SSJ1_Redacted.pdf

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

FOR OFFICIAL USE ONLY

25 May 2018 FOR OFFICIAL USE ONLY Page 1 of 10

NOTE: If a Justification was approved for the preceding acquisition, a copy of the approved Justification for the predecessor action must be included in the staff package for approval of the instant Justification. This applies to Justification staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor Justification 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! )

Is this a Bridge Action as defined in the AF Bridge Action Reduction Plan? Yes No

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

Contracting Activity: AFSC/PZAAA

Purchase Request / Local ID Number: FD2060-19-00050

Program / Project (and PE, if applicable): HH-60G Integrated Vehicle Health Management System (IVHMS)

Program Type (PEO or Other Contracting): Other Contracting

Authority: AFFARS 5313.501 - 10 U.S.C. 2302b, Implementation of Simplified Acquisition Procedures (41 U.S.C. 1901)

AFFARS 5313.501 - 10 U.S.C. 2304a, Special Emergency Procurement Authority (41 U.S.C. 1903)

Estimated Contract Cost (including options): $ Justification Type: Class Individual

COORDINATION (AFFARS 5306.304(a) )

Date Logistics Manager Chris Boarman

411 SCMS/GULAB, DSN 468-2730

Signature

Date Contracting Officer Troy Winebarger

AFSC/PZAAA, DSN 468-0059

Signature

Date

27 Aug 2018

Local Legal Reviewer

Bradley Adams

78 ABW/JAQ, DSN 472-0569

Signature

APPROVAL (AFFARS 5306.304(a) )

Date

27 Aug 2018

Competition Advocate Elizabeth F. Kennedy

AFSC/PZCA, DSN 472-1102

Signature

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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I. Contracting Activity.

This Sole Source Justification (SSJ) request authority for Other Than Full and Open Competition (OTF&OC) supports requirements generated for the Air Force Sustainment Center (AFSC), 638th Supply Chain Management Group (SCMG), 411th Supply Chain Management Squadron (SCMS)/ GULA. The contracting activity for this requirement is AFSC/PZAAA. The purchase request number supporting this contracting action is FD2060-19-00050.

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

Due to the circumstances described herein, this activity requests authority to acquire the repairs listed in this document using “Limited Competition” as prescribed by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a follow-on contract, which will be a Firm Fixed Price (FFP) Requirement Indefinite Delivery Contract (IDC) with a basic year plus four (4) Option Periods. The validity period for the IDC is projected to be 26 Aug 2019 through 25 Aug 2024.

This Limited Competition repair source requirement will be competed among the following companies:

Simmonds Precision Products Inc.

100 Panton Rd Vergennes, VT 05491-1008

CAGE 89305

Large Business

L3 Aviation Products, Inc.

5353 52nd St SE Grand Rapids, MI 49512-9702

CAGE 25583

Large Business

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

This requirement is to acquire contractor depot level repair for the HH-60G Integrated Vehicle Health Management System (IVHMS) in support of sustainment for the HH-60G Pave Hawk Helicopter that supports the United States Air Force (USAF) Special Operation Forces (SOF) program. The repairs are for the following National Stock Numbers (NSNs):

NOUN NSN Part Number Data Transfer Unit (DTU) 7025-01-658-0455GC (Master) 30192-0501 (Master)

DTU 7025-01-481-7741GC 30192-0201

Control Display Unit (CDU) 1680-01-533-8587GC 10150-024

This requirement is for restoration of an unserviceable asset(s) to serviceable condition using contractor developed repair acceptance test procedures. The extent of repair required is determined by

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

25 May 2018 FOR OFFICIAL USE ONLY Page 3 of 10 an induction inspection, test, and disassembly as necessary. The serviceable end item must conform to the Original Equipment Manufacturer (OEM), Simmonds Precision Products Inc., data and specifications. The Best Estimated Quantity (BEQ) for the basic and out-year options is shown in SSJ Attachment 1.

The Notional CLIN structure for this acquisition is as follows:

CLINs

NSN/DESCRIPTION

X001 1680-01-533-8587 NFF/BER

X002 7025-01-481-7741 NFF/BER

X003 7025-01-658-0455 NFF/BER

X004 1680-01-533-8587 Repair

X005 7025-01-481-7741 Repair

X006 7025-01-658-0455 Repair

X007 1680-01-533-8587 Category-2 Repair

X008 Input NSN-7741 Output NSN-0455

The estimated Unit Repair Cost (URC) is based on current repair cost with a 4% inflation factor applied to out-year options. The BEQs are based on the average quantity of repairs generated annually. This effort will be funded with 4930 Working Capital funds. The projected validity period of the Requirement IDC is 26 Aug 2019 through 25 Aug 2024. The delivery schedule for repair(s) is 60 calendar days after receipt of order.

