REDACTED_JA_LATHE.pdf

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

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SPMYM218Q2571

1. Contracting Agency and Activity: _DLA Maritime Puget Sound

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

3. The Trak Lathe required to meet the using activity’s needs are described as follows:

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

Trak Lathe NA 4 EA NA

Trak Lathe Kit NA 4 KT NA Trak Lathe Collet NA 4 KT NA

Trak Lathe Coolant NA 4 EA NA Total Estimated Value

*If too numerous, attach list of NSNs and AMSC codes

This acquisition:

[X ] will not include an option.

[ ] will include a _____ % option for increased quantity. Total estimated dollar value of option quantity is $ [ ] will include an option to extend the term of the contract for a period of _________ exercisable in increments of ________________ . Total estimated dollar of all option periods is $ ________________.

The total estimated dollar value of this acquisition (inclusive of any option) is $ __________________.

4. The acquisition is restricted to the only source(s) of supply known to have the capability of furnishing the required supplies/services. Source(s) are:

Southwestern Industries (Cage 06238), small business.

5. 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.

[ ] 10 U.S.C. 2304(c)(2) – Unusual and Compelling Urgency.

[ ] 10 U.S.C. 2304(c) - _______________________________________.

6. The use of the authority cited above is based on:

This is a high-precision machine used for precisely machining metals, plastics and other materials for manufacturing tooling to repair shipboard components. The shipyard machinists has existing TRAK Lathes as well as compatible tooling and accessories specific to this machine including proprietary software. It is inherent that the shipyard machinists operators are familiar with the operations of this particular machine in order to maintain continuity, timeliness and quality for production support. Re- training 20+ mechanics on controllers of another machine will not only cost several thousands of dollars in man hours it has the potential to impact the undocking of several naval vessels. Furthermore,maintenance has an inventory of spare parts necessary for the repair and maintenance of the specific machine. If a different type of machine is purchased, this would result in increased cost for tooling, parts, software and training of maintenance personnel. The programmed software can be transferred from machine to machine if they are identical. Established parts and historical familiarization of these Lathes minimize the costs associated with training, production delay and spare parts and maximize the value to the Government.

Failure to obtain compatible units that fit and form to the existing system will cost the Government approximately $135K for shipyard employees re-training, equipment re-install, and equipment re-testing if another vendor's equipment were procured. The Government does not anticipate recovery of those costs by any potential savings. Additionally, procurement costs and lead time for soliciting competitively will negatively impact the operational readiness and posture to the DON's active fleet.

This particular machine has proprietary software that has been approved by C/109 and that S/31. Shipyard machinists have already been trained on and are familiar with the software programs involved. In addition, the software is unique as it has been engineered to maximize efficiency, increase productivity.

Program transfer and compatibility are essential in maintaining the continuity of the process with identical equipment that the mechanics will be using when manufacturing tooling to repair shipboard components as opposed to learning new controllers and the re-training of S/31 personnel. A different model or brand lathe and software would result in an increase in cost and delay in production for all projects worked on by S/31T.

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

[ X ] The acquisition will be synopsized and any firm requesting a solicitation copy will be provided one.

[ ] Manufacturers of similar products identified in the market survey will be solicited.

[ ] Dealers of the manufacturers will be solicited.

[ X ] Other (Explain): The solicitation will be made available through Fed BizOps to any interested supplier.

8. Market Research:

All required sources of supply were screened to determine if they were capable of supplying the required Trak Lathe. Ability One, GSA, EPA, and Unicor are incapable of meeting the government’s needs for this requirement. In searching the Small Business Dynamic Search using NAICS code 333517, and keyword “lathe,” 9 pages of results were found. A commercial item determination was made in accordance with FAR 2.101. A sources sought notice was posted on FedBizOps on 11 May 2018 with a closing date of 17 May 2018. Zero suppliers provided capability statements, or indicated they could offer a similar product. One vendor inquired about the part number of the machine, but supplied no additional information.

The requested lathe must be able to be interchangeable with pre-existing equipment at Puget Sound Naval Shipyard in tooling, replacement parts, and training. Southwestern Industries is the only known manufacturer of the specified lathe. While there are small business suppliers capable of providing this item, there is no reasonable expectation of competition amongst two or more manufacturers that can meet this specific requirement.

Due to the necessity for this lathe to supplement existing equipment, it is recommended that this acquisition be completed on an unrestricted basis.

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

[ ] Based upon the technical certification on file, 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.

[X ] Other:

The shipyard possesses TRAK Lathes as well as hundreds of thousands of dollars' worth of tooling and accessories specific to this machine including proprietary software. Acquiring a new style/type of machine will cost thousands of dollars in training, parts, etc. b. This particular machine has proprietary software that has been approved by C/109 and that S/31 machinists have already been trained on and are familiar with the software programs involved. In addition, the software is unique as it has been engineered to maximize efficiency and increase productivity.

10. A listing of sources, if any, indicating an interest in the acquisition are:

Not applicable.

11. The actions being taken to overcome barriers to competition before any subsequent acquisitions are made are:

Market Research.

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

APPROVAL

APPROVAL LEVELS OF THE JUSTIFICATION – FAR 6.304

[ x ] not exceeding $700,000 Contracting Officer

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

[ ] over $13,500,000 to $93,000,000 Head of Contracting Activity (HCA)

TECHNICAL/REQUIREMENTS PERSONNEL I certify that the facts and representations under my cognizance which are included in this justification are complete and accurate.

Technical Cognizance:

(Requirements originator)

X

Name and Title Signature Phone Date

QUIMBY.CHANDRA.R.

1275844086

Digitally signed by

QUIMBY.CHANDRA.R.1275844086

Date: 2018.05.17 09:25:20 -07'00'

LEGAL REVIEW

The foregoing J&A has been reviewed for legal sufficiency and redaction prior to posting on FedBizOpps.gov..

X

Name and Title Signature Phone Date

CONTRACTING OFFICER

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.

X

Name and Title Signature Phone Date

COMPETITION ADVOCATE

I have reviewed and approve this Justification $700,000 to $13,500,000, or if above $13,500,000, hereby recommends that this Justification be approved:

X

Name and Title Signature Phone Date

HEAD OF THE CONTRACTING ACTIVITY

I have reviewed and approve this Justification $93,000,000 or below.

X

Name and Title Signature Phone Date

OZOLS.MICHAEL.O

JARS.1257417375

Digitally signed by

OZOLS.MICHAEL.OJARS.125741

Date: 2018.05.17 09:50:36 -07'00'

-04'00'