23RJW75_24DJW75_JA_Redacted.pdf

J&A Number: CR-23151

JUSTIFICATION AND APPROVAL (J&A)

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Crane Division (NSWC- CR), Contracting Operations Division, 023.

2. Description of the Action Being Approved

Award of a five-year Indefinite Delivery Indefinite Quantity (IDIQ) contract on a sole source basis to Teledyne FLIR Systems Incorporated (FSI), Government Systems, 25 Esquire Road, North Billerica, MA 01862-2598 (Cage Code 3UVR3). Requirements include repairs, Provision Item Order (PIO) spares, and product obsolescence Engineering Change Proposals (ECPs) for sustainment of the Hand Held Long Range Thermal Imager Sensor System (HHSS) RECON III (PN: 26662-201 & 26662-202) in support of the United States Marine Corps (USMC) Ground-Based Operational Surveillance System (G-BOSS) program.

3. Description of Supplies/Services

The RECON III is a Multi-Sensor hand-held, dual-thermal channel, multi-sensor target acquisition and target geo-location device. The RECON III includes a high performance, cooled large format Indium Antimonide Focal Plane Array (FPA), with a mid-wave infrared (IR) camera, and an uncooled long-wave 320x240 micro bolometer IR camera which allows for the unit to act as a laser range finder (LRF), Global Positioning System (GPS), digital magnetic compass (DMC) and target geo-locator.

The device is used in theater for detection and risk assessment of engaged in major combat operations, irregular warfare, military support of stability, security, transition and reconstruction activities, and homeland defense/civil support operations.

The Marine Corp Systems Command (MCSC) currently has units in the field.

The supplies and services required by this contract will ensure there is a repair and sustainment capability for the fielded units, which will allow MCSC to execute their mission.

The Government’s minimum needs and schedule requirements have been verified as complete and accurate by the certifying technical and requirements personnel.

The estimated value of the J&A is $1.5 million. The funds to be utilized for the supplies and services on this contract will be Operations & Maintenance (O&M) as shown in the table below.

Estimated Dollar Value ($1.5M)

Y1 Y2 Y3 Y4 Y5 Totals O&M $426,000 $236,000 $375,000 $229,000 $234,000 $1,500,000

4. Statutory Authority Permitting Other Than Full and Open Competition

10 U.S.C. 3204(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority

FSI is the OEM of the RECON III; repair and sustainment of the RECON III from any source other than the OEM is not possible due to FSI’s unwillingness to sell the required proprietary data needed to sustain the RECON III. On 07 March 2023, FSI, Director Program Management Lawrence Vigezzi, confirmed that FSI would not agree to license or sell the proprietary data necessary for repair of the RECON III to the Government or any other company.

Due to obsolescence of this product, NSWC Crane executed a lifetime buy of the RECON III (26662-202) under sole source contract N0016418CJV36. The lifetime buy of the RECON III was executed to ensure there was a solution while a competitively awarded replacement for the RECON III was solicited. A competitive award was made to Optics 1 (N0016419DJV28) for the High Resolution Thermal Viewer (HRTV). This effort used minimal testing to verify that the HRTV could be a suitable replacement for the Recon III (Note, the Recon III and HRTV are not used together) but the HRTV was not fully tested to support fielding with a G-BOSS system. In the early stages of testing/integrating the HRTV, the Program Office made a determination it would be more cost effective to sustain the RECON III until the program sunsets instead of integrating the HRTV into the G-Boss system. As a result, the minimum quantities were procured from Optics 1 and efforts went to sustaining the RECON III until the program sunsets.

The HRTV has a unit cost of approximately $65,000 and a comparable repair cost to the RECON III. Procurement, testing, integration, and sustainment of the HRTV or any other replacements camera vice sustaining the RECON III would result in substantial duplication of cost and untimely delay to programmatic requirements. Due to the program sun-setting, there will be no new tech refresh on the G-BOSS program. Note, the HRTV was functionally evaluated in a lab but was the software and hardware were not integrated and fully tested, therefore the HRTV could not be procured and fielded near term.

7. Determination of Fair and Reasonable Costs

The Contracting Officer will use cost or price analysis to determine a fair and reasonable price.

Assistance from the Defense Contract Audit Agency (DCAA) and the Defense Contract Management Agency (DCMA) will be utilized as appropriate to analyze, evaluate and negotiate based on detailed cost or pricing data. The Contracting Officer has determined that the anticipated cost to the Government for supplies and services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition

For the reason set forth in Paragraph 5 and 6, NSWC-CR has no plans at this time to compete future contracts for the types of supplies covered by this document due to the G-BOSS program sunsetting. If another potential source emerges, NSWC-CR will assess whether competition for future requirements is feasible.