JandA_AVOX Oxygen_Canada_signed_Redacted.pdf

1. IDENTIFICATION OF THE AGENCY AND CONTRACTING ACTIVITY

Contracting Activity: General Services Administration (GSA) Federal Acquisition Service (FAS) General Supplies and Services, Large SOP 819 Taylor St., Fort Worth, TX 76102

Requiring Activity: United States Naval Air Systems Command (NAVAIR)– PMA 290 Description of Requirement: P-8A AVOX Aircraft Oxygen System

GSA’s Acquisition PIID # 47QSWC24K0098 Vendor: AVOX Systems Inc.

Procurement Vehicle: Open Market Purchase Order Delivery Terms: 18 months Purchase Order Value (estimated):

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

The NAVAIR– PMA 290 has a fully implemented and funded Foreign Military Sales (FMS) Letter of Offer and Acceptance (LOA) for the Government of , Case Designator , for the supply of P-8A AVOX Aircraft Oxygen system. These oxygen systems are manufactured by AVOX Systems Inc. and are in direct support of the P-8A Poseidon aircraft.

This Justification and Approval serves to support the procurement as a sole-source award for deliverables manufactured by AVOX Systems Inc. Sources are limited in accordance with FAR 13.106-1(b)(2), Soliciting from a single source.

3. A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS (INCLUDING THE ESTIMATED VALUE)

GENERAL SERVICES ADMINISTRATION

JUSTIFICATION AND APPROVAL FOR SOLE SOURCE ACQUISITION (J&A)

FAR 13.106-1(b)(2)

Description Part # Quantity Price Each Total Price Lower Mounting Bracket - Portable 70 Upper Mounting Bracket - Portable 70 Portable Oxygen Tank - Lav 14 Steel Oxygen Cylinders 90 Thermal Compensator 42 Portable Oxygen Assembly 70 Mask w/ Regulator 452 Stowage Box Mask 138 Stowage Box Mask 6 Total:

The total estimated value of this requirement is

4. AN IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING OTHER THAN FULL

AND OPEN COMPETITION

This acquisition will be conducted under 10 U.S.C. 3204(a)(4) and the authority of FAR 13.106-1(b)(2), soliciting from a single source, and in accordance with FAR 13.5 Simplified Procedures for Certain Commercial Products and Commercial Services, which allows the use of simplified acquisition procedures for the purchase of commercial products and services in amounts greater than the simplified acquisition threshold but not exceeding $7,500,000. The AVOX Oxygen System meets the definition of a commercial product in accordance with FAR 2.101 as this is an item generally available for the public in the commercial marketplace.

For sole source purchases exceeding the simplified acquisition threshold, the requirements at FAR 13.501(a) apply. The need for a sole source requirement is justified in writing utilizing the format at FAR 6.303-2 properly modified to reflect that the procedures at FAR 13.5 were used in accordance with 41 U.S.C. 1901. This justification will be approved at the levels specified in accordance with FAR 13.501(a)(2)(ii) and posted to SAM.gov within fourteen (14) days of contract award in accordance with FAR 13.501(a)(1)(iii)

5. A DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR

THE NATURE OF THE ACQUISITION REQUIRES USE OF THE AUTHORITY CITED

NAVAIR has a need for the procurement of aircraft oxygen systems on the P-8A Poseidon aircraft, . The P-8A Poseidon is the latest maritime, patrol and reconnaissance aircraft designed to secure the Navy’s future in long-range maritime patrol capability. NAVAIR’s PMA 290 holds the responsibility of maintaining, repairing, and implementing new aircraft capabilities to the P-8A aircraft fleet for operational use. The P-8A aircraft oxygen system was developed for, integrated into, and tested on the P-8A during an extensive, competitively awarded P- 8A system development and demonstration phase. AVOX Systems Inc. is the sole designer, developer, and manufacturer of the aircraft oxygen system for use in the P-8A. The acquisition of the aircraft oxygen system is intended to enhance their P-8A Poseidon aircraft fleet to effectively maintain and repair their fleet for operational use. AVOX Systems Inc. will be delivering parts identified in Section 3 of this document. AVOX Systems Inc. understands and is prepared to meet the critical role of providing these parts to maintain Mission Critical Rates for the Department of the Navy assets.

NAVAIR has a fully implemented and funded Foreign Military Sales (FMS) Letter of Offer and Acceptance (LOA) for the Government of , Case Designator , for the supply of P-8A aircraft oxygen system. The LOA formalizes and articulates a comprehensive proposal detailing the terms, and conditions, and specifics of the agreement between the U.S. Government and . Also, the LOA serves as a clear and structured vehicle to present an official offer for the procurement of aircraft oxygen systems. The LOA also establishes a transparent framework between Governments on arrangements such as price, quantity, and delivery for the aircraft oxygen system thereby ensuring accountability by all involved stakeholders.

