3438053_JUSTAPPR_Redacted.pdf

FD2030-22-01028

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY

United States Air Force

AFSC/PZABA

3001 Staff Drive Tinker AFB, OK 73145 Purchase Request (PR): FD2030-22-01028

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED

This individual Justification and Approval (J&A) authorizes the use of other than full and open competition procedures to obtain a new follow-on Firm-Fixed Price, requirements-type contract for the repair of the B-2 Cathode Ray Tube (CRT) assembly. The contemplated repair contract has been identified as a sole source acquisition from Thomas Electronics Inc., Commercial and Government Entity (CAGE) code 4U430. This is not a bridge action; this is a non-commercial requirement. The estimated total value of this award is $2,292,120.00 with an estimated award date of 31 Oct 22. In accordance with (IAW) FAR Part 16, a seven-year requirements contract with a one-year basic and six one-year options is considered appropriate for this acquisition.

Previous Contract Number: FA8117-18-D-0011 Date of Award: 18 Jan 2018 Completion Date: 17 Jan 2023 Contractor: Thomas Electronics Inc.

Basis of Award: Sole-Source

III. DESCRIPTION OF SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS (INCLUDING THE ESTIMATED VALUE)

Under the contemplated contract, Thomas Electronics Inc. will provide the following services for repair of the B-2 Cathode Electronics Tube, CRT.

Contract Summary

Year Estimated Dollars Estimated Period of Performance Basic 31 Oct 22 – 30 Oct 23 Option 1 31 Oct 23 - 30 Oct 24 Option 2 31 Oct 24 – 30 Oct 25 Option 3 31 Oct 25 – 30 Oct 26 Option 4 31 Oct 26 – 30 Oct 27 Option 5 31 Oct 27 – 30 Oct 28 Option 6 31 Oct 28 – 30 Oct 29

Over & Above (O&A) 31 Oct 22- 30 Oct 29 O&A (Expedite Fee) 31 Oct 22- 30 Oct 29 Total Contract 31 Oct 22- 30 Oct 29

PR line item 0001 Major Repair of National Stock Number (NSN): 6610-01-373-3184FW Part Number (P/N): 2824365-1 Noun: CRT, Cathode Ray Tube Application: B-2 Item Description and Function: Generates the visual output of the multifunctional display unit (MDU) to the user by converting deletion and video signal inputs into light energy.

Repair

Year Quantity Unit Price Estimated Dollars

Estimate Period of Performance

Basic 25 31 Oct 22 – 30 Oct 23 Option 1 25 31 Oct 23 - 30 Oct 24 Option 2 25 31 Oct 24 – 30 Oct 25 Option 3 25 31 Oct 25 – 30 Oct 26 Option 4 25 31 Oct 26 – 30 Oct 27 Option 5 25 31 Oct 27 – 30 Oct 28 Option 6 25 31 Oct 28 – 30 Oct 29

Type of appropriation: 97X4930 Total dollars for PR line item 0001:

PR Line Item 0002: O&A Is negotiated on an as needed basis. Over and above is estimated at 10% of total estimated repair dollars based on historical requirement.

Type of appropriation: 97X4930 Total Estimated Dollars for PR Line Item 0002:

PR Line Item 0003: O&A (SURGE Expedite Fee) Is negotiated on an as needed basis for Surge. The O&A Expedite Fee is estimated at 10% of total estimated repair dollars.

Type of appropriation: 97X4930 Total Estimated Dollars for PR Line Item 0003:

PR Line Item 0004: DATA Not separately Priced Data IAW DD 1423 Contract Data Requirements Lists Commercial Asset Visibility Air Force Reporting

Due to the circumstances described below in Sections V and IX, there are no immediate actions that could be taken to develop competition. Therefore, it is considered appropriate to seek approval for more than one year of requirements. If other qualified or approved sources become known at any time during the life of this contract, full and open competition will be considered and utilized to the maximum extent practicable.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

10 U.S.C. 2304 (c)(1), as implemented by FAR 6.302-1(a)(2)(iii), and required by FAR 6.303-2(b)(4)

V. DEMONSTRATION THAT THE CONTRACTORS UNIQUE QUALIFICATIONS

OR NATURE OF THE ACQUISITION REQUIRES THE USE OF THE

AUTHORITY CITED ABOVE (APPLICABILITY OF AUTHORITY)

Thomas Electronic Inc. is the only known source that’s qualified to repair the CRT. Thomas Electronics was qualified through an Initial Production Evaluation (IPE) and has demonstrated the capabilities to repair category 2 CRT via the IPE verification. Thomas Electronics is the only one that has the data, parts, expertise, trained personnel and facility to repair the CRTs. Thomas Electronics developed their own repair to meet the original Honeywell specifications. Honeywell is the original equipment manufacturer (OEM) for the CRTs but has not repaired the CRTs as it will only provide new light emitting diode technology design and development services for replacement of the CRT. Honeywell no longer supports repair services on the CRT.

