SPE7M821T1843 JA reviewed_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7M8-21-T-1843

PR: 0087297784

NSN: 5340-01-676-3337

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

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 16, 2021. The Product Specialist stated that the AMC/AMSC coding of 3/C is correct as of 2/16/2021. Raytheon Company (4U884) owns the drawings/data for this item. Limited rights are available to the Government, however the drawings are proprietary to Raytheon. Raytheon Company (4U884) remains the only approved source for this procurement at this time. Raytheon Company is currently the only source known to possess the requisite data to manufacture this item. 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] Other. (Explain) – PR was originally solicited through the PACE automated buy system (as the PR was estimated as being valued at $9,771.00). Sole offer received was for a total price of $917,900.00.

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 $2,000,000 (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 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.

The discrepancy in the estimated price compared to the pricing received was because the estimated pricing in the system was not updated prior to this solicitation being issued. The sole prior buy for this NSN was in October 2020, and the pricing change in the system was not updated by the time this solicitation was issued in November 2020. The next purchase of this item will be solicited in accordance with FAR Part 15 procedures.

PR: 0087297784

NSN: 5340-01-676-3337

8. Market Research/Efforts to Obtain Competition:

Market Survey [10 U.S.C. 2304(f)(3)(D)]: A market survey was conducted on/during: April 6, 2021. A Sources Sought notice was posted to the FBO on April 6, 2021. The Sources Sought notice had a response date of April 13, 2021.

Total number of vendors contacted: 1. The vendors contacted was: Raytheon Company (4U884).

Raytheon Company (4U884) was contacted as they are the sole approved source for this NSN.

Names of vendors contacted and responding: Clint Paulson from Raytheon Company (4U884) was contacted on April 6, 2021. No response has been received back regarding the market survey request as of April 22, 2021.

Techniques used to conduct survey:

1. The market survey was sent via email.

2. Sources Sought: Published a “sources sought” synopsis in the FedBizOpps on April 6, 2021. A copy of the market survey was 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:

No information was received back on the market survey request.

Sources Sought Notice results:

No responses were received regarding the Sources Sought notice.

Commerciality Determination: Limited market research was completed as this PR was originally solicited via PACE using Simplified Acquisition Procedures with an issue date of 11/20/2020 and a closing date of 11/30/2020.

No information was received from the contractor when contacted with a market survey request questionnaire on 4/6/2021. Based upon a review of the contractor’s offer and past procurement history, and with the SAP COTS field status of this NSN being “blank”, this item is considered non-commercial as there is no available information showing that this is a commercial part.

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.

PR: 0087297784

NSN: 5340-01-676-3337

10. A listing of sources, if any, indicating an interest in the acquisition is: Raytheon Company (4U488).

11. 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

12. The prior DLA Maritime order was a SEPA/small purchase, so there was no prior J&A available to attach IAW DFARS PGI 206.303-2(b)(i)(B).

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.

Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ ] Up to $750,000 Contracting Officer

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

MAXWELL.BRIAN.S

TEPHEN.12301838

Digitally signed by

MAXWELL.BRIAN.STEPHEN.123

0183828

Date: 2021.04.22 08:09:21

-04'00'

SHEARER.MARY.E.1

250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2021.04.27 08:21:37 -04'00'