FBO_REDACTED_JA_Teledyne_Controls_Spares_2015.docx

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

NOTICE OF INTENT NO. HSCG38-16-Q-010037

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by FAR Subpart 6.3 and in accordance with the 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

The Department of Homeland Security, United States Coast Guard (USCG), Aviation Logistics Center (ALC), Medium Range Surveillance (MRS) Procurement Branch, proposes to enter into a contract on a basis of other than full and open competition.

(2) Nature and/or description of the action being approved.

This activity seeks approval for Other Than Full and Open Competition for the acquisition of Teledyne Controls component as spares to support the HC-144 Maritime Patrol Aircraft (MPA). These components are manufactured by and the proprietary data remains with Teledyne Controls. Approval of this firm-fixed price acquisition is requested to procure on a limited source basis from the Original Equipment Manufacturer (OEM) Teledyne Controls (98571) 501 Continental Blvd., El Sugundo, CA 90245-5036. The estimated cost for this requirement is REDACTED.

(3) Description of Supplies/Services

The USCG/ALC, Elizabeth City, North Carolina is seeking approval to procure the following Teledyne Controls part as spares to support the HC-144 MPA.

PART NUMBER NOMENCLATURE

2243500-216 FLIGHT DATA ACQUISITION UNIT

(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 6.302-1 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 government data rights are insufficient for the purposes of soliciting vendors to manufacturer and certify air worthiness aircraft components and piece parts. The USCG did not purchase the data as part of the initial system acquisition for the aircraft; as a result, it would be difficult to foster a competitive procurement effort. Complete specifications and drawings are not available and the cost to procure them is not easily quantifiable. The data for these components are proprietary to the OEM. Only parts that are certified by the Federal Aviation Administration (FAA), the European Aviation Safety Agency (EASA), or the Navy Naval Air Systems Command (NAVAIR) are considered air worthy and only the OEM has this certification for these components. Using parts other than the OEM’s would compromise the integrity of the aircraft’s airworthiness and would void any existing warranties.

(6) A 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 sparing for airframe components for the HC-144 MPA will be advertised in the Federal Business Opportunities (FedBizOps). The solicitation for this award will contain verbiage that all responsible vendors who have access to required Teledyne Controls proprietary data and specifications may submit a proposal and will be considered.

(7) Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

It is the Contracting Officer’s opinion that prices offered will be determined fair and reasonable, prior to contract award, based on comparisons to any commercial published price lists by the OEM, cost comparison to similar items and previous commercial history data.

(8) Description of Market Research.

Market research indicates the above part number is not listed on a GSA contract or available through GSA Advantage. Market research also consisted of querying the Industry Base System called Inventory Locator System (ILS), which reflected limited sources with the option to buy new spares. The USCG data base history reflected only one source for previous new purchases. In an effort to foster competition, a Sources Sought Notice (HSCG38-16-S-010003) was forwarded for posting on FedBizOps to ascertain whether there are private firms who will respond with interest in competing for this requirement. The USCG did not purchase the data rights and does not have any rights to the technical data for the purpose of manufacturing parts.

(9) Any Other Facts Supporting the Use of Other Than Full and Open Competition.

The USCG does not own the data rights and does not anticipate purchasing these data rights. Therefore, it would be difficult to take steps to foster competition as the manufacturing performance and acceptance data are proprietary and the USCG does not have adequate technical data to provide to potential offerors.

(10) A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the Acquisition.

If responses to the synopsis indicate additional sources are available, the file will be documented accordingly and the requirement competed among all eligible offerors.

(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 Supplies or Services Required.

The data rights for Teledyne Controls components were not purchased when the HC-144 MPA was purchased. Teledyne Controls has not shown an interest in selling, nor is it economically feasible, for the USCG to purchase the data rights for Teledyne Controls components. The USCG will maintain open communications with Teledyne Controls and will continually conduct market surveys to identify possible additional sources that may eventually receive authorization to access Teledyne Controls drawings and specifications. However, granting access to this proprietary data is solely a Teledyne Controls business decision.

(12) Contracting Officer’s Certification

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Contracting Officer

(13) Technical/Requirements Personnel Certification

I certify this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for this justification, is complete and accurate.

REDACTED Date Item Manager, Avionics

REVIEWERS:

Reviewed and determined to be legally sufficient

(14) Legal review and Concurrence:

I have reviewed this justification and deemed it legally sufficient.

APPROVAL:

Contracting Officer