16-50005_J A_Redacted.pdf

Justification and Approval (J&A) for Other Than Full and Open Competition

11/17/2015

X Craig Harris Craig Harris, (801) 586-9222 Program Manger, AFLCMC / EBHJ Signed by: HARRIS.CRAIG.J.1268083304

11/17/2015

X Shauna A.H.Lyon Glen Munk, (801) 777-6503 Contracting Officer, AFLCMC / EBHKB Signed by: LYON.SHAUNA.A.1270943558

11/19/2015

X Summer Morgenstern Summer Morgenstern, (801) 777-7457 Legal Reviewer, 75 ABW/JA Signed by: MORGENSTERN.SUMMER.MICHELLE.1264568567

11/19/2015

X Kevin Flinders Kevin Flinders, (801) 777-6549 Competition Advocate, AFSC OL_H/PZC Signed by: FLINDERS.KEVIN.G.1231477949

Choose the funding level for this J&A Document:

Contracting Activity: AFLCMC / EBHKB

Purchase Request / Local ID Number: FD2020-16-50038 & Various

US Air Force (USAF) / Foreign Military Sales (FMS) C-17, T-6 Aircraft and USAF B-1, B-52 Aircraft; Impulse Ctg, Pin Puller; Input Ctg, Srt; Output Ctg, Srt; Generator, Gas; Electirc

Program / Project (and PE, if applicable): Detonator; Det Cord, Periphery; Det Cord, Overhead; SMDC; Donor Assy Single; Donor Assy Dual; Actuator, ATU-136/A; FLSC; Panel, Explosive, Air; Cord Assembly, Detonating; Retractor Pressure Cartridge; Cord Assembly, Deton

Program Type (PEO or Other Contracting): PEO – non ACAT

Authority (include full title): 10 U.S.C 2304(c) (1), as implemented by FAR6.302-1, Only One Responsible Source

Estimated Contract Cost (including options): J&A Type: Class Individual

COORDINATION (A F F A R S 5 3 0 6 . 3 0 4 ( a) )

APPROVAL (A F F A R S 5 3 0 6 . 3 0 4 ( a) )

I. Contracting Activity.

United States Air Force (USAF)

AFLCMC/EBHKB

6033 Elm Lane, Bldg 1247 Hill AFB UT, 84056-5805 Contracting Officer: Glen Munk

DSN: 777-6503

PR Number: FD2020-16-50038 & Various

II. Nature and/or description of the action being processed.

A. Upon approval to use other than full and open competitive procedures, the USAF will issue a new contract(s) to procure the items listed in Section III below for use in the egress system in USAF/Foreign Military Sales (FMS) C-17, T-6 Aircraft and USAF B-1, B-52 Aircraft to:

Pacific Scientific Energetic Material Company California LLC (PSEMC) 3601 Union Rd Hollister, CA 95023-9635 CAGE Code 06331

B. Contract Type & Structure: Several new supply contracts to procure and estimated quantity of 3,028 units with an anticipated Firm-Fixed-Pricing arrangement will be issued. The estimated award date(s) will be Jan 2016

C. Estimated value is

D. Type J&A: Class. This J&A will be used to award an estimated five (5) contracts to PSEMC, CAGE Code 06331

III. Description of supplies/services required to meet agency needs.

A. Under the contemplated contract(s), PSEMC will provide the following supplies; Impulse Ctg, Pin Puller; Input Ctg, Srt;

Output Ctg, Srt; Generator, Gas; Electric Detonator; Det Cord, Periphery; Det Cord, Overhead; Shielded Mild Detonation Cord (SMDC); Donor Assy Single; Donor Assy Dual; Actuator, ATU-136/A; Flexible Linear Shape Charge (FLSC); Panel, Explosive, Air; Cord Assembly, Detonating; Retractor Pressure Cartridge; Cord Assembly, Deton are part of the C-17, B-1, B- 52, T-6 egress systems. This Federal Stock Class includes satety-in-flight explosive items consisting of a quantity of propellant (either encased in a cartridge or in molded form) and means of activation, designed to be inserted into or attached to one or more devices to provide the energy required to operate devices requiring a time delay, or not requiring a time delay in their operating sequence. The below listed components perform aircraft specific functions that allow the aircrew emergency egress should an ejection event occur.

L/I NSN Noun USAF Est FY16 Qty

FMS Est FY16 Qty

Est Unit Price

Est Total Price

1 1377012797179ES IMPULSE CTG, PIN PULLER 60 0

2 1377012797180ES INPUT CTG, SRT 48 0

3 1377012797181ES OUTPUT CTG, SRT 48 0

4 1377011267690ES GENERATOR, GAS 114 0

5 1377011288405ES ELECTIRC DETONATOR 114 0

6 1377014834271ES Det Cord, Periphery 198 23 7 1377014834269ES Det Cord, Overhead 73 23

