FBO_J A_Ipeco_Seats_C-27J.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

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Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by FAR 6.3 and 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 Office of Contract Operations (CG-9127), Formal Contracts Division VII, the United States Coast Guard (USCG) Headquarters, Department of Homeland Security, Washington, DC, proposes to enter into a contract on the basis of other than full and open competition.

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

This Justification and Approval (J&A) authorizes the issuance of a sole source contract action to Ipeco for specific Ipeco Aircraft Pilot, Copilot, Observer and Loadmaster seats in support of the C-27J aircraft regeneration and the initial stand-up of the C-27J Asset Project Office (APO) and Air Station Sacramento. Ipeco is Original Equipment Manufacturer (OEM) for all mentioned seats.

The proposed contractor is:

Ipeco Aviation Way Southend-on-Sea Essex SS2 6UN England

(3) Description of Supplies/Services.

The proposed contract action is for the purchase of specific C-27J aircraft Pilot, Copilot, Observer and Loadmaster seats. The anticipated contract action will have an estimated total contract value of REDACTED. This requirement will be awarded as a purchase order in accordance with FAR 13.5 – Simplified Procedures for Certain Commercial Items.

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is Federal Acquisition Regulation (FAR) 6.302-1, “Only one responsible source and no other supplies or services will satisfy agency requirements”. Ipeco owns the proprietary rights to the drawings and specifications needed to manufacture these items. As such, Ipeco is the only source that has unrestricted access to the totality of the technical data needed to produce and manufacture the Pilot and Copilot seats to be procured under this J&A, and currently in use in the USCG C-27J.

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

As required under this J&A, Ipeco will be required to provide the various aircraft seats individually in order for the USCG to effectively operate the C-27J aircraft, support the regeneration of the C-27J aircraft, and provide the initial sparing required for the stand-up of the C-27J Asset Project Office (APO) and Air Station Sacramento. As the Original Equipment Manufacturer (OEM) Ipeco owns all the design specifications, technical references, engineering data, full repair processes and limits, and any and all rights to that information. Hence, Ipeco is the only source that has unrestricted access to the totality of the technical data needed to meet the Government’s requirement for the Pilot and Copilot seats to be procured under this J&A.

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

In accordance with FAR 5.201, the Government’s intent to contract for the Pilot, Copilot, Observer and Loadmaster seats in support of the C-27J Aircraft will be posted to the Government Point of entry (GPE), Federal Business Opportunities (FBO). All responses received prior to award of this procurement, will be evaluated by the Contracting Officer.

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

In accordance with FAR 15.402(a), the Contracting Officer is required to purchase all supplies and services from reasonable sources at fair and reasonable prices and will require the Contractor to submit other than certified cost or pricing data, in order to perform an analysis of the proposal to ensure that the price is fully justified as fair and reasonable to the Government. This analysis will include input by the government Technical Analyst and the Contracting Specialist. Pertinent data will include prior acquisition history for the same or comparable parts.

(8) Description of market research.

The market research consisted of reviewing the Alenia Catalog for pricing and lead times. The Air Force Contract (W58EGZ-07-D-0099) was reviewed for pricing of the same items. Likewise, On line DOD EMALL and FedLog was researched with negative results. Market research focused on identifying new sources of supply for the components covered under this J&A. The following online (WEB) sources were also reviewed; Haystack, Inventory Locator Service, Federal Logistics Data, and Federal Business Opportunities, all which supported the initial market research that showed no alternate supply sources identified.

Ipeco, the OEM of the C-27J aircraft seats, owns all the design specifications, technical references, engineering data, full repair processes and limits, and any and all rights to that information, therefore, is the only contractor that can meet the Government’s requirement for the Pilot, Copilot, Observer and Loadmaster seats to be procured under this J&A. In addition, based upon the USCG’s current aircraft safety certification requirements it has been determined that Ipeco is the only manufacturer approved for the items being requested. In the event that additional responses are received by the Contracting Officer, prior to the award of this procurement, the offeror will be required to submit documentation to support the aircraft safety certification requirements, which includes the requirement to effectively demonstrate the vendor’s ability to provide the components and obtain the proprietary data required from Ipeco, in order to meet the form, fit, and function of the component. This documentation must be approved by the USCG C-27J Engineering Officer, prior to offeror being eligible for the award of the parts covered under this J&A.

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

The 2014 National Defense Authorization Act (NDAA) authorized the transfer of fourteen C-27J aircraft from the United States Air Force (USAF) to the USCG. In accordance with the congressionally mandated requirements associated with the transfer of those aircraft, the USCG must procure the spare parts, components, and supplies required to fully standup and support the C-27J APO. The USAF did not purchase, and the USCG was not yet provided the opportunity to purchase, full data usage rights as part of the acquisition of the C-27J aircraft. As a result, the USCG cannot foster full and open competition for this effort, as the manufacturing, performance, and acceptance data are proprietary, and the USCG does not possess adequate and appropriate technical data to provide to potential offerors.

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

To date, no responses have been received by the Contracting Officer. Any responses received, prior to the award of this procurement, will be evaluated by the Contracting Officer.

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

At this time, for the reasons set forth in paragraphs 5, 8, and 9, the USCG does not possess the technical data required to foster full and open competition for the supplies covered under this J&A. The USCG will continuously conduct market research to ensure that companies interested in doing business with the USCG are given every opportunity to compete for future USCG requirements. In an effort to increase competition, C-27J program members intend to conduct internet database research and ensure procurements are advertised in FBO. In, addition, the USCG will investigate the feasibility of purchasing technical data from the OEM. If another potential source emerges, and the USCG is able to obtain the required technical data, the USCG will assess whether competition for any future requirements are feasible.

(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.

ALC Contracting Officer

(13) Technical/Requirements Personnel Certification.

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

C-27J Supply Cell Leader

(14) Legal Review and Concurrence:

I have reviewed this justification and deemed it legally sufficient.

APPROVAL:

ALC Contracting Officer