SPRAL1-19-R-0009-Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION: SPRAL1-19-R-0009

1 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION# SPRAL1-19-R-0009 - 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 for the acquisition of a Receiver, Transmitter for NSN 5895-01- 665-0821 and part number (CAGE 23386) 4102793-501-SP. This item will be bought utilizing other than full and open competition per FAR 6.302-1 and 10 U.S.C. 2304 (c) (1) since after market research (FAR 10) and the Marine Corps’ technical data that was presented indicates the NSN is sole source to Thales Defense & Security, Inc. (23386) (Thales). Thales is the only known provider of this item to meet the needs of the Marine Corps. While competition is limited to only the Thales, if there are any dealers or distributors of Thales; that wish to submit a proposal, they are able to do so while the solicitation is open.

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

CLIN BRIEF DESCRIPTION NSN QUANTITY EST.VALUE AMSC

0001 Receiver, Transmitter 5895-01-665-0821 140, each R

The Receiver-Transmitter is a part of the end item Radio Set model number 09001A0126, NSN 5820-01-582-6675 and end item Radio Set model number PRC6999-ABS-CIS, NSN 5820-01- 572-9367. These Radio Set end items utilize radio frequency electromagnetic waves in space to carry two-way intelligence.

Identify end item, weapon system, or class of item: DLR item from Albany, GA – Radio Set model number PRC6999-ABS-CIS, NSN 5820-01-572-9367

Table of Authorized Material Control Number (TAMCN): A2044. End items: Radio Set model number 09001A0126, NSN 5820-01-582-6675 and end item Radio Set model number PRC6999-

ABS-CIS, NSN 5820-01-572-9367

Procurement History:

PO Number CAGE Vendor Name Quantity Unit Price Each Total Price Award Date PRC SPRAL1-19-P-0037 23386 Thales 18 EA 4/30/2019 BI

Previous buy was under the simplified acquisition threshold (SAT) and therefore no J&A is available to include.

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, Thales. The technical certificate from SYSCOM is attached to this document. Thales is the only company known by the Government to possess the technical data necessary to manufacture this item. This Receiver, Transmitter is a part of Radio Set, 2 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION model number 09001A0126, NSN 5820-01-582-6675 and end item Radio Set model number PRC6999-ABS-CIS, NSN 5820-01-572-9367 and is the only Receiver, Transmitter available that is designed to fit and function as a part of these next higher assemblies.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code: NSN is sole source to Thales (CAGE 23386) per DLR tech data from Albany, GA. Thales is the only manufacturing source.

The use of the authority cited is based on:

(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 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.

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

(X) The acquisition was synopsized on September 18, 2019.

(X) Other (Explain): 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. However, the Receiver, Transmitter needs to be procured from the sole source manufacturer based on the tech data. The technical certificate from SYSCOM is attached to this document (Attachment #1).

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

The current requirement is sole source to Thales and will be solicited for 30 days. The requirement is for a total quantity of 140 EA for NSN 5895-01-665-0821 for part number 4102793-501-SP for a total estimate of Acquisition Specialist will request an informal cost breakdown and will research similar items to help justify the unit price.

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

In addition, the buyer will use previous award (SPRAL1-19-P-0037) for the price analysis to establish Government targets. The price analysis will utilize learning curve for the high target price and a learning curve for the low target price.

8. Market Research/Efforts to Obtain Competition:

3 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

A sources sought was conducted on FedBizOpps from August 7, 2019 through August 15, 2019.

There were no responses received to the sources sought notice that was published for eight calendar days. A market survey was submitted to Thales. 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 7, 2019 through August 15, 2019) 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. DLA Land and Maritime sent a market survey via e-mail to Thales on 7/29/2019 and a follow up e-mail was sent on 8/5/2019.

POC: Robin Little completed and returned the completed survey on 8/5/2019.

Total number of vendors contacted: 1 (one).

Names of vendors contacted and responding: Thales Defense & Security, Inc.

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

Types of information requested:

Sources sought:

A sources sought was posted in FedBizOpps on August 7, 2018 with a response day of August 15, 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 Thales via email in order to tailor our current acquisition situation under the following NSN 5895-01-665-0821. 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

4 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

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.

Summary of information received:

Sources sought:

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

Market Survey: Thales Defense & Security, Inc.

This procurement is a code and part number (CAGE 23386, P/N 4102793-501-SP) buy to Thales. Thales indicated that they are a large business manufacturer. Thales has 500 employees and they do not have a parent company. Thales stated this NSN is not carried in their inventory, a They prefer to deal directly with the Government and not through dealers. This NSN is not commercial.

Information received regarding the commerciality of the item(s):

The Government sent an e-mail on July 29, 2019 requesting market survey information including information to help with the Contracting Officer’s commerciality determination.

Thales responded on August 5, 2019 saying this NSN is not commercial. The Buyer searched the internet looking for any information to support a determination this item is commercial and no supporting data was found. All references to this part had references to the NSN and to the item’s military application. No similar items were found and no items likely to be of a substantially similar technology to be determined of a type were found. This NSN is being deemed non-commercial and therefore FAR 15 procedures will be utilized.

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

(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)

Thales Defense & Security, Inc. (23386)

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

5 JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

(X) The solicitation contains 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 FedBizOps for 8 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 03 Oct 2019