N00164_CR21112_SAM_Redacted.pdf

J&A Number: CR-21112

Code: 0232 P.R. Number: N0016421RJN06

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center Crane Division (NSWC-CR) Expeditionary Weapons Contracts Branch, Code 0232.

2. Description of the Action Being Approved

Award of a Fixed-Price (FP) and Cost Reimbursement (CR) contract with a five-year term on a sole source basis for supplies and engineering services to ALKAN, Rue du 8 Mai 1945, BP23, Valenton, France for the Bomb Release Unit-65 (BRU-65) Ejector Rack in support of MH-60(S) helicopter platform.

3. Description of Supplies/Services This procurement will support Naval Supply Systems Command and Naval Air Systems Command requirements for BRU-65 systems.

The BRU-65 Ejector Rack Assembly attaches to each external wing of the MH-60 Helicopter and serves as the mounting and firing point for a variety of missile and rocket munitions which makes it a critical part of the aircraft ordnance system in order to support MH-60 Surface Warfare Mission.

The contract value is estimated at $2,000,000; $1,750,000 for supplies and $250,000 for engineering services. Operations & Maintenance, Navy (O&MN), Aircraft Procurement Navy (APN), and Working Capital Fund (WCF) funding are anticipated for this effort.

The Government’s minimum requirements have been verified by the certifying technical and requirements personnel.

The estimated dollar values for fiscal years FY22 through FY27 are identified below in Table 1:

DEPARTMENT OF THE NAVY

CRANE DIVISION

NAVAL SURFACE WARFARE CENTER

300 HIGHWAY 361

CRANE INDIANA 47522-5001

IN REPLY REFER TO:

Table 1: Estimated Dollar Value

FY22 FY23 FY24 FY25 FY26 Totals

O&MN $340,000 $340,000 $340,000 $340,000 $340,000 $1,700,000

APN $50,000 $50,000 $50,000 $50,000 $50,000 $250,000

WCF $10,000 $10,000 $10,000 $10,000 $10,000 $50,000

Totals $400,000 $400,000 $400,000 $400,000 $400,000 $2,000,000

4. Statutory Authority Permitting Other Than Full and Open

Competition

10 U.S.C. 2304 (c)(1), Only One Responsible Source.

5. Rationale Justifying Use of Cited Statutory Authority As the Original Equipment Manufacturer (OEM) for the BRU-65 Ejector Racks and components, ALKAN was awarded sole source contracts N00164-08-D-JN26 and N00164-13-D-JN26, and is the only source capable that possess the necessary Level III Technical Data Package (TDP) and the only source who has the requisite knowledge of the BRU-65 design, operation, and maintenance. ALKAN is the only source able to meet the minimum requirements within the time required to preclude any impact to operational readiness. ALKAN owns the data and production rights to all BRU-65 component hardware and are unwilling to sell the data rights to the Government. The technical data needed contains of the BRU-65 Ejector

Rack System. Thus, the Government does not have the adequate information to solicit from other sources.

Award to any other source would result in substantial duplication of testing, evaluation, and costs which are not expected to be recovered through competition. The Government estimates duplication of cost of as delineated in Table 2 below.

Table 2: Duplication of Cost

Task Description Cost Reverse Engineering of Parts/Maintenance Processes

Drawings Updating and Generating New Technical Manuals

Task Description Cost

First Article Testing

Requirements Testing

Total

Additionally, award to any other source would result in an unacceptable delay to the mission and warfighter. Operational readiness and the ability to execute required missions would be negatively impacted with any lapse of support with regards to the engineering and logistics efforts required to maintain the BRU-65 Ejector Rack Systems. If the BRU-65 Ejector Rack Systems was competed, it would take a minimum of to reverse engineer parts and processes, create drawings, update technical manuals, build and deliver a new system, and conduct Government testing. A delay time of is considered an unacceptable time delay to the mission and warfighter.

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

Through market research conducted by the Requiring Technical Activity (RTA) and the Contract Specialist, ALKAN was identified as the only source that can meet the Government requirement. A Request for Information (RFI), N0016421SNB15, was issued on the Beta SAM website on 11 December 2020. NSWC Crane stated their intent to award a sole-source contract to ALKAN for sub-components for depot repair of the BRU-65 Ejector Rack Assembly for MH-60 Helicopter platforms. One response was received from

. After discussion with ALKAN, ALKAN confirmed that only ALKAN will be supporting this effort as does not have the experience and expertise required to support the effort. In accordance with FAR 5.201(b), the proposed contract was synopsized on the Beta SAM website on 5 February 2021. To date, there have been no responses to the synopsis. Any responses from interested sources received prior to contract award will be reviewed.

7. