Redacted_J&A_SPRAL118Q0108_18R0062.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION: SPRAL1-18-Q-0108/18-R-0062

1 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION# SPRAL1-18-Q-0108/18-R-0062 - SOURCE SELECTION INFORMATION

(SEE FAR 2.101 & 3.104)

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 for an Auxiliary Set, Engine Driven for the following NSN 6115-01-630-6877 for part number 050451-002-22. Other than full and open competition basis per FAR 6.302-1 and 10 U.S.C. 2304 (c) (1) will be utilized since after market research (FAR 10) was conducted and the Marine Corp. technical data that was presented indicates the NSN is sourced to Van Air Manufacturing, Inc.

(1EAE2). Van Air Manufacturing, Inc. is the only known provider of this item to meet the services’ needs. We are limiting competition to the manufacturer’s item not who can participate in solicitation as we will openly welcome competition amongst dealers/distributors.

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

EST. TOTAL

CLIN BRIEF DESCRIPTION NSN/PN QUANTITY VALUE AMSC

0001 Auxiliary Set, Engine Driven 6115-01-630-6877 10 EA $ D

Auxiliary Set, Engine Driven. The auxiliary set, engine driven is an item consisting of a prime mover driving two or more different types of items, such as generator(s), compressor(s) or pump(s). The components must be mounted as a single unit and may be used singly or simultaneously.

This solicitation was issued on July 24, 2018 and closed on August 2, 2018 as a small purchase for a quantity of 10 for NSN 6115-01-630-6877. Five offers were received from Van Air Manufacturing, Inc. (OEM) and four authorized dealers/distributors. All offers were over the Simplified Acquisition Threshold (SAT). At the time of the SAT solicitation, the estimated value was $ based on the USMC estimates when they completed technical certificate and trailer sheet. This PR was a first time buy and while the part number was confirmed by the OEM, they did not provide an estimated unit price therefore to the best of DLA Land and Maritime’s knowledge the value of this solicitation was going to be under SAT.

Identify end item, weapon system, or class of item: DLR item from Albany, GA – Table of Authorized Material Control Number (TAMCN): C7905 – Auxiliary Set, Engine Driven.

Procurement History is not available for this NSN. This procurement will be a first time buy.

No previous J&A is available for this NSN.

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.

Based on the technical certification that was provided by LOGCOM, SYSCOM does not own the drawings for this item to allow for full open and competition to exist. Based on SYSCOM’s technical review and certification, this item is to be procured from the sole source manufacturer, Van Air Manufacturing, Inc.

The technical certificate from SYSCOM is attached to this document. Van Air Manufacturing, Inc. is the only company known by the Government to possess the technical data necessary to manufacture this item.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code: NSN is sole source to Van Air Manufacturing, Inc. (1EAE2) per DLR tech data from Albany, GA. While the technical certificate is from 2018, WebFLIS has been reviewed to confirm that there have not been any additional sources added since the 2018 technical certificate submittal by LOGCOM. We are limiting competition to the manufacturer’s item not who can participate in solicitation as we will openly welcome competition amongst dealers/distributors.

The use of the authority cited is based on:

2 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION# SPRAL1-18-Q-0108/18-R-0062 - SOURCE SELECTION INFORMATION

(SEE FAR 2.101 & 3.104)

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

The use of the authority cited is based on:

(X) 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.

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

(X) The acquisition was synopsized on October 12, 2018.

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

The current requirement is sole source to Van Air Manufacturing, Inc. The requirement is for a quantity of (10) EA for NSN 6115-01-630-6877 for part number 050451-002-22 for a total estimate of $). This solicitation was issued on July 24, 2018 and closed on August 2, 2018 as a small purchase for a quantity of 10 for NSN 6115-01-630-6877. Five offers were received from Van Air Manufacturing, Inc. (OEM) and four authorized dealers/distributors. All offers were over the Simplified Acquisition Threshold (SAT). At the time of the SAT solicitation, the estimated value based on the USMC estimates when they completed technical certificate and trailer sheet. This PR was a first time buy and while the part number was confirmed by the OEM, they did not provide an estimated unit price therefore to the best of DLA Land and Maritime’s knowledge the value of this solicitation was going to be under SAT. There is competition between the OEM and dealers/distributors for this NSN.

In addition, the buyer will request an informal cost breakdown from offers’ to assist in deeming the price fair and reasonable, per FAR 15.403-3 - Requiring data other than certified cost or pricing data. Contracting Specialist searched Haystack for similar item for analysis with no success. Van Air Manufacturing, Inc. will be asked to provide a similar item to assist in developing the targets/deeming the price fair and reasonable.

Certified Cost and Pricing data will not be required because the estimated value threshold does not exceed $2.0M per DAG 15.403-4 or DLAD 15.402-90.

8. Market Research/Efforts to Obtain Competition:

A sources sought was conducted on FedBizOpps from August 16, 2018 through August 27, 2018. There were no responses received to the sources sought notice that was published for ten calendar days. A market survey was submitted to Van Air Manufacturing, Inc. The market survey (consists of approximately 24 general questions). The results of the market survey will be discussed in detail under “Type of information requested”. In addition, there was no information available from Google, Amazon, GSA or EBay to support commerciality.

