SPE7LX22R0048 - reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7LX-22-R-0048

DLA Land & Maritime Justification for Other Than Full & Open Competition (May 2018)

[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:

BRIEF DESCRIPTION NSN QUANTITY EST.5 YR

MAX

VALUE

AMC/AMSC

PARTS KIT,HYDRAULIC 4910016281473 11 3/D

SPILL BERM KIT 4940016202602 42 3/D

SHOP EQUIPMENT,UTIL 4940016298483 1 3/D

SHOP EQUIPMENT,INST 4940016299499 11 3/D

STRAP,WEBBING 5340016282775 68 3/D

HARDWARE KIT,MECHAN 5340016299818 24 3/D

HARDWARE KIT,MECHAN 5340016299841 23 3/D

HARDWARE KIT,MECHAN 5340016299873 18 3/D

This acquisition is to establish a firm fixed-priced, indefinite quantity contract for a base period of 3 years and 2 one-year option periods. These items being procured is in support of general maintenance of military vehicles.

ESTIMATED BASE VALUE: $

ESTIMATED TOTAL VALUE (BASE + OPTIONS):

MAXIMUM CONTRACT VALUE:

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.

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

NSN APPROVED

MANUFACURER

PART NUMBER

4910016281473 Sanitz Enterprises (57AD8) AP101987 4940016202602 Sanitz Enterprises (57AD8) AP101036 4940016298483 Sanitz Enterprises (57AD8) AP102085 4940016299499 Sanitz Enterprises (57AD8) AP102153 5340016282775 Sanitz Enterprises (57AD8) AP101033 5340016299818 Sanitz Enterprises (57AD8) AP101041 5340016299841 Sanitz Enterprises (57AD8) AP100050 5340016299873 Sanitz Enterprises (57AD8) AP100051

5. 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 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.

The technical information, including the AMC/AMSC codes and approved source, were certified as complete and accurate by Product Specialist Douglas Sanders on October 29, 2021. See Attachment #1.

The items being solicited are various kits used in the general maintenance of combat vehicles. They were originally part of a 2014 pilot program to convert non-NSN parts to NSNs managed by DLA. Sanitz Enterprises is the only source approved by the design control activity because they retain the data rights, manufacturing knowledge, or technical data that is not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part. As of this date, there are no other known sources for these items.

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

[X] A Source Sought Notice was posted on January 20, 2022 and closed on January 25, 2022.

[X] The acquisition will be synopsized on or about March 15, 2022 for 15 days as a combined synopsis/solicitation posting and this PR will be solicited on the internet via the DLA Internet Bid Board System (DIBBS).

[ X] Dealers of the manufacturer will be solicited.

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

a. Certified Cost and Pricing data is not required I/A/W FAR 15.403-1(b)(3), as this acquisition will be procured utilizing FAR Part 12 procedures. A price analysis will be conducted based on the submitted cost and pricing data as well as a comparison to past procurements. Global Insight Producer Price Indices will also be utilized in developing the Government’s objectives. These items will be solicited as 100% Small Business Set Aside. The buyer only intends to award the NSNs if fair and reasonable price determinations can be made.

8. Market Research/Efforts to Obtain Competition:

Total Number of Vendors Contacted: 7

Names of Vendors Contacted:

o Kampi Components Inc (7Z016) o R & M Government Services (6FN58) o Sanitz Enterprises (57AD8) o AM-MAC Inc. (0VW10) o Dela Technology (2U435) o Warfighter Focused Logistics Inc. (6V4L8) o Lynn Electronics (19151)

Names of Vendors that responded in writing to the Market Survey and expressed interest in proposing on requirement:

o Kampi Components Inc (7Z016) o R & M Government Services (6FN58) o Sanitz Enterprises (57AD8)

Types of information requested: The following includes some of the information requested on the Market Survey: Interest in Long Term Contract and 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.

A Sources Sought notice was posted on January 20, 2022 and closed on January 25, 2022. No responses were received.

Summary of information received:

1. Kampi Components (CAGE 7Z016):

from Kampi Components (7Z016) responded on November 2, 2021. They are a small business distributor offering the parts of a small business manufacturer. Kampi confirmed that these are commercial items.

2. R & M Government Services (CAGE 6FN58):

of R & M Government Services (6FN58) responded on October 28, 2021. He stated that R & M is a small business distributor offering the parts of a small manufacturer.

He also confirmed that these are commercial items and they will not be able to obtain cost and pricing data from the manufacturer.

3. Sanitz Enterprises (CAGE 57AD8) of Sanitz Enterprises (57AD8) responded to the market survey on November 5, 2021. She stated Sanitz Enterprises is a Service Disabled Veteran Owned Small Business manufacturer. and these are commercial.

Commerciality documentation was provided and is included in the file.

Market research was also conducted to determine the commerciality of these items.

of Sanitz Enterprises stated “As the manufacturer of these NSN products, we feel that we can support our position that these items are commercial items under the FAR 2.101 which defines a “commercial item” as “[a]ny item . . . that is of a type customarily used by the general public or by non-governmental entities for purposes other than governmental purposes and (i) has been sold, leased, or licensed to the general public; or (ii) has been offered for sale, lease, or license to the general public.”

A Google search demonstrates that the products included in the NSN’s of the LTC being considered are sold to the general public for non-governmental purposes. Please see the attached document titled CAGE 57AD8 Sanitz Enterprises NSNs Commercial Documentation 2021 NOV 15 which provides google searches of the commercial availability for each of the NSN’s to include commercial pricing to be able to fulfill DFARS 234.7002 (d) to make a fair and reasonable price determination for these items as well as a justification for our products uniqueness.

Based on this information, it is clear that all of these NSN’s meet the FAR’s definition of a commercial items because they are available for sale and used by the general public for non-governmental purposes (FAR 2.101). Because these are commercial items, we are not required to provide certified cost and pricing data FAR 15.403-1(b)(3), (c)(3). Further, we cannot provide certified cost price data as we are a small business, and it is too costly for us to perform.” The referenced document titled “CAGE 57AD8 Sanitz Enterprises NSNs Commercial Documentation 2021 NOV 15” is included in the file.

Additionally, the Contracting Officer conducted Google searches for these items and found them readily available for sale to the general public. All the past providers who responded positively to the market survey all indicated that these are commercial items.

Based on these facts, the Contracting Officer has determined these items to be 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.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state)

Kampi Components (7Z016) R & M Government Services (6FN58) Sanitz Enterprises (57AD8)

11. A search of Record Management was conducted for any prior J &As for this item and none were found. These items have previously been procured via spot buys that were under the Simplified Acquisition Threshold (SAT).

The following actions are being taken to identify 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

The Government will continue to conduct market research, to see if changes occur in the marketplace that would enable future actions for these items to be competitive

Attachment #1: Tech Certification Attachment #2: Source Data

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 $750,000, this signature serves as the approval.

Patrick Laugherty Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[X] Up to $750,000 Contracting Officer

[ X] $750,000 to $15,000,000 Competition Advocate

LAUGHERTY.PATRICK

.J.1250703704

Digitally signed by

LAUGHERTY.PATRICK.J.1250703704

Date: 2022.03.10 08:19:50 -05'00'

SHEARER.MARY.E.1250702449

Digitally signed by SHEARER.MARY.E.1250702449

Date: 2022.03.10 15:38:56 -05'00'