Attachment 3 - Redacted J and A.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. § 1901

SOLICITATION NO. 70Z03824QJ0000061

In compliance with Federal Acquisition Regulation (FAR) 13.501(a)(ii), this justification uses the format at FAR 6.303-2 and is modified to state that the procedures in FAR subpart 13.5 are used.

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), Aviation Logistics Center (ALC), Medium Range Recovery (MRR) Product Line Division.

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

(a) Nature of the action: The USCG intends to solicit and award, on a sole source basis, a Firm Fixed Price Purchase of Fuel Tanks to the Original Equipment Manufacturers (OEM) authorized distributor Aviatrix. This requirement will be solicited utilizing FAR Part 12 Acquisition of Commercial Items in conjunction with FAR subpart 13.5.

(b) Name and address of the contractor:

Aviatrix Inc 20952 SW Olds Pl.

Sherwood, OR 97140 Cage Code: 3CKV1

(c) Type of action: Requirements type: Firm-Fixed Price Purchase Order.

(d) Estimated total value (including options): broken down as follows:

Item Quantity Unit Price Total Tank, Fuel, Aircraft Left 20 ea.

Tank, Fuel, Aircraft Right 20 ea.

Total *Rounded to the nearest dollar

Note: The procurement of the Fuel Tanks were previously awarded to Sikorsky Aircraft Corporation (SAC) under Delivery Order 70Z03823FJ0000111 with a period of performance end date of September 18, 2024.

(e) Type of funding: Procurement, Construction, and Improvement (PC&I) Funding.

Fiscal Year 2004, Public Law 108-136 ()802,117 Stat.1392 (2003), the Naval Supply Systems Command (NAVSUP) Weapons Systems Support (WSS) is the design control activity for the Fuel Tanks and as such, has the sole authority for approving sources for the procurement, repair and overhaul of parts managed by the Navy. In addition, the Fuel Tanks are coded with an Acquisition Method Suffix Code (AMSC) of C which states that approved sources of the design activity retain data rights, manufacturing knowledge or technical data that’s not economically available to the government, and the data or knowledge is essential to maintain quality of the part. Therefore, the Fuel Tanks must be procured from a NAVSUP WSS approved source or authorized distributor of a NAVSUP WSS approved source. The only NAVSUP WSS approved sources are the OEMs, SAC and Meggitt. Meggit identified Aviatrix as their only authorized distributor for the Fuel Tanks (See Attachment 1), and SAC has no authorized distributors.

On June 13th, 2024, the USCG received correspondence from Meggitt, one of the OEM’s and NAVUP WSS approved source, stating they will not quote the USCG directly for the purchase of the Fuel Tanks. Meggitt further confirmed Aviatrix is the only authorized distributor for this requirement (See Attachment 1). On March 14th, 2024, the USCG received correspondence from Aviatrix providing documentation that they are a Certified Stocking Distributor of Fuel Cells and Fuel Containment Accessories for Meggitt (See Attachment 2). On February 27th, 2024, SAC, the only other OEM, and a NAVSUP WSS approved source, stated they were a “no bid” for the Fuel Tanks requirement (See Attachment 3).

While there are three (3) approved sources for this requirement, there is only one source capable of quoting the requirement. Both OEM’s, SAC and Meggitt, stated they will not quote the USCG (See Attachment 1 and Attachment 3). Therefore, Aviatrix is the only NAVSUP and OEM approved source that has the capability to fulfill this requirement for the purchase of Fuel Tanks.

(b) Details covering what events lead to the situation requiring use of other than full and open competition procedures including whether any portion of the work can be segregated to allow for competition.

The USCG did not purchase rights to the proprietary data required to foster a competitive environment as part of any original provisioning for use on the MH- 60T rotary wing aircraft and the costs to procure this data would be cost prohibitive.

(c) Summarize alternatives considered and why they will not work.

No other alternatives can be considered for this requirement. As cited in 6a, sources must be approved by the Navy. Aviatrix is an authorized distributor that has been identified by Meggitt that can provide the Fuel Tanks.

(d) Impact to the mission that would result if the J&A is not approved and, consequently, the product or service not provided.

Failure to approve this J&A will jeopardize the performance of the USCG’s mission due to grounding of aircraft as a result of no stock being available as required.

(e) Rationale for use of the nonavailability exception to the Buy American statute, including detailed information explaining why the particular articles, materials, or supplies of the class or kind to be acquired, either as end items or components, are not mined, produced, or manufactured in the United States in sufficient and reasonably available commercial quantities and of a satisfactory quality.

The nonavailability exception to the Buy American statute does not apply to this requirement. Therefore, the Buy American Statute will be included in both the solicitation and terms and conditions of this contract.

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

(a) If an announcement has already been made in Contract Opportunities, provide the date of publication.

This procurement forecast is posted as DHS – Acquisition Planning Forecast System (APFS) No: F2023062894, was published on 11/09/2023 at http://apfs.dhs.gov, and included in the DHS Forecast of Small Business Opportunities.