Award to any other source would disrupt on-going P-8A production by delaying the delivery of qualified and properly integrated oxygen systems to the P-8A production line. Furthermore, award to any other source would invalidate the established and mutually consented LOA’s among all involved entities. The timeline to conduct another competitive qualification process to find an alternative source for the P-8A production weapon system is anticipated to take approximately four (4) years.

6. A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE,

INCLUDING WHETHER A NOTICE WAS OR WILL BE PUBLICIZED AS REQUIRED

BY SUBPART 5.2 AND, IF NOT, WHICH EXCEPTION UNDER 5.202 APPLIES

DESCRIPTION OF EFFORTS TO ENSURE THAT OFFERS ARE SOLICITED FROM AS

MANY POTENTIAL SOURCES AS PRACTICABLE, INCLUDING IF A NOTICE WILL BE

PUBLICIZED AS REQUIRED BY SUBPART 5.2

The market research conducted by the Contracting Officer and information submitted by the customer for review indicates that only one (1) source is available. Additionally, the Contracting Officer posted a notice of proposed contract action on August 26, 2024, to SAM.gov, in which the Government intends to solicit and negotiate with only one (1) source; and no response was received. The notice was open for nine (9) days.

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE

Because this requirement is being sole sourced, the Government will be utilizing at least two (2) price analysis techniques outlined in FAR 13.106-3(a)(2) by which to determine pricing submitted by AVOX Systems Inc. to be fair and reasonable. These techniques include, but are not limited to the following:

Market research Comparison of the proposed price with prices found reasonable on previous purchases Comparison to an independent Government estimate

8. A DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10) AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED.

Market research was conducted in accordance with FAR Part 10 to determine the availability of products capable of meeting the Government’s requirement. Based upon the information provided by the Client,a Notice of Intent (NOI) to negotiate with one source was posted on SAM.gov on August 26, 2024, for a period of nine (9) calendar days to ascertain industry interest in the requirement. The NOI closed on September 4, 2024 and no responses were received. The Contracting Officer also emailed AVOX Systems to see if the manufacturer had authorized distributors for the P-8A Aircraft Oxygen System. On August 22, 2024, AVOX Systems responded stating that it does not use distributors for direct US Military sales.Other basic internet searches were performed and based on all of the market research, the Contracting Officer determined that only AVOX Systems Inc. is fully capable of meeting the Government’s requirements and is the only possible supplier. No other supplier can be found. that could provide the required P-8A aircraft oxygen system.

9. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND OPEN

COMPETITION

All facts supporting this justification have been provided above.

10. A LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN INTEREST IN THE

ACQUISITION

As stated above, the P-8A aircraft oxygen system is the only product that has been thoroughly tested and determined to meet the Government's needs. There were no responses to the NOI that was posted or inquiries submitted by industry concerning the Government’s intent to sole source this requirement to AVOX Systems Inc.

The Contracting Officer also contacted AVOX Systems Inc. on August 21, 2024. to determine if other authorized distributors were available. On August 22, 2024, a representative of AVOX Systems, Inc.

confirmed that it does not use distributors for direct U.S. military sales.

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

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE ANY

SUBSEQUENT ACQUISITION FOR THE SUPPLIES OR SERVICES REQUIRED

Increasing concerns have emerged regarding potential barriers to competition when access to design, knowledge, and technical data is required. However, AVOX Systems, Inc. is currently the only source capable of meeting the Government’s needs. Prior to any subsequent procurement, the Government will once again review the market using various methods to assess whether any other qualified sources are available and are able to meet the Government's requirements.

12. TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance, which are included and form a basis for this justification, are complete and accurate.

Date

13. CONTRACTING OFFICER CERTIFICATION AND APPROVAL

The Contracting Officer has determined this procurement meets the circumstances described in FAR 13.106-1(b)(2), soliciting from a single source for purchases exceeding the simplified acquisition threshold and that the appropriate actions were taken under this acquisition to meet the conditions described in FAR Subpart 13.501, Special documentation requirements. The information contained in this justification is accurate and complete to the best of the Contracting Officer's knowledge and belief.

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10/31/2024

Acquisition Division

COMPETITION ADVOCATE’S CERTIFICATION:

I, the approving authority, determine that the circumstances identified in this document are accurate;

therefore, limiting sources under FAR 13.106-1(b)(2) is justified. The signature below also represents approval of this Justification and Approval for Sole Source Acquisition.