Tab 9 - J A 6.302-1.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

Under 10 U.S.C. 2304(c)(1)

Only One Source and No Other Supplies or Services Will Satisfy Agency Requirements

SOLICITATION HSCG38-10-R-100001

14 April 2010

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by FAR Subpart 6.3 and in accordance with requirements of FAR 6.303.1, the justification for the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

(1) Agency and Contracting Activity.

U.S. Coast Guard, Aircraft Logistics Center (ALC), Medium Range Surveillance Product Line Division, Elizabeth City, North Carolina, proposes to enter into a contract on a basis other than full and open competition and hereby presents this Justification for Other Than Full and Open Competition (J & A) for review and approval.

(2) Nature and/or Description of the Action Being Approved.

This J & A seeks approval to contract for airframe spare parts manufactured by the HU25 Guardian aircraft Original Equipment Manufacturer (OEM), Dassault Aviation, previously Avions Marcel Dassault-Brequet Aviation (AMD-BA) and the OEM’s sole approved vendor.

Limited competition exists among Dassault Falcon Jet Corporation (DFJ), Little Ferry, NJ, and several other responsible distributors who can furnish the required spare parts with traceability to the French Manufacturers. Request approval to proceed with this acquisition, for a firm-fixed price requirements contract for the purchase of various high-use spare parts used in repair of the HU25 Guardian aircraft. It is anticipated that one contract will be negotiated and awarded, consisting of one base period of three years and two option periods of one year each.

(3) Description of Supplies/Services.

This requirement is to procure 130 line items of spare parts on an as-required basis in support of the HU25 Guardian aircraft. The Coast Guard must maintain an inventory of spare parts for maintenance and repair of the HU25 Guardian aircraft and associated components. A situation involving a shortage of spare parts would adversely affect delivery of aircraft undergoing programmed depot level maintenance. Not only would this delay delivery and escalate depot maintenance costs, but would also impact aircraft readiness rates in the field resulting in a decreased effectiveness of Coast Guard commanders’ ability to execute missions. Estimated cost of this requirement is $7,311,671.98.

Only One Source and No Other Supplies or Services Will Satisfy Agency Requirements

