FD20202100554_Redacted.pdf
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- Attached to
- Chamber, Combustion Federal contract opportunity
- Solicitation number
- SPRHA1-21-C-0011
- Issued by
- Defense Logistics Agency Aviation
About this file
This document is a justification and approval for a sole source acquisition awarded by the Defense Logistics Agency Aviation. It details the need to acquire a combustion chamber from Raytheon Technologies for use in F-16 aircraft, as Pratt & Whitney owns the proprietary data and has declined to sell or license it to the government. Market research found no other capable sources due to the unique requirements. A sources sought notice received no responses. Contract SPRHA1-21-C-0011 was awarded on August 4, 2021 to an unknown vendor for an unknown amount to obtain this combustion chamber.
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FD20202100554
B. Total estimated cost is: . This estimate is based on USAF mission requirements as computed by the D200 Requirements Determination System. This action will use 4930 FC04 working capital 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 or Limited Sources 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. The above authority was selected because the government does not own the data or rights to the data needed to purchase this part from additional sources. The manufacturing data is owned solely by Raytheon Technologies, DBA: Pratt & Whitney (55820).
B. AAR Supply Chain, Inc. (1Y249) is an approved source based upon their exclusive distribution agreement with Pratt & Whitney. This agreement appoints AAR as the exclusive distributor of spare parts to the USG for the Pratt & Whitney manufactured Jet Fuel Starter used on the F-16 C/D
C. The design and associated data is owned by Pratt & Whitney. The data was never purchased by the government. The 419th SCMS contacted Jay Beathard with Pratt & Whitney on 6 December 2020 regarding their willingness to sell or license the data to the Government. They responded stating they are not willing to sell or provide the government use rights to this data.
D. The 419th SCMS Engineer has determined that reverse engineering is uneconomical and is estimated to cost . Based on this cost it would take 31 years to break even.
Since the data required to manufacture the F-16 Combustion Chamber is limited to Pratt & Whitney, interested vendors would have to be willing to invest the time, funding and manpower required to reverse engineer the design at their own expense.
E. Pratt & Whitney & AAR Supply Chain are the only firms capable of providing the supplies and services described in Section III above. Based on the preceding information, the AMCS code assigned to this NSN is R (restricted) which means the Government does not own the data or the rights to the data needed to purchase this part from additional sources and it has been determined to be uneconomical to buy the data or the rights to the data.
VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE
SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED
PRACTICABLE:
A. Sources Sought Synopsis: A combined Request for Information and Sources Sought Synopsis (RFI/SSS) was posted to beta.SAM.gov on 5 March 2021. The RFI/SSS closed on 19 March 2021 and no response from industry was received by the contracting office.
B. This requirement will be synopsized in SAM, as a notice of contract action IAW FAR 5.201.
If other 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, when required. The Final Step is to include the Price Negotiation Memorandum (PNM). This 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 above, market research, in accordance with FAR Part 10, was conducted by a Sources Sought Synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties. There were no interested sources.
B. In addition, the 419 SCMS/GUMB Integrated Product Team conducted market research that yielded the following results:
1. February 2021, a search conducted on ThomasNet (http://thomasnet.com), and Google.com, with the NSN listed in Section III above resulted in zero results in the product/services, company name, brand name, Computer Aided Design (CAD) drawings and industrial web directories. No additional sources of supply were identified.
2. February 2021, a review of commercial catalogs and other product literature was completed. The review indicated no other alternate commercial item, service, or non-developmental item (NDI), see FAR Part 2, will neither meet the requirement, nor can the requirement be modified to permit use of existing commercial items and /or services or NDIs.
3. February 2021, the 761 screening worksheet was reviewed for consistency and accuracy.
No discrepancies were found and the only available sources are Pratt & Whitney and AAR Supply Chain.
4. Contacted knowledgeable individuals within the government consisting of the F-16
Program Manager (Rob Franke), and System Engineer (Jeff Wigington). Through market research and years of professional experience and knowledge working on the F- 16 program, it is determined with a high level of confidence that there are no additional sources capable of meeting the government’s needs.
C. Commercial items cannot suffice for this application. The Combustion Chamber is specific to the F-16 Weapon System.
D. Based on the market research conducted, there is a high level of confidence that there are no additional sources capable of satisfying the agency’s need for this proprietary item nor are there any other commercial or nondevelopmental items which could be utilized or modified to meet the needs of the government.
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:
The Air Force regularly inquires the manufacturers in regards to sharing or selling the proprietary data rights for use in free and open solicitations. Furthermore, the Air Force regularly performs analysis to determine the feasibility and cost effectiveness of reverse engineering the proprietary technology.
XII. CONTRACTING OFFICER’S CERTIFICATION:
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. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION:
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)).
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