JA_FD2030-17-00767_6693_piston_rod_Redacted.pdf

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY

United States Air Force

AFSC/PZA

3001 Staff Drive Tinker AFB, OK 73145

Purchase Request (PR): FD2030-17-00767

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING PROCESSED

This individual Justification and Approval (J&A) authorizes the use of other than full and open competition procedures to obtain a new firm fixed price contract. The contemplated contract is for procurement of F101 Engine Linear Piston Rod from Parker-Hannifin Corporation (hereinafter: Parker-Hannifin), Commercial and Government Entity (CAGE) code 93835. The estimated total value of this award is $330,884.40 with an estimated award date of 29 Dec 16.

Previous Contract Number: SPRTA114D0018 (NSN 3040-01-227-6693JF) Dates of Award: 19 Mar 15 Completion Date: 28 April 2017 Basis of Awards: This contract was non-commercial, sole-source requirements.

SPRTA114D0018 was awarded as a single-award, 3-year indefinite delivery, indefinite quantity (ID/IQ) contract with quantities established on each delivery order.

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS

Below is a summary of the intended contract Estimated Periods of Performance (PoP) and the estimated dollars involved for each PoP.

PR line item 0001

Manufacture of NSN: 3040-01-227-6693JF P/N: 2195043-5 Noun: Rod, Piston, Linear (Piston Rods) Application: F101 Engine Item description and function: 18 in. long X 1 in. wide X 3 in. high, weighing 3 lbs., and composed of steel with chrome outer plating. The rod actuation is accomplished by pressurized engine oil acting either on the head end or the rod end which opens and closes the exhaust nozzle.

Type of appropriation: 97X4930 Total estimated dollars for PR line item 0001: $330,884.40

Year Qty Unit Price Est. Dollars Ordering Period Basic 140 EA $ $330,884.40 Dec 16– Nov 17

Due to the circumstances described below in Sections V, IX, and XI, there are no immediate actions that could be taken to develop competition. Therefore, it is considered appropriate to seek approval for requirements involving more than one fiscal year. If other qualified or approved sources become known during the life of this contract, full and open competition will be considered and utilized to the maximum extent practicable.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND

OPEN COMPETITION

10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE

QUALIFICATIONS OR NATURE OF THE ACQUISITION REQUIRES THE

USE OF THE AUTHORITY CITED ABOVE (APPLICABILITY OF

AUTHORITY)

a.) The F101 Piston Rod for this requirement has the function of transferring hydraulic pressure to linear force in order to position the augmenter nozzle so it can aid in discharging hot gas fumes, which can reach a temperature up to 2,500 degrees Fahrenheit, away from the engine. Fuel fumes from the engine compartment can create an explosion potential within the aircraft structure. Parker-Hannifin is the Original Equipment Manufacturer (OEM) of the F101 Augmentor Actuators, and currently the only company with the specialized equipment & tooling, test software, personnel, and technical data needed to manufacture the Piston Rod for the F101 actuators.

b.) The item described above and in Section III is a highly specialized piece of the Augmentor Actuator. The configuration of the Piston Rod is managed by United States Air Force (USAF) technical orders. Consequently, Parker-Hannifin manufactures the only authorized Piston Rods that can be used on the F101 Augmentor Actuators. The Government realizes that it has unlimited rights to form, fit, and function data (including source qualification data) as well as data related to operation, maintenance, installation, and training. However, such rights are insufficient to satisfy the current requirement. Access to level three drawings (i.e.

production level data) is required to accomplish new manufacture of the items described herein. Drawing 2195043-5 is not available in the Joint Engineering Data Management Information Control System or the Military Engineering Data Asset Locator System as documented on the Screening Analysis Worksheet.

c.) The 421 SCMS believes that award to any other source would result in unacceptable delays in fulfilling the USAF requirement. The development of additional sources to produce this item is not feasible within allowable timeframes.

Critical Safety Item (CSI) parts require approved sources listed on a source control drawing for supply of components or piece parts. Sufficient data is not available and would require reverse engineering and qualification to manufacture this part.

