81159964 Redacted JA.pdf

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5865014115820 MAGAZINE DISPENSER
Solicitation number
SPE7L320C0037
Issued by

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This justification document provides approval for a sole source contract award for magazine dispensers to support military aircraft. The Defense Logistics Agency requires 575 magazine dispensers designated as National Stock Number 5865-01-411-5280. The dispensers are designed to hold chaff and flare containers aboard the C-130 Hercules aircraft. Technical data rights are only available from the original equipment manufacturer, BAE Systems, which is the approved sole source based on its design expertise and manufacturing knowledge. The agency issued a sources sought notice on November 6, 2019 with a response date of November 12, but no other vendors came forward. A contract was awarded on May 14, 2020 to an unknown vendor for an unknown amount to fulfill this sole source requirement.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L320R0009

DLA Land & Maritime Justification for Other Than Full & Open Competition (April 2014)

SOURCE SELECTION INFORMATION – SEE FAR 2.101 AND 3.104

FOR OFFICIAL USE ONLY

[X] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies on other than a full and open competition basis.

3. The supplies required to meet the using activity’s needs are described as follows:

NSN 5865-01-411-5280 Magazine Dispenser – 575 units Estimated Contract Value

End item/Weapon System: Aircraft, Hercules C-130 06F

This item is designed to hold several chaff and/or flare containers within a dispenser, countermeasures. Once loaded into the aircraft, the chaff or flare from the containers are electronically ejected from the magazine into the air to deter aircraft threat.

4. The statutory authority permitting other than full and open competition is:

10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

BAE SYSTEMS INFORMATON AND ELECTRONIC SYSTEMS INTEGRATION(19397)

P/N 177002-0001

The use of the authority cited above:

AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

AMSC C. This part requires engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application.

Per the approved Manufacturer Parts List available for this NSN, only BAE (19397) P/N 177002-0001 has been identified by the Government as having the complete technical data set to supply this NSN to DLA and the appropriate military service. Acquisition from the currently approved source is required. Technical data provided by the PR Trailer was confirmed by the Product Specialist (PS), on 11/6/2019. The PR Trailer indicated that only the source cited above has been approved to provide this part, and is the only source that has been approved to produce this item. A review of the document availability code reveals that the drawings for this item cannot be made available to the general public and BAE (19397) is uniquely qualified to manufacture this item because they are the only owners of the technical drawings and data. There was reference to drawings in the PID for this item. The Product Specialist reviewed that information and updated the PID that DLA does not have a bid set/drawings available for this item, so the Technical Data Package (TDP) is not developed. On 4/24/2020,the Product Specialist also changed the QCC from FCA to DAA due to conflicting material data. The reference to FAT and TDP requirements are changed to code and part number. The PS stated that the ESA has no pending source approval requests (339’s) at this time.

This NSN was recently transferred from Richmond for DLA management. Reviewing the tech history, a note from 2015 indicated that a funding request was submitted to develop First Article requirements. After the FAT requirements are developed, new sources will be considered for approval. Numerous vendors have provided SARS packages in 2010 – through 2015, but the ESA did not approve any of them. Until these changes are made to the drawings, BAE is the only approved source available for this item.

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

[X] The acquisition will be synopsized on or about 12/19/19 for 15 days prior to the solicitation opening. At the completion of the synopsis period, the PR will be solicited on the internet for 30 days via the DLA Internet Bid Board System. (DIBBS) [X] Dealers of the manufacturer will be solicited.

[X] Sources Sought Notice posted to FedBizOpps on: 11/6/19

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.

A price analysis will be conducted using historical pricing, the Producer Price Index (PPI), and the learning curve analysis. The offeror(s) may be required to submit information other than the above data for determining price reasonableness. Based on the above techniques, the Contracting Officer anticipates the costs to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

A Sources Sought Notice was posted on FedBizOpps, in accordance with PGI 206.302-1, seeking to identify potential sources of supply for NSN 5865-01-411-5280. The Sources Sought Notice was posted on 11/6/19, with a response date of 11/12/19. No additional vendors responded to the listing in FBO.

