J A for Procurement of Electrical and Structural Components.docx

HSCG38-11-Q-XXXXXX

Justification for Other Than Full and Open Competition Under 10 U.S.C. 2304 (c)(1) Only One Responsible Source and No Other Supplies or Services will Satisfy Agency Requirements for the Procurement of Components required for Coast Guard H60-J to H60-T conversion from Computer Science Corporation (CSC) New Bern, North Carolina

Pursuant to the requirements of Section 4202 of the Clinger-Cohen Act of 1996 (test program for commercial items) as implemented by FAR 13.501(a)(ii) in accordance with the requirements of FAR 6.303-1, the justification for the use of the statutory authority under FAR 6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

1. Agency and Contracting Activity. The Department of Homeland Security, US Coast Guard, Aviation Logistics Center (ALC), Medium Range Recovery (MRR) Product Line Division, Elizabeth City, North Carolina, proposes to enter into a contract on a basis other than full and open competition.

2. Nature and/or Description of the action being approved. The United States Coast Guard has a requirement for a sole-source procurement for electrical and structural components specific and unique to the MH60-J to MH60-T upgrade project with an estimated price of $499,374.38. This Justification for Other Than Full and Open Competition seeks approval to contract with the original supplier, Computer Science Corporation, (CSC), 190 Kale Road, New Bern North Carolina 28562.

3. Description of Supplies/Services. This requirement is to provide components required for structural and electrical conversion for the Coast Guard’s MH60-J to MH-60T aircraft. This includes the components specified in Table 3.1 on the following page, described by part number (P/N), National Stock Number (NSN), quantity and price.

Table 3.1

P/N 1019M60T100-10

1560-01-HS1-9754

P/N 1008M60T100-10

1560-01-HS1-9936

P/N 1006M60T200-10

1560-01-HS1-9760

P/N 1010M60T100-30

5825-01-HS2-0011

P/N 1010M60T100-10

5820-01-HS1-9959

P/N 1009M60T100-10

5985-01-HS1-9763

P/N 985-591-8-2

5995-01-HS2-1848

P/N 1002M60T290-10

1560-01-HS2-0553

P/N 1004M60T290-10

1560-01-HS2-0554

P/N 1035M60T100-10

1560-01-HS1-9951

P/N 1020M60T100-10

5985-01-HS1-9342

P/N 1031M60T100-10

5821-01-HS1-9408

P/N 1043M60T290-10

1560-01-HS2-0555

P/N 1023M60T100-10

1560-01-HS1-9407

P/N 1029M60T100-10

1560-01-HS2-0031

4. Identification of the justification and the rationale. The statutory authority permitting other than full and open competition is 10 USC 2304(c)(1) implemented by the Federal Acquisition Regulation (FAR) Subpart Regulation 6.302-1(a)(2)(ii) entitled “Only one responsible source and no other supplies or services will satisfy agency requirements”.

5. Demonstration that the Nature of the Acquisition Requires use of the Authority Cited. The USCG is currently upgrading the entire fleet of 42 MH-60J helicopters to the MH-60T, the project is over 50% completed. This upgrade requires the replacement of all electronic components with the Rockwell Collins Common Avionics Architecture Suite (CAAS) and will allow aircraft to better meet the needs of the service. Specific structural and electrical parts for this upgrade were developed by CSC and are specific to only Coast Guard MH-60’s in regards to fit form and function. Specific tooling and fixtures were developed and built to manufacture many of these parts and components; NRE has already been expended on development. Only Computer Science Cooperation and it’s subcontractors have the tooling. No other known sources can accommodate this requirement without extensive non-recurring engineering cost.

6. A Description of the Efforts Made to Ensure that Offers are Solicited from as many Potential Sources as is Practicable. Upon approval of this document, this requirement will be advertised via Federal Business Opportunities (FBO) website; however, interested parties will have to provide evidence of their capability to obtain the drawings and data required for manufacturing purposes.

7. Determination by the Contracting Officer that the Anticipated Cost will be Fair and Reasonable. The Contracting Officer determines that the anticipated price will be fair and reasonable based on price analysis techniques, comparison with current prices and previously paid prices.

8. Description of the Market Research. CSC is the only manufacturer and supplier of these specific components, no other military service, foreign or US, uses these specific parts. No other commercial aircraft uses these parts. The parts were specifically designed to be used with our unique airframe, our unique wiring configuration, and our unique mission systems equipment to merge our configuration with respect to installing the Rockwell Collins CAAS equipment. No other vendors readily manufacture these required parts and components nor would have the tooling and fixtures for fabricating these parts.

9. Any other Facts Supporting the Use of Other Than Full and Open Competition. The Coast Guard under a separate contract previously hired CSC to develop these components expending thousands of dollars for NRE and development cost, significant man hours and months of time where afforded for fit form and function testing. Over 50% of the Coast Guard’s MH60 Fleet has been upgraded to “T” model, over 90% of these parts required have already been ordered and or delivered. Because of AC&I funding constraints, the entire quantity of parts needed to upgrade the entire fleet could not be ordered up front at one time. The initial order was completed through the MIPR process in 2008, at this time completing this order through the MIPR process is not an option. Coincidentally, the Coast Guard unfortunately suffered the loss of two of the modified helicopters in separate class “A” mishap crashes and none of the required parts in this request were salvageable. The Coast Guard made the decision to replace those two crashed aircraft therefore two additional ship sets of components will be required and are included in this request. In addition, the Coast Guard has acquired Navy SH60-F models, future plans are to convert these aircraft to MH60-T models if funding becomes available, however funding of those aircraft will be on a case by case basis. In regards to solicitation on the open market, this would create unjustifiable delays and a considerable expense to the tax payer to solicit another manufacture to build needed tooling and fixtures of each component. In addition if another source was sought each component would again require fit, form and function, testing of all parts, part number change and substantial changes documentation that cannot be afforded which also be redundant at this stage of maturity of the MH-60T avionics upgrade project.

10. A Listing of Sources, if any, that expressed in writing, an Interest in the Acquisition. Upon approval of this document, this requirement will be advertised via Federal Business Opportunities (FBO) website; however, interested parties will have to provide evidence of their capability to obtain the drawings and data required for manufacturing purposes.

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 intent is to issue a firm-fixed price purchase order for the procurement of these items. The Coast Guard is vigilant in its search for new vendors. Any eligible offeror may submit a quote. All responsible offers will be considered. In support of the Competition in Contracting Act, the MRR Product Line has the responsibility to locate alternate sources of supply/services and alternate acceptable products. Engineering, Contracting and New Product Development staff continuously conduct market research to ensure that companies interested in doing business with the USCG are given every opportunity to complete for our requirements. At this time, there are no other sources for these components.