JA B-1 Actuator_Redacted.pdf

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

Page 1 of 514 Nov 2017

NOTE: If a Justification and Approval was approved for the preceding acquisition, a copy of the approved J&A for the predecessor action must be included in the staff package for approval of the instant J&A. This applies to J&A staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor J&A will be used as a reference document by the approving official.

Is this a new or amended J&A Document? New Amended ( Prior to Award Only! )

Funding level for this acquisition: < $700K > $700K and < $13.5M > $13.5M and < $93M > $93M

Contracting Activity: AFLCMC / EBHKB

Purchase Request / Local ID Number: FD2020-18-50287 & Various

Program / Project (and PE, if applicable): United States Air Force (USAF) B-1B Actuator, Seat Retract Thruster

Program Type (PEO or Other Contracting): PEO - Non ACAT

Authority: 6.302-1 – 10 USC 2304(c)(1), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

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

COORDINATION (AFFARS 5306.304(a) )

Date

05 Mar 2018

RICHARD P. VIGEANT, GS-12

Program Manager

AFLCMC/EBHJ / DSN 777-5484

Signature

Date SHAUNA A. H. LYON, NH-03 Contracting Officer

AFLCMC/EBHKB / DSN 777-4244

Signature

Date SUMMER BROWNING, NH-03 Legal Reviewer

75ABW/JA / DSN 777-7457

Signature

APPROVAL (AFFARS 5306.304(a) )

Date

06 Mar 2018

Jonna L. Hancey, NH-04 Competition Advocate

AFSC OL_H/PZC / DSN 777-6549

Signature

VIGEANT.RICHARD.P.10

08940718

Digitally signed by

VIGEANT.RICHARD.P.1008940718

Date: 2018.03.05 10:31:38 -07'00'

LYON.SHAUNA.A.12709

43558

Digitally signed by

LYON.SHAUNA.A.1270943558

Date: 2018.03.05 12:36:14 -07'00'

BROWNING.SUMMER.M

ICHELLE.1264568567

Digitally signed by

BROWNING.SUMMER.MICHELLE.1264568567

Date: 2018.03.05 14:10:59 -07'00'

HANCEY.JONNA.L.1231

511985

Digitally signed by

HANCEY.JONNA.L.1231511985

Date: 2018.03.06 10:37:09 -07'00'

Page 2 of 514 Nov 2017

I. Contracting Activity.

United States Air Force (USAF)

AFLCMC/EBHKB

6072 Fir Avenue, Building 1233 Hill AFB, UT 84056-5805 Contracting Officer: Shauna A. H. Lyon

DSN: 777-4244

PR FD2020-18-50287 and Various

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

A. Upon approval to use other than full and open competitive procedures, the United States Air Force (USAF) will award new contracts to manufacture/produce or "remanufacture" the devices listed in Section III below for use in the egress system of USAF B-1 aircraft to:

Pacific Scientific Energetic Materials Company (PSEMC) 3601 Union Road Hollister, CA 95023 CAGE Code 06331

B. Contract Type and Structure: One remanufacture contract will be issued to produce an estimated 40 units and one new supply contract will be issued to produce an estimated 240 units utilizing a firm-fixed pricing arrangement with a one-year base period and four one-year options. The total period of performance will be up to 8 years. Deliveries could be accepted through an additional 24 months following the final delivery order. The estimated date of award of the first contract is 31 Aug 2018. No contracts will be awarded under the authority of this Class J&A after five (5) years from the award of the first contract.

C. Estimated value is:

D. Type J&A: Class

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

A. Under the contemplated supply contract(s), PSEMC will provide the following supplies:

- Actuator, Seat Retract Thruster

These components perform specific functions that allow aircrew the means to escape should a mishap occur and are part of the egress system of the B-1 aircraft. The quantities and costs listed below are estimates only.

FY18 FY19 FY20 FY21 FY22 FY23 Est Item NSN P/N Est Qty Est Qty Est Qty Est Qty Est Qty Est Qty Total Qty Est Total 1 1377-01-285-3109 816950-12 40 48 48 48 48 48 280

B. Approval request is for more than one fiscal year. There are no feasible actions that can be taken to promote competition during the period of the acquisition as described in Section V of this document.

Page 3 of 514 Nov 2017

C. Total Estimated Cost: . This action is using appropriated 3011 and 3400 funds.

IV. Statutory authority permitting other than full and open competition.

10 USC2304 (c) (1) as implemented by FAR 6.302-1(a)(2)(ii), 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 the authority cited above (applicability of authority).

A. The USAF minimum needs can only be provided by PSEMC for these highly specialized items. They are highly specialized because they contain a unique combination of firing mechanisms and have precise interface requirements in the B-1 egress system. PSEMC is the only approved source that has demonstrated the unique design capability, manufacturing knowledge, and possess the technical data required to manufacture these critical safety-of-flight components. This data and knowledge is essential to maintaining the quality of the parts and the approved source retains rights to the technical data package that would be required to compete this requirement.

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 January 2018 by the program manager.

PSEMC informed the USG that they are not willing to relinquish, sell or enter negotiations for any data rights on PSEMC products.

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 in the estimated amount of $4M that is not expected to be recovered through competition and unacceptable delays in fulfilling USAF requirements.

D. Accordingly, PSEMC is the only firm capable and qualified to provide the items described in Section III above without the USAF experiencing substantial duplication of cost that could not be expected to be recovered through competition and an estimated three to four years in unacceptable delays to qualify a new source.

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 FD2020-18-50287 was posted to FEDBizOps (FBO) 22 January 2018 and closed 26 February 2018 requesting information to identify potential sources possessing the engineering and manufacturing knowledge for items identified in Section III above used on B-1 Aircraft. No Responses were received.

B. This requirement will be synopsized in 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

Page 4 of 514 Nov 2017

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 or pricing data IAW FAR Subpart 15.403 if the value of an individual contract exceeds $750,000. 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 December 2017 query from the AFLCMC/ EBHJ vendor base, as well as vendor site visits, biennial industry summits, and sources sought synopsis 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 B-1 Integrated Product Team determined that PSEMC is the only vendor that currently has the required technical data package 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 any sources that expressed, in writing, an 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 CAD/PAD JPO is in continuous market research with vendor base through annual technical interchange meetings, technical workshops, and annual conferences to determine vendor capabilities. The CAD/PAD JPO submits annual requests to determine if PSEMC is interested in selling their data rights.

Page 5 of 514 Nov 2017

Prior to award of any new contract or exercise of any options, the government will again inquire as to whether PSEMC is interested in selling license rights to their technical data package to determine if procurement can be competitive.

XII. Certification by the Contracting Officer.

As evidenced by my signature above, I have determined this document to be both accurate and complete to the best of my knowledge and belief.

XIII. Certification by the technical/requirements personnel.

As evidenced by my (our) signature(s) above, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.