J&A_redacted_SPE7M217R0022_-_reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M217R0022

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

[ 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 Highest

Quantity

EST. TOT.

VALUE

AMSC

Arm Assembly, Deflector 1560-012718892 100 C

This buy is for weapon system 82N ALRE CAI material and will include additional clin lines for FAT PTI, COQC and Welding, which are all subsets of the FAT-first article test. Quantity ranges will be used from 1 to 100 each. The est. total contract value is the highest quantity range, 100 ea, multiplied by the past history unit price of . The base quantity is 63 each the material planner has agreed to the highest quantity range of 100 each.

ESTIMATED BASE VALUE :

ESTIMATED TOTAL VALUE (BASE + OPTIONS)

– No option

MAXIMUM CONTRACT VALUE

FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING

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:

The Entwistle Company (20722) and Hamill Manufacturing Company (17661).

This item has been identified by NAVAIR Lakehurst as an 82 ALRE Critical Application Item (CAI). All CSI/CAI 82N ALRE require source approval by NAVAIR. Entwistle and Hamill are the only sources currently approved by NAVAIR to manufacture this item. They have been determined to be uniquely qualified because they are the only sources known to possess the manufacturing knowledge and technical data needed to manufacture this item. This information was verified by the product specialist on 5/23/2017.

The use of the authority cited below:

[ X ] AMC 1. Suitable for competitive acquisition for the second or subsequent time.

The use of the authority cited is based on:

[ 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. If one source is approved, AMCs 3, 4, or 5 are valid. If at least two sources are approved or if data is adequate for an alternate source to qualify in accordance with the design control activity's procedures, AMCs 1 or 2 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. 6-9-17 [ X ] Dealers of the manufacturers will be solicited.

[ X ] Other:

Digitally copies of the RFP will be sent to each approved source upon the solicitation date. Additionally, a sources sought notice was published in FBO.gov, but did not generate any responses. This RFP will be synopsized and solicited on the federal business opportunity message board, FBO.gov. The procurement will be digital available to all contractors thru DIBBS, defense information bulletin board system, on the day of solicitation.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable based off the available procurement history in Haystack and any received competition that falls within the contracting officers determined competitive range. Risk is minimized for the Government as this will be a firm fixed price contract. Certified Cost and Pricing Data will be required for this solicitation. A subcontracting plan may be required upon evaluation of offers.

8. Market Research/Efforts to Obtain Competition:

A market survey was sent to Entwistle Company and Hamill. In an effort to identify additional manufacturing sources, a sources sought notice was published for 15 days on Feb Biz Ops- www.fbo.gov beginning on January 6th 2017. Approved source, Entwistle, returned a completed market survey. No other responses were received.

Techniques used to conduct survey:

• A market survey was sent to Entwistle and Hamill on 1/6/17 and posted as an attachment to the

Sources Sought Notice posted to FedBizOpps.

Types of information requested:

• Is the vendor a large or small business, a manufacturer or dealer or distributor, is the item a commercial item, is the item a catalog or price listed item and is it carried in the vendor’s inventory? Has this vendor supplied the item to the government or to a commercial customer previously, does the vendor manufacturer similar items to this item? What are the quantity breaks? Would the vendor be interested in Customer Direct (DVD) orders? Does the vendor have electronic data interchange (EDI) capability and if not would the vendor be willing to obtain the capability? Is FOB/inspection/Acceptance at Origin/Destination/Acceptable?

http://www.fbo.gov/

Summary of information received:

The results of the survey show Entwistle is a small business offering a non-commercial item made only for the Government.

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

For the reasons stated below, the item covered by this procurement for NSN 1560-012718892, Arm Assembly, Deflector, will be non-commercial based on the definition of commercial items located in FAR

2.101 and will be procured under FAR part 15. The following non-commerciality determinations have been made:

• Review of the material master in SAP indicates that this NSN has an AMC/AMSC of 1C, and not 1/Z which would indicate a commercial item. The industrial specialist tab under classification is blank, showing this is not considered a commercial off the shelf item. Review of the material number does not show evidence that this NSN is available on the commercial market nor is it of a type customarily used by the general public or by non-governmental entities for purposes other than government or military purposes as defined in FAR 2.101.

• Market research via internet resources for commercial sale offerings yielded no results to show that this item has been offered for sale, lease or license to the general public as defined in FAR 2.101, “commercial item.” A search of the “Arm Assembly, Deflector” indicates that the only use for the Arm Assembly, Deflector with part number 514759-11 is for the 82N ALRE CAI, Aircraft Launch and Recovery Equipment Critical Application Item, program which are for military and not commercial applications. IAW FAR 12.205, a review of the item population shows that for the items being procured under this initiative there is generally no available product literature and that the requirements are Governmental in nature. In the commercial context, contracting officers should allow offerors to propose more than one product that will meet the Government’s need. The acquisition is not compatible with that approach. Per FAR 12.207, contracts for commercial items shall rely on the contactor’s existing quality assurance systems as substitutes for Government inspection and testing before tender for acceptance. The quality requirements and inspections spelled out for this National Stock Number are not compatible, nor feasible, for the item in this acquisition. Therefore, it is determined to be in the best interest of the Government to procure the items under this initiative utilizing non-commercial clauses and terms and conditions.

• The “general public” is interpreted as individuals using parts in a non-governmental or non-military capacity. Market research analysis IAW FAR 12.1 was conducted and it has been determined that the item contained in the survey are not commercial and are not commercial of the shelf items. The contractors which responded to the survey checked no when asked if these items were commercial or catalog/price listed items. The research did not yield any information about the part being available to the general public for inspection nor is there any evidence of sale prices at which sales were made to a significant number of buyers constituting the general public.

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:

• Entwistle – cage 20722.

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

[ X ] The solicitation contains DLAD Procurement Notes L04 and M06:

12. In accordance with DFARS PGI 206.303-2(b(i)(B), a copy of the previous J&A is attached to assist the approval authority in determining whether the planned actions to remove any barriers to competition cited on the previous J&A were completed. The previous NSN for the same NIIN and same subject material has been updated by the product specialist. The old FSC and NIIN reflected via the NSN on the last J&A is 1680-012718892 and has been updated to 1560-012718892 for this procurement. .

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.

Digitally signed by

MCCORMICK.STEPHANIE.J.12302611

ANIE.J.1230261160 60

Da_te_: 2_01_7.0_6_.02_1_2:3_6:_00_-0_4'0_0'

Contracting Officer Date

APPROVAL/CERTIFICATION

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

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ X ] $700,000 to $12,500,000 Competition Advocate

MCCORMICK.STEPH