Redacted JA SPE7MX19RX044.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX19RX044

DLA Land and Maritime Justification and Approval for Other than Full and Open Competition (J&A) (April 2014)

ORIGINAL

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

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 (51 NSNs) required to meet the using activity's needs are described on Attachment 1. They are all Fluid Filter Elements or Intake Filter Elements.

The approved part numbers are included on Attachment 2 and contain many different manufacturers.

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

There are a large number of weapon system supplied by the NSNs. Refer to Attachment 1.

ESTIMATED BASE VALUE (5-Year Base Period):

MAXIMUM CONTRACT VALUE:

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

10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited in paragraph 4:

Although these items have been determined commercial, these items are used on military specific equipment designed to satisfy the needs of the warfighter, such as, the MRAP; F- 15, F-16, B-52 aircraft; and the LGM-30, Minuteman Missile. These items were determined commercial, commercial of a type due to similar items being available in the commercial marketplace. The weapon systems or support equipment, in which these items are used, were designed to meet military-specific requirements. These are all replacement parts. To ensure proper functioning of the higher level assembly, DLA must buy the currently approved part numbers. In addition, the Government does not have technical data sufficient for full and open competition, and the sources identified are the only known sources that have the technical data and manufacturing knowledge necessary to ensure these repair and replacement parts properly support the weapon systems. There is no evidence that standard, similar commercial parts not already approved can support this military-specific weapon systems and support equipment. It is therefore essential to limit to the approved CAGE codes and part numbers.

NSN 4330011825614 is a Critical Safety Item (CSI). In accordance with DFARS 209.2, this critical safety item may only be procured from a source approved by the head of the design control activity.

The product specialist reviewed the technical information and “certified it as complete and accurate” on 1/9/2019.

The procurement item descriptions (PIDs) for each NSN are included as Attachment 2.

The use of the authority cited is based on:

AMC 1. Suitable for competitive acquisition for the second or subsequent time.

AMC 2. Suitable for competitive acquisition for the first time.

AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

AMSC B. This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

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.

AMSC D. The data needed to acquire this part competitively is not physically available, it cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation. AMCS 3, 4, or 5 are valid.

AMSC L*. The annual buy value of this part falls below the screening threshold established by DoD components and field activities. However, this part has been screened for additional known sources, resulting in either confirmation that the initial source exists or that other sources may supply the part. No additional screening was performed to identify the competitive or noncompetitive conditions that would result in assignment of a different AMSC. This code shall not be used when screening parts entering the inventory. This code shall be used only to replace AMSC O for parts under the established screening threshold. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

AMSC R. The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights. If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid.

AMSC Z. This part is a commercial/non-developmental/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 (When one or a limited number of sources are available, then a J&A is required. When an item is coded with AMSC “Z” and is listed on an interchange catalog or appears on a commercial cross reference list, this constitutes full and open competition and a J&A is not necessary).

*APPLIES TO LTCs - An Item identified by AMSC A, H, or L has been subjected to limited screening. The Government does not physically have in its possession sufficient, accurate, or legible data to purchase this item from other than the identified source. Items identified by AMSC A, H, or L on Long Term Contracts, are subject to annual review for possible assignment of a different or permanent AMSC. DLA Land and Maritime agrees to maintain a continual review of these items to ensure that an annual review at a minimum, in part to determine if new technical data is available to allow for assignment of a more permanent AMSC. Any item determined to be competitively available during the solicitation evaluation phase will be removed from the acquisition requirement.

Any item determined after contract award to be competitively available may be deleted from the contract and resolicited.

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

The acquisition was synopsized on 6/6/2019.

Small business dealers identified in during market research will be solicited.

