Redacted J and A - 70Z03826QB0000176.pdf

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JUSTIFICATION AND APPROVAL FOR

OTHER THAN FULL AND OPEN COMPETITION

10 U.S.C. § 3205

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by Federal Acquisition Regulation (FAR) 12.102(b), FAR Class Deviation 25-21 Rev. 1 for FAR Part 121, FAR 6.103, FAR Class Deviation 25-11 for FAR Part 6 and in accordance with the requirements of RFO 6.104, the justification for the use of the statutory authority under RFO 6.103 is justified by the following facts and rationale required under RFO 6.104-1 as follows:

1. Agency and Contracting Activity.

The Department of Homeland Security, United States Coast Guard (USCG), COCO Office, Short Range Recovery (SRR) Product Line Division prepared this justification other than full and open competition.

2. Nature and/or Description of the Action being Approved.

(a) Nature of the action: The USCG, ALC, SRR Product Line Division intends to procure overhaul services on a sole source basis, for Engine Extinguisher utilized on the USCG MH-65E aircraft. The parts are manufactured by L’Hotellier SAS (Cage F9211). The only approved maintenance repair/overhaul (MRO) facility in North America is SafeTech USA, Inc.

(b) Name and address of the contractor:

SafeTech USA, Inc.

1230 Wilson Road CT Humble, TX 77396-1384 Cage Code: 06ZV6

(c) Contract Type: The USCG intends to award a Firm Fixed-Price

Indefinite Delivery Requirements type Purchase Order. The spare parts will be purchased using individually funded firm fixed-price purchase orders.

1 In this document, citations to RFO Parts 12, 6, 10, 15, and 25 are citations specifically to Federal Acquisition Regulation (FAR) Class Deviation 25-21 Rev. 1 for FAR Part 12, FAR Class Deviation 25-11 for FAR Part 6, FAR Class Deviation 25-06 for FAR Part 10, FAR Class Deviation 26-08 Rev. 1 for FAR Part 15, and FAR Class Deviation 26-09, Rev. 1 for FAR Part 25, which were issued as part of the Revolutionary FAR Overhaul (RFO), which was implemented in response to Executive Order 14275, Restoring Common Sense to Federal Procurement, signed April 15, 2025.

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NSN P/N Nomenclature Qty Opt. Qty

1680-14-562-8832 10230-01 ENGINE

EXTINGUISHER

25 50

(e) Type of funding: Operations and support funds

(f) Year of funding: Fiscal Year 2026

(g) Solicitation number: 70Z03826QB0000176

(h) Background information about the requirement: The item in this requirement are for the overhaul of Engine Extinguishers which provide effective supply support for the Fire Extinguishing System on the MH-65E Aircraft and essential to avoid grounding of the aircraft. Additionally, it has all been identified through their Acquisition Method Code (AMC) and their Acquisition Method Suffix Code (AMSC) as being sole source to OEM authorized distributor, SafeTech USA, Inc.

3. Description of Supplies/Services. As the Aviation Inventory Control Point (AICP), ALC must provide effective supply support for all USCG aviation units and for the Programmed Depot Maintenance (PDM) Program. This requirement is to be awarded to OEM authorized distributor, SafeTech USA, Inc. These parts are crucial to meet the USCG’s many missions. The material and estimated quantities to be procured are based on current and past usage data. Projected stocking levels are based on failure and corrosion trends; current upgrades and modifications in process; experience and project scrap rates; and procurement lead times. Stock level recommendations are also obtained from the USCG’s forecasting tool to help ensure ALC can support all mission requirements. The part numbers for this requirement are listed in Tab 3 of the contract file.

4. Identification of Statutory Authority Permitting Other Than Full and Open Competition. The statutory authority permitting other than full and open competition is 10 U.S.C. § 3205 as implemented by RFO Subpart 12.102(b), and RFO 6.103 and in accordance with (IAW) the requirements of RFO 6.104.

5. Identification of Exception to the Buy American Statute. This J&A requirement does not include the exception at RFO 25.103(b)(2) or RFO 25.202(a)(2) for the Buy American Act, due to the fact these parts are manufactured by a foreign entity.

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6. Demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited. ALC has a requirement to purchase, on a recurring basis, spare parts OEM authorized distributor, SafeTech USA, Inc.

The USCG self-certifies its’ aircraft in IAW standards established by the Code of Federal Regulations (CFR) and the Federal Aviation Administration (FAA). The CFR Title 14, Aeronautics and Space, Part 21, Certification Procedures for Products and Articles, governs the procedural requirements for issuing and changing design approvals, production approvals, airworthiness certificates, and airworthiness approval.

14 CFR 21 defines airworthiness approval as a document issued by the FAA for an aircraft, aircraft engine, propeller, or article which certifies that the aircraft, aircraft engine, propeller, or article conforms to its approved design and is in a condition for safe operation.

The FAA issued Advisory Circular (AC) 20-62(series) to provide information and guidance for use in determining the eligibility, quality, and identification of aeronautical replacement parts and materials intended for installation on United States (U.S.) type-certificated products and articles, and to enable compliance with CFR Title 14. The AC states that acceptable replacement articles should be identified using one of the following methods:

1) If applicable, Certificate of Conformance;

2) FAA Technical Standard Order (TSO) markings;

3) FAA PMA symbol;

4) Production Approval Holder’s PAH) documents or markings;

5) Direct ship authority. In order for manufactured parts with direct ship authority to be recognized as being produced under a manufacturer’s FAA production approval, the manufacturer must specifically authorize the shipping supplier, in writing, and must establish procedures to ensure that the shipped parts conform to the approved design and are in condition for safe operation;

6) Maintenance release document;

7) Identification of critical components; and

8) Marking of life-limited parts.

