Submarine Hatch Grinding Kit

Trade Agreement: NAFTA/AIT/Canada FTAs with Peru/Colombia/Panama Tendering Procedures: Generally only one firm has been invited to bid Non-Competitive Procurement Strategy: Exclusive Rights Comprehensive Land Claim Agreement: No Vendor Name and Address: KE Marine Inc. 732 Parker Street Jacksonville Florida United States 32202 Nature of Requirements:

Advance Contract Award Notice (ACAN)

An ACAN is a public notice indicating to the supplier community that a department or agency intends to award a contract for goods, services or construction to a pre-identified supplier, thereby allowing other suppliers to signal their interest in bidding, by submitting a statement of capabilities. If no supplier submits a statement of capabilities that meets the requirements set out in the ACAN, on or before the closing date stated in the ACAN, the contracting officer may then proceed with the award to the pre-identified supplier.

Definition of the requirement

The Department of National Defence has a requirement for the supply a portable submarine hatch grinding kit with an option to purchase 2 additional grinding kits within 12 months of contract award. The submarine hatch grinding kit will be used to grind flat the sealing surfaces of the hatches on the Victoria Class submarines. The proposed product is a Chris-Marine Surface Grinding Machine type CPS air-driven machine complete with horizontal arms and grinding wheels, or equivalent.

Criteria for assessment of the Statement of Capabilities (Minimum Essential Requirements)

Any interested supplier must demonstrate by way of a statement of capabilities that product meets the following requirements:

1. Unit must be a portable grinding kit that can mount on the inside of a submarine hatch. 2. Unit must be able to grind hatches ranging from a 24? (610mm) diameter to a 55? (1397mm) diameter.The unit must not exceed an overall diameter of 56? (1422mm) and overall height of 27.5? (699mm). 3. Unit must come with the mounting/alignment equipment to mount the unit to the inside of a hatch with a 26.5? internal diameter and 1.375? thickness. Unit must not exceed a depth of 5? (127mm) below the hatch surface. 4. Unit must be able to grind surfaces and achieve a surface flatness that does not exceed a 0.003? (76 µm) deviation over a 32? (813 mm) diameter. 5. Unit must be able to grind the surface flat with a surface roughness, Ra (arithmetic average of absolute values) not exceeding 0.00003? (0.8 µm). 6. Unit must be capable of grinding Inconel alloys. 7. Unit must be able to operate on compressed air supply of 87 psi.

Applicability of the trade agreements to the procurement

This procurement is subject to the following trade agreements

• Agreement on Internal Trade (AIT) • North American Free Trade Agreement (NAFTA)

Justification for the Pre-Identified Supplier

• KE Marine is the exclusive distributor for Chris-Marine Surface Grinding Machines. • KE Marine has exclusive ownership and the rights to IP for the Chris-Marine Surface Grinding Machines.

Government Contracts Regulations Exception

The following exception to the Government Contracts Regulations is invoked for this procurement under subsection 6(d) - ?only one person is capable of performing the work?.

Exclusions and/or Limited Tendering Reasons

The following exclusions and/or limited tendering reasons are invoked under the following trade agreements:

Agreement on Internal Trade (AIT) - Articles 506.12 (a) and 506.12 (b);

North American Free Trade Agreement (NAFTA) - Articles 1016.2(b) and 1016.2(d)

Delivery date

Within 6 to 8working weeks after receipt of order.

Cost estimate of the proposed contract

The total estimated aggregate value of the contract, including option, is USD $88,794.00 (GST/HST extra)

Name and address of the pre-identified supplier

KE Marine, Inc. 732 Parker Street, Jacksonville, FL 32202 USA

Suppliers' right to submit a statement of capabilities

Suppliers who consider themselves fully qualified and available to provide the goods, services or construction services described in theACAN may submit a statement of capabilities in writing to the contact person identified in this notice on or before the closing date of this notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.

Closing date for a submission of a statement of capabilities

The closing date and time for accepting statements of capabilities is April 13, 2017 02:00 pm PDT.

Inquiries and submission of statements of capabilities

Inquiries and statements of capabilities are to be directed to

Christine Cress Supply Officer 401 - 1230 Government Street Victoria, BC V8W 3X4 Telephone: 250-514-9294 Facsimile: 250-363-0395 E-mail: christine.cress@pwgsc-tpsgc.gc.ca Delivery Date: Above-mentioned

You are hereby notified that the government intends to negotiate with one firm only as identified above. Should you have any questions concerning this requirement, contact the contracting officer identified above.

An Advance Contract Award Notice (ACAN) allows departments and agencies to post a notice, for no less than fifteen (15) calendar days, indicating to the supplier community that it intends to award a good, service or construction contract to a pre-identified contractor. If no other supplier submits, on or before the closing date, a Statement of Capabilities that meets the requirements set out in the ACAN, the contracting authority may then proceed with the award. However, should a Statement of Capabilities be found to meet the requirements set out in the ACAN, then the contracting authority will proceed to a full tendering process.

Suppliers who consider themselves fully qualified and available to provide the services/goods described herein, may submit a statement of capabilities in writing to the contact person identified in this Notice on or before the closing date of this Notice. The statement of capabilities must clearly demonstrate how the supplier meets the advertised requirements.

The PWGSC file number, the contracting officer's name and the closing date of the ACAN must appear on the outside of the envelope in block letters or, in the case of a facsimile transmission, on the covering page.

The Crown retains the right to negotiate with suppliers on any procurement.

Documents may be submitted in either official language of Canada.