SPMYM219Q1092_Redacted.pdf

Justification for Other Than Full & Open Competition (November 2018)

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SPMYM219Q1092

1. Contracting Agency and Activity: DLA Maritime Puget Sound

2. The action being approved is the acquisition of supplies on other than a full and open competition basis. FAR subpart 13.5 – simplified acquisition procedures will be used in accordance with 41 U.S.C.

1901.

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

BRIEF

DESCRIPTION

NSN/P/N QUANTIT

Y

EST. VALUE AMSC

ASPU Motor NSN1005 01-516-6151 Part #4D99141G02, Rev. 007 1 NA

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 is: Curtiss Wright EMD Division 1000 Wright Way Cheswick, PA 15024.

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.

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

The Original Equipment Manufacturer (OEM) is Curtiss-Wright, formerly a division of Westinghouse.

Curtiss-Wright designed, patented, and built the ASPU Motors to meet the Navy’s technical requirements. The ASPU and its components are highly complex in design and are an integral part of an approved system configuration that was specifically designed and built by Curtiss-Wright for Navy nuclear submarine use. The components to be ordered for the ASPU motors are a proprietary design and are direct replacements for components presently installed. Other manufacturers cannot produce similar products because the OEM designs are patented and protected from all third parties by Curtiss-Wright, due to proprietary drawings. No alternative products exist to perform the function of the ASPU Motor.

Upon completion of the Manufacturing and testing of the ASPU motor, it must meet and interface with no deviation from form, fit, function or design, with the other system components. This can be met only if components are manufactured by Curtiss-Wright. Based on this rationale, proceeding with procurement of this requirement on a sole source basis to Curtiss-Wright is in the best interest of the Government.

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

This requirement will be posted on www.fbo.gov for one month to afford an opportunity for competition amongst dealers. Due to the proprietary nature, no competition is expected.

Justification for Other Than Full & Open Competition (November 2018)

8. Market Research:

A sources sought notice was posted for this requirement for 1 each Advanced Secondary Propulsion Unit.

The sources sought notice was posted on 19 February 2019 and closed 25 February 2019 at 8 am PST.

There were zero responses received. Ability One, GSA, Federal Prison Industries, and the EPA were all screened to determine their ability to provide the required item. None were capable. The Small Business Dynamic Search resulted in one page of firms that supply goods under NAICS code 333611. However, the drawing for the requested item is proprietary to Curtiss-Wright, and they are the Original Equipment Manufacturer (OEM). Because the NAICS code and FSC are not on the non-manufacturer waiver, a small business set-aside would not be appropriate.

Propulsion units are customarily used to move large vessels through the ocean. It is a common component in cruise ships in addition to military vessels. The propulsion unit that is requested for this requirement meets the commercial item definition at FAR 2.101, specifically, “modifications of the type customarily available in the commercial marketplace.” Due to the large nature of military vessels, and their unique capabilities, there are modifications to commercial propulsion units to meet the government’s needs.

Prior procurement history: SPMYM2-11-C-0005, unrestricted, 333611/1000, Curtiss-Wright (Cage 04808), $5,741,596.74. The JA is not available for this previous acquisition.

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

[X] 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.

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

None

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

A sources sought notice was posted for five days. The solicitation will be posted for one month to allow for potential competition. Though no competition is expected due to the proprietary nature of the material. Prospective suppliers seeking source approval may submit a Source Approval Request package requesting evaluation of its product’s technical acceptability for future procurements.

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

A fair and reasonable price determination will be made by the Government prior to contract award. Prices will be compared commercially available pricing. A price analysis will be conducted using historical pricing, and Producer Price Index (PPI). The offeror(s) may be requested to submit information other than cost or pricing data for determining price reasonableness. Based on the above techniques, the Contracting Officer anticipates the costs to the Government will be fair and reasonable.

APPROVAL

APPROVAL LEVELS OF THE JUSTIFICATION – FAR 6.304

[ ] not exceeding $700,000 Contracting Officer

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