Market research consisted of review of past procurements, market surveys received from interested parties, and internet sources. Market Research efforts show that this item has been purchased multiple times by DLA previous to 2018 and has a relatively stable pricing history. Market research began with the analysis of prior procurements and their respective acquisition strategies. The item is only available from one approved source as identified above. Searches on the internet yielded no useful information on the P/N or pricing information. Internet search did reveal that there are numerous Counter Measure systems produced by BAE and other manufacturers depending on the end item. (Att.# 1 - 4)

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

[X] A market survey was conducted on/during 10/30/19 – 11/8/19

1. Total number of vendors contacted: One

2. Names of vendors contacted and responding: one

BAE (19397)

3. Techniques used to conduct survey: The market survey was conducted by e-mail.

4. Types of information requested:

Size of business Manufacturer or dealer Whether stock is on hand, or will need to be manufactured.

Commerciality Estimated delivery Whether or not item is quantity/price sensitive

Summary of information received:

, the POC for BAE (19397), returned a completed market survey. BAE is a manufacturer, who prefers to work directly with the Government versus working through dealers.

BAE is a large business with excess of 500 employees. BAE has a commercial distribution network with numerous dealer, who are not exclusive. BAE is willing to submit an offer for this item and

BAE is also interested in a Long-Term Contract (LTC) for this item.

Commercial Determination:

BAE (19397) states that is item is not commercial.

The Product Specialist of Record for this NSN stated that this item is not commercial, as this is adapted for military use. This item disperses magazines off of the body of the plane. The dispensers stay attached to the plane, but the magazines with munitions are loaded and unloaded when necessary. (see additional information under Market Research) The Contracting Officer determined this item is non-commercial, as this feature is not needed for commercial aircraft.

The SAP COTS field is blank at this time.

9. Additional Information supporting other than full and open competition:

Based upon the technical certification on file in DLA Land and Maritime – VEP technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government.

10. A listing of sources, if any, indicating an interest in the acquisition is:

BAE (19397)

11. This item is subject to the following methods of locating additional sources:

The solicitation contains DLAD Procurement Notes, entitled Offers for Part Numbered Items (L04) and Evaluation of Offers for Part Numbered Items (M06).

Per PGI 206.304 (a)(1), the requirement states that “the justification shall include a copy of the previous justification to assist the approval authority in determining whether the planned actions to remove any barriers to competition cited on the previous justification were completed.”

o SPE4A518F234F is an auto source award associated with subject NSN awarded by DLA Aviation. This NSN was part of Subsumable contract SPE4AX5D9425. Subsumable contract SPE4AX15D9425 is designated under the terms and conditions of Basic Contract SPE4AX15D9414 with an approved J&A. Contract SPE4AX15D9414 was awarded on 3/23/2015 with a five (5) year base and 5 year option. This contract has numerous lines of NSNs, subject NSN is no longer available for purchase on this contract due to expired pricing. See Att. #5

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. If not exceeding $700,000, this signature serves as the approval.

Suzanne Maginn / Contracting Officer Date

MAGINN.SUZA

NNE.13783721

Digitally signed by

MAGINN.SUZANNE.1378

372131 Date: 2020.05.04 08:57:06 -04'00'

APPROVAL/CERTIFICATION

I have reviewed and approve this justification. The estimated total value of the J&A is

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[X] Up to $700,000 Contracting Officer

[X ] $700,000 to $13,500,000 Competition Advocate

Attachments:

#1 - Raytheon

#2– GTRI

#3 –Warner Robins #4 –Meggitt Defense

#5 - J&A SPE4AX15D914

SHEARER.MA

RY.E.1250702

Digitally signed by

SHEARER.MARY.E.125

0702449 Date: 2020.05.13 07:44:38 -04'00'

File details come from the government source that posted it. Updated .