SOLICITATION HSCG38-10-R-100001

CLIN FSC NIIN PART NUMBER NOUN

1 1560 01-HS1-9336 M20H553514517N1 MOUNT ENG LH

2 1560 14-454-3165 M20H5530503-501 LINK ASSY

3 1560 14-478-0978 M20H5530514-518 MOUNT,ENGINE R/H

4 4710 01-HS1-7093 MY20228-30820 FITTING, R/H

5 4710 01-HS1-7094 MY20228-30810 FITTING, L/H

6 5310 01-HS1-7549 5080TA10BE NUT

7 5365 01-HS1-8829 MY20001-160-4 SHIM, KLEGECELL

8 4720 14-238-7469 AF25-85-2X SLEEVE

9 5331 14-296-2809 BT37-3 O-RING

10 5330 14-305-4154 15586 GASKET

11 5310 14-316-1887 23111BC120LE WASHER

12 3120 14-351-0991 262-100-01 ROLLER

13 4020 14-351-1625 262-500-08 CORD, ELASTIC

14 1560 14-370-1336 MY20101-4282015 BRUSH

15 5310 14-370-1519 MY20380-001 WASHER, RECESSED

16 5340 14-370-1558 MY20341-032 LOCKING PLATE, NUT A

17 5340 14-370-1559 MY20341-033 LOCKING PLATE, NUT A

18 5935 14-373-3085 720 SOCKET ASSEMBLY

19 5365 14-373-3187 BLA10SP1 BUSHING, SLEEVE

20 5310 14-392-5908 MY20001-1283M1 WASHER

21 5305 14-393-5637 3939-60-17TKX SCREW, CLOSE TOLERANCE

22 5315 14-395-0809 2014 PIN THREADED

23 5965 14-400-7916 MY20215-002 HOLDER, MICROPHONE

24 5330 14-411-4039 MY20137-3040-15 SEAL, NONMETALLIC SP

25 5365 14-411-4186 M20H5530511-507 SPACER, SLEEVE

26 1560 14-411-4310 MY20147-3054-15 BRUSH, SEALING

27 5305 14-449-1139 3939-60-16TKX SCREW, TITANIUM

28 3120 14-450-1440 262-100-02 ROLLER, LINEAR-ROTAR

29 5310 14-451-2597 MY20001-127-3M1 WASHER

30 9390 14-451-5235 FN40-6703-8 SEAL, AIRBRAKE

31 5310 14-473-3290 CR4368 NUT, SELF-LOCKING P

32 3110 14-489-6970 WK8FESP1 BEARING ROLLER, AIRF

33 5306 14-514-3945 22201BE052005L SCREW

34 5330 01-HS1-0387 1967-33-5A21B6 SEAL, TADPOLE

35 5935 01-HS1-4180 6118 SHUNT

36 2945 14-304-4016 018500AA000NF0A FILTER, FLUID

37 5945 14-304-4043 3301-4 RELAY INST CONTROL

38 4130 14-335-5576 210BZEQ2 FILTER PRESS

39 6350 14-336-1349 B332M DETECTOR FIRE

40 5315 14-344-6554 HMBC025015TLE PIN-TAPERED

41 5315 14-370-1533 MY20321-1502 PIN, SHOULDERED HEAD

42 3120 14-370-1791 MY20118-11810-2 BALL JOINT

43 4820 14-371-5946 2504-926V VALVE, CHECK

44 5930 14-372-7981 17-455 SWITCH

45 4820 14-372-8045 L84A13-603 FD TK PRES CL VALVE

46 4820 14-372-8054 L84A19-601 FL TK PRES CK VALVE

47 5930 14-372-8064 51-500-2 SWITCH, SENSITIVE

48 1650 14-373-2912 A5050-24806-1 DIAPHRAGM

49 1650 14-373-2928 102-43988 VALVE, RELIEF, PRESSURE

50 5315 14-373-2940 A22950-322 PIN NLG TELESCO BAR

51 2915 14-374-1433 4051AAA COCK FUEL SYS BL

52 6220 14-376-0309 4160818 LIGHT, LANDING, AIRCRAFT

53 5930 14-379-1105 820UND01S1BA5B SWITCH

54 4710 14-379-2147 78441-1 HOSE ASSY

55 4710 14-379-2148 78442-1 HOSE ASSY

56 1680 14-382-7183 MY20112-16810-1 BALL JOINT

57 4730 14-383-1868 MY2051510582G02 CONNECTOR, MULTIPLE

58 5970 14-400-8077 202B144-12 INSULATION SLEEVING

59 5935 14-400-8497 01C0ATCB07A10 CONNECTOR, PLUG, ELEC

60 3120 14-402-3796 37005-18 PIN

61 1560 14-419-0866 1702A INSULATION BLANKET

62 5315 14-406-4367 MY20295-0158-2 PIN, SHOULDER, HEADLESS

63 1560 14-410-0104 1681 INSULATION BLANKET

64 1560 14-410-0105 1682 INSULATION BLANKET

65 1560 14-410-0106 1685 INSULATION BLANKET

66 1560 14-410-0108 1692 INSULATION BLANKET

67 1560 14-410-0109 1693 INSULATION BLANKET

68 1560 14-410-0110 1694 INSULATION BLANKET

69 1560 14-410-0111 1695 INSULATION BLANKET

70 1560 14-410-0112 1703 INSULATION BLANKET

71 1560 14-410-0113 1706A INSULATION BLANKET

72 1560 14-410-0114 1707 INSULATION BLANKET

73 1560 14-410-0115 1708 INSULATION BLANKET

74 1560 14-410-3309 1683 INSULATION BLANKET

75 1560 14-410-3310 1684 INSULATION BLANKET

76 5340 14-411-4042 MY20137-3180115 CLEVIS, ROD END

77 1680 14-411-4063 M20H295006860B2 BELL CRANK

78 1560 14-411-4150 SCHD560100027 COVER, ACCESS

79 1560 14-411-4154 SCHD560105070 EDGE LINER

80 1560 14-405-6131 1701 ISOLATIN,UPPER SURF

81 5930 14-419-0869 1329 SWITCH, TOGGLE

82 5340 14-449-3992 013015001301 HANDLE

83 1560 14-451-2632 MY2024707610G01 FUEL SOV ROD ASSY

84 1680 14-473-3273 M20H295006875B2 BELL CRANK

85 1560 14-475-1777 MY20137-1092015 RAMP, SLAT (L/S)

86 1560 14-475-1778 MY20147-1092015 RAMP, SLAT (R/S)

