JA_(SPE7M417R0057)_-_reviewed_for_redaction.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATIONSPE7M4-17-R0057

SOURCE SELECTION INFORMATION;SEE FAR 2.101 & 3.104 1

ORIGINAL

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies using other than full and open competition by restricting to the only source(s) approved to manufacture the item, see below.

3. The supplies required to meet the using activity's needs are described as follows:

BRIEF DESCRIPTION: TUBE, SUPPLY, DRAG BRACE, NOSE LANDING GEAR

NSN: 4710-01-107-6823

PR QUANTITY: 85 EA

EST. PR VALUE: $695,563.50

AMSC: C

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

NSN item TUBE, SUPPLY, DRAG BRACE, NOSE LANDING GEAR is an item used on the F-18 aircraft. Contract history shows that this item is primarily purchased by the military, specifically Department of the Navy. Weapon system is Z9N. NAICS code is 331491.

LARGE PROCUREMENT – Request for Proposal (RFP):

ESTIMATED SOLICITATION VALUE: $695,563.50 (based on previous unit price, additional quantity up to 85 each) No option will be solicited.

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.

This item is considered a sole source or available from a limited number of sources because adequate data for the evaluation of alternate offers is not available at the procurement agency. Any alternate source offers must be approved by the Engineering Support Activity (ESA), via DLA form 339. The offeror must provide a complete data package including data for the approved parts and alternate part for evaluation. According to the product specialist there are no other concerns seeking source approval at this time.

APPROVED SOURCES:

NASSAU TOOL WORKS, INC. (2M490) P/N 74A450804-2001

MAGELLAN AEROSPACE (85941) P/N 74A450804-2001

MESSIER-DOWTY INC DBA MESSIER-DOWTY (35962) P/N 74A450804-2001

HDI LANDING GEAR USA, INC. DBA (5ZSC8) P/N 74A450804-2001

BOEING COMPANY, THE DBA BOEING (76301) and (0PXV4) P/N 74A450804-2001

This is a critical safety item and on 8/11/2017, the item was verified to be a CSI. DFARS 209.270 requires DLA to procure this CSI item only from a source approved by the design control activity, and the five sources listed above are the only sources approved by the design control activity to provide this CSI.

These are the only known sources that own or have rights to the technical data necessary to manufacture this item for the Government. Therefore, complete data package of drawings/specs will not be available at the time of solicitation.

5. If restricted to the only sources of supply, include sources and CAGE code:

NASSAU TOOL WORKS, INC. (2M490)

MAGELLAN AEROSPACE (85941)

MESSIER-DOWTY INC DBA MESSIER DOWTY (35962)

HDI LANDING GEAR USA, INC. DBA (5ZSC8)

BOEING COMPANY, THE DBA BOEING (76301) and (0PXV4)

• Last procurement was a large purchase buy. J&A document was prepared prior to that solicitation. Please see copy of previous J&A attached.

The use of the authority cited is based on (The full text is available in DFARS PGI 217.7506 Part 2):

(X) AMC = 1. Suitable for competitive acquisition for the second or subsequent time.

(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, SOURCE SELECTION INFORMATION;SEE FAR 2.101 & 3.104 2 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.

• AMC/AMSC and approved sources have been concurred as complete and accurate by the product specialist at the time of market research that was conducted August 11, 2017 to August 18, 2017, see paragraph 8 below.

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

(X) The acquisition will be synopsized for 15 days.

(X) Solicitation will be posted to DIBBS for 30 days.

(X) Other:

I/A/W DFARS PGI 206.302-1(d) sources sought notice was posted to FedBizOps for five (5) business days as a part of market research, per FAR 6.302-1 to make sure that offers will be received “from as many potential sources as is practicable under the circumstances,” see market research paragraph eight (8) below.

7. By comparing past procurement history prices and current estimated unit price of $8,183.10 the Contracting Officer is affirmatively determining that the anticipated price/cost will be fair and reasonable in accordance with the FAR 6.303- 2(b)(7). In accordance with FAR 15.403, cost and pricing data is not required under this acquisition threshold, however, other than cost and pricing data may be obtained from the contractor to provide additional support for price reasonableness determination. Negotiations may be required and will be continued until suitable for both parties and a determination that the anticipated cost is fair and reasonable to the government will be made by the Contracting Officer in accordance with FAR 15.402.

8. Market Research/Efforts to Obtain Competition:

Market research was conducted from August 11, 2017 to August 18, 2017.

Techniques used to conduct market research:

• Past procurement review of the requested item NSN;

• Similar NSN items past procurement review;

• Data classification (SAP) industrial supply values / characteristics review;

• Web search for commercial use of the NSN item P/N requested;

• FLIS, EMALL, GSA databases were queried to identify other potential sources for this item; no other sources were identified.

