Sole Source to Kongsberg Underwater Technology, LLC for Evaluation and Optional Repair of Navigation Pressure Container C2

The Naval Surface Warfare Center Panama City Division, FL (NSWC PCD) intends to award a sole source, firm fixed price purchase order using simplified acquisition procedures to Kongsberg Underwater Technologies (KUT) for the evaluation and potential repair of a KUT C2 sensor.  This procurement is sole source for the following reason:  Kongsberg Underwater Technology, LLC is the Original Equipment Manufacturer of the Navigation pressure Container C2 and has proprietary information that is required to evaluate and repair the item.  No other company has access to the required information.  Destination to the Naval Support Activity Panama City (NSA PC), Receiving Office Building 100, 100 Vernon Ave., Panama City, FL 32407. Small Business Size standard $15M, NAICS Code 541330. PSC is R425.

1. Identification of the agency and the contracting activity, and specific identification of the document as a “Sole Source Justification.”

This is a sole source justification. Contracting activity is NSWC-PCD, Code 024, 110 Vernon Ave., Panama City, FL, 32407.

2. Nature and/or description of the action being approved.

This action will award a firm fixed price contract for the inspection of a Government Owned Navigation Pressure Container C2 with the option to repair.

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

Evaluation of the Government owned Navigation Pressure Container C2. Depending on the findings of the Evaluation, the Government may elect to exercise an OPTION to repair the sensor.

This acquisition will be conducted using simplified acquisition procedures with a total estimated more than $25,000. The Government's minimum needs have been verified by the certifying technical and requirements personnel. This memo does not authorize acquisition for other requirements. This purchase will be funded with FY24 OMN.

4. Identification of the justification rationale and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service. 10 U.S.C. 2304 (c) – Only one responsible source and no other supplies or services will satisfy agency requirements, FAR 6.302-1.

The Naval Surface Warfare Center Panama City Division (NSWC PCD) currently has a need for the service listed in Paragraph 3 of this document. Kongsberg Underwater Technology, LLC (KUTL) is the Original Equipment Manufacturer of the Navigation pressure Container C2 and has proprietary information that is required to evaluate and repair the item. No other company has access to the required information.

As such, the government does not expect significant savings through competition. Additionally, utilizing any other firm than KUTL will result in unacceptable delays in fulfilling the Government’s requirements in order facilitate any other firm with the repairs of this equipment which KUTL is the OEM and proprietary rights holder. Thus, it is more advantageous to the Government to award on a sole source basis to the KUTL for the services listed in Paragraph 3.

5. A determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 13.106-1(b).

The Contracting Officer has determined that the order represents the best value and results in the lowest overall cost alternative (considering price, special features, administrative costs, etc.) to meet the Government’s needs.

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

For the reasons specified in paragraph 4 above, Kongsberg Underwater Technology, LLC is the only source that can meet the Government’s needs. This requirement will be synopsized in the government point of entry SAM.gov because it is estimated greater than $25,000.00.

7. Any other facts supporting the justification.

None.

8. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

As stated in paragraph 4 above, Kongsberg Underwater Technology, LLC is the only source that can meet this requirement.

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