87 1560 14-478-0994 MY20706-10864 INSULATION, THERMAL

88 5330 14-478-0998 M20H5530564-511 SEAL, TAILCONE

89 2915 14-479-3439 142D8-13 PURGE

90 2840 14-505-3054 MY20706-10863 SHIELD, HEAT, AIRCRAAFT

91 5365 14-509-7806 MY20295-0132-1 FITTING, DOOR SEAL

92 1560 14-514-5052 F50B264001110A1 ROLLER ASSY, SUPPORT

93 3040 14-518-2882 MY20295-07814 BODY-LINK-ROD

94 3040 14-518-2883 MY20295-07813 BODY-LINK-ROD

95 3040 14-518-2884 MY20295-07820 BODY-LINK-ROD

96 3040 14-518-2885 MY20295-07812-1 BODY-LINK-ROD

97 3110 25-132-6144 WAGN12ESP10 BEARING, AILERON

98 4710 01-107-3392 M20H5530440-219 TUBE ASSEMBLY, METAL

99 1560 01-HR2-0751 MY20114-001-15 PANEL, WING

100 5325 01-HS1-4930 MY2024710510G03 FITTING-FASTENER, LH

101 5325 01-HS1-4931 MY2024910510G03 FITTING-FASTENER, RH

102 1560 01-HS1-5162 F20G8021189-2 FITTING

103 1560 14-370-1403 MY20164-18-1 FRNG FLAP LCG OB/R

104 4710 14-383-1905 MY2072703G03 TUBE EQUIPE,METALLI

105 4710 14-383-1918 MY2075801G02 TUBE ASSEMBLY, METAL

106 3040 14-392-5984 MY20718-37820-2 BELL CRANK

107 5330 14-411-4158 M20H5530426-521 SEAL

108 1560 14-411-4308 MY20147-1091015 BRUSH

109 1560 14-411-4312 MY20147-3096015 BRUSH R H

110 3040 14-441-0306 MY20248-70 CONNECTING LINK, RIG

111 1560 14-450-9887 MY20114-12811-1 RAIL, LH

112 1560 14-450-9890 MY20114-15811-1 RAIL,A/F,A/C,LH

113 1560 14-450-9897 MY20124-14811 RAIL,A/F,A/C,R/H

114 1560 14-451-2621 MY20380-1601 CONNECTION, HORIZ LH

115 1560 14-451-2622 MY20380-17-3 CONNECTION LWR/R

116 1560 14-452-4053 MY20119-1023-15 COVER, ACCESS

117 1560 14-452-5334 MY20163-23 PIN ASSY

118 1560 14-453-5355 MY2024707836G02 FITTING, MATING, LH

119 4710 14-473-3463 MY2024705400G02 TUBE L/H

120 1560 14-477-2092 MY20137-3112-15 BRUSH

121 1560 14-477-2093 MY20147-3112-15 BRUSH

122 1560 14-482-8930 MY20129-1023-15 PANEL

123 1560 14-489-3988 MY20114-002 PANEL WING

124 1560 14-503-5524 MY20124-001-15 PANEL WING

125 1560 14-503-5771 MY20124-12811-1 RAIL,A/F,A/C,RH

126 1560 14-503-5772 MY20124-13811-1 RAIL,A/F,A/C, RH

127 1560 14-503-5773 MY20124-11811-1 RAIL, A/F,A/C,RH

128 1560 14-503-5774 MY20114-11811-1 RAIL,A/F,A/C, LH

129 1560 14-514-5437 MY20114-13811-1 RAIL, A/F,A/C,LH

130 1650 14-373-2891 A23717-22 ROD, TELESCOPIC

This requirement is anticipated to be awarded to the Original Equipment Manufacturer (OEM) or any responsible vendor that can provide traceability to the OEM. Failure to procure these parts may cause aircraft to be grounded. The period of performance is five years which includes three-one year base periods and two one-year option periods. These parts are not procurable from any other source besides the OEM. A 3 year commitment is needed to get the OEM to support the aging airframe. The OEM has informed us that a one year base period will result in a “no bid.” Most companies dealing with obsolescence issues are more acceptable to a 3 year base versus a 1 year base.

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304 (c)(1) implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

Only the OEM or a limited number of distributors will satisfy agency requirements.

(5) Demonstration that the nature of the acquisition requires use of the authority cited.

Dassault Falcon Jet (DFJ) Corp. is the sole North American distributor of the French Original Equipment Manufacturer (OEM) of the HU25 Guardian aircraft and its replacement parts and owns exclusive data rights and blueprint specifications. The necessary specifications, manufacturing drawings, data, test equipment and tooling required for the manufacturer of these parts must be restricted to the parts manufactured by the OEM to ensure compatibility of replacement parts and safe operation of the aircraft. The data and manufacturing rights were not available or procured as part of the initial acquisition of this aircraft. The parts being sought are continuing demand consumables and repairables of limited use prior to scrap-out that have an inordinate ability to negatively impact flight operations of the HU25 Guardian aircraft and progress of Programmed Depot Maintenance. In a fiscal and stockage environment requiring minimal investment in inventory it is critically important to secure a reliable supplier that can satisfy the contract requirements needed to react to ever changing mission requirements.

