Sole Source Award Notification: J&A Redacted

The U.S. Navy’s Portsmouth Naval Shipyard, through the Naval Sea Systems Command, has awarded a sole-source modification to Machine Tool Research, Inc. (MTR) under contract number N3904025P1011 to perform critical in-place re-grinding of the headstock spindle tapered bore on an FSN shaft lathe at the Kittery, Maine facility. This work, identified as emergent during disassembly, is necessary to correct a .0008-inch excess runout and restore precision machining capabilities essential for submarine drive shaft production. The modification adds CLIN 0004 with a firm-fixed-price of $40,066 and extends the contract’s performance period through May 18, 2026. The award is justified under FAR 6.302-1 and 10 U.S.C. § 3204(a)(1) because MTR is the original equipment manufacturer with exclusive access to proprietary engineering data, specialized tooling, and factory-trained personnel required to perform the repair, making any competitive procurement technically infeasible. The Government's evaluation focused solely on technical capability and risk mitigation, with cost assessed for reasonableness rather than competitiveness, acknowledging that no other vendor can meet the required standards. All work occurs at the Portsmouth Naval Shipyard location, with acceptance dependent on OEM-specific procedures and tolerance outcomes. No formal contract clauses, packaging requirements, invoicing details, or offeror representations are documented, and while the contracting office is located in Portsmouth, New Hampshire, performance and inspection are conducted in Kittery, Maine. Future repairs on this equipment are expected to remain exclusively with MTR for its operational life.