JetSCAN JA REDACTED.doc

DOC document 120 KB Posted

Attached to
JetSCAN Sustainment Federal contract opportunity
Solicitation number
N68335-20-R-0219
Issued by
Department of the Navy Naval Air Systems Command Naval Air Warfare Center

About this file

This justification and approval document authorizes a sole source contract award to Rolls-Royce Corporation to provide extended service and repair support for seven United States Marine Corps JetSCAN oil analysis systems used on AV-8B Harrier aircraft with F-402 Rolls-Royce engines. The JetSCAN systems are used for on-site oil sample analysis to prevent engine damage and minimize aircraft down time. Rolls-Royce is the sole manufacturer of the F-402 engine and owns the technical data rights for the JetSCAN, so they are the only source able to complete repairs within required timelines at fleet locations. The government lacks rights to JetSCAN drawings and design criteria. Awarding to another source would require re-engineering at an estimated cost of $4.8 million in non-recurring expenses plus $2.3 million in recurring costs per unit for a total of $13.8 million. The related federal contract opportunity notice indicates contract N68335-20-P-0439 was awarded on July 31, 2020 to an unknown vendor for an unknown amount to provide this JetSCAN sustainment.

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J&A_20_0398

J&A_20_0398

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Naval Air Warfare Center Aircraft Division (NAWC-AD) Lakehurst, NJ.

2. Description of the Action Being Approved.

This Justification and Approval (J&A) authorizes and approves the procurement of extended service and repair support coverage for all JetSCAN Oil Analysis System Equipment. This procurement will be sole source Firm Fixed-Price contract to Rolls-Royce Corporation (RRC) (CAGE: 63005) 450 S. Meridian St., Indianapolis, IN 46225-1103.

3. Description of Supplies/Services.

The JetSCAN is an Intermediate and Depot level test set to analyze engine oil from the F-402 Rolls-Royce engine. The JetSCAN is used during regular inspections to prevent damage to aircraft engines by taking oil samples from the scavenge filter housing. The samples are tested for contamination particles to determine where the contaminated parts are located. The JetSCAN® is used for on-site analysis for quick time response so aircraft down time is minimal. Repair and Service to maintain the seven (7) JetSCAN systems is a requirement for the United States Marine Corp Harrier operations. Inoperative JetSCAN systems will result in the grounding of Harrier aircraft.

This effort is to provide extended annual scheduled service and repair support coverage for seven (7) United States Marine Corps JetSCAN Oil Analysis Systems for the AV-8B Harrier, F-402 Rolls-Royce engine. RRC shall furnish all labor, equipment (software and hardware), material and service necessary to repair, service, and test to maintain the JetSCAN in a Ready for Issue condition.

See Appendix A for Estimated Dollar Value

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.

RRC is the sole manufacturer of the F-402 engine and owns the data rights to the JetSCAN Oil Analysis System used to support the AV-8B, F-402 aircraft oil analysis program. RRC maintains the JetSCAN equipment and scientific knowledge to complete repairs in the required time period at several Fleet locations. The United States Government does not have the rights to the technical data and RRC is not willing to provide any other company access to the drawings or design criteria.

Award to another source would result in the duplication of costs from the need to re-engineer and re-qualify the equipment. The re-qualification time would cause a 36-month delay due to the procurement administrative lead-time and non-recurring efforts. The additional design and testing (non-recurring) is estimated at approximately $4.8M, with a recurring cost of $2.3M per unit. The total recurring costs to re-outfit the Fleet is $13.8M, as six (6) units are required.

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

The Sources Sought Notice required by the Defense Federal Acquisition Regulation Supplement 206.302-1(d) was published on the betaSAM website on 29 April 2020 and closed on 06 May 2020 and no inquiries were received.

In accordance with FAR 5.201(b)(1), this requirement was synopsized on the betaSAM website on 28 May 2020 and closed on 12 June 2020 and no inquiries were received. One (1) response was received from RRC on 04 June 2020. The Government intends on releasing a request for proposal to RRC.

7. Determination of Fair and Reasonable Cost.

In accordance with FAR 15.402, the Contracting Officer shall ensure that all supplies and services provided under this contract are procured at a fair and reasonable price. The Contractor will submit a formal price proposal with certified cost or pricing data and sufficient information to support the accuracy and reliability of the estimate. The proposal will be reviewed by experienced technical analysts, cost analysts, and contract specialists with the aid of necessary field pricing support. The Contracting Officer will utilize cost and price analysis as the basis for negotiating a fair and reasonable price.

8. Actions to Remove Barriers to Future Competition.

For the reasons set forth in paragraph 5, NAVAIR has no plan at this time to compete future contracts for the types of supplies/services covered by this document. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible.

Appendix A

Estimated Dollar Value in Thousands

FY 20
FY 21
FY 22
FY 23
Total
APN
2000

$2000

Total

$2000

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance, which are included in this Justification and its supporting acquisition planning documents, except as noted herein, are complete and accurate to the best of my knowledge and belief.

Technical Cognizance:

Mr. Juan Jordan

Date

(732) 323-5132

Requirements Cognizance:

Mr. Shaun Brown

(732) 323-2132

LEGAL SUFFICIENCY REVIEW

I have determined this Justification is legally sufficient.

Ms. Denise M. Marrama

(732) 323-2131

CONTRACTING OFFICER CERTIFICATION

I certify that this Justification is accurate and complete to the best of my knowledge and belief.

Mr. Matthew J. Ludwig

(732) 323-7953

APPROVED

Upon the basis of the above justification, I hereby approve the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1).

Mr. Thomas F. Hill

Chief of the Contracting Office

PAGE

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