(6) Description of efforts made to ensure that offers are solicited from as many potential sources as is practicable.

In accordance with FAR 5.201, the intent to contract for the HU25 Guardian aircraft replacement parts will be advertised on Federal Business Opportunities (FBO). The combined synopsis/solicitation will be posted on FedBizOpps. FAR Part 12.6 Streamlined Solicitation for Commercial Items will be utilized. Any responsible offers will be considered. This procurement forecast was posted as DHS-Advanced Acquisition Plan (AAP) No. 63844 on www.fido.gov on 19 February 2010. A Sources Sought, HSCG38-10-Q-101025-SS, was posted on FedBizOpps (FBO) on 23 February 2010 (Attachment 1). Four sources identified in paragraph 10 expressed an interest and may be able to provide a “Limited number” of the items.

(7) Determination by the contracting officer that the anticipated cost to the government will be fair and reasonable.

The contracting officer will determine that the anticipated prices will be fair and reasonable based on procurement history on contract HSCG38-08-D-100009, a previously negotiated procurement (same or similar items), comparison with Dassault Falcon Jet (DFJ) Corp commercial catalog pricing and comparison with similar items in the commercial marketplace.

(8) Description of Market Research.

The HU25 aircraft is not logistically supported by other Government agencies. The contract will be solicited and awarded using acquisition procedures for commercial items. Dassault Falcon Jet (DFJ) Corp is the primary source company that has been providing these unique replacement HU25 spare parts to the US Coast Guard. Other historical sources have been identified as reselling parts ultimately acquired from DFJ, the only authorized source for these French manufactured parts. The need to provide a reliable and continuing source of these parts should eliminate resellers with limited quantities of “fire sale” parts they can only supply once or only with excessive lead times by purchasing from DFJ.

The market survey consisted of utilizing the Inventory Locator System (ILS), FEDLOG and AMMIS history dated 19 March 2010. It identified the OEM, Dassault Falcon Jet Corporation and a few distributors. Market research has indicated that the procurement of these parts and/or similar parts is commercial in nature and is currently being procured for a variety of aircraft, both military and commercial. Extensive Internet database research is conducted and procurements are advertised on FBO.

Each of the 130 line items was researched on the Inventory Locator System (ILS); USCG ALC AMMIS supply data base for history or prior purchases and FEDLOG logistics information. The results of these searches have been printed and coordinated into a separate file as documentation to the file under market research.

http://www.fido.gov/

Only One Source and No Other Supplies or Services Will Satisfy Agency Requirements

Due to the volume of this file it has not been included with this J&A review, but is available upon request for viewing. This file will be maintained with the contract files after the award of this requirement.

(9) Any other facts supporting the use of other than full and open competition.

The HU25 aircraft was procured and provisioned by Coast Guard Headquarters. However, that procurement did not include specifications necessary to obtain competition. The vendor was contacted on 19 February 2010 to request the purchase of data rights. Per Bob Fantozzi Manager of Spares Sales, Marketing & Customer Service at DFJ, stated that in the past DFJ has been reluctant to sell the drawings. The 130 part numbers would have to be reviewed individually. At this late date it would not be financially feasible or in the best interest of the Coast Guard to purchase the drawings and data rights. The HU25 Falcon aircraft is to be phased out in the next 5 years. Failure to obtain the necessary spare parts to support the aircraft would prevent the performance of search and rescue, law enforcement and other critical operations resulting in an increased loss of life and property at sea, an increase in the flow of illegal drugs into the United States and a decrease in training and readiness of Coast Guard personnel.

(10) A listing of the sources, if any, that expressed in writing, an interest in the acquisition.

At this time, this J&A is being processed in advance of the synopsis and solicitation posting on FBO. Patriot Dynamics, AVMATS, B&B Marketing Enterprises and Capital Logistic Services expressed an interest in the sources sought that was posted. A copy of the solicitation will be forwarded to these companies and any pricing received will be evaluated.

(11) A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for required supplies or services.

The Coast Guard does not possess technical expertise nor did Coast Guard HQ’s purchase the data as part of the initial system acquisition for the HU25 aircraft, as a result, it would be difficult to foster a competitive procurement effort. Complete specifications, manufacturing drawings, data, test equipment and tooling for the HU25 are not available. As the Aircraft Inventory Control Point (AICP), ALC is tasked with supporting systems that have been deployed for used in the aviation community. This aircraft has been flying Coast Guard missions for 27 years with another 5 years estimated in the Coast Guard fleet. To proceed further with any type of negotiation for the procurement of data rights would not be productive, nor would it be financially in the best interest of the Coast Guard to spend additional time or resources on this effort when the aircraft is this close to retirement.

SIGNATURES ON FILE