Attachment 4 - iSLDMB JA - Redacted.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

Purchase Iridium Self Locating Data Marker Buoys (iSLDMBs)

Pursuant to the requirements of the Competition in Contracting Act, as implemented by Federal

Acquisition Regulation (FAR) 6.3 and in accordance with (IAW) the requirements of FAR

6.303-1, the justification for the use of the statutory authority under FAR 6.3 is supported by the following facts and rationale required under FAR 6.303-2 as follows:

1. Agency and Contracting Activity:

United States Coast Guard (USCG), Aviation Logistics Center (ALC), Engineering Services

Division (ESD), Elizabeth City, NC.

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

(a) The USCG, ALC, ESD seeks approval to award a contract based on other than full and open competition to procure Iridium Self-Locating Data Marking Buoys (iSLDMBs) to support the USCG fleet during Search and Rescue (SAR) missions. MetOcean Telematics

Limited, (herein after referred to as MetOcean) manufactures the required iSLDMBs.

(b) The proposed contractor is:

MetOcean Telematics Limited

21 Thornhill Dr.

Dartmouth, Nova Scotia B3B 1R9 (Cage 638V2)

(c) The USCG intends to award a firm fixed price, Indefinite Quantity, Requirements type contract to include a one (1) year base period and four (4) one (1) year option periods.

(d)

(e) Type of funding: Operations and Support (O&S)

(f) Year of funding: Fiscal Year 2020

(g) Solicitation Number: 70Z03820RE0000003

(h) Background information about the requirement:

Period Period of

Performance

Estimated

Quantities

Unit Price Total

Base 8/31/2020 – 8/30/2021 430 $3,330 $1,431,900

Option Period One 8/31/2021 – 8/30/2022 430 $3,771 $1,621,530

Option Period Two 8/31/2022 – 8/30/2023 430 $3,922 $1,686,460

Option Period Three 8/31/2023 – 8/30/2024 430 $4,079 $1,753,970

Option Period Four 8/31/2024 – 8/30/2025 430 $4,241 $1,824,060

TOTAL ESTIMATED

VALUE

$8,317,920

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

Agency Requirements

The current Blanket Purchase Agreement (BPA) with MetOcean was awarded August 31, 2015 in the amount of $4,534,720 under MetOcean’s General Services Administration

(GSA) contract number GS-07F-6083F. The BPA included a one (1) year base period and four (4) one (1) year option periods. The BPA expires August 31, 2020.

3. Description of the Supplies/Services:

The required iSLDMBs are buoys used for the USCG’s Search and Rescue (SAR) operations and are equipped with a Global Positioning Satellite (GPS) sensor; sea surface temperature sensor;

air temperature sensor and battery voltage readings. Upon deployment in freshwater or saltwater, the iSLDMBs transmit this data per a specified reporting scheme. The required iSLDMBs provide data directly to the USCG’s Search and Rescue Optimal Planning System (SAROPS) as well as transmit the device’s GPS position. This data is then entered into a Coast Guard database to assist in the performance of SAR procedures. The iSLDMBs can also be used to mark the location of objects in the water.

PART NUMBER DESCRIPTION MFGCC UNIT

ISLDMB-FAT-AS-DATA-SP ISLDMB 638V2 EA

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. 2304 (c)(1) as implemented by FAR 6.302-1 (b)(1)(ii) entitled “Only one responsible source and no other supplies or services will satisfy agency requirements.”

5. Identification of Exception to the Buy American Statute.

Not applicable. Trade Agreements apply to this requirement.

6. Demonstration that the Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Require Use of the Authority Cited.

(a) MetOcean is the sole design authority and the Original Equipment Manufacturer (OEM) of the required iSLDMB currently used by the USCG and maintains the proprietary data rights. MetOcean is the only known source of supply that can provide iSLDMBs compatible with the current USCG database format for Search and Rescue Operational planning. No other iSLDMB will perform this function for the USCG.

(b) During the initial acquisition of iSLDMBs in 2015, two sources were identified

(MetOcean and Pacific Gyre). However, MetOcean’s iSLDMB was the only one that met all the requirements identified in COMDTINST M16130.2, U.S Coast Guard Addendum

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

Agency Requirements to the United States National Search and Rescue Supplement (NSS) to the International

Aeronautical and Maritime Search and Rescue Manual (IAMSAR) and the C4IT

Systems/CG-761 SLDMB functional requirements document. For this follow-on acquisition, market research was performed from November 2019 through January 2020 that confirmed MetOcean is the only source that meets the USCG’s requirements and at this time, the acquisition cannot be segregated to allow for competition. Additionally, MetOcean has stated in a proprietary letter dated January 30, 2020 that their iSLDMB are

U.S. Patented and there are no other distributors in the U.S.

(c) The iSLDMBs provided by MetOcean improves the USCG’s Computer Assisted Search

Planning (CASP) for SAR missions by providing real time position source data thus saving lives and reducing overall mission-related costs. Additionally, the required iSLDMBs have a GPS sensor; sea surface temperature sensor; air temperature sensor and battery voltage readings. Upon deployment in freshwater or saltwater, the iSLDMBs transmit this data per a specified reporting scheme. The required iSLDMBs provide data directly to the USCG’s SAROPS as well as transmit their GPS position.