No commercial items or vendors are qualified. Reverse engineering would be time consuming to accomplish, estimated at 3 to 5 years. A new Source Approval Request (SAR) would require a minimum of 2 additional years to process, validate, and revise all relevant Government systems’ databases, and documents which would significantly extend the lead time for this item and create unacceptable delays in the procurement. Delays in new procurement would have the potential of creating a work stoppage in the F101 Engine Program, thereby grounding all associated aircraft, and leaving the USAF unable to meet critical mission requirements Therefore, reverse engineering is not a viable course of action due to the nature and the criticality of this item. Failure of a Piston Rod’s performance may result in a loss of aircraft or aircrew (Class A mishap), and is considered unacceptable.

d.) Accordingly, Parker-Hannifin is the only firm capable of providing the essential F101 Piston Rods described above in Section III without the USAF experiencing unacceptable delays in fulfilling its requirements.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED

PRACTICABLE

a.) As part of market research, a Sources Sought Synopsis (SSS) was posted to the Federal Business Opportunities website (FedBizOpps) under solicitation/reference number: 3040-01-227-6693JF for 30 days from 2 Feb 16 to 3 Mar 16.

b.) Woods Precision Products Inc., DUNS 624805958, CAGE: 3FZ72, showed interest in the acquisition by the response date; however, this business was not identified as having the capability to manufacture the items described above because they could not provide evidence they had access to the OEM’s data. They were however, encouraged to seek subcontracting opportunities with Parker-Hannifin, and was given their information as found in System of Award Management (SAM).

c.) In accordance with (IAW) FAR 5.201, this requirement shall be synopsized and the Request for Proposal will be posted to FedBizOpps as a notice of contract action.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE

The Contracting Officer will ensure that the items described herein are negotiated at a fair and reasonable price to the Government. The contractor will be required to submit certified cost or pricing data. A detailed cost analysis and a price analysis will be accomplished in order to determine reasonableness. Historical prices on previous contracts for the same items will be analyzed as well to help establish cost realism.

The Defense Contract Management Agency and/or Defense Contract Audit Agency may be contacted to assist with analysis as appropriate, and on a continuous effort, will assist with inputs throughout the life of the contract as needed.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH

WAS NOT CONDUCTED

a.) Market research was conducted in accordance with FAR Part 10 by a multi-functional team of subject matter experts consisting of the Engineer, Item Manager, and the Logistics Officer for the required NSNs. The market research, with the exception of the SSS, for 3040-01-227-6693JF was concluded on 25 Aug 15, and verified by the Contracting Officer on 26 Feb 16. In addition to the SSS, as stated above, market research has been a continuous effort to date, and has included the following computer search techniques: thorough reviews of screening information to determine whether or not data rights exist for competitive acquisition; web searches, including Google, Haystack, Part Manufacturer Approvals, the Thomas Register, and similar-type-item manufacturers’ websites, which were conducted not only by NSN searches, but also for potential sources that perform manufacture of the required Piston Rods as stated above in Section V(c). While other sources manufacture different types of piston rods for various other engines, no additional sources were identified as being able to meet the Government’s requirement for the F101 Piston Rod due to the unavailability of the highly specialized equipment & tooling, test software, personnel, and technical data required in order to manufacture as explained in V(a) above. In addition, the F101 Piston Rod is not interchangeable with other similar piston rods for other engines.

b.) Because this requirement is for such highly specialized items on the F101 engine, which is the propulsion source for the B-1 bomber aircraft, and also due to fire safety concerns, the configuration of the Piston Rods is managed by the United States Air Force (USAF). Due to this situation, this requirement cannot be modified or satisfied with a commercial or modified commercial item. However, the option to find a commercial item that can be potentially modified to meet the Government need will continuously be considered.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL

AND OPEN COMPETITION

No Further Information

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED INTEREST IN THE

ACQUISITION

See Section VI above.

Parker-Hannifin Corporation CAGE: 93835

Hydraulic Systems Division 2220 Palmer Ave Kalamazoo MI 49001

Woods Precision Products Inc. CAGE: 3FZ72 11501 N 109th East Ave Owasso, OK 74055

XI. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE

TO REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION

BEFORE MAKING SUBSEQUENT ACQUISITIONS FOR THE SUPPLIES

OR SERVICES REQUIRED

The AFLCMC/LPSEB will continue to monitor the marketplace for manufacture source development, and will continue discussions with the OEM regarding additional approved manufacture sources. The Government will continue to periodically synopsize the requirement, rescreen the item, and attempt to acquire the data necessary to qualify additional sources. Several attempts have been made to try and obtain data/release of rights from Parker Hannifin. Per corporate policy letters, the latest dated, 03 MAR 2015, Parker Hannifin continues to reaffirm their response that they will not supply engineering data or release the rights of the data to the Government.

XII. CONTRACTING OFFICER’S CERTIFICATION

The Contracting Officer’s signature on the Coordination and Approval Document evinces that he/she has determined this document to be both accurate and complete to the best of her knowledge and belief.

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

By their signatures on the Coordination and Approval Document, the technical and/or requirements personnel have certified accurate and complete all supporting data, which is their responsibility, contained herein IAW FAR 6.303-2(c).