CJA 21-0334 Follow-On Raytheon CBOA (final)_Redacted.pdf
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- N0001924F2603-P00006
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This is a Class Justification and Approval (CJ&A) document authorizing sole source orders to Raytheon Company under NAVAIR's Corporate Basic Ordering Agreement N00019-20-G-0007 for the V-22 Program, covering FY2022-FY2025 with a follow-on BOA for FY2026. The total estimated value is $229.85M through FY26.
The document justifies sole source procurement from Raytheon for system/software engineering, Software Support Activity products, Situational Awareness products, and maintenance trainer products for the V-22 program. Key services include software/hardware engineering, laboratory support, configuration management, fleet support, and on-site support at Hurlburt Field. Raytheon is cited as the Original Equipment Manufacturer for various V-22 training systems and software, having supported the program since 1997. The justification notes that Raytheon has been unwilling to provide data rights licenses that would enable competition, and that selecting a new source would cause unacceptable delays of 18-24 months for competition plus up to 24 months for facility setup and certification. The V-22 program is pursuing a more modular, open architecture to enable future competition but determined that creating a Multi-Agency Contract was not feasible due to limited competitive tasking opportunities.
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CJ&A 21-0334
1997, Raytheon has been contracted, initially via a competitive award, then through sole source follow-on contracts, to provide avionics systems and software engineering products and services support for the V-22 program. Raytheon is the only known responsible source possessing the requisite knowledge, technical expertise, special skills, technical data, facilities, and experience to complete installation, integration, maintenance, and configuration control on the highly specialized software and hardware in the V-22 Avionics Integration Laboratory (VAIL), V-22
Electronic System Test Laboratory (VESTL), Mobile Navigation (NAV) Bus, and Mission
Systems Integration (MSI) Laboratories. In addition, Raytheon is the only source qualified to successfully complete the tasking described in Paragraph 3. The Government has pursued the procurement of a technical data rights license necessary for competition in support of engineering change proposals, obsolescence issues, non-recurring engineering, integrated logistics support, and production support with Raytheon. To date, Raytheon has not been willing to provide a V-22 data rights license to the Government that would enable a competitive acquisition of these efforts. Considering the absence of data required for competition and
Raytheon’s experience with the V-22, Raytheon is the only responsible source capable of meeting the Government’s needs within the requested timeframe.
Currently, award of any of the efforts listed above to any source other than Raytheon would result in an unacceptable delay to fielding the requirement. Required infrastructure for software development and testing would drive costly delays into the program, which would result in an inability to meet V-22 fleet requirements. In order to meet the fleet need date for the next software release, planning and development must begin by January 2022. Approximately 18-24 months would be required to conduct a competition to select a new source, and a new source would require as much as 24 months to complete relocation/set-up, training, testing, verification, and certification of the classified software test labs necessary to perform the tasks required by this effort. This estimate was derived via a combination of historical data on competitive acquisitions (most recent was the V-22 Helmet Mounted Display/Degraded Visual Environment
(HMD/DVE)) and engineering judgement on relocation of laboratories. Therefore, a new source other than Raytheon would require a total of two (2) years to fulfill the V-22 requirements covered under this BOA.
6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.
For the reasons set forth in paragraphs 4 and 5 above, a market survey was not performed. A request for a waiver of DFARS PGI 206.302-1 Request for Information/Sources Sought requirement was approved on 16 June 2021. In accordance with FAR 5.201, orders will be individually synopsized on the System for Award Management (SAM) website for informational and subcontracting opportunities. Any responses received by the Contracting Officer prior to the award of each order will be reviewed accordingly and coordinated with Raytheon and the
CJ&A 21-0334
NAVAIR Office of Small Business Programs to maximize competition for small business subcontractor opportunities.
7. Determination of Fair and Reasonable Cost.
The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this CJ&A will be fair and reasonable.
8. Actions to Remove Barriers to Future Competition.
The V-22 program considered the possibility of creating a Multi-Agency Contract (MAC) among several contractors to attempt to enhance competitive procurements. After evaluating the amount of tasking that could be competed, based on government owned data and risk to schedule due to setup and new contractor learning curve, it was determined that there was not sufficient tasking that could be competed to gain any significant cost savings for the V-22 program. The V-22 program is pursing efforts to create a more modular and open system architecture to enable additional contractors to compete in the future to bring new required capabilities to the aircraft using the aircraft’s common, well managed and protected interfaces. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible.
Because this effort is a follow-on for supplies and services previously awarded on a non-competitive basis, in accordance with DFARS PGI 206.304(a)(S-70)(i), the prior CJ&A was provided to the approval authority to review. Approval of this CJ&A signifies that the approval authority made the determination required by DFARS PGI 206.304(a)(S-70)(ii).
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