(b) If an announcement is being planned for posting in Contract Opportunities, provide the estimated date of publication.

This Justification for Other Than Full and Open Competition (J&A) will be posted to the GPE website, SAM.gov on 06/20/2024. Any capability statement, proposal or quotation received in response will be considered prior to award.

(c) If an announcement will not be published, identify the applicable exception under FAR 5.202.

There are no applicable exceptions, and an announcement will be published.

(d) If an announcement will be published after award, cite the applicable exception under

FAR 6.305.

There are no applicable exceptions, and an announcement will be published.

8. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The Contracting Officer anticipates that prices will be determined fair and reasonable based on comparison of the proposed prices found reasonable on previous procurements in accordance with (IAW) FAR 13.106-3(a)(2)(ii) and comparison to the IGCE IAW FAR 13.106-3(a)(2)(vi).

9. Description of Market Research.

(a) Describe the market research techniques used, results, date when the market research was conducted, and how it was used by the contracting officer to determine price reasonableness.

Market research has been conducted in accordance with FAR Part 10 from October 2022

– March 2024. Sources Sought Notice, 70Z03824IJ0000009, was published on SAM.gov on 11/17/2023. Aviatrix responded on 11/30/2023 with pricing along with a letterhead stating they are a Certified Stocking Distributor for the Fuel Cells and Fuel Containment Accessories for Meggitt (See Attachment ). No other responses were received regarding the Sources Sought Notice.

Government databases such as General Services Administration (GSA), FEDMALL, and WebFLIS were all reviewed as part of the market research. Commercial databases such as, Inventory Locator Services (ILS) were reviewed as part of Market Research. Existing DHS-wide and multi-component contract vehicles with DHS Strategic Sourcing Program Office and/or on DHS Enterprise-wide Contract Vehicle Portal were reviewed and were determined out of scope of this procurement.

Describe the market research results that support the determination that the items are nonavailable.

If market research was not conducted, state why.

Not applicable; market research was conducted from October 2022 – March 2024.

If patents, copyrights, and/or intellectual property are applicable to the acquisition, describe the circumstances for acquiring a patented or copyrighted product on the representation of the intellectual property holder that has not been licensed for resale.

Patents, copyrights, and/or intellectual property are not applicable to this procurement.

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

(a) An explanation why technical data packages, specifications, statement of work, or purchase descriptions are not suitable for full and open competition.

The USCG did not purchase rights to the proprietary data required to foster a competitive environment as part of any original provisioning for use on the MH-60T rotary wing aircraft and the costs to procure this data would be cost prohibitive.

(b) Discuss why your requirement cannot be modified to enhance competition.

Due to the flight critical nature of the Fuel Tanks, any deviation from the use of NAVSUP WSS certified sources could result in a safety flight risk. Any manufacturer must conform to the design data and quality requirements, or an unsafe condition could result which may cause damage to, or loss of, assets and significant injury or loss of life.

The Fuel Tanks must meet all form, fit, and function requirements specified in NAVAIR and OEM manuals. Therefore, this requirement cannot be modified to enhance competition, as a risk to flight safety is never acceptable.

(c) For a proposed contract subject to the restrictions of FAR 6.302-1 for follow-on acquisitions as described in 6.302(a)(2)(iii), provide an estimate of the cost to the Government that would be duplicated and detailed information on how the estimate was derived.

This requirement is not subject to the restrictions of FAR 6.302-1 as described in 6.302(a)(2)(iii).

(d) For a proposed contract subject to the restrictions of FAR 6.302-2(d) or HSAR 3006.302- 270 and where FAR 6.302-2 is cited as the authority, describe the exceptional circumstances allowing for an award for a period of performance in excess of the one-year limitation (applicable to all federal agencies) or the DHS-specific statutory 150-day limitation.

This requirement is not subject to the restrictions of FAR 6.302-2(d) or Homeland Security Acquisition Regulation (HSAR) 3006.302-270.

11. A Listing of the Sources, if Any, that Expressed, in Writing, an Interest in the Acquisition.

Aviatrix, a NAVSUPP approved authorized distributor, responded to the Sources Sought that was posted on 11/17/2023. No other sources expressed interest in this acquisition.

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) Will the Government revise overly technical specifications, acquire data rights, etc.?

The USCG does not possess the technical data required to foster full and open competition for the parts covered under this justification and approval. The USCG will continuously conduct market research to ensure that companies interested in doing business with the USCG are given every opportunity to compete for future USCG requirements. To increase competition, MH-60T program members conduct internet database research and ensure procurements are advertised in SAM.gov. If another potential source emerges, and the USCG can obtain the required technical data, the USCG will assess whether competition for any future requirements is feasible.

b) When a J&A is issued for the purposes of acquiring goods or services while a competitive procurement is being conducted, the justification should include a detailed timeline for completion of the competitive procurement. The period of performance for the sole source action should fairly balance the time needed to complete the competitive procurement. The focus should be on minimizing the need for additional sole source awards. Not applicable.