J&A_Signed_Redacted.pdf

Justification for Other than Full and Open Competition Under l0 U.S.C. 2304 (c) (1)

Only One Responsible Source No Other Services Will Satisfy Agency Requirements Procurement of Various Tail Strut Parts

Solicitation Number: HSCG38-17-Q-J001 I 1

Pursuant to the requirements of the Competition in Contracting Act, as implemented by the Federal Acquisition Regulation (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 (DHS), United (ALC). Medium Range Recovery (MRR) Procurement other than full and open competition.

States Coast Guard (USCG) Aviation Logistics Center Branch, proposes to enter into purchase order on a basis

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

The MRR Procurement Branch requests approval to award a sole source order to the original equipment rnanufacturer (OEM), Ontic Engineering and Manufacturing (Ontic), for the manufacture of various aircraft Tail Strut parts. The contract will be Firm Fixed Price. These Tail Strut pafts are essential to avoid grounding of the aircraft. The specifications, manufacturing drawings, data, test equipment, and tooling required for the manufacture of these Tail Strut parts are proprietary to Ontic. 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 aircraft. Stakeholders include the MRR Product Line and supported USCG Air Stations. This requirement will be solicited utilizing FAR Part 12 and l3.5. The estimated dollar value is

The United States Naval Supply Weapons Systems Support (NAVSUP WSS) is the Primary lnventory Control Agency and has sole authority and responsibility for certifuing sources of supply and support for H-60 Tail Strut parts. Certification of sources of supply 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.

The Defensive Logistics Agency (DLA) is the lead agency for the Tail Strut parts listed in section (3) and Ontic is the actual manufacture for each paft listed. Ontic's contact information is as follows:

Ontic Engineering and Manufacturing 20400 Plummer Street Chatsworth. CA 913 1 1-537 I

(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 demanding operational tempo, aircraft condition and availability are essential to mission success. The basic objective of this requirement is to preserve service life, reduce life cycle cost, and increase mission capabilities through acquiring supplies as required. Desired delivery is ninety (90) days after receipt of purchase order. The

Tail Strut pafts are listed below with the National Stock Number (Federal Supply Class (FSC) and National Stock

Number (NSN). part number (PA.{). Acquisition Method Code, Acquisition Method Suffix Code. and required quantities.

Justification for Other than Full and Open Competition Under 10 U.S.C. 2304 (c) (1)

Only One Responsible Source No Other Services Will Satisff Agency Requirements Procurement of Various Tail Strut Parts

Solicitation Number: HSCG38-17-Q-J001 I 1

NOMENCLATURE PA{ OTY

Cylinder 3040-01 -202-1293 201282-10 t0

Shaft Shouldered 3040-0r-r80-4101 2012858 5

Bracket Assembly 1620-01 -168-4698 2012862 J

Shimmy Damper Housing 1620-0r -192-3753 2012843 r0

(4) Identification of the justification and the rationale.

The statutory authority permitting other than full and open competition is l0 U.S.C. 2304 (c)(l) as implemented by the FAp6.302-l intitled "Only One Responsible Source and No Other Services will Satisf' Agency iequirements." Ontic is the OEM and only DLA approved source to manufacture these Tail Strut parts. All specifications, manufacturing drawings, data, test equipment, and tooling required for the manufacture of these

Tail Strut parts are proprietary to Ontic.

(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 manufacture these Tail

Strut parts are proprietary to Ontic. fne uSCC did not purchase rights to the proprietary data required to foster a compftitive environmenias part of any original provisioning for use on the MH-60T rotary wing aircraft and the costi to procure this data would be cost p.ohibitiu". In order to successfully maintain airwofthiness of the aircraft and airciaft systems, protect personnel safety, and perform the USCG's mission, the acquisitions of these Tail

Strut parts are restricted to the actual manufacture, w'hether or not the prime contractor is the actual manufacturer'

(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: F2017036127 on http:iiaDl.s.dhs.sov and *as included in the DHb Forecast of Small Business Oppo(unities. Market research confirmed ontic is the only approved manufacture source for the Tail Strut parts specified herein. Prior to award, a combined synopsis/solicitaiion for a sole source purchase order fulfilling the solicitation requirement of FAR

5.201 will be posted to the Government Point of Entry via http://rvrv'uv.f'edbizopps.gor'. A copy of the approved

Justification for Other Than Full and Open Compeiition will Ue uploaded after the award. Any capability statement, proposal, or quotation received in ."tponi" to the solicitation 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 current orders were used in the development of the lndependent Government cost Estimate (IGCE) for this requirement. Previous paid prices, Federal Logistics

Data on Mobile Media (FEDLOG), uri/o, DLA posted iontract pricing listed on Department of Defense

Electronic Mall (DoD EMALL) were used in conjunction with the Producers Price Index, commodity code 1425-

0102 or 1425-01033, to derive the estimated pricing. The contracting officer anticipates comparison of prices proposed with historical pricing and the IGCE will establish price reasonableness'

(8) Description of market research.

Market research was conducted in accordance with FAR Part l0 from January 2017 through February 2017'

Market research confirmed ontic is the only DLA approved manufacture source for the Tail Strut parts specified herein. All terms and conditions are noi "*p""t"d to diff.. from customary terms and conditions in the

NSN

Justification for Other than Full and Open Competition Under 10 U.S.C. 2304 (c) (1)

Onty One Responsible Source No Other Services Will Satisfy Agency Requirements Procurement of Various Tail Strut Parts

Solicitation Number: HSCG38-17-Q-J001 I I 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 is not applicable to this requirement.

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

Ontic was contacted to inquire about the release of any proprietary data to the USCG or any other distributors.

Ontic responded that their data is proprietary and resale of their proprietary data is prohibited. DLA has corrfirmed that Ontic is the only approved source to manufacture these Tail Strut parts. Failure to approve this

.lustification for Other Than Full and Open Competition will jeopardize 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 (RFl)

Tail Strut parts.

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

To date, no other sources have expressed interest in this requirement.

(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 USCG will continue to work with NAVAIR, NAVSUP WSS, and DLA in order to learn of any alternate approved sources. If alternate sources are approved, future supply requirements will be competed among all approved sources. It is in the best interest of the Government to proceed with a sole source order to Ontic for the manufacture of the Tail

Strut parts used on the MH-60T rotary wing aircraft.

J

,Iustification for Othcr than Full and Open Competition Untlu l0 U.S.C. 2304 (c) (l) Only One Responsible Sourcc No Other Services Will Satisfy Agcncy Rcquircments

Ilrocurcnrent of Various Tail Strut Parts liolicitntion Numbcn HSCG38-17-Q-J001 I I

(12) Contracting Oflicer's Ccrtification:

I ccrtily that lhe datn srrpporting the rcconrnrcndcd usc of other than full and open cotnpetiliorr is accrrratc and coruplete to thc best of nry knorvledge and bclief.

(13) Teclrnicrl/llequircnrcnls Per.sonncl Certification, nleets tlte Covernntettl's lttininulm need and that the suppofiing dnla, rvhich lbrnrs a and cornplcte.

(14) Ingal Reyicrv nnd Concurreilce:

I have revierved this.iustilication and deemed it legally sufficient.

I ccrrity thar rhis rcqui

(15) Apgrtnvnl:

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