These NSNs were screened and assigned Repair Method Code (RMC)/Repair Method Suffix Code (RMSC) of R2/C:

RMC R2. Suitable for competitive repair for the first time.

RMSC C. These parts require engineering source approval by the design control activity in order to maintain the quality of the part. Existing unique engineering skills and repair knowledge by the qualified source(s) require acquisition of the repair from an approved source. The approved source(s) retain repair knowledge, or technical data that are not economically available to the Government, and data or knowledge that is essential to maintaining the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application.

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

10 U.S.C. 2302b, Implementation of Simplified Acquisition Procedures in accordance with procedures of FAR 13.5, Simplified Procedures for Certain Commercial Items.

V. Demonstration that the contractor's unique qualifications or nature of the acquisition requires the use of the authority cited above (applicability of authority).

The agency's minimum needs can only be satisfied by the unique supplies or services available from Simmonds Precision Products Inc. or L3 Aviation Products. The repair of the IVHMS CDU and DTU assets are considered highly specialized.

The Government sent inquiry to Simmonds via e-mail on 15 Nov 2017 to ask if they would be interested in selling the technical data package (TDP) or rights to TDP to the Government and they responded negatively.

The current repair contract for the CDU and DTU is FA8524-16-D-0016, awarded sole source to Simmonds on 26 Aug 2016 and expires 25 Aug 2019.

This system uses technology that Simmonds Precision and now L-3 Aviation Products claims proprietary ownership of. On 28 Mar 2018, L3 Aviation Products submitted a Source Approval Request (SAR) to

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

25 May 2018 FOR OFFICIAL USE ONLY Page 5 of 10 the Government requesting qualification to repair two of the six IVHMS LRUs, the CDU and DTU.

After review of the SAR package by the cognizant Government Engineer, L3 Aviation Products was pre-qualified as an approved source. Based on the pre-qualification of L3 Aviation Products, both they and Simmonds are determined to be authorized repair sources for the CDU and DTU.

Accordingly, Simmonds and L3 Aviation Products are the only vendors currently capable of providing the requirements described in Section III above without the U.S. Air Force experiencing 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 (SS) / Request for Information (RFI) synopsis was posted to Federal Business Opportunities (FedBizOpps) on 17 Oct 2017 with a response date of 16 Nov 2017 under Solicitation Number FA8524-18-R-0002. The intent was to survey the market for any interested, potentially capable repair sources for these assets. The SS/RFI requested responses from interested vendors that possess the expertise, capabilities, and experience to meet qualification requirements for this effort.

The SS/RFI did not produce any responses.

This requirement will be synopsized on the FedBizOpps, as a notice of contract action in accordance with FAR 5.201. Although the Government does not own data to support the repair effort from any other source, any source that expresses interest as a result of this synopsis will be identified to the prime contractor as a potential subcontracting possibility. Furthermore, vendors expressing interest will be informed of the SAR qualification process. If a SAR package is received, evaluated, and vendor determined a capable repair source prior to the end date for responses to the CDU/DTU solicitation, the Government will amend the solicitation to allow the newly qualified vendor an opportunity to submit a proposal.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

The overall cost of this acquisition will be negotiated in accordance with procedures in FAR Part 12 and FAR 13.106-3(a) (2), and a statement of price reasonableness ensuring the ultimate price to the Government is fair and reasonable. The Government anticipates fair and reasonable prices will be determined based on adequate competition. In the event competition is not achieved, additional pricing methodologies to negotiate fair and reasonable pricing may include reviewing publicly offered catalogs, comparison to historical contractor sales, and/or analysis of limited cost and pricing information provided by the contractor. If the contractor provides limited cost or pricing information, the Government's negotiation objective will be developed using local technical analysis and direct and indirect rate factors recommended by the Defense Contract Management Agency (DCMA).

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

Market research was conducted pursuant to FAR 10.001 and 10.002 on 26 Apr 2018. The following market research tools were utilized by the Government program management and engineering teams:

Query of the Joint Engineering Data Management Information Control System (JEDMICS) showed

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

25 May 2018 FOR OFFICIAL USE ONLY Page 6 of 10 the Government has only has limited rights to the data and the information in the available drawings are proprietary, company confidential, and incomplete. https://jedmics.af.mil/webjedmics/index.jsp

Team members searched FEDLOG, the internet Haystack Database, which details history of design for the items. HAYSTACK product: https://tdweb.robins.mil/congruity/

An internet search was conducted using ThomasNet web site. Part Numbers were used as search criteria and no sources were identified.

