Limited Source Justification 47QFLA22K0024 C-130 Armor Kits.pdf

General Services Administration (GSA)

LIMITED SOURCES JUSTIFICATION

SOLICITATION 47QFLA22Q0208

INTERAGENCY AGREEMENT NUMBER 47QFLA19S0012

Identification of Agency and Contracting Activity:

Agency:

General Services Administration (GSA) Federal Acquisition Service, Region 5 (FAS R5) Acting in support of:

C-130J United States Air Force (USAF) Production Program 2275 D Street, Bldg 16, Rm 149 Wright-Patterson AFB, OH 45433

Contracting Activity:

GSA, Region 5 Federal Acquisition Service Contracting Division 2600 Paramount Place, Suite 180 Fairborn, Ohio 45324

1. Nature and/or Description of Action Being Approved :

The government contemplates awarding a new Firm Fixed Price contract for C-130 Kits for the C-130J and KC-130J aircraft. The proposed delivery schedule is outlined in Table 1, Delivery Schedule. The estimated value of the procurement is $338,223.52. This justification supports the sole source procurement of this effort to Foster Miller/QinetiQ.

(DUNS: 019677178).

CLIN Description Quantity Delivery Date 0001 80551800 C-130J Group A Installation

Kits 2 (EA) 01-Apr-23

0002 80551001 C-130J Armor Group B Kits 2 (EA) 01-Apr-23

0003 42281400 Crew Door Supplemental Kits 2 (EA) 01-Apr-23

Table 1 – Delivery Schedule

Fiscal Year 2022 Air Force (AF) 3010 funding will be provided. This order will be non-severable, and therefore will be fully funded at the time of award. This is a Firm-Fixed Price (FFP) requirement, and therefore, all CLINs will be fully funded at the time of award.

DocuSign Envelope ID: E2187D02-5D35-4E59-BE8B-4CE1117B7F4D

The client identified that a BPA would be beneficial for additional armor kits to be acquired in FY23 and beyond. Therefore, a follow-on acquisition for armor kits is contemplated to occur, and the initial BPA documentation for a follow-on has been requested from the client. The client has verified that the BPA documentation would be provided in FY23.

2. A Description of Supplies/Services Required to Meet Agency’s Need:

The C-130J Program Office has a requirement for incorporation of small arms ballistic protection onboard the C-130J and KC-130J aircraft. This effort procures the Armor Kits needed on the aircraft to protect primary crew locations, including the pilot, copilot, auxiliary crew station, crew bunk, loadmaster seat, and crew door locations. The armor also protects other critical equipment including the liquid oxygen converter, and mission computers. The C-130J Program office, AFLCMC/WLNN, supports unique requirements for the aircraft, and to the bases receiving them. The C-130J Armor Kits are part of the support ASC/WLNN provides in order for the aircraft to be able to meet operational requirements.

These parts are not stocked, stored, or issued by any Government source. The only known source is Foster-Miller Inc., LAST Armor Division, a large business, and the Original Equipment Manufacturer (OEM). LAST Armor (Light-applique Armor Systems Technology) kits provide protection against ballistic attacks, providing protection to military assets and saves flight crew lives. The kits are lightweight and durable, but also easy to repair. These items are currently listed on the Foster-Miller Inc. GSA Schedule, 47QSWA21D0003.

The estimated value of all the kits is $338,223.52 The estimate was developed by the AF using planned expenditures and anticipated budgets and is based upon Foster-Miller’s schedule prices. The requirement consists of material and manufacturing on a FFP basis.

The Independent Government Cost Estimate (IGCE) per year is as follows:

Description Mfr Part No.: Quantity Unit Price Extended Price

C-130J Group A

Armor Kit

80551800 2 EA $149,938.90 $299,877.80

C-130J Group B

Armor Kit

80551001 2 EA $2,697.76 $5,395.52

C-130J Supplement

42281400 2 EA $16,475.10 $32,950.20

al Kit

Total $338,223.52

The following supplies are required as a result of this acquisition:

1. 2 (EA) – 80551800 C-130J Group A Installation Kits

2. 2 (EA) – 80551001 C-130J Armor Group B Kits

3. 2 (EA) – 42281400 Crew Door Supplemental Kits

The delivery location of these items will be as follows:

FOB Origin Lockheed Martin Aero-GFE 707 Duncan Street Bldg B28

SW RCVG DOCK DEPT 0804 MZ 400

Marietta, GA 30063.5000 ATTN: Andre Washington (770) 494-1683

3. An Identification of the Statutory Authority Permitting Other Than Full and Open Competition:

This action is being proposed using the authority cited in FAR 8.405-6(a)(1)(i)(B) Limited Sources, which states that “Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized”.

Additional market research was conducted to try to identify alternate parts; however, it was determined that these are the only armor kits designed and approved for use on the C-130J and KC-130J. Alternate parts would have to be approved by HQ Air Mobility Command (AMC). Furthermore, the alternate parts would have to be tested and qualified for use on the aircraft by Lockheed Martin, the aircraft’s manufacturer. A mixed configuration of kits from different manufacturers on the aircraft would cause unacceptable delays in procurement and potential production or maintenance issues that could impact mission readiness. In addition, consideration of an alternative solution from a different source would not meet the program office’s required need date for award of the delivery on 01 April 2023. As such, the armor kits procured under this contract are essential to meeting the C-130J Program Office’s mission.

