J and A redacted CLIN 3.pdf

Contractor: GDOTs & ESD Supply/Service: CAD, CUN Group 3

Est Dollar Value:

JUSTIFICATION REVIEW DOCUMENT

FOR JUSTIFICATION AND APPROVAL FOR OTHER THAN

FULL AND OPEN COMPETITION

Supply/Service: Increase Max Quantity of Contract Line Item Number Group 3

Authority: 10 U.S.C. 3204(a)(1)

Prepared by:

Contracting Officer:

Elizabeth Epperly Contract Specialist Email: elizabeth.j.epperly.civ@army.mil

Kaitlin E. Morris Contracting Officer Email: kaitlin.e.morris.civ@army.mil

Est Dollar Value:

Department of Army Justification and Approval for Other than

Full and Open Competition

1. Contracting Activity: U.S. Army Contracting Command - Rock Island (ACC-RI) Rock Island Arsenal, Rock Island, IL 61299-8000.

2. Description of Action: Product Direction Joint Ammunition and Weapons Systems (PD JAWS) requests a ceiling increase to Conventional Ammunition Demilitarization (CAD) contracts W52P1J-21-D-0024, General Dynamics Ordnance and Tactical Systems (GD-OTS) and W52P1J-21-D-0025 Envirosafe Demil LLC (ESD). This increase to the contract maximum would be for Contract Line Item Number (CUN) Group 3, Fuzes, only. This increase would allow the remaining fuzes within the demilitarization stockpile (known as the B5A) to be demiled under this contract in their entirety.

3. Description of Supplies/Services: This Justification and Approval (J&A) is a one time increase to the contract maximum of a single CUN Grou . CUN Grou 3 Fuzes was ori inall awarded with a maximum total uantity of because of this J&A. This increase in quantity capacity is shared between these two CAD contract holders, GD-OTS and ESD.

This change would result in an increased estimated dollar amount of although funding will only be obligated at the order level and not on these modifications.

The final ordering period for CUN Group 3 ends No extension is required to the base contracts to accommodate the additional quantity of Fuzes.

4. Authority Cited:10 U.S.C. 3204(a)(1), as implemented by Federal Acquisition Regulation (FAR) 6.302-1, Only one responsible source and no other supplies or services will satisfy agency requirements

5. Reason for Authority Cited:

As described at FAR 6.302-1 (a)(2)(ii)(AJ, supplies may be deemed to be available only from the original source in the case of a follow-on contract for the continued development or production of a major system or highly specialized equipment, including major components thereof, when it is likely that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition.

The U.S. Government maintains a contract vehicle with competitive sources as it relates to the demilitarization of commercial ammunition, specifically CUN Group 3, with GD OTS and ESD. These two contractors have the necessary experience, facilities, equipment, personnel, licenses, and permits in place to complete the demilitarization of an increas~ty of Fuzes. It was not anticipated at time of award that an additional quantity of--would be identified for CUN Group 3. Although it was not anticipated, the additional quantity of Fuzes is very small and it is not feasible to wait for a follow-on effort as this amount depletes the remainder of the stockpile of CUN Group 3

Est Dollar Value:

and thus will be the last award for this CUN Group. Additionally, these two sources have proposed pricing that is within their awarded matrix pricing, represents competition, and these prices have previously been found to be fair and reasonable.

6. Efforts to Obtain Competition: The U.S. Government will achieve effective competition by competing delivery orders between GD-OTS and ESD in accordance with FAR 16.505 Fair Opportunity procedures. These contracts were awarded based on full and open competition where multiple proposals were received.

7. Actions to Increase Competition: Adequate efforts to increase competition during the recompete of the CAD contract will be conducted throughout the next year. In support of the follow-on contract, a sources sought, an industry day, and networking with vendors will occur to identify additional sources interested in demilitarization of commercial ammunition.

8. Market Research: In accordance with Defense Federal Acquisition Regulation Supplement (DFARS) 205.205-71 , DFARS 206.302-1(d), and DFARS Procedures, Guidance, and Information 206.302-1 (d), ACC-RI posted a sources sought to the System for Award Management on 22 May 2024 with a closing date of 23 May 2024. Although we have adequate competition as it relates to this CUN Group, no additional qualified sources outside of ESD and GDOTs came forward.

Once a new asset list is provided, additional market research will be conducted on the recom~ntract. The package is anticipated to be provided to contracting by the---- However, it is anticipated at this time that CUN Group 3, Fuzes, will not be included on the follow-on contract because there will be no remaining Fuzes left to be demiled based on this increase to the contract quantity.

9. Interested Sources: At this time, no additional sources have been identified. As it relates to CUN Group 3, adequate competition exists for the award of an order of increased quantity.

10. Other Facts: None

11. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable.

MORRIS.KAITLIN.E ~=s•~~~iEM1Lv.1• 1268

Date: 05/23/2024 MIL v .14125s2150 ~~~.202. _05_2308,...3,-05'00.

Supply/Service: CAD, ~

Est Dollar Value:-

Kaitlin E. Morris Contracting Officer

12. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

MORRIS.KAITLIN.E ~i:rs·t~~i.EMILY.147268

Date: 05/24/2024 MIL v .14125a2150 ~~~~ 202, _05_2300:4516 -05'00.

Kaitlin E. Morris Contracting Officer