CJ&A_15_24873_Redacted.pdf

DEPARTMENT OF THE NAVY

NAVAL AIR SYSTEMS COMMAND

RADM WILLIAM A. MOFFET BUILDING

47123 BUSE ROAD, BLDG 2272

PATUXENT RIVER, MARYLAND 20670-1547

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

I. Contracting Activity.

Naval Air Systems Command (NA VAIR) Headquarters

2. Description of the Action Being Approved.

IN REPl Y REFER TO:

C)&A_l5_24873

This Class Justification and Approval (CJ&A) authorizes and approves the issuance of multiple Firm Fixed Price and Cost Reimbursable type Orders under BOA NOOO 19-15-G-0003 to Raytheon Missile Systems (RMS). Authority to act under this CJ&A expires on 31 August 2020.

3. Description of Supplies/Services.

This CJ&A covers the procurement of spares and/or repairs for Joint Standoff Weapon (JSOW) All Up Rounds (AURs), and support and ancillary equipment for U.S. Navy (USN) and Foreign Military Sales (PMS) customers. This CJ&A covers furnished supplies/services for USN and PMS in accordance with each individual order to support engineering/feasibility studies and investigations, software development, logistics studies, ground tests, training support/development, upgrades to support equipment, special tooling and test equipment; engineering studies, analyses or Engineering Change Proposals (ECPs ); technical support for Navy testing, weapon/aircraft integration design and support; the manufacture, assembly, installation and test of breadboards and/or prototypes; and weapon/ Government Furnished Equipment (GFE) repair to include the furnishings of materials and services necessary to repair, inspect, modify, and/or return to ready-for-issue condition items of Government property.

See Appendix A for Estimated Dollar Value

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

10 U.S.C. 2304(c)(l), Only one responsible source and no other supplies or services will satisfy agency requirements, as implemented by FAR 6.302-1.

5. Rationale Justifying Use of Cited Statutory Authority.

As the sole designer, developer and manufacturer of the JSOW missile, only RMS has the knowledge, experience and access to the technical data necessary to fulfill the Government's need and meet its schedule requirements. (See 10 U.S.C. 2304(d)(l)(B) or 41U.S.C.253 (d)(l)(B). It is likely that an award to any other source would result in a substantial duplication of cost to the Government that is not expected to be recovered through competition.

CJ&A _ 15 _ 24873

As a result of a competitive procurement in 1992, the Raytheon Company (then Texas Instruments) was selected to produce and develop the JSOW. RMS maintains and controls both the Technical Data Package (TOP) and the manufacturing documentation for JSOW (See 6.302-l(b )(2)) and the U.S. Government does not have sufficient technical data rights to use the TDP in a competitive solicitation.

Under an option item of the AGM-154A and AGM-154B Engineering & Manufacturing Development (E&MD) contract, the Government had the option to purchase Government Purpose License Rights (GPLR) technical data for the JSOW AGM-154A at a price of Additionally, in support of JSOW C Milestone III, an evaluation was performed by NA VAIR (AIR- 4.2) to assess the costs associated with establishing a second source. The estimate was (Then-Year dollars) based on historical data from other missile programs.

The Government made the decision not to exercise the Technical Data option since it was anticipated that the cost to procure the GPLR technical data and the additional cost to qualify a second source would not be recovered through competition. Planned quantities would not sustain two sources and would result in unacceptable delays in fulfilling the agency's requirements.

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

The Program Executive Officer, Unmanned Aviation and Strike Weapons, (PEO (U&W)), maintains a constant survey of the missile industry and can identify no other source capable of satisfying the Government's JSOW requirement. No additional market research was conducted as it is not practicable, for the reasons discussed above in paragraph (5), for any source other than RMS to provide the required supplies and services. The notice required by FAR 5.201(b) will be released to the Federal Business Opportunities for each individual order to be placed under the subject BOA.

Any inquiries received as a result of the notice will be given full consideration prior to award.

7. Determination of Fair and Reasonable Cost.

In accordance with FAR Subpart 15.404-1, the Procuring Contracting Officer (PCO) will determine that the procured supplies and services authorized under this CJ&A are from a responsible source at a fair and reasonable price. The negotiated actions will be conducted in accordance with FAR Subpart 15.4 by the PCO, with support, as needed, from Defense Contract Management Agency (DCMA) and Defense Contract Audit Agency (DCAA) personnel to ensure that fair and reasonable prices are established. In order to support the PCO's determination, the Contractor will be required to substantiate its proposed cost or price by providing varying types of cost or pricing information as defined under FAR Subpart 15.4. The Contracting Officer's determination of fair and reasonable price will be based upon information received from historical data field audits, independent technical evaluations and thorough cost/price analysis.

8. Actions to Remove Barriers to Future Competition.

For the reason set forth in paragraphs (5) and (6), NAV AIR has no plans at this time to compete future contracts for the types of supplies/services covered by this document. If another potential source emerges, NA VAIR will assess whether competition for future requirements is feasible.

CJ&A_15_24873

Appendix A Estimated Dollar Value (In Thousands)

Total ($K)

$48,559