8 1377014834275ES SMDC 89 0

9 1377014834351ES DONOR ASSY SINGLE 449 21

10 1377014834350ES DONOR ASSY DUAL 156 7

11 1377014834273ES SMDC 86 0

12 1377014834353ES Actuator, ATU-136/A 584 36

13 1377015038425ES FLSC 158 55

14 1377014834274ES SMDC 93 0

15 1377014834272ES SMDC 87 0

16 1377014866045ES PANEL, EXPLOSIVE, AIR 36 16

17 1377014869700ES PANEL, EXPLOSIVE, AIR 60 16

18 1377013812894ES CORD ASSEMBLY, DETONATING 1 0

19 1377014870148ES PANEL, EXPLOSIVE, AIR 57 16

20 1377014871952ES PANEL, EXPLOSIVE, AIR 30 18

21 1377013934790ES RETRACTOR PRESSURE CARTRIDGE 242 9

22 1377015095192ES SMDC LINE 1 0

23 1377013812985ES CORD ASSEMBLY, DETON 3 0

24 1377015095159ES SMDC Line 1 25 Data LATR, ATP, FAR/CAR 1 NSP 26 Data ADC 1 NSP

TOTAL $

B. The period of performance will be from contract award (estimated Jan 2016) through estimated delivery of parts in December 2018. Approval request is for more than one fiscal year. There is no feasible actions that can be taken to promote competition during the period of the acquisition as described in Section V of this document.

C. Total Estimated Cost: . This estimated is based on history from contract N0010413CK114, FA821315C0041, FA821313C0042, FA821311C0003, FA821314C0013. This action is using appropriated 3011 funds.

Contracts containing FMS actions are FMS funded requirements. All FMS requirements are based on Letter of Offer and Acceptance (LOA)'s provided through Hill Air Force Base Life Cycle Management Center Munitions Division International Branch. The FMS countries needing these requirements have a LOA to procure Cartridge Actuated Devices/Propellant Actuated Devices (CAD/PAD). All LOA requirements are identified on a Blanket Order LOA Line with corresponding Military Article Service List (MASL) allowing procurement of items within the 1375, 1376 and 1377 Federal Stock Class. The following LOA(s) AT-D-QAJ, 30 Jun 2010; CN-D-QZZ, 07 Dec 2006; IN-D-SAC, 14 Oct 2010; K8-D-QAF, 19 Aug 2013; QA-B-QAB, 10 Sep 2012; UK-D-QBK, 23 Oct 2014; IS-D-CAH, 08 Jan 2015; NZ-D-CAI, 08 Jan 2015; GR-D-QBS, 30 Dec 2013; MO-D-CBM, 04 Feb 2014; do not direct a source.

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 the authority cited above (applicability of authority).

A. The USAF and FMS minimum needs can only be provided by PSEMC 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 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. Therefore, this acquisition will be for continued production of highly specialized equipment.

B. PSEMC provided top level drawings for cataloging purposes only; cataloging is for assigning a National Stock Number (NSN). The United States Government (USG) has limited data rights. The last attempt to obtain the data from PSEMC was via email on 22 Jul 2015 by the program manager. PSEMC informed the USAF it is not willing to sell the government purpose data rights.

C. The CAD/PAD 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 Air Force and/or FMS requirements.

1. The estimated cost to reverse engineer the items in Section III is $15M and would take approximately four years to complete. The USAF has limited service returns assets to provide interested potential second source suppliers for reverse engineering activities. Potential second source would need to self-invest in order to become a qualified source.

2. Based on a CAD/PAD JPO twenty five year history of qualification programs, a typical qualification process can take three to four years to complete. Reverse engineering of similar components used in the ACES II & Northrop ejection seat took 9 months to determine overall dimensions, explosive material, and entire sub-component assemblies. In addition to ensure proper configuration management of the new part, the establishment of engineering drawings needed to produce a reproducible part took an additional 9 months. It would take 18 months to reverse engineer and minimum of 36 months to qualify a new supplier. In addition, during initial production, all vendors must submit an inert fit check unit which much be installed on actual platform to ensure their preliminary design does not have any interference or configuration problems in the overall system interface. This process normally results in a 15-20 percent redesign effort that results in a fit check unit that will be acceptable. Delay in awarding this contract could put the USG and/or FMS in a non-support resulting in the use of items in Section III outside the service life which may cause catastrophic results to the aircrew.

D. Accordingly, PSEMC is the only firm capable of providing the items described in Section III above without the USAF and/or 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 of efforts made to ensure that offers are solicited from as many potential sources as practicable.

A. Sources Sought Synopsis: A Sources Sought Synopsis FD2020-16-50038 was posted to FEDBizOps (FBO) 24 July 2015 and closed 24 Aug 2015 requesting information to identify potential sources possessing the engineering and manufacturing knowledge for items identified in Section III above used on C-17, B-1, B-52, T-6 Aircraft. No Responses were received.

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 the 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 conducted IAW FAR Part 10 included a July 2015 query from the AFLCMC/EBHJ vendor base, industry summits and workshops, and SSS identified in Section VI Paragraph A.

C. The items listed in Section III are not available commercially nor is any modified commercial item available that will meet the government's requirement. However this requirement is a non-developmental item (NDI) and will satisfy the government need at this time.

D. The current C-17, B-1, B-52, T-6 Integrated Product Teams revealed that PSEMC is the only vendor that currently has all of the required data and claims rights to the data needed to produce the items identified in Section III.

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.

See Section V. C. 1 above.

XII. Certification by the Contracting Officer.

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. Certification by the technical/requirements personnel.

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)).

http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/06.htm http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/06.htm