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

A market survey was conducted on/during: market surveys were submitted two ways. The first way was via the source sought (August 16, 2018 through August 27, 2018) which included the market survey as an attachment and allowed for non-approved sources to submit a SAR. The second way market research was conducted via the market survey that was submitted to Van Air Manufacturing, Inc. (1EAE2): August 16, 2018 through August 27, 2018.

Total number of vendors contacted: 1 (one).

Names of vendors contacted and responding: Van Air Manufacturing, Inc.

Techniques used to conduct survey: Email (communication) and written survey format technique.

The following 4 (four) vendors responded by submitting quotes when the solicitation was solicited on July 24, 2018 as a small purchase: BDS Supply, Kampi Components Co., Inc., Pioneer Industries, Inc. and 55 Industries, LLC.

Types of information requested:

3 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION# SPRAL1-18-Q-0108/18-R-0062 - SOURCE SELECTION INFORMATION

(SEE FAR 2.101 & 3.104)

Source sought:

A sources sought was posted in FedBizOpps on August 16, 2018 with a response day of August 27, 2018. The main purpose of source of sought was to provide an opportunity to other potential sources to manufacture this NSN in order to promote competition. Sources that are not approved for this NSN were required to submit a Source Approval Request (SAR) to DLA Land and Maritime. Since DLA Land and Maritime does not manage this item, the SAR package would need to be submitted to LOGCOM, who manages the NSN. LOGCOM would then take the SAR information and submit it to SYSCOM since they manage the technical piece of the NSN. While the approval of the SAR would not necessarily occur for this procurement, it could be reviewed for future procurements. For this procurement, there were no SAR packages submitted.

As part of the sources sought, a market survey was included to allow potential offerors an opportunity to provide feedback on the current marketplace for this acquisition. The market survey included information about if the item was available in the commercial marketplace, EDI & MIL-STD-129 capable, company sizes, FOB & I/A information, P/N, quantity, delivery and OEM information, etc.

Types of information requested: A market survey was sent to Van Air Manufacturing, Inc. via email in order to tailor our current acquisition situation under the following NSN – 6115-01-630-6877. Survey consists of approximately 24 general questions. Majority of questions involved check boxes and (yes or no) answers. The market survey included information about if the item was available in the commercial marketplace, if the contractor preferred to do business direct with the Government or via a distributor, if FOB Destination and FOB Origin would be acceptable, if the part number provided by the Marines was active and procurable and if the price supplied by the Marines was close to the current unit price. It also, included questions concerning delivery, quantity breaks, and inspection and acceptance points and if dealers quoted, and if the contractor is EDI & MIL-STD-129 markings capable.

As mentioned above, this solicitation was issued on July 24, 2018 and closed on August 2, 2018 as a small purchase for a quantity of 10 for NSN 6115-01-630-6877. Five offers were received from Van Air Manufacturing, Inc.

(OEM) and four authorized dealers/distributors.

Summary of information received:

Sources sought:

The sources sought closed without receiving any responses for vendors submitting either SAR or market survey information for this requirement. Therefore, based on the technical certificate from SYSCOM Van Air Manufacturing, Inc. is sole source for this NSN.

Van Air Manufacturing, Inc.

This procurement is a code and part number 050451-002-22 buy to Van Air Manufacturing, Inc. Van Air Manufacturing, Inc. is a small business per their SAM registration and completed market survey. Van Air Manufacturing, Inc. .

Information received regarding the commerciality of the item(s): Van Air Manufacturing, Inc. stated the item is not commercial in their completed market survey, but they did not provide a catalog list price or unredacted sales invoices or evidence that supports this item is available to the commercial market. In addition, there was no information available from Google, Amazon, or EBay to support commerciality. The item is being deemed non-commercial and therefore FAR 15 procedures will be utilized.

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

4 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION# SPRAL1-18-Q-0108/18-R-0062 - SOURCE SELECTION INFORMATION

(SEE FAR 2.101 & 3.104)

(X) Based upon the technical certification on file via the technical certification from SYSCOM 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 is: (If none, so state) Van Air Manufacturing, Inc. (1EAE2) - OEM BDS Supply (33YQ3) small business authorized dealer Kampi Components Co., Inc. (7Z016) small business authorized dealer Pioneer Industries, Inc. (66200) small business authorized dealer 55 Industries, LLC (7YQ54) small business authorized dealer

11. This item is subject to the following methods of locating additional sources:

(X) The solicitation contained the DLAD Procurement Note L04, Offers for Part Numbered Items.

( ) VE Bailment Program ( ) Source Development Review ( ) Reverse Engineering

(X) Other: The Marine Corp. does not intend to procure the technical data necessary to foster competition.

A source sought was posted in FedBizOpps for 10 calendar days without receiving any responses for vendors submitting either SAR or market survey information for this requirement.

Attachment:

1. DLR Technical Certification.

2. PR Trailer

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.

Contracting Officer Phone Date

Julie M. Miller Typed name of Contracting Officer

Approval/Certification

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

Competition Advocate Phone Date Signature

APPROVAL REQUIREMENTS

(X) Up to $700,000 Contracting Officer

614 692 4841 19 Mar 19