Signed_J A_005_Redacted.pdf

Justification for Other than Full and Open Competition Under 10 U.S.C. 2304 (c) (1) Only One Responsible Source and No Other Services Will Satisfy Agency Requirements

Repair of Electronic Amplifiers Solicitation Number: HSCG38-16-Q-J00412

Pursuant to the requirements of the Competition in Contracting Act (CICA), as implemented by the Federal

Acquisition Regulation (FAR) Subpart 6.3 and in accordance with the requirements of FAR 6.303- I , 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 (DHS), United States Coast Guard (USCG) Aviation Logistics Center

(ALC), Medium Range Recovery (MRR) Procurement Branch, proposes to enter into a purchase order on a basis other than full and open competition.

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

The MRR Procurement Branch requests approval to award a sole source purchase order to the Original

Equipment Manufacturer (OEM), Honeywell International Incorporated (Honeywell), for the repair of MH-607

Elecironic Amplifiers hereafter referred to as Components. The purchase order will be Firm Fixed Price. These repairs are essential to avoid grounding of the aircraft. The specifications, manufacturing drawings, data, test equipment, and tooling required for the Component Repair Services are proprietary to Honeywell. The USCG did not purchase rights toihe proprietary data required to foster a competitive environment as part of any original provisioning foi use on the MH-60T aircraft. Stakeholders include the MRR Product Line and supported USCG

Air Stations-. This requirement will be solicited utilizing FAR Part l2 Acquisition of Commercial Items and FAR

Subpart 13.5 Simplified Procedures for Certain Commercial ltems. The total dollar value is

The United States Naval Supply Weapons Systems Support (NAVSUP WSS) is the Primary Inventory Control

Agency and has sole authority and responsibility for certifying sources of support for H-60 components.

Certification of sources of support was executed in accordance with Public Law 108-136 Section 802 of the

Defense Appropriations Act of 2004 and Naval Air Systems Command Instruction (NAVAIRINST) 4200.56.

Contractors and subcontractors are required to be NAVSUP WSS certified. Honeywell is the OEM and only known NAVSUP WSS certified source. Honeywell's contact information is as follows:

Honeywell lnternational Corporation (Honeywell) 699 US Highway 46 Teterboro, NJ 07608 Cage Code 55972

(3) Description of Services.

The USCG currently operates a fleet of forty-four (44) MH-60T rotary wing aircraft. This specialized, high demand, aircraft currently enables the USCG to perform missions such as search and rescue, law enforcement, international ice patrol, marine environmental protection, and marine resource conservation. With such a dernanding operational tempo, aircraft condition and availability are essential to mission success' The

Components are consid"."d'fligt',t Critical Safety Items (CSI) and are interchangeable throughout the MH-607 fleet. The basic service objectlve of this requirement is to preserve service life, reduce life cycle cost, and increase mission capabilities through the performance of Component Repair Services. Delivery time is one hundred eighty (l 80) days after receipt oforder.

Justilication for Other than Full and Open Competition Under 10 U.S.C. BOa (c) (1) Only One Responsible Source and No Other Services Will Satisfy Agency Requirements

Repair of Electronic Amplifiers Solicitation Number: HSCG38-16-Q-J00412

Nomenclature National StockNumber Otv IGCE Total

Electronic Amplifier 6615-01 -164-4297 3757302-3 l6

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is 10 U.S.C. BUa @) ( I ) as implemented by the FAR 6.302-l entitled "Only One Responsible Source and No Other Services will Satisfu Agency Requirements." Honeywell is the OEM and only NAVSUP WSS approved source to repair the Components. All specifications, manufacturing drawings, data, test equipment, and tooling required for the repair of these

Components are proprietary to Honeywell.

