JA_HMCS_ICS_Redacted.pdf

COORDINATION AND APPROVAL DOCUMENT

Contracting Activity: AFLCMC/WWAK Program Name: Helmet Mounted Cueing System – Integrated Contractor Support Estimated Contract Cost:

Type Program: PEO program (Non-ACAT) Authority: 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1 Type J&A: Individual

COORDINATION:

12/2/2014

APPROVED:

12/4/2014

JUSTIFICATION FOR OTHER

THAN FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY:

United States Air Force

AFLCMC/WWAK

6072 Fir Ave, Bldg 1233 Hill AFB UT 84056-5825 Contracting Officer: Nathan Lee, DSN 775-4928

PR# 15-XXXX

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

A. Upon approval to use other than full and open competition procedures, the Government will issue a new contract to repair and replace Helmet Mounted Cueing System (HMCS) equipment. This requirement is for support of the A-10 HMCS program. The contract will be issued to: Thales Visionix, Inc., 1444 North Farnsworth Ave., Aurora, IL 60505, CAGE Code: 3PCR6.

B. Contract Type & Structure: The Air Force will issue a Firm Fixed Price (FFP), Indefinite

Delivery, Indefinite Quantity (IDIQ) services contract to repair and replace A-10 HMCS items. The basic ordering period will be two (2) years. Task orders will be completed within 12 months for a total potential Period of Performance (PoP) of three (3) years. The estimated award date is 31 March 2015 with performance and delivery expected through March 2018.

C. Estimated Contract Value:

D. Type J&A: Individual

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED MEETING THE

AGENCY’S NEEDS:

A. Under the contemplated contract, TVI will provide all of the repair and replacement services for the sustainment of the A-10 HMCS system to include, all configurations of all components on the Banana Bar Assembly (BBA), HMCS Vehicles Interface Cables segments (HVI Cables), and Interface Control Unit (ICUs). TVI will also provide all testing and logistical support (to include shipping) from the time an asset is received by the company to the time that it is received by the Government.

This IDIQ contract will service components required to support 283 HMCS-installed A-10 Aircraft. Significant parts needing repairs or calibration will be needed according to the chart below. In addition, the final C-Kit configuration has yet to be determined, and this proposed ICS contract will cover the repair/replacement of components of this final, configuration as well. The C-Kit includes all configurations of currently procured and future acquisitions of the BBA, Day Visor Assembly (DVA), Day Visor (DV), DVA Cover, Helmet Release Cable (HRC) Mounting Strap, Helment to HRC HVI, Quick Disconnect Connector (QDC) Mounting Bracket, and QDC to HRC HVI. While this list below is not all encompassing, it represents the major repairable or replacable components within the current configuration of A-10 HMCS. All major repairs will be broken out by separate CLINs based on the part number of the specific part requiring repair or replacement. Anything not covered by a major repair CLIN will be considered a minor repair and will be covered under a separate, generic CLIN. Future C-Kit configurations are not listed in the table below, but will be covered under a major repair CLIN just as the current configuration will be. The major part numbers of the current configuration to repair or replace are listed in the table below.

Part Number Description Price/Unit A13015-1 Interface Control Unit A13055-1 Input Filter Assembly A13278-1 Front Panel, Backlit 13022-1 Core Module 800 13044-1 Baseboard A13089-R-042 HVI, ICU to IRC A13090-1 HVI, IRC to QDC A13091-1 HVI, QDC to HRC A13092-1 HVI, HRC to Helmet

A12920-1 PD-14

A12696-1-070 Scout Tracker Source A13301-1 Source Mounting Blocks A13095-1 Mounting Bracket—Quick Disconnect

It will be expected that all HVI cables will be replaced by the contractor. BBA and ICU units will be sent to the contractor for repair, at which time the contractor will test the equipment and repair or replace the specific part numbers causing the fault in the most cost effective manner.

Repair/Replace Unit Average Cost/Unit Estimated Failures Estimated Cost

Repair ICU 321 Replace HVI 402 Repair BBA 329

TOTAL

B. Estimated period of performance (PoP) will be three (3) years. This includes a two (2) year ordering period, with a third year of delivery. This PoP is required fulfill the repair/replacement requirement following expiration of the current ICS and the generation of an organic capability. The current C-Kit configuration uses technology that creates electro-magnetic interference (EMI) in violation of the System Requirements Document (SRD).

Several solutions have been provided by TVI, however the government has not decided on the way forward at this time. As a result, two years will be required to stand up this capability, not only because the final C-Kit configuration has not yet been determined, but also because TVI is the sole owner of the data rights on all current HMCS components.

