FY14_WSS_Redacted_J_ _A.pdf

FD2020-14-52012

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY

United States Air Force

AFLCMC/EBHKA

Contracting Officer: Eileen L. Wahlstrom 6033 Elm Lane, Building 1247 Hill AFB, Utah 84056-5825

DSN: 586-2917

Purchase Request: FD2020-14-52012

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

A. Upon approval to use other than full and open competition procedures, the U.S. Air Force will issue a new contract for Weapon System Support (WSS) for WS-319 A,B,D,E,F,G,H/K, and L Maverick weapons systems with Raytheon Missile Systems (RMS), 1151 E. Hermans Road, Tucson, AZ, 85756, Cage Code: 15090.

B. Contract Type & Structure: Engineering Service contract, the basic period of performance will be 12 months. The anticipated pricing arrangement is Firm Fixed Price. FY14 estimated valued at $550,000.00.

C. Type of J&A: Individual.

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

AGENCY’S NEEDS

A. Description of Service: Requirement is for Raytheon Missile Systems (RMS) to provide Engineering and Technical Support assistance necessary for weapon system support efforts for the Maverick Missile Weapon System. This contract will provide the owning program manager with contractor support needed in solving problems or resolving issues with system engineering, system safety, configuration management, and all other related technical issues as they occur. Contract will cover a one year period at a cost of $550,000. Cost determined based on funding approved/received in FY14 budget.

B. Listed below are the identified CLINs:

CLIN DESCRIPTION

0001 (FFP) HAS Pump Dragon Valve Obsolescence Study

0002 (FFP) On-call Weapon System Support

0003 (FFP) Logistics Support for Transportation of USAF from Raytheon

Camden Facility to MCAAP

0004 (FFP) Lithium Battery Temperature Alarm Paint Aging Study

0005 (FFP) Data – Not Separately Priced

C. Total Estimated Cost: $550,000. The pricing for each individual task will be analyzed on a case by case basis. This action is using appropriation for both CAM and Non-CAM 3400 funds.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE QUALIFICATIONS OR

NATURE OF THE ACQUISITION REQUIRES THE USE OF AUTHORITY CITED

ABOVE (APPLICABILITY OF AUTHORITY)

A. Raytheon Missile System (RMS) is the sole source that maintains the complete engineering base knowledge and requisite engineering data required for producing, sustaining and modifying the products associated with this procurement. This knowledge is required to support a WSS contract.

B. RMS is the only manufacturer for the Maverick Missile. RMS has proprietary data developed in support of the Maverick H/K Program. RMS is the only vendor and source that possesses the engineering skills, current technical data and specialized equipment, facility and knowledge to provide the engineering services required for a Weapons System Support Contract. The Government does not have sufficient Maverick missile data or license rights in the data to procure this requirement from any source other than RMS. As a result, RMS is the only known responsible source that can provide this requirement to the government.

C. Due to the time and funding it would take to develop additional sources for this specialized Maverick Weapon System Support, awarding a contract to a contractor other than RMS would result in unacceptable delays in fulfilling the agency’s requirements.

VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE

A sources sought synopsis was posted 23 July 2014, with a closing date of 7 August 2014 (#FD2020-14-52012). No firms notified themselves as potential sources for this requirement. This requirement will be synopsized in FedBizOpps (FBO), as a notice of contract action IAW FAR 5.201. No other actions to report. No qualifying country source.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED

COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The cost of this acquisition will be determined fair and reasonable by the contracting officer. Actions anticipated to ensure reasonableness of the price will be accomplished with 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, as appropriate. Further actions 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 Air Force will obtain other than certified cost and pricing data IAW FAR Subpart 15.403. The AFMC Guide for Price Negotiation Memorandum (PNM) will also be used, as appropriate.

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, market research IAW 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 also consisted of conducting internet research via Google and Bing.

C. RMS was contacted in Dec 2008, Feb 2009, Feb 2010, Mar 2011 and again in Nov 2012 and was still not willing to sell or release data rights to specific critical data.

Furthermore, they are unwilling to provide the Government with enough information to enable competition for this requirement. The Program Director for Maverick & ACM Programs, Raytheon Missile Systems indicated that RMS is currently not in a position to provide, price, or sell the data rights to the Weapon System 319, Maverick. The RMS Program Director requested that the SPO pursue the request for the data rights at a later date.

Task 1:

Description: On-call Weapons Systems Support This task provides for weapon system support as required. The contractor shall provide test, engineering, training, administration, analysis, technical data, and computer programming, and logistics support. The contractor shall provide technical support to include, but not limited to: validate ECPs, validate technical manual changes, feasibility studies, engineering analyses, analyses of field problems, resolution of functional issues, obsolescence studies/resolution, and Aging and Surveillance testing/analyses.

Market Research This is a unique and specialized task that demands an intimate knowledge of the entire Maverick missile system and its numerous components. An internet search resulted in no other companies that could perform this task. Internet sites queried were:

http://www.nsn.org,http://www.ihserc.com,http://www.business.gov,and http://www.nsn.org/ http://www.ihserc.com/ http://www.business.gov/ http://www.fbo.gov. A Google search for Maverick missile support was also conducted.

No other source was found. Raytheon is the OEM and the engineering authority for the Maverick missile. They have the system engineering and materials expertise and the unique equipment that will be required to resolve any problem that the SPO could have with the Maverick system. Raytheon is the only company qualified to do this task because of their systems engineering expertise and design authority for the Maverick missile system.

Task 2 Description: Logistics Support for Transportation of USAF Assets from Raytheon Camden Facility to MCAAP.

This task provides for logistics support activities involved in preparing USAF Maverick assets stored at the Raytheon Camden facility for shipment to Government facilities.

