CJA 23-0331_ BAE BOA_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

IN REPLY REFER TO:

CJ&A_23_0331

CLASS JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Naval Air Systems Command (NAVAIR) Headquarters

2. Description of the Action Being Approved.

This Class Justification and Approval (CJ&A) authorizes and approves a class of actions on a sole -source basis under Basic Ordering Agreement (BOA) N00019-22-G-0009 with BAE Systems to support the AN/ALE55 Fiber Optic Towed Decoy (FOTD) and Electronic Frequency

Converter (EFC). Requirements covered under this BOA will satisfy both domestic and Foreign

Military Sales (FMS) customers. Authority to act under this CJ&A expires on 30 September 2027.

3. Description of Supplies/Services.

The requirements placed under this BOA include a wide scope of tasks to support FMS, logistics, and engineering efforts for the AN/ALE-55 FOTD and EFC. The logistics efforts include, but are not limited to: (1) procurement of materials, support equipment, test equipment, and piece parts;

(2) maintenance of required technical data; (3) repairs and refurbishment of materials, support equipment, and piece parts; (4) Diminishing Manufacturing Sources and Material Shortages

(DMSMS) efforts; and (5) support of test and fleet aircraft installs. The engineering support efforts include, but are not limited to: (1) fault analysis and corrective actions; (2) performance of studies as required; (3) analysis and evaluation of engineering tradeoffs; (4) software/hardware development efforts; (5) field (test and fleet) support; (6) integration support; and (7) other engineering efforts in support of the AN/ALE-55. Additionally, limited procurement of the

AN/ALE-55 FOTD, EFC, or applicable components may be required. Specific requirements and deliveries will be included in individual BOA delivery orders.

These efforts will be funded with Research, Development, Test, and Evaluation (RDT&E); FMS;

Aircraft Procurement, Navy (APN); and Procurement of Ammunition, Navy and Marine Corps

(PANMC). The total estimated value of the procurement covered by this .

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Estimated Dollar Value ($M)

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

10 U.S.C. 3204(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

In accordance with Federal Acquisition Regulation (FAR) 6.302-1(a)(2)(ii)(B) and (iii)(B), NAVAIR has determined that award of these requirements to any source other than BAE Systems would result in unacceptable delays in fulfilling the agency’s requirement.

BAE Systems is the sole designer, developer, manufacturer, and depot repair facility of the

AN/ALE-55, having won a full and open competition for EMD in November 1995. BAE Systems is the only qualified source with the comprehensive knowledge, rights, and technical data to meet the design and performance requirements for the AN/ALE-55. BAE Systems is the sole owner of the

Type 3-Dimensional (3D) Product Technical Data Package (TDP) and BAE-specific processes, test procedures and testing equipment, program tooling, and factory tooling in the production of the

AN/ALE-55. On 12 April 2023, NAVAIR requested a rough order of magnitude (ROM) from BAE

Systems on the cost of procuring the rights to the Type 3D TDP. BAE Systems responded on

10 May 2023 and declined to provide the ROM. The Government does not possess adequate data and the rights necessary to competitively award this requirement. The final full rate production contract for the AN/ALE-55 was awarded in FY20.

Award of any of the efforts required for this contract to any source other than BAE Systems would result in an unacceptable delay. Approximately 12 months would be required to conduct a competition to select a new source, assuming other sources would still compete based on the limited technical data available. BAE Systems has a unique and in-depth knowledge of the design and manufacturing complexities and operational and support requirements of the AN/ALE-55 due to previous and ongoing contractual efforts. Any new source selected would require at least 4 years to achieve the desired product maturity in order to provide the required supplies. The unacceptable delay product maturity calculation includes 3 years for development and verification and 1 year for productionization in preparation for a low rate production line. This estimate is based on subject matter expert analysis of historical information, including the most recent production lots. Any interruption in production would pose critical setbacks to current test and integration schedules in support of domestic and FMS F/A-18 requirements, including FMS Initial Operating Capability

(IOC) milestones. Based on unacceptable delays, the Government has determined that BAE

Systems is the only responsible source capable of meeting the U.S. Government’s requirements.

CJ&A_23_0331

The efforts described herein cannot be performed by a source other than BAE Systems without unacceptable delays. No other type of supplies or services beyond the AN/ALE-55 FOTD and EFC will satisfy the agency requirements.

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

The sources sought notice required by Defense Federal Acquisition Regulation

Supplement (DFARS) Procedures, Guidance, and Information (PGI) 206.302-1(d) was posted on

13 June 2023. In accordance with FAR 5.201(b)(1), the proposed BOA was synopsized and posted on the SAM.gov website on 07 January 2022 and again on 28 June 2023. No responses have been received to date. Additionally, each order under this BOA will be synopsized individually and posted on the SAM.gov website in accordance with FAR Subpart 5.2. Any responses received will be evaluated by the contracting officer prior to negotiations of each order. No additional research was conducted because it is not practicable, for the reasons discussed in Paragraph 5 above, for any company other than BAE Systems to provide the required supplies and services.

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 CJ&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

For the reasons set forth in Paragraph 5, NAVAIR has no plans at this time to provide for a full and open competition for the types of supplies/services covered by this document. The Government will continue to pursue a TDP with rights that will permit future competition. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible and will continue to conduct market research and canvas the industrial base (commercial and organic) to assess whether third party vendors could provide TDPs to enable future competitions. As this effort is a follow-on for supplies and services previously awarded on a non-competitive basis, in accordance with DFARS PGI 206.304(a)(i), the prior CJ&A was provided to the approval authority for review. Approval of this CJ&A signifies the approval authority has made the determination required by DFARS PGI 206.304(a)(ii).