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

The specifications, manufacturing drawings, data, test equipment, and tooling required to repair the Components are proprietary to Honeywell. The USCG did not purchase rights to the proprietary data required to foster a competitive environment as part of any original provisioning for use on the MH-60T rotary wing aircraft and the costs to procure this data would be cost prohibitive. The Components are CSIs. In order to successfully maintain airworthiness of the aircraft and aircraft systems, protect personnel safety, and perform the USCG's mission, the acquisition of CSIs is restricted to approved sources. A CSI is a part, assembly, installation, or production system with one or more critical characteristics that, if not conforming to the design data, or quality requirements, would result in an unsafe condition. Unsafe conditions relate to mishap severity I (Catastrophic) and II (Critical), and include conditions which could cause loss or serious damage to the end item or major component, loss of control, serious injury to personnel, or death of personnel. In addition, the NAVSUP WSS is the Primary Inventory

Control Agency and has sole authority and responsibility for certifuing sources of support for H-60 components.

Certification of sources of support was conducted in accordance with Public Law 108-136 Section 802 of the

Defense Appropriations Act of 2004 and NAVAIRINST 4200.56. Contractors and subcontractors are required to be NAVSUP WSS certified. Honeywell is the only known NAVSUP WSS certified source.

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

This procurement forecast is posted as DHS - Acquisition Planning Forecast System (APFS) No: F201603205 I on http://apl!.clhs.gov 0812612016, and was included in the DHS Forecast of Small Business Opportunities.

Market research confirmed Honeywell is the only approved source for the Component Repair Services specified herein. Prior to award. a Notice of Intent to award a sole source purchase order fulfilling the notice requirement of FAR 5.201 will be posted to the GPE via http:/iwrvrv.l'edbizopps.gov. A copy of the approved Justification for

Other Than Full and Open Competition (J&A) will be uploaded with the notice. Any capability statement, proposal, or quotation received in response to the notice will be considered prior to award.

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

Pricing information collected from market research and the current orders was used in the development of the

Independent Government Cost Estimate (IGCE) for this requirement. The average repair prices were multiplied by the quantity for the Components to derive the estimating pricing. The Contracting Officer anticipates

"on1pu.iron of prices proposed with historical pricing and the IGCE will establish price reasonableness.

Part Number

Justification for Other than Full and Open Competition Under f0 U.S.C. 230a (c) (l) Only One Responsible Source and No Other Services Will Satis$ Agency Requirements

Repair of Electronic Amplifiers Solicitation Number: HSCG38-16-Q-J00412

(8) Description of market research.

Market research was conducted in accordance with FAR Part l0 from April20l6 through August 2016. Market research confirmed Honeywell is the only approved repair source for the Components specified herein.

Component Repair Services are commercial in nature and prevalent in private aviation, commercial aviation, and military aviation world-wide. Allterms and conditions are not expected to differ from customary terms and conditions in the marketplace or standard Government practices. Contract financing is not applicable to this requirement. There are no laws or regulations unique to this requirement. No environmentally preferable services were identified during market research and Buy American/Trade Agreements Acts/Section 508 regulations/Safety Act are not applicable to this requirement.

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

Honeywell was contacted to inquire about the release of any proprietary data to the USCG or any other distributors. Honeywell responded that their data is proprietary and resale of their proprietary data is prohibited.

NAVSUP WSS confirmed Honeywell is the only approved source to repair the Components. Failure to approve this Justification For Other Than Full and Open Competition willjeopardize performance of MRR's mission due to grounding of the aircraft as a result of safety concerns stemming from non-availability of Ready For Issue (RFI) Components.

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

NAVSUP WSS confirmed Honeywell is the only approved repair source for the Components specified herein.

(l l) 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.

Every reasonable effort will be made to remove barriers to competition for future requirements. The NAVAIR Research and Engineering Group (AIR-4.0) and NAVSUP WSS are responsible for providing the engineering policies, processes, and support necessary to ensure design integrity and airworthiness throughout the life cycle of the H-60 aircraft. The USCG will continue to work with NAVAIR and NAVSUP WSS in order to learn of any alternate approved sources. If alternate sources are approved by NAVSUP WSS, future repair requirements will be competed among all approved sources. It is in the best interest of the Government to proceed with a sole source award to Honeywell for the repair of the Components used on the MH-60T rotary wing aircraft.

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