The Small Business Administration Dynamic Small Business Search (DSBS) engine at http://.sba.gov/ was searched using the North American Industry Classification System (NAICS) code 811219 and key words “Control Display Unit” and “Data Transfer Unit.” No small businesses were found that had capability, data, and expertise to repair these assets.

As described in Section VI above, a SS / RFI synopsis was posted to FedBizOpps on 17 Oct 2017 under Solicitation Number FA8524-18-R-0002. No responses were received from the SS/RFI.

L3 Aviation Products submitted a SAR package on 28 Mar 2018. After review of the SAR package by the cognizant Government Engineer, L3 Aviation Products was pre-qualified as an approved source of repair for the CDU and DTU.

The IVHMS CDU and DTU meet the definition of commercial items in accordance with FAR Part

2.101. They can be acquired under terms of FAR Part 12 and use of streamlined acquisition procedures under FAR Part 13. Simmonds stated they have sold these products to commercial aircraft manufacturers since its 2000 selection as standard equipment for Sikorsky S‐92.

The market research concluded this Limited Competition acquisition should be among the approved repair sources Simmonds Precision (CAGE 89305) and L3 Aviation Products Inc. (CAGE 25583).

IX. Any other facts supporting the use of Other Than Full and Open Competition.

None.

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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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 Government sent inquiry to Simmonds via e-mail on 15 Nov 2017 if they would be interested in selling the TDP or rights to TDP to the Government and they responded negatively. Although the Government does not currently possess the TDP to support F&OC, the IPT is working to acquire approval and funding through the SASPO to develop CDU (Project#4187) and DTU Project#4239) TDPs. A TDP development effort is estimated to take five years to complete.

Based on these actions, the IPT has fulfilled the prior J&A's plan to break barriers to competition, therefore the current SSJ does not require higher level approval in accordance with DFARS PGI 206.304(a) (S-70) (ii).

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.

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ATTACHMENT 1

Basic Year

NSN QTY Unit Price Extended Price

1680-01-533-8587 NFF/BER 4 $ $

7025-01-481-7741 NFF/BER 4 $ $

7025-01-658-0455 NFF/BER 1 $ $

1680-01-533-8587 Repair 24 $ $

7025-01-481-7741 Repair 15 $ $

7025-01-658-0455 Repair 1 $ $

1680-01-533-8587 Category-2 Repair 1 $ $

Input NSN-7741 Output NSN-0455 1 $ $

TOTAL $

1st Option Year

NSN QTY Unit Price Extended Price

1680-01-533-8587 NFF/BER 4 $ $

7025-01-481-7741 NFF/BER 4 $ $

7025-01-658-0455 NFF/BER 1 $ $

1680-01-533-8587 Repair 24 $ $

7025-01-481-7741 Repair 15 $ $

7025-01-658-0455 Repair 1 $ $

1680-01-533-8587 Category-2 Repair 1 $ $

Input NSN-7741 Output NSN-0455 1 $ $

TOTAL $

2nd Option Year

NSN QTY Unit Price Extended Price

1680-01-533-8587 NFF/BER 4 $ $

7025-01-481-7741 NFF/BER 4 $ $

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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7025-01-658-0455 NFF/BER 1 $ $

1680-01-533-8587 Repair 24 $ $

7025-01-481-7741 Repair 15 $ $

7025-01-658-0455 Repair 1 $ $

1680-01-533-8587 Category-2 Repair 1 $ $

Input NSN-7741 Output NSN-0455 1 $ $

TOTAL $

3rd Option Year

NSN QTY Unit Price Extended Price

1680-01-533-8587 NFF/BER 4 $ $

7025-01-481-7741 NFF/BER 4 $ $

7025-01-658-0455 NFF/BER 1 $ $

1680-01-533-8587 Repair 24 $ $

7025-01-481-7741 Repair 15 $ $

7025-01-658-0455 Repair 1 $ $

1680-01-533-8587 Category-2 Repair 1 $ $

Input NSN-7741 Output NSN-0455 1 $ $

TOTAL $

4th Option Year

NSN QTY Unit Price Extended Price

1680-01-533-8587 NFF/BER 4 $ $

7025-01-481-7741 NFF/BER 4 $ $

7025-01-658-0455 NFF/BER 1 $ $

1680-01-533-8587 Repair 24 $ $

7025-01-481-7741 Repair 15 $ $

7025-01-658-0455 Repair 1 $ $

1680-01-533-8587 Category-2 Repair 1 $ $

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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Input NSN-7741 Output NSN-0455 1 $ $

TOTAL $

TOTAL POTENTIAL CONTRACT VALUE = $