18-R-0056-INAL-ALCO_JA_Long_-_Spare_Parts_(002).4POSTINGchanges.pdf

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. CONTRACTING AGENCY:

The contracting activity is the US Army Corps of Engineers (USACE), Philadelphia District, Contracting Division, Supplies and Services Branch (CENAP-CT-S). The requiring activity is the USACE, Operations Division.

2. DESCRIPTION OF ACTION:

Approval is respectfully requested for procurement of brand name Fairbanks Morse “ALCO” part under a firm-fixed-price contract for 99 different engine spare parts for the Dredge

McFarland.

3. DESCRIPTION OF SUPPLIES/SERVICES OR NATURE OF CONSTRUCTION:

Fairbanks Morse ALCO Engine parts manufactured for future use on the Dredge McFARLAND.

Description Category Number of Total Items

See attached file titled “IGE Final ALCO

Parts List to Procure 2018”

4. AUTHORITY CITED:

This J&A is pursued under the authority of 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-

1(c) “application for brand name descriptions.” This documentation only covers the portion of the acquisition that is “brand-name.” In accordance with FAR 13.501(a)(1)(ii) “Prepare sole source

(including brand name) justifications using the format at 6.303-2, modified to reflect that the procedures in FAR subpart 13.5 were used in accordance with 41 U.S.C. 1901 or the authority of

41 U.S.C. 1903.”

5. REASON FOR AUTHORITY CITED:

Fairbanks Morse is the current owner of the ALCO 251 series engines, plans and specifications. The

Dredge McFARLAND utilizes ten (10) ALCO 251 series engines. Fairbanks Morse manufactures or procures all parts for the ALCO 251 series engines and ALCO parts manufactured by or for Fairbanks

Morse are considered to be Original Equipment Manufacturer (OEM).

There are multiple vendors who provide Fairbanks Morse ALCO parts.

http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/06.htm#P230_31836

The District does not have the detailed proprietary manufacturing drawings necessary to have these parts made. All parts for past engine rebuilds and basic maintenance needs are obtained using the factory part numbers from either the factory or distributors. Reverse-engineering of these parts would be cost-prohibitive and would present an inherent safety risk that is unacceptable.

The use of a non-Fairbanks Morse OEM/aftermarket parts has led to problems in the past, including a crankcase explosion that caused a lost-time injury, as well as premature wear and failure of engine parts necessitating emergency or unplanned repairs. Based on past experiences, the quality of these aftermarket parts is less than satisfactory, either due to excessive tolerances or incorrect materials being used.

Fairbanks Morse Engine warranties their parts and the quality controls that are part of their ISO certification means that the parts being procured are acceptable for use by the OEM.

The safe operation of the vessel is reliant on the safe and predictable operation of the engines, which are used for dredging, the ship's power and for propulsion. Failure of the engines through the use of non-

Fairbanks Morse OEM/aftermarket parts could result in an unacceptable safety risk to the crew of the

McFARLAND and any other vessels in the vicinity of the McFARLAND.

The use of brand name OEM parts as described in this J&A and described in the acquisition documents is essential to the Government's requirements, thereby precluding consideration of a non-OEM product manufactured by another company.

6. EFFORTS TO OBTAIN COMPETITION:

Fairbanks Morse Engine is the current owner of the ALCO 251 series engines and engine parts currently in service on the Dredge McFARLAND. They design and manufacture all of the factory OEM parts for these engines. As the OEM, they are the only source that designs and manufacturers these parts to work together as a system. Because of the proprietary nature of these parts, there is no competition for manufacturing the parts.

7. ACTIONS TO INCREASE COMPETITION:

Factory OEM parts may be procured directly from Fairbanks Morse and a network of authorized factory

OEM distributors. Once posted in www.fbo.gov, authorized factory OEM distributors will have the opportunity to compete for providing the parts.

8. MARKET RESEARCH:

Currently, Fairbanks Morse Engine is the only manufacturer of the required OEM parts. The parts included in this procurement may be obtained from a variety of distributors/sources.

9. INTERESTED SOURCES:

10. OTHER RELEVANT SUPPORTING FACTS

a. Procurement history.

http://www.fbo.gov/

Factory OEM parts have been procured in the past from Fairbanks Morse directly, and from such distributors as Marine Systems Incorporated, American Turbocharger Technologies, Coltec

Industries, Powerway, National Marine and Johnson & Towers in the 30+ years the Dredge

McFARLAND has been in the Philadelphia District. These procurements have been competed using the same brand-name requirements listed herein.

The last major procurement of parts for the ALCO engines on the McFARLAND was in 2015.

All three contracts were competed, and were awarded to American Turbocharger Technologies.

This same supplier has supplied the majority of the McFARLAND ALCO parts over the last 10 years, but, as stated herein, they are not the sole supplier of ALCO 251 parts.

There remains a large base of suppliers of OEM factory ALCO 251 parts due to the large amount of ALCO 251 engines still used as locomotive prime movers in the railroad industry, in addition to the same engines still in use on other marine vessels throughout the world.

11. TECHNICAL CERTIFICATION:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

NAME: Emiliano Cruz DATE: 30 October 2018

CRUZ.EMILIANO.1228874759

Digitally signed by CRUZ.EMILIANO.1228874759 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USA, cn=CRUZ.EMILIANO.1228874759 Date: 2018.10.30 13:33:56 -04'00'

TITLE: Mechanical Engineer, Phy. Support Br. SIGNATURE:

12. REQUIREMENTS CERTIFICATION:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

NAME: Mark Saylor DATE:

30 October 2018

TITLE: Supervisor, Mechanical Engineer SIGNATURE:

Digitally signed by

SAYLOR.MARK.A.1229184039

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USA, cn=SAYLOR.MARK.A.1229184039 Date: 2018.10.30 13:36:41 -04'00'

13. 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, by performing a cost analysis in comparison with the Independent

Government Estimate.

SAYLOR.MARK

.A.1229184039 ou=PKI, ou=USA, Date: 2018.10.31 11:16:24 -04'00'

NAME: Cherita Williams DATE:

WILLIAMS.CHERITA.L.1108163697

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USA, TITLE: Contracting Officer SIGNATURE: A.L.1108163697 cn=WILLIAMS.CHERITA.L.1108163697

Date: 2018.10.31 11:15:36 -04'00'

14. CONTRACTING OFFICER CERTIFICATION:

I certify that this J&A is accurate and complete to the best of my knowledge and belief.

NAME: Cherita Williams DATE:

DN: c=US, o=U.S. Government, ou=DoD, TITLE: Contracting Officer SIGNATURE:

TA.L.1108163697 cn=WILLIAMS.CHERITA.L.1108163697

APPROVAL

Based on the foregoing justification, I hereby approve the procurement of brand name “ALCO” parts for use on the Dredge McFARLAND on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c)(1), subject to the availability of funds, and provided the services herein described have otherwise been authorized for acquisition.

NAME: DATE:

WILLIAMS.CHERI

DN: c=US, o=U.S. Government, TITLE:

ou=DoD, ou=PKI, ou=USA, cn=WILLIAMS.CHERITA.L.1108163697 Date: 2018.10.31 11:17:19 -04'00'

WILLIAMS.CHERIT

WILLIAMS.CHERI

TA.L.1108163697