JandA Redacted.pdf

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Attached to
upgrade of the AWM-103B Stores Management Subsystem Test Set (SMSTS)
Solicitation number
N68335
Issued by

About this file

This Justification and Approval document concerns a sole source contract award to Science Applications International Corporation (SAIC) for the upgrade of the AWM-103B Stores Management Subsystem Test Set (SMSTS) to the AWM-103C configuration. The Naval Air Systems Command Naval Air Warfare Center intends to award this contract without full and open competition due to SAIC being the only responsible source that can meet the required timeline for delivery of upgrade kits by October 2024. As the original equipment manufacturer, SAIC holds the technical data rights and has already completed design and testing work on the AWM-103C upgrade under a previous Other Transaction Authority agreement. Competing this requirement would add a minimum 34-month delay to the timeline due to the need for a new contractor to develop calibration test equipment and undergo certification. Maintaining the current capability of the SMSTS is critical to avoiding operational readiness issues across multiple units.

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J&A Number: 22-0131

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

10 U.S.C. 2304(c)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

The AWM-103B SMSTS upgrade is essential to avoid mission critical deficits in operational units due to obsolescence issues with the current design. At the present time, the final revisions to the product drawings and specification are nearing completion and the Government will receive the finalized drawing package as part of SAIC’s Other Transaction Authority (OTA) Defense Ordnance Technology Consortium (DOTC) award. The finalized upgrade kit drawings will be added to the Technical Data Package (TDP) for the complete AWM-103C configuration. Under the OTA, SAIC has also successfully completed First Article Test and delivered ten (10) pre-production units to the Government.

The production of upgrade kits of the AMW-103 SMSTS is required by October 2024. The acquisition timeline to compete this requirement hinges on obtaining the finalized drawings, which are not expected until late August 2022. In addition to the acquisition time, an award to any other vendor other than SAIC would have a minimum of a 34 month lead time for the production of the first article unit/kit before full rate production is authorized where SAIC would be able to begin production upon award. This includes 16 months to produce or acquire necessary calibration Automatic Test Equipment (ATE) designed and developed by SAIC, two

(2) weeks for ATE training, an additional nine (9) months for calibration certification by Navy METCAL, and nine (9) months to manufacture the first article unit after certification is received.

The ATE is necessary to be produced or acquired to test every upgrade kit. Based upon the timeline described above, if this were competed to any other vendor, authority to enter into full rate production would not occur until calendar year 2026.

Due to the above, no other vendor can meet the aforementioned timeline. The delays associated with awarding to any party other than SAIC will result in major operational mission readiness degrades due to shortages of this key test equipment. If the AWM-103 SMSTS is unable meet mission requirements, severe delays in deployments and operational missions will occur.

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

Market research consisted of internet searches for vendors with experience with the AWM-103 system and interviewing subject matter experts. SAIC is found in all AWM-103 internet searches, as they are the Original Equipment Manufacturer, and hold the Naval Supply Systems Command contracts for depot repair and calibration of the AWM-103.

OTA DOTC was released seeking a solution to the parts obsolescence issues with SAIC AWM-103B on 23 July 2021. The results from the agreement resulted in the AWM- 103C configuration.

J&A Number: 22-0131

A Request for Information (RFI), N6833522RFI0059, was posted on 8 March 2022 to SAM.gov and one response was received. expressed interest and basic capability in the manufacture and test of circuit card assemblies. Utilizing this capability would require duplicate government investment into tooling, test equipment, testing, and calibration equipment.

It is unlikely they could be fully operational in time to avoid operational readiness degrades.

was informed about the time limitations and stated they understood the rationale for going sole source to SAIC.

A pre-solicitation synopsis, N6833522R0059, was posted on 24 March 2022 to SAM.gov stating the intention of NAWCAD to award sole source to SAIC and received one response.

self-identified through the SAM.gov posting as an interested vendor. An internet search revealed they were a small business operation specializing in writing contract proposals, not manufacturing electronic modules. The Government did not provide a response to as the Government was not contacted in writing as required by the posting. No further inquiries were received. Any responses received prior to contract award will be evaluated by the Contracting Officer.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined the anticipated cost to the Government of the supplies/services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

Beyond this upgrade requirement, additional upgrade kits will not be required. All future acquisitions of the AWM-103 will be for the AWM-103C configuration, not an upgrade kit. The Government has no plans at this time to compete future contacts for the AWM-103C upgrade kits covered by this document. This is likely to be the final buy of the upgrade kit. After receipt of the TDP, the Government will have the ability to compete future contracts for the AWM-103C configuration.

File details come from the government source that posted it. Updated .