SPE7MX-18-R-X056_-_J&A_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX-18-R-X056

[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 Full and Open Competition basis. This DLA Land and Maritime acquisition is for an Indefinite Delivery Contract (IDC) issued in accordance with FAR 13.5.. The rationale specific to this item is detailed by its Acquisition Method Suffix Code (AMSC) as stated below in paragraph

6. The NSN is for the item name, shown below with the following FSG and FSC:

FSG 76 – Books, Maps, and Other Publications FSC 7690 – Miscellaneous Printed Matter

This acquisition is being pursued to provide continued or improved supply availability to preclude backorders, reduce administrative and production lead-time (ALT and PLT), decreased potential contract administration action and obtain reduced and stable unit pricing.

3. Weapon System Description Code (WSDC)/ Weapon System Description:

21N NUCLEAR REACTORS PROGRAM

C1N LITTORAL COMBAT SHIP (LCS 1)

C9N DDG-1000 ZUMWALT CLASS DESTROYER

D3N FORD CLASS CARRIERS

EXN LOS ANGELES CLASS SSN (688)

JAN NIMITZ CLASS CVN

JDN ARLEIGH BURKE CLASS DDG

JGN SEAWOLF CLASS SSN

JLN TARAWA CLASS LHA

JXN AVENGER CLASS MCM

ZDN LPD-17 CLASS AMPHIBIOUS TRANSPORT DOCK

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

CLIN NSN ITEM UI AMC AMSC

Price Standard QCC ADQ ADV

0001 7690-01-462-6772 Signs, Reflective EA 3 Z CAA 11,270 0002 7690-01-462-7257 Label Kit EA 3 Z CAA 5,540

ESTIMATED ANNUAL VALUE:

ESTIMATED TOTAL VALUE (BASE + OPTIONS):

MAXIMUM CONTRACT VALUE:

The subject solicitation is for the establishment of a fixed-price Indefinite Quantity Contract (IQC) with a three-year base period and two available one-year options. This acquisition will be unrestricted.

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. Acquisition is restricted only to the following source(s) of supply for all items: 3M Company (76381) – P/Ns 3MN128PL and 3MNKITB.

The use of the authority cited is based on:

[X] AMC 3. Acquire, for the second or subsequent time, directly from the actual manufacturer.

[X] AMSC Z. This part is a commercial/nondevelopmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid.

The following source for this item, identified by this NSN is the only source known to own or possess the technical data necessary to manufacture this item: 3M Company (76381). The approved source list with this AMSC has been evaluated by the military services’ Engineering Support Activity and, as stated above, is currently the only source known that is uniquely qualified to manufacturer this item; therefore, this acquisition will be solicited with other than full and open competition under the authority of 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302.

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

[X] The acquisition will be synopsized on or about 10/09/2018.

[ ] Dealers of the manufacturer will be solicited.

[X] Other. The solicitation will be posted and available on the DLA Internet Bid Board System (DIBBS), a web-based application that allows vendors to search and review RFPs.

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

a. This acquisition will include a 3-year base period and two 1-year option periods. Quantity ranges will be included for the NSN to allow offerors the opportunity to provide quantity price breaks. Cost or pricing data in accordance with FAR 15.403-4 will not be requested as the acquisition falls under the exception at FAR 15.403-1(b)(3). The contracting officer will use price analysis and buy history to compare proposed unit prices to those of previously awarded acquisitions and adjusting it based on the Producer’s Price Index (PPI) to determine that the contract award prices are fair and reasonable as required by FAR 6.303-2 (a)(7). The price will be adjusted utilizing learning curves to determine the Government low and high targets for this acquisition. In addition, the offeror(s) may be requested to submit information other than cost or pricing data for determining price reasonableness.

8. A Market Survey was conducted by the Sourcing Strategy Branch, ZAA. The survey was sent to the following contractors on 10/26/2017: 3M Company (76381). The company was asked, among other things, to provide their stock delivery, state if the items are quantity sensitive, state if the items are commercial, indicate what would be the optimum contract length (i.e., Base plus option period/years), FOB Origin/Origin preference, etc. The following response was received on 11/09/2017:

3M Company (76381) – POC:

Large Business manufacturer, with approximately 80,000 employees worldwide, with a preference to deal with the Government.

Is interested in pursuing a Long-Term Contract for these items.

They do not have a parent company.

They presently have a commercial distribution network. The network is not dealer exclusive.

Responded that this NSN is commercial. They are willing and able to provide such proof, if the Government determines it is needed to verify price reasonableness. They advised that this item is

There firm have practices that take into account Greenhouse Gas (GHG) emissions or climate-related reporting. The GHS metric is a corporate metric that is tracked at the corporate level and is reported as part of the 3M sustainability report, which is located on mmm.com. The link to that report and details is https://www3m.com/3M/en_US/sustainability-report/

The Contracting Officer has determined the NSNs on this project are commercial items as they meet the definition of commercial items as found in FAR 2.101 and DLAD 10.001(a)(2)(91), DLAD 12.102(90)(1)(ii), DLAD 12.102(90)(2), and DLAD 12.102(a)(90)(1)(i). In addition, the Contracting Officer is directed by the guidance not to be unnecessarily restrictive in interpreting the commercial item definition and that it is the Government’s statutory preference to support commercial acquisitions. Market research including review of the past-buy history and internet showed that the items were procured primarily for DLA stock and is commercially available to the general public. The NSNs were not found on the GSA Schedule.

A Sources Sought notice was published 10/30/2017 via the internet (at https://www.fbo.gov/) closing on 11/06/17. The purpose of sources sought was to provide an opportunity to other potential sources to manufacture this NSN in order to promote competition. As part of the sources sought, the market survey was included to allow potential offerors an opportunity to provide feedback on the current marketplace for this acquisition. No responses were received.

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 complete and cannot be developed to permit full and open competition. However, the item provided must meet the requirements of the cited technical data in addition to the requirements of the part numbered items listed on the solicitation. The data presently available reflects the minimum needs of the Government.

[X] A standard technical data review was completed on 2/28/2018 by the SAPD product specialist group and strategic sourcing specialist and it was determined that it did not fit the requirement for Brand Name or Equal. The item is reviewed by ESA at regular intervals per the DLA/ESA standard operating procedures and during the latest review. ESA did not update the item description to identify this as a Brand Name or Equal item. As such, FAR 52.211-6, will not be included in the solicitation. During the review the Acquisition Method and Acquisition Method Suffix Codes were reviewed and verified for the included NSNs. Confirmation of sources for the NSNs were also completed and determined to be acceptable. No other sources or adequate technical data could be identified.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) 3M Company (76381), no additional sources indicated interest.

11. The following actions are being taken to identify additional sources before any subsequent acquisitions are made: (If none, so state and explain why not.)

[X] The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future actions for this item to be competitive.

[X] The solicitation contains Procurement Note L04 Offers for Part Numbered Items and M06 Evaluation of Offers for

Part Numbered Items.

12. To comply with DFARS PGI 206.303-2, J&As for the NSNs are not available as they were below the Simplified Acquisition Threshold (SAT).

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 the approval.

Brandy Warner, Contracting Officer & Date

WARNER.BRANDY.D

ANIELLE.1251897880

Digitally signed by

WARNER.BRANDY.DANIELLE.12

51897880 Date: 2018.10.12 06:21:32 -04'00'

APPROVAL/CERTIFICATION

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

Competition Advocate Signature & Date

APPROVAL REQUIREMENTS

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

HOPSON.LILLI.

A.1230127324

Digitally signed by

HOPSON.LILLI.A.1230127324

Date: 2018.10.19 09:18:00 -04'00'