Additionally, the C4IT Systems/CG-761 has defined the SLDMB functional requirements. This document details the SLDMBs requirements for batteries, testing, communications, local visual device verification, required measurements, estimates and computations, control functions, reporting, environmental compliance, operational performance, aircraft deployment, operational life, watertight integrity, safety and manuals. There is currently no other alternate iSLDMB that will perform these required functions.

(d) The current iSLDMBs are fully certified by the USCG and have a shelf life of up to thirty six (36) months allowing the USCG to purchase and maintain an adequate inventory. A situation involving a shortage of iSLDMBs could increase the time required to complete a successful SAR mission. Not only would this result in a decreased effectiveness of the

USCG’s ability to execute missions, it could also result in an increased loss of life as these are a critical tool used during SAR operations.

7. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable:

(a) This acquisition is forecasted in the Department of Homeland Security (DHS)

Acquisition Planning Forecast System (APFS), under number F2020048600, published on October 24, 2019 and can be found at https://www.apfs.gov. A Request for

Information (RFI) was posted to the Contract Opportunities website site on November 6, 2019 with a closing date of November 18, 2019. No inquiries or responses to the RFI were received before the closing date. An e-mail from Sealite USA LLC was received on

December 16, 2019 requesting the USCG’s specification documents for iSLDMBs but did not reference the RFI or APFS. Sealite USA LLC was asked to submit a capabilities https://www.apfs.gov/

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

Agency Requirements statement, but did not. Research performed by the item manager resulted in Sealite’s ability to provide visual aid bouys, which does not meet the USCG’s requirement.

(b) After approval of the Justification for Other than Full and Open Competition, a combined synopsis/solicitation will be advertised on the Contract Opportunities website and IAW

FAR 5.207(c)(16)(ii) the solicitation will include a statement that all responsible sources may submit a proposal or capability statement which shall be considered by the agency.

Should a proposal be received by an offeror other than MetOcean with evidence of being able to provide iSLDMBs, the proposal will be reviewed at that time. However, based on the market research results and lack of responses received from the RFI, it is not anticipated any sources other than MetOcean will respond to the solicitation with an iSLDMB that meets the USCG’s requirements.

8. Determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable:

The Contracting Officer anticipates that the prices for this contract will be fair and reasonable based on a price analysis (FAR Subpart 15.404-1 (b)) utilizing a combination of price analysis techniques to include: comparison of proposed prices to historical prices paid, (FAR 15.404-1

(b)(2)(ii)), current published catalog prices (FAR 15.404-1 (b)(2)(iv)), and an analysis of other than certified cost and pricing data (FAR 15.404-1 (b)(2)(vii)).

9. Description of market research:

(a) Various internet searches and review of the General Services Administration (GSA) website were performed during market research from November 2010 through January

2020. MetOcean has a GSA schedule, however it expires in August 2020 and the USCG does not know if and when it will be renewed.

(b) An RFI was posted to the Contract Opportunities website to determine if a domestic end product would meet the USCG’s needs. An APFS entry was also posted to the DHS

APFS website as stated in Paragraph six (6) of this memo; however, no interest was received for either posting. The results of market research confirmed that MetOcean is the only known source that can provide iSLDMBs that interface with USCG SAROPS and meet all the specification requirements required by Commandant Instruction

M16130.2F. Based on the results of market research, it has been determined that the required iSLDMBs are not available from any other source than the proposed contractor.

10. Any other facts supporting the use of other than full and open competition:

(a) The original technical data package was not purchased with the original acquisition and cannot be purchased from MetOcean as stated in their proprietary letter dated January 31, 2020.

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

Agency Requirements

(b) This acquisition cannot be modified as the requirements for iSLDMBs are stated in

COMDTINST M16130.2, U.S Coast Guard Addendum to the United States National

Search and Rescue Supplement (NSS) to the International Aeronautical and Maritime

Search and Rescue Manual (IAMSAR) and the C4IT Systems/CG-761 SLDMB functional requirements document.

11. Listing of the sources, if any that expressed in writing, an interest in the acquisition:

APFS record F2020048600 and an RFI posted to the Contract Opportunities website received no interest from additional sources.

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 required supplies or services:

As stated previously, the necessary manufacturing drawings and data are proprietary and available only from the OEM. The USCG did not purchase the technical data rights as part of the original acquisition of iSLDMBs. As the Aviation Inventory Control Point (AICP), ALC is tasked with supporting systems that have been deployed for use in the aviation community. As a result, it would be difficult to foster a competitive procurement effort. Although the procurement of technical data and associated rights could perceivably remove the barriers to competition, the efforts explored by the Government to acquire technical data and associated rights have been ineffective due to MetOcean’s expressed business decision to maintain exclusive rights to the proprietary data. The USCG will continue to explore ways to promote competition by reviewing internal requirements annually and at the exercise of each option period performing market research to see if other iSLDMBs are available in the marketplace.