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

Cost or pricing data will not be required as the items contained on this project have been determined commercial items in accordance with Federal Acquisition Regulations (FAR)

2.101 and, therefore, meet exception at FAR 15.403-1(b)(3). Commercial procedures will be utilized in accordance with FAR Part 13.5. Competition is expected on most or all of these items. However, per FAR 15.404-1(a)(2), a price analysis will be conducted. The price analysis will be conducted using historical pricing determined fair and reasonable for the same or similar items, Producer Price indexes (PPIs) and learning curve analysis. Many of the items are listed on the internet for sale to the public, so comparison with commercial pricing may be utilized, also. Additional information, such as other-than cost data, may be obtained from the offeror(s), as necessary. By using the above techniques, the Contracting Officer anticipates that the costs to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

A sources sought notice was issued 10/18/2018. No responses were received.

Based on market research, the Contracting Officer has determined that this acquisition will be set aside for small businesses. The buyer assigned to the project sent quick market survey emails to the small business dealers below. The following small businesses are interested in this long-term contract solicitation. Most of the sources can provide many or all of the items:

Hupp & Associates (0JT27), Small Business Longhorn (4GK47), Small Business Supply Core (4V314), Small Business HDT Vehicle (1SER6)

Tapco (06CD1)

The buyer did research on the internet to support the commercial determination:

The 8 NSNs with the highest ADVs (2940008082421, 2910015718422, 2940014499006, 2940200024200, 2940200024202, 4330015146885, 4330010337574, and 4330011873219), which make up 58% of the value of the project, were reviewed in depth to make the commerciality determination for the entire project.

All 51 NSNs are from the same class and have the same technical and commercial makeup, so commerciality market research on these 8 NSNs is also relevant and applies to the remaining NSNs on the project.

Attachment 3 shows the information gathered for each NSN. For each NSN the exact item or similar items were found for sale on the internet.

Based on the definition in FAR 2.101 for Commercial Item at paragraph (1)*, the Contracting Officer hereby determines these items to be commercial or commercial of a type due to the same or similar items being available in the commercial marketplace.

*FAR 2.101, Commercial item” means (1) Any item, other than real property, that is of a type customarily used by the general public or by non-governmental entities for purposes other than governmental purposes, and- (i) Has been sold, leased, or licensed to the general public; or (ii) Has been offered for sale, lease, or license to the general public…

Items coded with AMSC of Z are hereby determined to commercial-off-the shelf.

The basis for the COTS determination is that these items are available from many different sources, and the exact item is shown to be available to buy online. These

NSNs will remain on the solicitation to be procured by approved CAGEs and part numbers, but these items have also been referred to Product Specialists to initiate action to determine if salient features can be described in order to procure as “Brand-Name or Equal” in the future.

9. Additional facts supporting other than full and open competition are:

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 for these items. The data presently available reflects the minimum needs of the Government.

10. A listing of business sources, indicating an interest in the acquisition is:

Hupp & Associates (0JT27) Longhorn (4GK47) Supply Core (4V314) HDT Vehicle (1SER6) Tapco International, Inc. (06CD1)

Large Businesses: (offers from large businesses may not be considered under this small business set-aside)

JGB (61125)

Facet, LLC (87405) Napa (6DV08) Parker Hannifin Corp (13573)

11. Actions being taken to overcome barriers to competition:

DLAD Procurement Note L22, Restriction of Alternate Offers for Source Controlled Items, will be included in the solicitation and will apply to items with AMSC of B. The provision tells offerors that they must contact the design control activity specified on the source control drawing if they want to qualify their product.

DLAD Procurement Notes, L04 Offers for Part Numbered Items M06 Evaluation of Offers for Part Numbered Items, will be included in the solicitation and will apply to items with AMSC of other than B. The provision explains how offerors can submit technical documentation to have their item reviewed as an alternate part number.

Items determined to be commercial-off-the-shelf have been referred to Product Specialists to initiate action to determine if salient features can be described in order to procure as “Brand-Name or Equal” in the future.

12. The most recent past buys were reviewed. There are no “C” contracts, and there are a handful of long-term contracts. Most are Indefinite Delivery Purchase Orders under the simplified acquisition threshold, so there are no J&As available for these. J&As are attached for

SPE7M114D0017 (NSNs 2940005864792, 2940004321761, 2940009681794, 2940010803861, and 2940011233625) and SPM7LX13D0059 (NSN 2940200024202).

