0504-02 - HTL Transceivers Redacted 8.5.2022.pdf

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

DAHLGREN DIVISION

6149 WELSH ROAD SUITE 203

DAHLGREN VIRGINIA 22448-5130

IN REPLY REFER TO

J&A Number: DN-22-0182

Code: 026

4 August 2022

JUSTIFICATION AND APPROVAL

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Dahlgren Division (NSWCDD), Contracts Department

2. Description of the Action Being Approved

Award of a firm fixed priced contract on a sole source basis for critical equipment to be used by the NSWCDD Dam Neck Activity

(DNA), manufactured by Herrick Technology Laboratories, Inc.

doing business as HTL.

3. Description of Supplies/Services

The NSWCDD DNA requires a quantity of twenty-two (22) each

Miniature Quad Wideband Transceivers, part number HTLx2-

U101100004, in order to meet a national mission at the secret and above secret level. Delivery is required 180 days after receipt of the order.

The Government's minimum needs have been verified by the certifying technical and requirements personnel.

The estimated cost of the proposed contract action is

$2,854,170.00. Fiscal year 2022 Other Procurement, Navy (OPN) funds will be utilized.

4. Statutory Authority Permitting Other Than Full and Open

Competition

41 U.S.C. 1901 as implemented in FAR Subpart 13.5.

5. Rationale Justifying Use of Cited Statutory Authority

The source for this specific equipment has been selected to allow the overall system to meet an operational configuration that is

30 July 2022

NCH 53.6-2

required in order to perform this mission. This equipment was identified as the only equipment possessing the form, fit, and/or function to match joint capabilities that the national mission operators have been trained to perform the mission with. Herrick

Technology Laboratories, Inc. is the only vendor to offer this system due to its sensitivity. There is little to no awareness of this system outside its community of practice and the original equipment manufacturer (OEM), HTL. The procurement of the equipment selected to support the national mission needs to be acquired rapidly to reduce capabilities gaps in the supported national joint mission. If these items are not procured, the cost to the government to develop and produce equipment with matching form/fit/function could exceed $11 million dollars. It would cost around $2 million to build 22 units and the software involved would require a significant expenditure of labor between

$8 and $10 million at a minimum due to the complexity of the software inherent to the system. This would also result in additional costs for operator training and an unacceptable delay to scheduling. This duplication of costs could not be recovered through full and open competition.

6. Description of Efforts Made to Solicit Offers from as Many

Offerors as Practicable

Market research was performed through internet searches and contacting the original equipment manufacturer (OEM), HTL. This market research has shown that proprietary data limits competition. Herrick Technology Laboratories, Inc., as the OEM, has proprietary rights for their devices. Additional market research through internet searches has shown there are limited resellers available but verification from the OEM has shown that there are no authorized resellers available to provide the required proprietary equipment due to the customization of the components.

The proposed contract was synopsized on SAM.GOV website on 26

July 2022 as a sole source however in addition to the quote received from the Original Equipment Manufacturer (OEM), two other quotes were received from vendors who are not authorized resellers. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5

30 July 2022 above, for any company other than HTL to provide the required equipment.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined that the anticipated cost to the Government for the equipment covered by the J&A will be fair and reasonable.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, Dahlgren Contract

Department has no plans at this time to compete future contracts for the type of equipment covered by this document. If another potential source emerges, Dahlgren Contract Department will assess whether competition for future requirements is feasible.

CERTIFICATIONS AND APPROVAL

30 July 2022

TECHNICAL/REQUIREMENTS CERTIFICATION (FAR 6.303-2(b))

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

David Strohsahl, Code R11 Phone No., Date

LEGAL SUFFICIENCY REVIEW (NMCARS 5206.303(90))

I have determined this justification is legally sufficient.

CORTESE-

FUSARO.THERESA.ANN.1035648263

Digitally signed by CORTESE-

FUSARO.THERESA.ANN.1035648263

Date: 2022.08.05 09:55:23 -04'00'

NSWCDD Legal Counsel, Code 00L, Phone No., Date

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2(a)(12))

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

Mirenda Robertson, Contracting Officer, 026, Phone No., Date

APPROVAL BLOCK (FAR 6.304 for Approving Official)

Upon the basis of the above justification, I hereby approve, as

Competition Advocate for the Procuring Activity, the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 41 U.S.C.

1901 as implemented in FAR Subpart 13.5.

Competition Advocate

Michael D. Busansky, Competition Advocate, 02 Date

NESS.JEFFERY.EUGENE.1032300304

Digitally signed by NESS.JEFFERY.EUGENE.1032300304

Date: 2022.08.05 07:49:17 -04'00'

ROBERTSON.MIRENDA.F.1127113455

Digitally signed by ROBERTSON.MIRENDA.F.1127113455

Date: 2022.08.05 11:37:12 -04'00'

BUSANSKY.MICHAEL.D.1038742112

Digitally signed by BUSANSKY.MICHAEL.D.1038742112

Date: 2022.08.05 11:54:13 -04'00'