The Region 5 GSA Office has taken all necessary and reasonable actions to prepare for a timely quote of the required kits, receiving only one acceptable response, from

Foster-Miller, in response to the Government’s posted Request for Information (RFI) notice (see section 6 for a detailed description of the market research conducted).

4. A Demonstration that the Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Requires Use of the Authority Cited:

Foster-Miller is the OEM and the only approved source. There are no other armor kits certified by the aircraft manufacturer for installation which are compatible for use with either the C-130J and/or KC-130J aircraft. As such, it is not feasible to go to any source other than Foster-Miller. In addition, the parts are International Traffic in Arms Regulations (ITAR) restricted.

ITAR controls the export and import of defense-related articles and services on the United States Munitions List (USML). According to the U.S. Government, all manufactures, exporters, and brokers of defense articles, defense services, or related technical data must be ITAR compliant. For a company involved in the manufacture, sale or distribution of goods or services covered under the USML, or a component supplier to goods covered under the USML, the stipulation or requirement of being “ITAR certified (compliant)” means that the company must be registered with the State Department’s Directorate of Defense Trade Controls (DDTC) if required as spelled out on DDTC’s website and the company must understand and abide by the ITAR as it applies to their USML linked goods or services. The companies themselves are certifying that they operate in accordance with the ITAR when they accept being a supplier for the USML prime exporter. In other words, companies must register with the DDTC and know what is required of them to be ITAR compliant and then certify that they possess that knowledge.

These kits are not stocked, stored, or issued by any Government source. The only known source is Foster-Miller Inc., LAST Armor Division, a large business, and the OEM. LAST Armor kits provide protection against ballistic attacks, providing protection to military assets and saves flight crew lives. They are lightweight and durable, but also easy to repair. A change in source would require testing at additional cost, and create a mixed configuration in the fleet, which could affect mission requirements.

In accordance with FAR 8.405-6(a)(2), the limited sources justification will be posted within 14 days of establishing the task order.

This action is being proposed using the authority cited in FAR 8.405-6(a)(1)(i)(B) Limited Sources

5. A Description of Efforts Made to Ensure that Offers are Solicited From as Many Potential Sources as Practicable:

Market Research for this requirement was conducted in August 2022. The North American Industry Classification System (NAICS) code identified for this requirement is

336413 Other Aircraft Parts and Auxiliary Equipment Manufacturing, and the small business size standard is 1,250 employees. As this procurement is for armored aircraft kits, it has been determined that this NAICS is appropriate for this delivery order.

The GSA Market Research as a Service (MRAS) Commodity Research Report tool was used for this acquisition, The tool uses the part number and manufacturer name to search all available sources on GSA Advantage. The market research report includes the lowest price for all parts found, the most common unit of issue for each part across all sellers, a listing of providers that can meet 65% and 40% of all parts, and the raw data related to these parts. After submission of the market research request, only one vendor, Foster-Miller, has the parts required by the client available. There were no other parts or vendors that could satisfy the requirements of this acquisition. As a result, it was determined that Foster-Miller is the only acceptable source.

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

The Contracting Officer will confirm that the anticipated cost to the Government will be fair and reasonable. The supplies are currently on the contractor’s Multiple Award Schedule, which has already been determined to be fair and reasonable. In accordance with FAR 15.404-1 and FAR 15.405, quote analysis and/or negotiations will be completed.

7. A Description of the Market Research Conducted and the Results or a Statement of the Reason Market Research was not Conducted:

Foster Miller/QinetiQ is the only approved source for the Armor Kits used on the C-130J and KC-130J aircraft and is the only source capable of fulfilling this procurement effort.

These kits are not stocked, stored, nor issued by an existing government source.

Additional research was conducted to identify alternative parts and sources, however, it was determined that Foster Miller Armor Kits are the only existing kits that have been designed and approved for use on the C-130J aircraft. Alternatively sourced parts/suppliers would require re-testing and re-qualification for use on the aircraft.

Approximately 95% of the C-130J fleet have the Armor Kits installed, and it would be fiscally impractical for the USG to design, develop, and recertify parts from another manufacturer. Additionally, multiple versions of the armor could be expected to increase sustainment costs of the aircraft.

8. Any Other Facts Supporting the Use of Other Than Full and Open Competition:

Not applicable

9. A Listing of the Sources, if any, That Expressed, In Writing, An Interest in the Acquisition:

There was only one response to the MRAS Commodity Research Report tool.

Foster-Miller, the OEM, is the only available source for the Armor Kits required for the aircraft.

10. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any Barriers to Competition Before Any Subsequent Acquisition for the Supplies or Services Required:

There are no other approved sources available for the C-130J armor kits at this time.

Until such time as cost and schedule permit the opportunity to test and qualify another vendor by the AF, competition will not be feasible.

11. Contracting Officer Certification that the Justification is Accurate and Complete to the Best of the Contracting Officer’s Knowledge and Belief:

I certify that this Justification is accurate and complete to the best of my knowledge and belief, and I determine on the basis of the findings above that an “other than full and open competition” approach is in accordance with the FAR 8.405-6(a)(1)(i)(B) is in the best interest of the Government.

Patrick Salter Date Contracting Officer

GSA FAS R5

Technical and Requirements Personnel Assertion:

The technical personnel’s signature below provides evidence that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief.

Brad Sabo Date Program Manager

ASC/WLNN – USAF

DocuSign Envelope ID: E2187D02-5D35-4E59-BE8B-4CE1117B7F4D

8/17/2022

Final Approval

Yjuania Still Date Supervisory Contracting Officer

GSA FAS R5