Attachments:

1 NSNs, Weapon Systems

2 PID-PKG RX044

3 Commercial Information 4 Previous J&A for SPE7M114D0017 5 Previous J&A for SPM7LX13D0059

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.

614-692-9252

REBECCA H. HARTGE Date Phone Contracting Officer

Approval/Certification

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

614-692-3670 MARY E. SHEARER Date Phone Competition Advocate

APPROVAL REQUIREMENTS

( ) Up to $700,000 Contracting Officer

(X) $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)

HARTGE.REBECC

A.H.1273657475

Digitally signed by

HARTGE.REBECCA.H.12736574

Date: 2019.09.06 09:17:04 -04'00'

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2019.09.06 10:37:43 -04'00'

NSN ITEM

Unit of

Issue

2940000290388 FILTER ELEMENT,FLUI EA

2910000571421 FILTER ELEMENT,FLUI EA

2940000838741 FILTER ELEMENT, FLUID. EA

2910000995467 FILTER ELEMENT,FLUI EA

2940001929182 FILTER ELEMENT,INTA EA

4330002287787 FILTER ELEMENT,FLUI EA

4330003723842 FILTER ELEMENT,FLUI EA

2940004321761 FILTER ELEMENT,FLUI EA

2940005864792 FILTER ELEMENT,FLUI EA

2940008082421 FILTER ELEMENT,FLUI EA

2940008588178 FILTER ELEMENT,INTA EA

2940009103065 FILTER ELEMENT,INTA EA

2940009681794 FILTER ELEMENT,INTA EA

2940009793806 FILTER ELEMENT,INTA EA

2940009860276 FILTER ELEMENT,FLUI EA

2910010256853 FILTER ELEMENT,FLUI EA

4330010337574 FILTER ELEMENT,FLUI EA

2910010382096 FILTER ELEMENT,FLUI EA

2940010803861 FILTER ELEMENT,FLUI EA

2940011025454 FILTER ELEMENT,INTA EA

2940011233625 FILTER ELEMENT,INTA EA

4330011324842 FILTER ELEMENT,FLUI EA

2910011564778 FILTER ELEMENT,FLUI EA

2940011576309 FILTER ELEMENT,FLUI EA

2940011646205 FILTER ELEMENT,FLUI EA

4330011825614 FILTER ELEMENT,FLUI EA

4330011873219 FILTER ELEMENT,FLUID EA

4330011975003 FILTER ELEMENT,FLUI EA

2940012884018 FILTER ELEMENT,INTA EA

2940013606368 FILTER ELEMENT,FLUI EA

2910013777384 FILTER ELEMENT,FLUI EA

4330013916167 FILTER ELEMENT,FLUI EA

2940014116270 FILTER ELEMENT,FLUI EA

2940014471786 FILTER ELEMENT,FLUI EA

2940014499006 FILTER ELEMENT,INTA EA

4330014608453 FILTER ELEMENT,FLUI EA

2910014861492 FILTER ELEMENT,FLUI EA

4330015065233 FILTER ELEMENT,FLUI EA

4330015099371 FILTER ELEMENT,FLUID EA

4330015146885 FILTER ELEMENT,FLUID EA

4330015283424 FILTER ELEMENT,FLUID EA

4330015486906 FILTER ELEMENT,FLUI EA

2940015650096 FILTER ELEMENT,FLUI EA

2910015718422 FILTER ELEMENT,FLUI EA

2910015749970 FILTER ELEMENT,FLUI EA

2940016262111 FILTER ELEMENT,FLUI EA

4330016559190 FILTER ELEMENT,FLUI EA

2940121728102 FILTER ELEMENT,INTA EA

2940121863373 FILTER ELEMENT,FLUI EA

2940200024200 FILTER ELEMENT,INTA EA

2940200024202 FILTER ELEMENT,INTA EA