The contractor shall prepare the necessary paperwork, provide local movement labor and equipment from individual storage location(s) to a loading site to facilitate shipping by trucks paid for by the Government. The deliverable for this task will be a report that describes the accomplishments and results of the above (A001 DI-MISC-80508, Technical Report-Study/Services).

Market Research:

The Raytheon Camden, AR facility is a company owned ammunition storage facility currently in possession of USAF Maverick munition components. In as such they have the sole ability to operate in and around the Camden facility to prepare the munitions components for transportation. Additionally, they have the expertise and experience of preparing these Maverick items for shipment to the USAF and to McAlester Army Ammunition Plant. Discussions with Raytheon have resulted in no other know sources that could conduct the activities at the Raytheon Camden facility, internet searches have shown that the facility is a multiple commercial company ammunition storage area but individual companies’ areas are segregated. Accordingly, Raytheon is the only company currently capable of providing the services described in the description above without the USAF experiencing substantial cost increase and unacceptable delays.

Task 3 Description: Lithium Battery Temperature Alarm Paint Aging Study This task provides for activities involved in research of issues related to the Temperature Alarm Paint used on the Lithium Battery, P/N 801877, and development of interim field level electrical test procedures to verify battery squib integrity. The contractor shall:

Identify and research if any issues (e.g. shelf life, degradation of applied paint / ability to indicate trigger temperature reached) have been noted or experienced on the Temperature Alarm Paint used on the Primary Batteries, P/N 801877 & 253563. If available, provide historical data to verify temperature Lithium Primary Battery case would experience both in a cold environment, during use while in flight, and in a static environment (e.g. lot testing). Develop electrical test procedures to validate Lithium Battery Squib integrity from the Missile Umbilical Connector , P/N 252883, using both a squib safe ohm meter (type used currently by USAF or equivalent) and testing adapter http://www.fbo.gov/ developed and delivered (2) for this test. The Test Adapter will provide for test point segregation and ease of use with the squib safe ohm meter; additionally draft appropriate Cautions, Warnings and Notes as part of the test procedures.

Market Research:

Raytheon has intimate knowledge of the Lithium Battery and the Temperature Alarm Paint due to recent procurement and acceptance testing for FMS activities, and as such they are the best qualified to perform the activities related to this task. Additionally, the task requires testing at the Maverick Missile level, through the missile main wiring harness which Raytheon is the OEM and the engineering authority for. They have the system engineering / materials expertise and the unique equipment that will be required to do this study.

RMS was contacted in Dec 2008, Feb 2009, Feb 2010, Mar 2011 and again in Nov 2012 and was still not willing to sell or release data rights to specific critical data.

Furthermore, they are unwilling to provide the Government with enough information to enable competition for this requirement.

Task 4:

Description: HAS Pump Dragon Valve Obsolescence Study.

This task provides for activities involved in the investigation and selection of a Commercial-Off-The-Shelf (COTS) replacement for the Hydraulic Actuation System (HAS) Pump Dragon Valve, P/N 1045589, in order to mitigate obsolescence issues. The contractor shall:

Investigate, recommend up to three and down select to one, commercially available, COTS, Fill Valve replacement. The recommended and selected valve(s) should not require modification and will have the ability to function with the new HAS Pump (PMU-

71) and the AGM-65 HAS Unit Fill Port on the HAS Unit. The deliverable for this task will be a report that describes the accomplishments and results of paragraph (A001 DI- MISC-80508, Technical Report-Study/Services).

Market Research:

Raytheon has the expertise in this area as they previously qualified the new oil and the new pump that the Dragon Valve operates with, for use in the Maverick Missile System.

An internet search was conducted as in the above task one with the same results.

Raytheon is the OEM and the engineering authority for the Maverick missile. They have the system engineering / materials expertise that will be required to do this study.

Accordingly, Raytheon is the only company capable of providing the services described in the task description above without the USAF experiencing substantial duplication of cost that could not be expected to be recovered through competition.

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

OPEN COMPETITION

A. RMS Tucson has been continuously supporting, repairing, modifying and sustaining the Maverick AGM-65 Weapon System for the past 40 years. RMS is one of the largest producers of guided missiles supporting the United States and allied countries.

B. The Maverick Missile Program lacks sufficient expertise in system technical details to sufficiently support field/depot level units. System expertise can only be provided by the original equipment manufacturer (OEM). RMS is the Original Equipment Manufacturer (OEM) and possesses the engineering skills, current technical data and specialized equipment, facility and knowledge to provide the engineering services required for a Weapons System Support Contract. RMS has a history of successfully executing the engineering and system support requirements for the Maverick missile weapons systems. Without OEM services and assistance, timely resolution of problems/issues will be significantly hampered, as the Maverick Missile Program Office will not be able to consult with the OEM as needed regarding system engineering, safety, and technical related matters. The prime vendor has specialized expertise, capabilities, and proprietary data not found in other organizations. Proprietary data/rights associated with the system’s Guidance and Control Sections identifies RMS as the only viable support for this effort.

C. Weapon System Support (WSS) effort WS-319 A, B, D, E, F, G, H/K, and L Maverick missile weapons systems is a very complex an unique weapon system that has been neither duplicated nor replaced in the Air force Inventory.

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

The Government does not have sufficient data or rights to the data that can be provided to all for competition of this requirement, IAW FAR Subpart 15.403. The Government will continue to perform Market research and continue to attempt to purchase the data rights necessary to be able to compete the requirement in the future.

XII. CONTRACTING OFFICER’S CERTIFICATION

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

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

IAW FAR 6.303-2(c), the technical and/or requirements personnel have signed the Coordination and Approval Document (CAD). This certifies that any supporting data contained herein, which is their responsibility, is both accurate and complete to the best of his/her knowledge and belief.