Final_signed_redacted_J&A.pdf

Justification for Other Than Full and Open Competition Under 10 U.S.C. 2304 (c)(1)

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

HC-130J AN/APY-11 Multi-Mode Radar

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by Federal Acquisition Regulation (FAR) Subpart 6.3 and in accordance with the requirements of FAR 6.302-1, the justification for the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.302-1 as follows:

(1) Agency and Contracting Activity.

The Office of Contract Operations (CG-9127), Formal Contracts Division VII, the United States Coast Guard (USCG) Headquarters, Department of Homeland Security, Washington, DC, proposes to enter into a contract on the basis of other than full and open competition.

(2) Nature and/or description of the action being approved.

The USCG has a requirement to procure four (4) AN/APY-11 Multi-Mode Radar (MMR) systems to support Minotaur Mission System Suite (MSS+) production and initial sparing for newly acquired Long Range Surveillance (LRS) C-130J aircraft. This Justification and Approval (J&A) authorizes and approves the issuance of a sole source Firm Fixed-Price contract action to Harris Corporation to procure the AN/APY-11 MMR system. The estimated total value of the proposed action is $XXX.00 and will be funded with Fiscal Year 2016, 2017, and 2018 Acquisition, Construction and Improvement (AC&I) funds.

The Original Equipment Manufacturer (OEM) source-of-supply for the AN/APY-11 System is:

Harris Corporation 1500 New Horizons Blvd Amityville, NY 11701 CAGE: 82340

(3) Description of supplies.

The MMR standardized system is used in the HC-130J model aircraft for detecting, ranging, identifying, and classifying sea-going targets. It is also used for weather avoidance. The MMR system is also capable of tracking other aircraft, ground moving vehicles, and Search and Rescue transponders together with high resolution Synthetic Aperture Radar (SAR) imaging of ships, terrain and coastal features. This radar is installed for 360⁰ coverage in the C-130J aircraft belly. This Firm Fixed-Price requirement will be awarded in accordance with FAR Part 15, Contracting by Negotiation.

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304 (c)(1) as implemented by FAR 6.302-1(a)(2)(ii) entitled “Only one responsible source and no other supplies or services will satisfy agency requirements.” This section states, “Supplies may be deemed to be available only from the original source in the case of a follow-on contract for the continued development or production of a major system or highly specialized equipment, including major components thereof, when it is likely that award to any other source would result in-

(A) Substantial duplication of cost to the Government that is not expected to be recovered through competition; or

(B) Unacceptable delays in fulfilling the agency’s requirements. (See 10 U.S.C.2304(d)(1)(B) or 41 U.S.C.3304(b)(2).”

Under 10 U.S.C. 2304 (c)(1)

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

HC-130J AN/APY-11 Multi-Mode Radar

(5) Demonstration that the nature of the acquisition requires use of the authority cited.

The USCG owns and operates eleven (11) Lockheed Martin Aeronautics (LMA) C-130J aircraft and has four (4) additional aircraft purchased via MIPR on an Air Force multi-year contract with LMA. These four aircraft are in various stages of production and are due for delivery between 2019 and 2021. Post-production modifications to incorporate MSS+ converts these C-130J aircraft to the HC-130J. All USCG HC-130J aircraft operate with the AN/APY-11 radar, a sensor originally installed into the aircraft as part of the Legacy Mission System Suite design and was retained as part of the current MSS+ design. Prior installed Harris Corporation MMRs were procured utilizing existing Navy/SPAWAR MIPRs and via a USCG Aviation Logistics Center (ALC) spares contract. This is no longer a viable strategy due to the significant delays, additional cost charges for usage, as well as expiration of these contracts. For example, it takes about 2 years once ordered for the MMR system to be delivered, and SPAWAR, due to their priorities, was not able to award our contract in a timely manner, leading to an additional delay for almost 6 months, in addition to charging USCG for use of their support of XXX% of overall total (in this case it’s estimated to be $XXX). USCG intends to directly procure from Harris Corporation to mitigate these risks and costs.

Harris Corporation is the OEM and only company that supplies the AN/APY-11 radar installed on the USCG HC-130J aircraft. Harris Corporation has access to the the approved products and owns the rights to the proprietary data, specifications and drawings required for producing the system. Harris Corporation will not sell the data rights to the USCG or any third parties.

