.beta.sam.gov. In addition to the publishing

P a g e | 4 of a Sources Sought notice, the Sourcing Strategy team’s Contract Specialist also researched the procurement history for the item on the proposed solicitation and emailed each of the suppliers that still had a valid registered CAGE. CAGE 0UJ55 received a market survey.

Sources Sought Notice:

On 11/24/2020, a Sources Sought notice was posted to www.beta.sam.gov, and contained an attached market survey. The date of return referenced on the sources sought notice was 12/02/2020.

As of 12/10/2020, no responses had been received for the sources sought notice.

Market Research Conclusion:

A market survey was conducted on: 11/18/2020 through 12/10/2020.

Total number of vendors contacted: 1 Names of vendors contacted and responding:

0UJ55 / Optima Batteries, Inc. – responded.

Techniques used to conduct survey: E-mail and Sources Sought notice.

Types of information requested: Commerciality, Length of Contract, FOB, Delivery & General information questions.

Summary of information received:

1. CAGE 0UJ55 / Optima Batteries, Inc.

(a) Large manufacturer with a preference to do business with the government

(b) 40,000 employees (c)

(d) They do not have a parent company

(e) Is willing to pursue an LTC with DLA L&M (f)

(k) Considers the item commercial; willing to supply supporting documentation.

(l)

Information received regarding the commerciality of the item(s):

A review of the COTS field in the material master for these NSNs in SAP shows an entry of ‘Yes’, indicating that the technical community has recommended that the NSNs be determined commercial by the contracting officer. Per the market survey returned by Optima Batteries, Inc., they consider the items to be commercial in nature. A search of Bing showed that these part numbers are available for purchase by the public through several Internet retailers. In addition, the items were determined commercial on previous acquisition contract SPE7MX-17-D-0124. The contracting officer sees no reason to overturn the previous commercial item determination.

Therefore, based on the publicly available information about these NSNs, market research results, and a past commercial item determination, the contracting officer has determined that these NSNs are commercial.

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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. CAGE 0UJ55 is the only approved source.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) CAGE 0UJ55 / Optima Batteries, Inc.

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

[X] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items.

[X] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items.

[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.

12. Previous contract SPE7MX-17-D-0124’s justification and approval is attached.

Attachments:

J&A SPE7MX-17-D-0124

DLA Land & Maritime Justification for Other Than Full & Open Competition (April 2014) P a g e | 6

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.

Carol M. Bucher Date Contracting Officer

APPROVAL/CERTIFICATION

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

MARY E. SHEARER Date Competition Advocate

MARK A. BROWN, SES Date Acquisition Executive

APPROVAL REQUIREMENTS

[X] $15,000,000 to $100,000,000 Head of the Contracting Activity/Acquisition Executive

Digitally signed by

BUCHER.CAROL.M.1267565690

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, cn=BUCHER.CAROL.M.1267565690

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2020.12.22 14:39:39 -05'00'

BROWN.MARK.AL

BERT.1041175032

Digitally signed by

BROWN.MARK.ALBERT.104117

Date: 2020.12.22 14:48:44 -05'00'

12/14/2020

12/22/2020

12/22/2020