CJA_VH Sustainment_Redacted.pdf

VH-92A® is a registered trademark of the Department of the Navy

DEPARTMENT OF THE NAVY

PROGRAM EXECUTIVE OFFICER

AIR ASW ASSAULT SPECIAL MISSION PROGRAMS

47123 BUSE ROAD, BLDG 2272, SUITE 162

PATUXENT RIVER, MD 20670 -1547

IN REPLY REFER TO

CJ&A 21-0338

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 the issuance of an Indefinite Delivery Indefinite Quantity (IDIQ) contract on a sole source basis to Sikorsky Aircraft Corporation, a Lockheed Martin Company (hereafter “Sikorsky”), Stratford, CT, for the products and services required to sustain all VH Presidential Helicopter Platforms (VH-3D, VH-60N, and VH-92A® aircraft), including flight test aircraft, trainer and test assets. Authority to act under this CJ&A expires on 31 December 2027.

3. Description of Supplies/Services.

This CJ&A supports the procurement of products and services required to sustain the VH aircraft (VH-3D, VH-60N and VH-92A), test aircraft and training assets worldwide to meet the Marine Helicopter Squadron One (HMX-1) requirement to successfully execute 100% of its assigned missions. To accomplish the full scope of this effort, the Government requires integrated logistics support; sustaining engineering; program management; maintenance; repair; reliability improvements; configuration and obsolescence management; material management including spares procurement and component overhaul, repair and replacement; overhaul and rework; test and related test support; systems engineering and integration analysis; physical security and systems security engineering; on-site support; and training activities. Site support is required at various production, test, and operating locations to provide worldwide instantaneous response to logistics and mechanical issues.

The Contracting Officer will define the specific quantities, periods of performance, and delivery requirements for each order between FY 23 – FY 28. The total CJ&A estimated value of the orders under this effort is and is anticipated to be funded by the fiscal years and appropriation set forth in the table below:

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 Authority.

Sikorsky is the sole designer, developer, and manufacturer of the VH-3D, VH-60N and VH-92A aircraft. The VH-3D and VH-60N aircraft were originally procured from Sikorsky on a sole source basis under contracts N00019-72-C-0121 and N00019-85-C-0185. Sikorsky was awarded the presidential helicopter replacement (VH-92A) Engineering and Manufacturing Development (EMD) and production contract (N00019-14-C-0050) under a full and open competition.

In addition, Sikorsky has sustained the VH-3D since 1976 and VH-60N since 1990, on a sole source basis. Sikorsky has designed and installed all unique aircraft configuration changes on the VH-3D and VH-60N since that time and is the only source that possesses the technical data necessary to provide sustaining engineering and related product support. The VH-92A is a derivative of the commercial S-92A, a Sikorsky built aircraft, and as such the Government does not have the necessary technical data rights to compete this effort, nor is Sikorsky willing to sell the data rights. The Government requested to procure the S-92A data rights, but Sikorsky is unwilling to price a technical data package due to the commerciality of the S-92A and other systems. For these reasons, the Government does not have the sufficient data rights (data packages, drawings, or software) required to compete the efforts described herein. As such, Sikorsky is the only known source with the requisite skilled personnel, test equipment, laboratory facilities, and proprietary data to complete the efforts called for hereunder and meet the Government’s requirement to be able to immediately respond to logistics and mechanical issues encountered worldwide to support the presidential mission.

Award to any other source would result in an unacceptable delay in fulfilling the presidential vertical lift mission requirements. The timeline to compete and qualify a second source to fulfill the presidential vertical lift mission requirements is estimated to take a minimum of seven years based on the time expended during the VH-92A competition and EMD phase of the program. A delay of this magnitude is unacceptable and would impact the replacement of the aging VH-3D and VH-60N aircraft and significantly degrade the ability to meet 100% readiness of the critical presidential transport mission.

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

In accordance with DFARS PGI 206.302-1 (d), a Sources Sought was posted to the SAM.gov website on 03 February 2021. Summit Aviation, Inc. (Summit) submitted a capability statement in response to the sources sought notice. Summit acknowledged their capability statement was only partially compliant to the requirements of the sources sought as a preponderance of Summit’s experience pertains to the actual maintenance, manufacturing, and modification support. The Government reviewed Summit’s response and determined that Summit does not meet all of the Sustainment IDIQ requirements. Summit did not demonstrate experience in all areas of logistics and engineering support, security requirements, as well as access to original equipment manufacturer technical data that is essential to providing all of the tasking required under the Sustainment IDIQ contract. The Government provided its determination to Summit and referred the company to Sikorsky for subcontracting opportunities. Summit confirmed receipt of the email and indicated no further action would be taken.

In accordance with FAR 5.201, the proposed contract was synopsized on the SAM.gov website on 16 March 2021. Honeywell submitted a proposal for a subset of S-92 commercially available parts; however, did not address the full scope of the Sustainment IDIQ requirements. As a result, the Government determined that Honeywell is not capable of meeting the Sustainment IDIQ requirements, as the proposal did not adequately demonstrate the capability to provide the requisite level of VH-92A systems expertise that is essential to providing all of the tasking required under the Sustainment IDIQ. The Contracting Officer provided a response to Honeywell and referred the company to Sikorsky for subcontracting opportunities. Honeywell responded and did not challenge the Government’s assessment of their ability to meet all of the Sustainment IDIQ requirements. The Contracting Officer will evaluate any responses received prior to award.

Additionally, parties interested in subcontracting opportunities will be referred to Sikorsky to maximize competition in subcontracted efforts.

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 compete future contracts for the types of sustainment products and services covered by this document. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible.