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FD2020-15-51069

5 May 2015

COORDINATION AND APPROVAL DOCUMENT

Contracting Activity: AFLCMC / EBHKB Purchase Request Number/Local Identification Number: FD2020-15-51069 Program Name: United States Air Force (USAF) Recovery Sequencer Test Sets Estimated Program Cost: $300,000.00 Type Program: PEO – non ACAT Authority: 10 U.S.C. 2304(c) (1), as implemented by FAR 6.302-1, Only One Responsible Source Type J&A: Individual

COORDINATION:

APPROVED:

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY:

United States Air Force

AFLCMC / EBHKB

6033 Elm Lane, Bldg. 1247 Hill AFB UT 84056-5805 Contracting Officer: Shauna A. H. Lyon

DSN: 777-4244

PR Number: FD2020-15-51069

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

A. Upon approval to use other than full and open competitive procedures, the Air Force will issue a new contract to procure the items listed in Section III below for use in the egress system in United States Air Force (USAF) F-15, F-16, F-22, & B-2 Aircraft to;

Teledyne Electronic Safety Product 19735 Dearborn Street Chatsworth, CA 91311 CAGE Code OEUB8

B. Contract Type & Structure: A supply contract to procure a quantity of 3 Testers with an anticipated Firm-Fixed-Pricing arrangement will be issued. The estimated award date will be between Jan 2015 and Sept 2015.

C. The estimated value is $300,000.00

D. Type J&A: Individual.

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S NEEDS:

A. Under the contemplated contract(s), Teledyne will provide items listed below which is part of the Recovery Sequencer Ordnance Assessment program.

*no NSN available

B. The period of performance will be from contract award (estimated Jan 2015 – Sept 2015) through estimated delivery of parts in Apr 2016. There are no feasible actions that can be taken to promote competition during the performance of this acquisition as described in Section V of this document.

C. Total Estimated Cost: $300,000.00. This estimate is based on ROM ESP-P16-010-OUT-001 provided by the contractor on March 27, 2015. This action is using appropriated 3400 funds.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN COMPETITION:

10 USC 2304 (c) (1) as implemented by FAR 6.302-1, Only One Responsible Source.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE QUALIFICATIONS OR NATURE OF THE ACQUISITION REQUIRES THE USE OF AUTHORITY CITED ABOVE (APPLICABILITY OF AUTHORITY):

A. The USAF minimum needs can only be provided by Teledyne because they are the only approved source that has demonstrated the unique design capability, manufacturing knowledge, or technical data required to manufacture these items. These parts are used to verify the integrity of critical safety of flight components and require engineering source approval by the design control activity in order to maintain the integrity of the part and escape system. This acquisition requires engineering source approval by the design control activity in order to maintain the integrity of the part.

B. The test set does not have an assigned National Stock Number (NSN). The test set is not installed on an aircraft and will be handled and managed by the AFLCMC/EBHJ.

C. The Cartridge Actuated Device/Propellant Actuated Device Joint Program Office (CAD/PAD JPO) believes that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force’s requirement.

1. The government estimates that any reverse engineering efforts along with system level testing would cost the government $1M and would take approximately two years to complete. The USAF has limited service returned assets to provide interested potential second source suppliers for reverse engineering activities.

2. Based on a CAD/PAD JPO twenty five year history of qualification programs, a typical qualification process similar to this could take two years to complete. To ensure proper configuration management of the new part, the establishment of engineering drawings needed to produce a reproducible part is estimated at 6 months. It would take 12 months to reverse engineer and minimum of 6 months to qualify a new supplier. Delay in awarding this contract could put the USAF and/or FMS in a non-support status resulting in the use of items in Section III outside the service life which may cause catastrophic results to the aircrew. Based on the quantity being procured and this information it is uneconomical for the government to try to reverse engineer or design a new test set for the recovery sequencer. Furthermore, the procurement of these test sets will result in in cost savings to the government. Current surveillance testing costs the government approximately $200K per year of testing. If the test sets are procured for $300K and are utilized for 10 years the government will save an estimated $1.7M plus life cycle cost savings which may be found if test data warrants a life increase of the recovery sequencers.

D. Accordingly, Teledyne is the only firm capable of providing the items described in Section III above without the USAF and FMS experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements.

VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE:

A. Sources Sought Synopsis: N/A

B. This requirement will be synopsized in the FBO as a Notice of Contract Action IAW FAR 5.201. All sources that request a solicitation will be provided one. If other interested sources express interest as a result of this synopsis or other action, 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 if the value of an individual contact exceeds $700,000. The Final Step is to include the Price Negotiation Memorandum (PNM). 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. The current manufacturer of the Digital Recovery Sequencer and Modernized ACES Seat Sequencer is Teledyne Electronic Safety Products. As such they own proprietary information for the sequencer. Only with their developed test set can the full set of circuitry within the sequencer be tested. Using their developed test set, USAF will be able to test and evaluate the performance and functionality of the recovery sequencer, which is a critical safety item. Procurement of this test set will also result in cost savings for AFLCMC/EBHJ as required surveillance testing will now be able to be completed organically rather than contracted through the vendor. Previous tests completed by the vendor have shown that one year of testing may be in excess of $200K with limited assets available.

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:

None, this is a one-time procurement.

XII. CONTRACTING OFFICER’S CERTIFICATION:

The Contracting Officer’s signature on the Coordination and Approval Document (CAD) evidences that he has determined this document to be both accurate and complete to the best of his knowledge and belief (FAR6.303-2(b)(12)).

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION:

As evidenced by their signature on this CAD, 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)).

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