SPE7MC-17-R-0066_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MC-17-R-0066

Justification for Other Than Full & Open Competition (December 2011)

[ X ] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

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

The action being approved is the acquisition of supplies on other than a full and open competition basis.

The supplies required to meet the using activity’s needs are described as follows:

BRIEF DESCRIPTION NSN/P/N QUANTITY EST. VALUE AMSC

CROSS VALVE 4810-014676506 125 C

Identify end item, weapon system, or class of item: NSN: 4810-014676506 is a cross valve used on the F/A-18 Hornet Aircraft; VUN weapon system. The F/A-18 Hornet Aircraft is a twin-engine multirole fighter and attack aircraft used by the United States Navy and United States Marine Corps. This cross valve is a Critical Safety Item (CSI).

ESTIMATED BASE VALUE _ __

ESTIMATED TOTAL VALUE (BASE + QTY RANGES) $

The statutory authority permitting other than full and open competition is:

[ X ] 10 U.S.C. 2304(c)(1) – Only available from one responsible source or a limited number of sources

a. Brief narrative supporting the situation and weapon system:

This is a DLA stock procurement of 125 each of NSN: 4810-014676506 going to DLA Depot W62G2T. DPC shows

If restricted to the only source(s) of supply, include source(s) and CAGE code: Sweeney Engineering Corp.

(96736); The Boeing Company (76301); and Northrop Grumman Systems (76823).

The use of the authority cited is based on:

[ 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, 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.

Based on the AMC/AMSC 1/C, the Government is not in possession of complete technical data and per the approved manufacturer part list available for this NSN, Sweeney Engineering Corp. (96736), is the only current source willing to submit a proposal that possesses the technical data necessary to manufacturer this item for DLA and military service. The other two approved sources have not responded or rejected interest in a potential solicitation.

Justification for Other Than Full & Open Competition (December 2011)

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

[ X ] The acquisition will be synopsized on or about July 12, 2017 and will be posted for 15 days. At the completion of the synopsis period, the solicitation will be available on the DLA Internet Bid Board Site (DIBBS) for 30 days.

I hereby determine that the anticipated cost to the Government will be fair and reasonable. The buyer will utilize price analysis techniques such as comparison to past purchases of same item and cost and price data as obtainable on items similar to NSN 4810-014676506. Certified cost/price data will be requested from the approved source, if neccessary. Based on the mentioned techniques, the contracting officer anticipates the costs to the Government to be determined fair and reasonable.

Market Research: Market Research was conducted on/during: May 1, 2017 – May 15, 2017. No previous J & A exist and therefore cannot be reviewed. Market surveys were sent to the approved sources Sweeney Engineering Corp. (96736); The Boeing Company (76301); and Northrop Grumman Systems (76823).

Market research also consisted of review of previous procurements and Internet research (attached). A Sources Sought notice was posted to FBO on May 1, 2017 until May 8, 2017. One response was received and is summarized below. A recent RFQ solicitation issued as simplified purchase acquisitions.

RFQ SPE7MC17TB793 was issued on 03/01/17 with a closing date 03/16/17. Although two offers were received, No alternate manufacturer offers were received on this RFQ.

Total number of vendors contacted: Three (3): Sweeney Engineering Corp. (96736); The Boeing Company (76301);

and Northrop Grumman Systems (76823).

Names of vendors contacted and responding: Contacted and responded: Sweeney Engineering Corp. (96736) and Northrop Grumman (76823). Contacted with no response: The Boeing Company (76301).

Techniques used to conduct survey: Market surveys were e-mailed to contractors.

Types of information requested: Type of business, size of business, commerciality, FOB location, inspection and acceptance location, and willingness to offer proposal.

Summary of information: The market survey response was received from Sweeney Engineering Corp. which indicated the following: they are a large business manufacturer; they do not consider the item to be commercial, They are interested in the acquisition

Northrop Grumman declined to complete the market survey, referring buyer to Sweeney Engineering Corp has the previous awardee. Northrop Grumman will only quote this item as supplier of last resort.

The RFP solicitation will be issued with a delivery requirement of 365 days, FOB origin (FDT) and inspection/acceptance origin requirements.

Information regarding the commerciality of the item(s): Based on Internet research that did not reveal any commercial sales history or catalogs/brochures, AMC/AMSC of 1/C, blank SAP COTS status, and 0 results found on GSA Advantage site, NSN 4810-014676506, in accordance with FAR 2.101, is considered to be non-commercial. Previous procurements of this NSN have found this item to be non-commercial.

Additional facts supporting other than full and open competition are:

Justification for Other Than Full & Open Competition (December 2011)

[ 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. The Material Master in SAP shows the last technical review date for this item was on 04/13/2017. Based on the AMC/AMSC 1/C, the Government is not in possession of complete technical data and per the approved manufacturer part list available for this NSN, Sweeney Engineering Corp. is the only current source that possess the technical data necessary to manufacturer this item for DLA and military service and to be willing to provide a proposal. NSN 4810-014676506 is designated as a critical safety item (CSI) and currently requires Tailored ISO Higher Level Quality Standard and Product Verfification Testing.

A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state):

Sweeney Engineering Corp. (96736)

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

Efforts to Qualify Additional Suppliers for future procurements include the following: Any new vendor who decides to pursue source approval will be directed to the Competition Advocate's Source Approval Program. The Competition Management Office (CMO) would encourage interested parties to submit Source Approval Request (SAR) for this item if it should later be determined that future buys of subject NSN are in the best interest of the Government.

[ X ] The solicitation contains the DLAD Procurement Notes L04 and M06; Offers for Part Numbered Items and Evaluation of Offers for Part Numbered Items.

Justification for Other Than Full & Open Competition (December 2011)

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.

Juliana M. Secrist Date Contracting Officer

APPROVAL/CERTIFICATION

I have reviewed and approve this justification.

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ X ] Up to $700,000 Contracting Officer

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

ATTACHMENT:

1. Procurement History and NSN Market Research

SECRIST.JULIANA.

M.1230216297

Digitally signed by

SECRIST.JULIANA.M.1230216297

Date: 2017.07.17 16:48:02 -04'00'