The critical performance requirements, which the repair must meet, are outlined in the OEM documentation. The requirements are owned by Honeywell and cannot be acquired in the commercial market sector. There are no drawings on file, and neither is there any repair information or other documentation available that may provide technical data. Although the Government realizes that it has unlimited usage rights to form, fit, and function data as well as data related to operation, maintenance, installation, and training, such rights to the data are insufficient to meet the Government’s need for this acquisition. The contractor is currently performing repair of B-2 CRT on contract FA8117-18-D-0011. The repair data and acceptance test criteria needed to foster competition is not available to the Government, and it is not possible to draft adequate specifications for this repair effort. Continued past refusal from the OEM to answer requests for data and data rights release is construed as a negative response to the Government’s requests. The most recent request was on 02 Feb 2022.

The B-2 CRTs is a component of the next higher assembly MDU for the B-2 weapon system.

In addition to the IPE, the repaired CRT must pass functional testing in the next higher assembly MDU (NSN 6610-01-397-6965, P/N 3775146-3) that is manufactured by the OEM.

The CRT is a military unique application and no commercial repair sources currently exist that satisfy the criteria.

Development of additional sources to produce these parts are not feasible within allowable timeframes. A new source must submit a Source Approval Request (SAR) package for approval, possess the required OEM repair data or equivalent, and demonstrate repair capability of the exact item through an IPE. This process would take in excess of one year.

Any delays in repair to develop additional sources would leave the Air Force unable to meet critical mission requirements and hamper the Air Force’s ability to execute its global mission.

A cost estimate to complete this project has not been generated due to the unknown nature of some of the project’s elements making reverse engineering not feasible within allowable time frames.

The 422d Supply Chain Management Squadron (SCMS) believes that award to any other source would result in unacceptable delays in fulfilling the Air Force’s requirements.

Accordingly, Thomas Electronic Inc., CAGE 4U430 is the only source capable of providing the services described in Section III above without the U.S. Air Force experiencing unacceptable delays in fulfilling its requirements.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED

PRACTICABLE, INCLUDING WHETHER A NOTICE WAS OR WILL BE

PUBLICIZED AS REQUIRED BY SUBPART 5.2 AND, IF NOT, WHICH

EXCEPTION UNDER FAR 5.202 APPLIES

On 02 Feb 22, A Sources Sought Synopsis (SSS) was posted on SAM.gov website under reference number FA8117-18-SS-0009. The SSS included NSNs (listed in Section III), part number and quantity in support of market research to identify potential sources for repair of the NSNs. The SSS closed on 03 Mar 22, and Thomas Electronics was the only source to express interest as a result of SSS. The items are listed on Master JQR listing. IAW FAR 5.201, this requirement shall be synopsized, and the Request for Proposal (RFP) will be posted to SAM.gov website.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE

The Contracting Officer will ensure that the items described herein are negotiated at a fair and reasonable price to the Government. IAW FAR as supplemented, the contractor will be required to submit Certified Cost or Pricing Data and/or Other Than Certified Cost or Pricing Data. A detailed cost analysis and price analysis will be performed. The Contracting Officer will request a technical evaluation from the Defense Contract Management Agency (DCMA) to aid in the evaluation of the contractor’s proposal. The Contracting Officer will seek audit assistance from the Defense Contract Audit Agency (DCAA) if necessary.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS

NOT CONDUCTED

Market research, IAW FAR Part 10, was conducted by a multi-functional team consisting of the Item Manager, Equipment Specialist, Logistics Officer, and Engineer. Market Research began 02 Feb 2022 and closed 03 Mar 22. The Market Research included an SSS, and inquiries into internet sites, SAM.gov, and Government Databases (FPDS-NG, FAPISS, SBA Database, etc.). There are no other potential repair sources. Due to the complexity and criticality of the items, only pre-approved sources meet the Air Force requirements. Further, this requirement cannot be modified nor be satisfied with non-development items that are commercial off-the-shelf. These items are military unique, with no equivalent commercial products or services within the current marketplace. This research did not reveal any other qualified sources available to fulfill the requirement.

The SSS was conducted as part of the market research effort. The SSS revealed no additional qualified sources. Based on this market research, Thomas was found to be the only source able to fulfill the requirements described in Section III.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND

OPEN COMPETITION

No further information

X. LIST OF SOURCE, IF ANY, THAT EXPRESSED INTEREST IN THE

ACQUISITION

See Section VI for more details.

Thomas Electronics Inc. Cage Code: 4U430 208 Davis Parkway Clyde, NY. 14433 Telephone 973 534 6358

XI. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE

MAKING SUBSEQUENT ACQUISITIONS FOR THE SUPPLIES OR SERVICES

REQUIRED

In an effort to identify and remove barriers to competition, the 422 SCMS/GUEAA engineering flight will continue to monitor the commercial marketplace for any new contractor that has demonstrated that they have the skills necessary to repair Cathode Ray Tube and will discuss qualification with any potential repair sources that are interested. The Government will continue to synopsize the requirement, rescreen the item, and attempt to acquire the data necessary to qualify additional sources.

This is a follow-on acquisition, and as evidenced by their signature on the Coordination and Approval Document (CAD), the Approving Authority confirms review of the historical J&A Single Source Justification and determines any planned actions stated therein were completed in accordance with DFARS PGI 206.304(1)(S-70)(ii).

XII. CERTIFICATION BY THE CONTRACTING OFFICER

As evidenced by my signature on the CAD, I have determined this document to be both accurate and complete to the best of my knowledge and belief.

XIII. CERTIFICATION BY THE TECHNICAL /REQUIREMENTS PERSONNEL

As evidenced by my (our) signature(s) on the CAD, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.