The AC also states that aircraft part distributors and aircraft supply companies cannot provide a certificate of conformance for the parts they advertise and/or sell, unless they are a PAH. Therefore, it is the installer’s responsibility to ensure airworthiness and request documentation establishing traceability to a PAH.

Parts provided that do not meet the CFR and FAA requirements could compromise structural and system integrity of the aircraft, putting aircrew personnel and Government property at risk. The USCG neither compromises nor makes exceptions in matter of human safety and protection of Government property and does not accept standards in these manners.

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Use of OEM parts will ensure the parts are manufactured IAW OEM specifications and standards, conform to original form, fit, and function, and are compatible and interchangeable with existing components.

(a) Alternate sources could not be considered due to there are no known approved FAA

PMA for the part in the solicitation that meets or exceeds OEM specifications and subsequently, passes the USCG form, fit, and function requirements.

(b) In order to maintain structural integrity of the aircraft and ensure complete compatibility of replacement parts, the parts listed in this requirement must be obtained from the OEM. Parts produced by another manufacturer will compromise structural and system integrity of the aircraft, putting aircrew personnel and Government property at a safety of flight risk. The USCG neither compromises nor makes exceptions in matter of human safety and protection of Government property and does not accept lower standards in these matters. Therefore, the mission will be impacted as a result of this J&A not being approved as stated above and not having these parts will negatively impact flight operations of the SRR aircraft and progress of Programmed Depot Maintenance. In a fiscal and stockage environment requiring minimal investment in inventory, it is critically important to secure a reliable supplier that can satisfy the contract requirements needed to react to every-changing mission requirements.

(c) This J&A requirement does not include the exceptions at FAR 25.103(b)(2) for FAR 25.202(a)(2) for the Buy American Act.

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many

Potential Sources as is Practicable.

(a) This procurement forecast was posted on the DHS-Acquisition Planning Forecast

System (APFS), APFS No. P2026074536 at http://apfs.dhs.gov, published July 20, 2026, and included in the DHS Forecast of Small Business Opportunities. There were no inquiries received in response to the published APFS.

(b) The proposed contract action will be advertised on the Contract Opportunities website, www.SAM.Gov as a combined sole source synopsis/solicitation. IAW RFO 5.201(a) and RFO 12.202, the solicitation/synopsis will include a statement that all responsible sources may submit a proposal with a capability statement, which shall be considered by the agency.

(c) The estimated date of publication is August 2026.

(d) The exceptions under RFO 5.302 do not apply to this requirement.

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8. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable. The contracting officer determines that the anticipated price(s) will be fair and reasonable based on comparison to historical prices paid or similar items in a related industry.

9. Description of Market Research. IAW RFO Part 10, various methods of market research were launched for this requirement:

(a) Market research was conducted in June 2026, and it did not produce any other OEM authorized distributors that could provide the spare parts in this requirement.

Based on historical data, and the OEM Letter, it has been determined that it is in the best interest of the Government to solicit this requirement on an other than full and open, sole source basis.

(b) This J&A requirement does not include the exceptions at RFO 25.103(b)(2) or RFO

25.202(a)(2) for the Buy American Act.

(c) Market Research was conducted. See Section (a).

(d) This requirement does not have or require patents, copyrights, and/or intellectual property.

10. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

(a) The USCG does not own the necessary technical data required to support the manufacture of the required supplies. The drawings and technical data are proprietary and available only from the OEM. The USCG did not purchase the rights as part of the original acquisition. Due to proprietary rights, it will be difficult to take steps to foster competition.

(b) The parts in the schedule cannot be reverse, engineered and/or modified by other sources, because in order to maintain structural integrity of the aircraft and ensure complete compatibility of replacement supplies, the parts listed in this requirement must be obtained from the OEM and their authorized distributors.

(c) This requirement is not a follow-on for the continued provision of highly specialized services pursuant to RFO 6.103-1(c)(2)(i).

(d) Not applicable to RFO 6.302-2(d) or HSAR 3006.302-270, this is not an unusual and compelling urgency.

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11. A Listing of the Sources, if Any, that Expressed, in Writing, an Interest in the Acquisition. No other sources have expressed interest in this acquisition. The Contracting Officer will evaluate any inquiries or responses received prior to the award of contract. SafeTech USA, Inc is the only OEM authorized distributor for the overhaul of the parts identified in this requirement. The proposed contract action will be advertised on the SAM.Gov website and will include a statement that all responsible sources may submit a proposal with a capability statement, which shall be considered by the agency.

12. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome

Any Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

(a) Complete specifications and drawings for the components are proprietary to the OEM and therefore, not available to the USCG. The USCG does not possess the technical expertise, nor the software data rights for the components on this requirement. It is difficult to take steps to foster competition as the manufacturing, performance, and acceptance data are proprietary to the OEM. As the AICP, ALC is tasked with supporting systems that have been deployed for use in the aviation community. In an effort to increase competition among manufacturers, affiliates, and distributors, SRR Product Line members attend annual aviation trade shows and host industry days at ALC.

(b) Extensive internet database research was conducted, and requirements were advertised on

Contract Opportunities (SAM.Gov). In support of the Competition in Contracting Act, ALC established the New Product Development Branch (NPD), and a representative of the NPD Branch is assigned to the SRR Product Line. This representative has the responsibility to search for alternate sources of supply/services and alternate acceptable products. Engineering, Contracting, and NPD representatives continuously conduct market research to ensure that vendors interested in doing business with the USCG are given every opportunity to compete for requirements. NPD is exploring avenues of reverse engineering for some of the hard to find or expensive to repair items, which should further encourage competition, however, this process is lengthy, costly, and labor intensive.

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