• Market Survey[10U.S.C.2304(f)(3)(D)]: was conducted August 11, 2017 with a response date of August 18, 2017.

• Sources sought notice with market survey form attached was posted to FedBizOpps 8/11/2017-8/18/2017.

Two (2) companies responded by VIA emails stating their interest in this solicitation:

AJ Associates Mfg & Eng Co, Inc (3Z260) – small business manufacturer Arlington Precision Components, LLC (3TKZ9) – small business manufacturer

• Market Survey [10U.S.C.2304 (f)(3)(D)]:

Total number of vendors contacted: the market research for this procurement was conducted accordinlly to gather information about as many potential sources as is practicable under the circumstances, including review of the market surveys responses to the latest large solicitation’s market research for the same NSN item.

According to the latest J&A’s paragraph 8 “Market Research/Efforts to Obtain Competition” (see attachment) - market surveys were emailed to all approved sources: Magellan Aerospace, New York, Inc.

(84941); Nassau Tool Works, Inc. (2M490); Messier-Dowty Inc. (35962); Boeing Company (76301) / (OPXV4) and HD Landing Gear USA, (5ZSC8). – contract awrded July 2017.

Therefore, the buyer only submitted market survey to the last awardee Nassau Tool Works, Inc. (2M490) under this solicitation and incorporated the latest market survey responses from all othe approved sources as a part of this solicitation’s market research to promote competition based on the procurement history of this item.

Types of information requested: delivery, quantity sensitivity, price break availability, commerciality, business size, business type, FOB information, etc.

SOURCE SELECTION INFORMATION;SEE FAR 2.101 & 3.104 3

Responses were received from (latest market research): Boeing Company, Nassau Tool Works, Inc. and Magellan statting that they are interested in submitting an offer.

Response (current market research): One response was received from Arlington Precision Components (3TKZ9), Poc Carol Marques:

• They are US located small business manufacturer.

• Item is not commercial

• They are willing to submit an offer for this solicitation and comply with the solicitation’s requirements.

Nassau Tool Works (2M490) did not respond to the current market survey, however based on last market survey, participated in previous solicitations and last procurement delivery time was est. at 460 days, FAT/PLT was waived. Item is not commercial.

AJ Associates MFG & Eng CO, Inc (3Z260) did not respond to the market survey attached with the sources sought, but responded by emailing the buyer that they are interested to submit an offer.

• To maximize competition the buyer provided the SAR information to AJ Associates MFG and Arlington Precision Components.

Non-commerciality determination:

Item TUBE, SUPPLY, DRAG BRACE, NOSE LANDING GEAR is an item used on the F-18 aircraft. This is a restricted source item and requires engineering source approval by the Government Design Control Activity. Contract history shows that this item is primarily purchased by the military, specifically Department of the Navy. According to an approved source manufacturer, item is only sold to the Government, not commercially. Weapon system is Z9N.

To further substantiate non-commerciality, the buyer reviewed the part number and nomenclature on the Internet to see if it was available for sale to the General public. I/A/W FAR 7.102(a)(4) item is not GSA listed from sources other than DLA.

The Internet, EMALL, Haystack, and GSA websites search indicated that it is not sold commercially. There was no commercial sales history, catalogs /brochures, established price list or announcements to the general public provided for any of these items. Market research indicates that this item is not commercial. A technical review indicates it is highly unlikely this item would ever be used in the commercial world Data classification (SAP) industrial supply values / characteristics review, item is not commercial. It is highly unlikely this item would ever be used in the commercial world. COTS field in SAP is blank.

I/A/W FAR 2.101 the Contracting Officer determines that the item does not meet the definition of commerciality. Therefore, based on all above, this solicitation will be solicited under the FAR Part 15.

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, indicating an interest in the acquisition is:

AJ Associates Mfg & Eng Co, Inc (3Z260) Arlington Precision Components, Llc (3TKZ9) Nassau Tool Works, Inc. (2M490) Magellan Aerospace, New York, Inc. (85941)

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

(X) I/A/W DLAD prescription 11.391(b) Procurement Notes L04 “Offers for Part Numbered Items” and M06 “Evaluation of Offers for Part Numbered Items” will be included in the solicitation.

SOURCE SELECTION INFORMATION;SEE FAR 2.101 & 3.104 4

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 an approval.

2-2621 9/26/2017 Contracting Officer’s Signature Phone Date Helen B. Davis

APPROVAL REQUIREMENTS:

• (X) Up to $700,000 - Contracting Officer