JA 21-0221 REDACTED.pdf

DEPARTMENT OF THE NAVY

NAVAL AIR WARFARE CENTER AIRCRAFT DIVISION

IN REPLY REFER TO:

J&A_21-0221

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Naval Air Warfare Center Aircraft Division (NAWCAD) Lakehurst, NJ

2. Description of the Action Being Approved.

This justification and approval authorizes and approves award of an Indefinite Delivery Indefinite Quantity (IDIQ) type contract for High-Resolution (HR) Optical Time Domain Reflectometer (OTDR) Sets under a limited competition basis. This IDIQ contract will contain five one-year ordering periods for the issuance of firm fixed priced delivery orders. The competition will be limited to Viavi (Cage 6UW26) and their authorized distributors. This procurement is in support of the United States Navy (USN) and Foreign Military Sales (FMS) P- 8A Poseidon programs including Norway, South Korea, New Zealand and the United Kingdom.

3. Description of Supplies/Services.

These HR OTDR Sets, Viavi Part Number 0741-8100, is required to pin-point the location of an excessive optical signal loss that is the cause of the fiber optic link failure. The failure location is pin-pointed without having to test each connection independently which reduces maintenance time. The minimum quantities required for the USN is 17 each with a maximum of 24 each for FMS. The maximum of 24 each includes any FMS quantities that may be needed to support Norway, South Korea, New Zealand and the United Kingdom.

Estimated Dollar Value in Thousands

Total

Total $833.2

4. Statutory Authority Permitting Other Than Full and Open Competition.

Statute: 10 U.S.C. 2304(c)(1), Only one responsible source or a limited number of sources and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

Part number 0741-8100 was specifically designed, developed and manufactured by Viavi for the P-8A Aircraft and has no commercially available equivalent. It is unique to P-8A because it contains a Viavi HR OTDR Set part number TB6000-0705-5507. These HR OTDR Sets are required to pin-point the location of an excessive optical signal loss that is the cause of the fiber optic link failure. The failure location is pin-pointed without having to test each connection independently which reduces maintenance time. The Viavi reflectometer set has been tested by the P-8A Maintenance Facility at the Depot in Naval Air Station Jacksonville and is the only HR OTDR Set that has been found to meet the requirements of the P-8A Aircraft. Although Viavi is the Original Equipment Manufacturer (OEM) of the part number, Viavi established an exclusive partnership with Kitco (Cage 08RC6) and Kitco’s authorized distributors (Murray Benjamin Electric, Crown Point Systems, Atlantic Diving Supply, Allegiance Supply Incorporated and South Swell Technology Solutions) to handle the military sales of the kits. Kitco (and their authorized distributors) provide military level kitting, labeling, and packaging of Viavi products sold to the US Department of Defense. They maintain approved internal processes to meet the unique fiber optic requirements of military shipments.

If the Navy were to introduce an alternate part number with the equivalent capabilities into the system, the HR OTDR Set would be required to undergo testing and logistics implementation to ensure they could meet the P-8A requirements. The Fleet Support Team (FST) at Jacksonville, Florida completed extensive testing of the Viavi unit on the P-8A Aircraft. This is the only unit that has been tested and certified for use on the P-8A. Another unit currently does not exist that meets the P-8A requirements. A new unit would have to be developed and qualified.

Development and qualification costs would result in a duplication of the engineering efforts previously expended. Development costs are estimated at $80K for the materials, testing, and rework of the technical documentation. Additionally, qualification testing would be necessary at a cost of approximately $244K that includes participation by the OEM technicians, FST personnel, NAWCAD Lakehurst engineering personnel and NAWCAD Patuxent River test and evaluation personnel. The duplicative engineering and development costs totaling $324K would not be recouped through competition. In addition, developing and qualifying another product would delay any procurement action for at least 9 months (6 months for prototype development and an additional 3 months for aircraft time to fully test/certify a new unit).

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

Market research was conducted and confirmed that only Kitco and their authorized distributors can manufacture and deliver the above Peculiar Support Equipment (PSE) required. Various Internet search engines (Google, FPDS and DSBS) were queried for potential sources of the PSE to meet P-8A requirements and yielded no additional results. As required by FAR 5.201(b), a sources sought notice was posted to the Beta.sam.gov website on 24 February 2021. No responses were received. Additionally, a pre-award synopsis was posted on the same website on 05 March 2021. No responses were received.

7. Determination of Fair and Reasonable Cost.

The negotiation and establishment of a fair and reasonable price will be conducted in accordance with FAR 15.4. As stated in FAR 15.402, the Contracting Officer shall purchase all supplies and services at a fair and reasonable price. Based upon historical cost data, the Contracting Officer, Defense Contract Management Agency, and Defense Contract Audit Agency auditors have adequate information and background to determine a fair and reasonable price.

8. Actions to Remove Barriers to Future Competition.

For the reasons set forth in Paragraph 5, NAWCAD has no plans at this time to compete future contracts for the types of supplies/services covered by this document.