SPE7M817R0023_JA_Reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M8-17-R-0023

PR: 0067098855

NSN: 4330-01-214-9303

DPACS pdp127 (JUNE 12)

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: Parts Kit, Fluid Pressure Filter

NSN/PN: 4330-01-214-9303

QUANTITY: 1,239

ESTIMATED VALUE:

AMSC: C

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

29A – Carrier, Pers M-113A1, M113A2, M113A3

This NSN is a Fluid Pressure Filter Parts Kit, the particular function of this item on the weapon system is unknown. Review of the item indicated that this NSN is coded as a Critical Application Item, but not as a Critical Safety Item.

ESTIMATED BASE VALUE: (no options)

ESTIMATED TOTAL VALUE (BASE + OPTIONS): N/A

MAXIMUM CONTRACT VALUE:

FOR ADD-ONS, PROVIDE VALUE OF OPTION YRS REMAINING: N/A

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:

Purolator Facet, Inc. (90005) part number 1742558-06 Allison Transmission, Inc. (73342) part number 5703232

The use of the authority cited in other than 10. U.S.C. 2304(c)(1) above:

PR: 0067098855

NSN: 4330-01-214-9303

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[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.

The Contract Specialist verified the AMC/AMSC for this procurement with Product Specialist on February 13, 2017, and the AMC/AMSC was verified as being a 1/C which was last reviewed on 12/12/2016. It was changed from a 1/G back to a 1/C due partially to the Services were not informed on the AMC/AMSC changes. The US Army Tank-Automotive and Armaments Command owns the rights to the drawing. However, review of the PR trailer also indicates the Army drawing is not sufficient for competitive procurement as the drawing only calls out part numbers for the filter element and packing, and is not a complete data package. Purolator Facet (90005) and Allison Transmission (73342) remain the only approved sources for this procurement at this time. This is because they are currently the only sources known to possess the requisite data to manufacture this item, and also have the manufacturing capability and knowledge to produce this item. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Any alternate source must qualify in accordance with the design control activity’s procedures, as approved by the cognizant government engineering activity.

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

(X) The acquisition was synopsized on 2/23/2017.

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

Formal C/P Data will not be required because the current estimated contract price is below the price threshold of $750,000 (FAR 15.403-4 and 10 U.S.C. 2306(a)). Offerors may be required to provide additional information for determining reasonableness of price. The buyer only intends to award this NSN when a fair and reasonable price determination can be made. The Contracting Officer will conduct price analysis by reviewing historical pricing, usage of the Producer Price Index (PPI), and learning curve analysis. The acquisition specialist may ask for assistance from

PR: 0067098855

NSN: 4330-01-214-9303

DPACS pdp127 (JUNE 12) the DLA Land and Maritime pricing office if necessary. Negotiations may take place in an effort to comply with DoD Material Cost Reduction Initiative. An option quantity will not be used for this procurement.

8. Market Research/Efforts to Obtain Competition:

Market Survey [10 U.S.C. 2304(f)(3)(D)]: A market survey was conducted on/during: February 13, 2017. A Sources Sought notice was posted to the FBO on February 13, 2017. The Sources Sought notice had a response date of February 20, 2017.

Total number of vendors contacted: 4. The vendors contacted were: Allison Transmission (73342), Purolator Facet (90005), Gigli Enterprises (1CU83), and Warfighter Focused Logistics Inc. (6V4L8).

Allison Transmission and Purolator Facet were contacted as they are listed as the approved sources of this item. Gigli Enterprises and Warfighter Focused Logistics were contacted as they have received recent orders for this NSN.

Names of vendors contacted and responding: from Allison Transmission (73342) was contacted on February 13, 2017. from Allison Transmission provided a response back on February 13, 2017. from Gigli Enterprises (1CU83) was contacted on February 13, 2017, and responded back on February 16, 2017.

from Purolator Facet (90005) was contacted on February 13, 2017, and has not yet responded back as of February 28, 2017. from Warfighter Focused Logistics (6V4L8) was contacted on February 13, 2017, and has not yet responded back as of February 28, 2017.

Techniques used to conduct survey:

1. The market survey was sent via email.

2. Sources Sought- DAG 10.002-102(C)(vii) : Published a “sources sought” synopsis in the

FedBizOpps on January 10, 2017. A copy of the market survey was also attached to the sources sought notice.

Types of information requested: Business size, manufacturer or dealer, are these commercial items, are these catalog/price listed items, inventory availability, willingness to quote, economical production quantities available delivery schedule, and willingness to accept quantity option.

Summary of information received:

from Allison Transmission responded on February 13, 2017. He stated that Allison Transmission is a large business, He also stated that they do not supply these items commercially, from Gigli Enterprises responded on February 16, 2017. He stated that Gigli is a Small Woman Owned business, and

PR: 0067098855

NSN: 4330-01-214-9303

DPACS pdp127 (JUNE 12)

These items are supplied commercially, As of February 28, 2017, no response has been received back regarding the Market Surveys sent to Purolator Facet and Warfigher Focused Logistics.

Sources Sought Notice results:

No responses were received regarding the Sources Sought notice.

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 are: Allison Transmission (73342) and Gigli Enterprises (1CU83).

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

(X) The solicitation contains Procurement Note M06, Evaluation of Offers for Part Numbered Items (Aug 2016), which provides the process for offering an item other than those identified in the item description.

12. I was unable to locate the J&A for the most recent large purchase contract SPE7M3-14-C- 0042, but the J&A prior to that for large purchase contract SPE7M3-14-C-0009 is attached and provided for review.

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 $700,000.00 this signature serves as the approval.

__________________________________________ 2-1067 3/2/2017 Contracting Officer

Phone Date ____ Brian S. Maxwell ______

Typed name of Contracting Officer

MAXWELL.BRIAN.ST

EPHEN.1230183828

Digitally signed by

MAXWELL.BRIAN.STEPHEN.1230183828

Date: 2017.03.02 08:06:45 -05'00'

PR: 0067098855

NSN: 4330-01-214-9303

DPACS pdp127 (JUNE 12)

Approval/Certification

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

Competition Advocate Phone Date Signature

Head of the Contracting Activity (HCA) Date Signature

Senior Procurement Executive (AQ) Date Signature

APPROVAL REQUIREMENTS

(X) Up to $700,000 Contracting Officer

( ) $700,000 to $13,500,000 Competition Advocate

( ) $13,500,00 –$93,000,000 Head of the Contracting Activity (HCA)

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