The AN/APY-11 was competitively awarded by USCG in 2000 during the missionization design selection process.

Using another radar system besides the AN/APY-11 would require extensive software engineering and integration efforts to make it compatible with the USCG MSS+ configuration, which would depart from the core design. If the USCG was to undertake a competitive process for a replacement MMR system, it would also have to replace all of the operational (11) and spare (4) MMR systems in the fleet in order to maintain commonality and configuration management. The replacement of these MMR systems, not including spares, would result in a significant duplication of cost and unreasonable delays. In order to maintain a single MMR system configuration in the fleet, all 15 systems would have be replaced. The USCG is not capable of having dual radar configurations in its HC-130J fleet due to increased costs associated with aircrew training, aviation maintenance, and logistics parts support. These savings would not be recouped thru competition. Replacing 15 fleet systems would cost approximately $XXXM as it is estimated that each radar would be around $XXXM-$XXXM. This number does include the non-recurring engineering costs for testing and requalifying an entire new radar system that has not proven airworthy, to redo the maintainer and operator training programs, and adjust all sparing in inventory. The USCG does not intend to pursue a replacement MMR system at this time. The USCG has neither the budget nor resources to deal with an entirely new radar system.

(6) A description of the efforts made to ensure that offers are solicited from as many potential sources as is practicable.

In accordance with FAR 5.201, a synopsis of this effort was posted to the Government Point of Entry (GPE), Federal Business Opportunities (FBO) on 01 February 2019. To date, the Contracting Officer has received no responses. Any future responses received, prior to the award of this procurement, will be evaluated and considered for award as appropriate.

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

HC-130J AN/APY-11 Multi-Mode Radar

(7) Determination by the Contracting Officer that the anticipated cost to the government will be fair and reasonable.

The Contracting Officer anticipates the price(s) will be fair and reasonable by use of one or a combination of various price analysis techniques and procedures in accordance with the following:

a. FAR 15.404-l(b)(2)(ii), comparison of proposed prices to historical prices paid for the same or similar items.

b. FAR 15.404-l(b)(2)(v), comparison of proposed prices with Independent Government Cost Estimates

(IGCE).

c. FAR 15 .404-1 (b )(2)( vi), comparison of proposed prices with prices obtained through market research for the same or similar items.

(8) Description of market research.

Market research was conducted and completed on 13 March 2019 by researching FedLog for additional suppliers, completing internet queries and utilizing ALMIS for prior procurement history. Updated information was sought using AMMIS, FEDLOG, WEBFLIS, Haystack, and the Internet for potential supply sources. Results of the market research identified only one source capable of providing the MMR system, Harris Corporation. Harris Corporation has maintained their assertion that they are the only provider for the MMR system. To date, no alternate sources have been identified for the requirement. All terms and conditions (including payment, delivery, inspection, acceptance, and warranties) are not expected to differ from customary terms and conditions in the marketplace or standard Government practices. Harris Corporation, a large business, is the OEM for these components and no other sources were found that can satisfy this requirement.

(9) Any other facts supporting the use of other than full and open competition.

None

(10) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

None. Should any future responses be received prior to the award of this procurement, they will be evaluated appropriately.

(11) A statement of actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for required supplies or services.

None. At this time, the government has no plans to conduct a competitive procurement for an alternative radar system solution. To do so now would be in conflict with the overall acquisition strategy for the HC-130J program (22 total aircraft per approved Acquistition Program Baseline dated 31 July 2012) and the OEM investment made by USCG. The OEM’s system is the only acceptable system that meets USCG mission needs and supports onboard system configuration management throughout the HC-130J fleet including standardized aircrew training, maintenance and logistics parts support.

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

HC-130J AN/APY-11 Multi-Mode Radar

(12) Contracting Officer’s Certification.

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

(redacted) Date HC-130J Contracting Officer

(13) Technical/Requirements Personnel Certification.

I certify that this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for the justification, is accurate and complete.

(redacted) Date Long Range Surveillance Program Manager

(14) Legal Review and Concurrence:

I have reviewed this justification and deemed it legally sufficient.

(redacted) Date HC-130J Procurement Attorney

APPROVAL:

(redacted) Date Command Procuring Activity Competition Advocate