J&A6.302-1cSPE7M219C0008.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M219Q0055

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

(FEB 2017)

[ X] ORIGINAL

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 TOTAL EST. VALUE AMSC

Spear, Water, Braker 1720-00-171-2152 32 EA C

Identify end item, weapon system, or class of item: NSN 1720-00-171-2152 is described as a Spear, Water, Braker used on the Launching Engine Assembly for the catapult system on the US Aircraft Carriers. The WSDC code for this NSN is (82N) Aircraft Launch and Recovery Equipment. It is also SPC Coded “01” as an ALRE Critical Safety Item (CSI).

ESTIMATED BASE VALUE:

A J&A from the most recent award (SPE7M217C0035) is attached.

AMC/AMSC codes were reviewed by the Product Specialist of record on November 13, 2018 and determined to be correct.

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: (45X91) Clover Industries Inc., (1QX62) Industrial Marine Inc., (17661) Hamill Manufacturing Co., and (6JRD9) Wellman Dynamics Machining and Assembly. These 4 sources are the only manufacturers that have the appropriate manufacturing expertise and quality capabilities according to NAVAIR. This item requires special testing and Quality Conformance, and the listed sources have demonstrated they possess the unique and proven manufacturing capabilities to establish and maintain the process controls to manufacture this item.

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.

Pursuant to the engineering and design activity, Naval Air Systems Command (NAVAIR) the sources cited in paragraph 5 have the appropriate knowledge, manufacturing expertise and quality capabilities to supply this NSN.

This is a flight critical safety item and in accordance with DFARS 209.270, DLA must procure this item only from those sources approved by the design control activity. The use of incorrect material, improper process or quality control during manufacture would result in malfunctioning or failure of the item resulting in damage to the aircraft, as well as jeopardize the safety of those using the equipment.

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

[ X ] The acquisition was synopsized and solicited to DIBBs on November 21, 2018 closing November 28, 2018.

The Purchase Requisition was solicited using SEPA, “Special Emergency Procedures Authority” and Simplified Acquisition Procedures. The buyer requested a quote from 2 additional approved sources, who declined to quote.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable. At the time of solicitation issuance the estimated value of the PR was under the $750,000 threshold, therefore, allowing for the use of SEPA. A price analysis using historical pricing back to 2016 indicates the current price quoted is fair and reasonable, however, it exceeds the SEPA threshold.

8. Market Research/Efforts to Obtain Competition:

Market Survey [10 U.S.C. 2304(f)(3)(D)]: Market research was not conducted due to this being issued under Simplified Acquisition Procedures.

Information regarding the commerciality of the item: Based on the fact that this is a critical safety item (CSI) for the Aircraft Launch and Recovery Equipment (ALRE) program it would not have a use in the commercial market. Market research and past buy history indicates that the item is not sold to the general public or used in the commercial marketplace. The COTS line in SAP is blank indicating non-commercial off the shelf.

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

[ X ] Other: (Explain) This is a Critical Safety Item with an SPC code of 01. Naval Air Systems Command, Lakehurst (NAVAIR) is the design control activity and determines which manufacturers are capable of producing the item to its CSI requirements. The components being acquired under this solicitation have been classified as “critical” requiring engineering source approval by Naval Air Systems Command (NAVAIR). Only those companies who have submitted requests for source approval and have been approved will be eligible for award.

Any manufacturers that are not approved by NAVAIR will be required to submit a Source Approval Request (SAR) Package for the Navy ESA to approve for future procurements.

In addition, NAVAIR INST 4200.56 states the following with regard to sources. Per references (a) and (g), a CSI shall be purchased or repaired and/or overhauled only from sources approved by the TA. References are as follows: (a) Public Law 108-136, Sec. 802, Quality Control in Procurement of Aviation Critical Safety Items and Related Services and (g) SECNAVINST 4140.2.

10. A listing of sources, if any, indicating an interest in the acquisition is: Two (2) quotes were received as a result of the RFQ issued to DIBBs. Approved source Cage 1QX62, Industrial Marine and Non-approved Cage 1UF60, U.S.A. Spares. U.S.A. Spares has submitted a SAR package for NAVAIR’s review for future procurements.

11. The following actions are being taken to identify additional sources:

[ X ] Other (Explain) The solicitation was post to the DLA DIBBs website as a Request for Quote base to the use of SEPA and Simplified Acquisition procedures.

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.

James E. Duffala/Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Mary Shearer/Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ ] Up to $700,000 Contracting Officer

[ x ] $700,000 to $13,500,000 Competition Advocate

[ ] $13,500,000 to $93,000,000 Head of Contracting Activity (HCA)

[ ] over $93,000,000 Senior Procurement Executive (AQ)

DUFFALA.JAMES.E.

1230229100

Digitally signed by

DUFFALA.JAMES.E.1230229100

Date: 2019.01.07 10:43:33 -05'00'

SHEARER.MARY.E.1

250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2019.01.16 09:34:05 -05'00'