C. Total Contract Ceiling: Since TVI is currently and actively providing this service, this estimate is based on past repair history data of HMCS components, and will be funded using appropriated procurement funds (3010 and NGREA). This approval is for more than one fiscal year.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION:

10 USC 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 AUTHORITY CITED

ABOVE (APPLICABILITY OF AUTHORITY):

A. This ICS is a new contract with TVI who has previously sub-contracted the service under another contract. The requested ICS will cover servicing of highly specialized equipment which was developed exclusively by TVI. The nature of this equipment is highly specialized due to the proprietary nature of the technology which was developed solely by TVI and at their expense, thus is not commercially available. Without this technology being readily available, in conjunction with a lack of data rights, the equipment cannot be serviced by any other source. Therefore, this acquisition is for continued performance of a highly specialized service.

Communications have been ongoing with TVI to obtain the data rights. Their position remainins firm that they are not willing to sell government purpose rights because the information was developed at private expense and is part of TVI’s ongoing product line.

Without these data rights, the Government is unable to perform the service alone.

B.

If HMCS becomes unsustainable, the warfighter will be forced to accept increased risk during Close Air Support combat operations. Additionally, reverse engineering was explored, however it has been determined that Level III data can not be generated to support production and repair.

C. The last obtained ICS support was through Raytheon and passed on to TVI as a subcontractor. With Raytheon, as the prime vendor, there wasn’t a need to compete this requirement—it was already part of the basic contract. Upon expiration of this ICS contract in March 2015, a new ICS contract will be required. Raytheon submitted a response to the government’s sources sought; however, Raytheon withdrew its response following a conversation with TVI regarding TVI’s desire to compete as a prime contractor.

D. Thales Visionix, Inc. is the only firm capable of providing the services described in Section III above without the government experiencing unacceptable delays in fulfilling HMCS repair/replacement service requirements, and substantial duplication of cost that could not be expected to be recovered through competition.

VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE:

A. Sources Sought Synopsis: A sources sought synopsis was posted to FedBizOps on9 Sep 14, under notice FA8202-15-R-1000, requesting maintenance, repair, and rebuilding of HMCS equipment. The posting closed on 23 Sep 14. Three responses were received:

i. Thales Visionix, Inc. responded with sufficient information to validate them as being able to effectively carry out the work desired as a prime contractor.

ii. The Raytheon Company responded with sufficient information to work as a prime contractor with TVI subcontracting the effort. Following discussion with the two contractors, it was made clear that TVI was only interested in bidding to this contract as a prime contractor, and thus Raytheon rescinded their RFI response.

iii. Teledyne Reynolds, Inc. responded that they were only interested in the effort as a sub-contractor and also acknowledged that they were unfamiliar with C-Kit assemblies and specification of the HMCS equipment.

B. This requirement will be synopsized in FedBizOpps, as a notice of proposed contract action

IAW FAR 5.201. If other sources express interest as a result of this synopsis or other actions, they will be listed in the official contract file.

C. Other Actions: None

D. Qualifying Country Sources: None

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE:

The following steps will be taken to ensure that the anticipated cost of this acquisition will be fair and reasonable. The Contracting Officer will comply with the procedures and criteria contained in Federal Acquisition Regulation (FAR) under Part 30 - Cost Accounting Standards, Part 31 - Contract Cost Principles and Procedures, Subparts 15.4 - Contract Pricing; to include technical evaluations and audits, as appropriate. Additional steps to ensure price reasonableness will be under the guidance of the Contract Pricing Reference Guides, jointly developed by the Federal Acquisition Institute and the Air Force Institute of Technology. The contracting office will obtain certified cost and pricing data IAW FAR Subpart 15.403, when required. The final step is to include the Price Negotiation Memorandum (PNM). This detailed documentation and justification of price reasonableness will be disclosed in the official PNM, to be prepared upon completion of negotiations.

VIII. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE RESULTS,

OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS NOT

CONDUCTED:

A. As described in Section VI above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition, and soliciting inquiries from interested parties.

B. Market research was conducted from 2-23 September 2014 by AFLCMC/WWAPB, and continues to be ongoing through the joint efforts of the F-16 and A-10 Depot Maintenance Activation Working Group (DMAWG). Market research consisted of the Sources Sought notice mentioned in section VI and the collaboration to replicate the service organically by efforts of engineers within the OO-ALC given the constraints based on data rights. The results showed that TVI was the only entity capable of repair and replacement of the HMCS equipment. This aligns with how the repair has been accomplished in the past.

After review of industry sources, it was determined there were no alternate sources, nor substitutions available to fill the government’s needs. IAW FAR Part 10, engineering has determined there are no commercial services, or non-developmental services available that could be modified to satisfy the agency’s needs.

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

OPEN COMPETITION:

None

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

ACQUISITION:

See section VI above.

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:

XII. CONTRACTING OFFICER’S CERTIFICATION:

The Contracting Officer’s signature on the Coordination and Approval Document evidences that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief (FAR 6.303-2(b)(12)).

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION:

As evidenced by their signatures on the Coordination and Approval Document, the technical and/or requirements personnel have certified that any supporting data contained herein, which is their responsibility, is both accurate and complete (FAR 6.303-2(c)).