JEFO 23-0179 Redacted.pdf

JEFO Number: 23-0179

DEPARTMENT OF THE NAVY

NAVAL AIR SYSTEMS COMMAND

RADM WILLIAM A. MOFFET BUILDING

47123 BUSE ROAD, BLDG 2272

PATUXENT RIVER, MD 20670-1547

IN REPLY REFER TO

JUSTIFICATION FOR AN

EXCEPTION TO FAIR OPPORTUNITY

1. Contracting Activity.

Naval Air Systems Command (NAVAIR) Headquarters

2. Nature and/or Description of Action being Approved.

Pursuant to FAR 16.505(b)(2)(i)(C), this Justification for an Exception to Fair Opportunity (JEFO) authorizes and approves the award of an order modification as a logical follow-on to existing Order N0001923F0266 under Indefinite Delivery Indefinite Quantity (IDIQ) Contract N0001918D0110 awarded to Standard Aero on 22 February 2023 for the induction and minor repair of one P-8A Poseidon aircraft.

This JEFO authorizes the procurement of [redacted] required to correct known engine component reliability issues to now identified P-8A Engine Serial Number (ESN) [REDACTED] to ensure the engine is returned in Ready-For-Issue (RFI) status.

3. Description of the Supplies or Services Required to Meet the Agency’s Needs (including the estimated value).

The Maritime Patrol and Reconnaissance Aircraft program office (PMA-290) requires [REDACTED] on P-8A ESN [REDACTED] to bring the engine into the latest approved configuration. The estimated total value of the supplies and services is approximately [REDACTED].

4. Identification of the Justification Rationale (see FAR 16.505(b)(2)) and, if applicable, a Demonstration of the Proposed Contractor's Unique Qualifications to Provide the Required Supply or Service.

Pursuant to FAR 16.505 (b)(2)(i)(C), the order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, provided that all awardees were given a fair opportunity to be considered for the original order.

As a result of competitive Solicitation N00019-15-R-2004, on 1 February 2018 Standard Aero was one of two awardees for P-8A Poseidon engine repair IDIQ contracts. Pursuant to each contract’s clause H-1

AIRFRAME AND ENGINE IDIQ CONTRACT FAIR OPPORTUNITY ORDERING PROCEDURES,

the Government conducted a competition between the two engine depot IDIQ contractors for Option Period 5 resulting in the selection of Standard Aero as the primary awardee and issuance of Order N0001923F0266 to Standard Aero. The order procured the induction and Minor Repair of one (1) P-8A engine, as well as Option Items to induct seven (7) additional engines. On 28 February 2023, P-8A ESN [REDACTED] was inducted into Standard Aero’s facility. On 9 March, pursuant to the Order, Standard Aero delivered an Engine MRO Assessment Report detailing the results of the assessment, the inspection findings, and the recommended work scope to return the engine to RFI condition, which included [REDACTED]. An order modification must be issued on a sole source basis in the interest of economy and efficiency because it is a logical follow-on to the order, as the engine, scheduled for induction and repair, is in an opportune state to effect the TD incorporations to return the engine to RFI condition.

5. A Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The effort, as a whole, falls under the cognizance of the IDIQ Contract’s Technical Directives Firm Fixed Price (FFP) and Time and Materials (T&M) CLINs. The Technical Directives FFP CLINs’ prices are in accordance with the corresponding IDIQ Contract CLINs’ prices, which were established under adequate competition. The T&M CLIN has a single labor hour rate and material mark-up rate. Both of those rates were established during the overarching competitive IDIQ contract source selection process. Ultimately, the contractor will be paid for actual hours applied and material costs incurred toward meeting the requirements in accordance with the contract. Based on the information provided and the prices previously established under adequate competition, the Contracting Officer anticipates the costs to the Government will be fair and reasonable.

6. Any other Facts Supporting the Justification.

The additional tasking described in Section 3, performed as a stand-alone event, would create duplicative actions for the contractor to perform, costing the Government an estimated additional [REDACTED]. The duplicative efforts entail preparing and shipping the engine to another facility, inducting the engine and performing inspections, inventory, and partial dismantling to access and assess the core. Additional impacts to the Government as a result of inducting the engine back into a contractor’s facility include surveilling the duplicative effort that is currently part of the engine repair tasking. Combining the TD incorporations concurrently with the engine induction ensures Navy aircraft and aircrew safety and improves readiness, reduces cost, and helps meet schedule requirements.

7. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers that Led to the Exception to Fair Opportunity before any Subsequent Acquisition for the Supplies or Services is Made.

The two IDIQ contracts include a base period and six option periods. Each option period is subject to competition between the two IDIQ contractors which includes obtaining competitive FFP unit prices and T&M rates to fulfill requirements such as those described within this JEFO.

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION

[REDACTED]