JA- SPE7MX23R0006-_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX23R0006

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:

CLIN NSN ITEM AMC AMSC ADQ ADV

0001 1095013177831 CONNECTOR UNIT, EJECT 1 C 73

0002 5998012859174 ELECTRONIC COMPONENT 3 C 93

Identify end item, weapon system, or class of item: These items are used on various Aircraft and Bomb Rack weapon systems.

ESTIMATED BASE VALUE:

ESTIMATED TOTAL VALUE (5 years): $

MAXIMUM CONTRACT VALUE:

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:

NSN COMPANY CAGE PART NUMBER

1095013177831 KLUNE INDUSTRIES, INC. 05DN8 1348AS1025

1095013177831 RAYTHEON COMPANY 072E5 1348AS1025

1095013177831 SOLO ENTERPRISE CORP. 09245 1348AS1025

1095013177831 MARVIN ENGINEERING CO., INC. 32067 1348AS1025

5998012859174 MARVIN ENGINEERING CO., INC. 32067 7002800-1

6. 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.

For NSN 095013177831, Klune Industries (05DN8), Solo Enterprise (09245), Raytheon Company (072E5) and Marvin Engineering (32067) are the only sources currently approved by the design control.

For NSN 5998012859174, Marvin Engineering (32067) is the only source currently approved by the design control. These sources are the only known sources to possess the requisite rights to technical data for these items and only known approved sources for these items. In addition to the AMSC C, NSN 1095013177831 is a Critical Safety Item (CSI). DFARS 209.270 requires DLA to procure CSI items only from a source approved by the design control activity, and Klune Industries (05DN8), Solo Enterprise (09245), Raytheon Company (072E5) and Marvin Engineering (32067) are the only approved sources designated by the design control activity to provide this critical item. Based upon the technical certification by the DLA Land and Maritime Product Specialist dated August 8, 2022, all means to obtain a technical data package adequate for manufacture of these items have been exhausted; see attachment #1- Tech Certification. The DLA Land and Maritime SAPD Product Specialist certified the AMC/AMSC for these NSNs and verified the approved source(s). There is no pending 339 with the Engineering Support Activity (ESA) for either NSN.

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

• A sources sought notice was issued on SAM.gov for five business days.

• Market research was conducted to obtain interest in the acquisition.

• The acquisition will be synopsized on SAM.gov for a period of 15 days.

• After closure of the synopsis, the solicitation will be posted the DLA Internet Bid Board System

(DIBBS) for a period of 30 days.

8. A market survey: On 09/29/22, a sources sought notice was issued on SAM.gov in order to seek out and encourage additional sources and vendor participation. The sources sought notice closed on 10/05/22, and there were no responses received to this notice. Marvin Engineering has been the sole supplier since 2016; however, a market questionnaire was sent to the following sources: ILN Technologies, Klune Technologies, Marvin Engineering, Raytheon Company, and Solo Enterprises. The market questionnaire asked companies to provide information such as willingness to quote a three-year base period and priced option years, provide stock delivery, state if the items are quantity sensitive, state if the items are commercial, preference for zones, asked if they could provide packaging requirements, asked information regarding FOB and zones. A summary of the sole response received is below:

Marvin Engineering (32067)- Small business manufacturer Is interested in pursuing a Long-Term-Contract

NSNs are not commercial

Commercial Determination: Market research was conducted in regard to the commerciality of the items and the sole source supplier responded that the items are not commercial. The items are made for the purpose of government use and no evidence of sale in the commercial marketplace was found. A search of the part numbers on GSA Advantage website on September 30, 2022, yielded no results. The previous procurements were non-commercial. Therefore, it is the Contracting Officer’s determination that the NSNs are not commercial and will be solicited under FAR Part 15.

9. I hereby determine that the anticipated cost to the Government will be fair and reasonable. As adequate price competition is not expected and any proposal received shall likely exceed the TINA threshold of $750,000.00, cost or pricing data in accordance with FAR 15.403-4 will be requested for the purpose of an audit. In addition to any audits completed, the contracting officer will use price analysis and buy history to determine that the contract award prices are fair and reasonable.

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

Based upon the technical certification under attachment #1, DLA does not possess adequate data, lacks rights to data, and/or has no record of an alternate Design Control Activity approved sources; therefore, the data presently available reflects the minimum needs of the Government.

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

Marvin Engineering (32067)

12. This item is subject to the following methods of locating additional sources: The solicitation contains the Procurement Note L04 Offers for Part Numbered Items and Procurement Note, M06 Evaluation of Offers for Part Numbered Items.

13. The buyer searched the previous awards listed in the contract history in Records Management in E- Procurement for previous J&A’s, as required by DFARS PGI 206.304, and was only able to locate one J&A for contract SPE7MX18D0103; see attachment #2- Previous J&A. No other J&As were located.

The other acquisitions were conducted under simplified procedures and did not require a J&A.

APPROVAL

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief.

Brandy Warner – Contracting Officer

APPROVAL/CERTIFICATION

I have reviewed and approve this justification. The estimated total value of the J&A is $4,441,399.14.

Competition Advocate

ATTACHMENTS

1. Tech Certification

2. Previous J&A

WARNER.BRANDY.D

ANIELLE.1251897880

Digitally signed by

WARNER.BRANDY.DANIELLE.12518978

Date: 2022.10.31 08:41:05 -04'00'

DAPO.DOUGLAS.A.1

230220014

Digitally signed by

DAPO.DOUGLAS.A.1230220014

Date: 2022.11.04 13:36:43 -04'00'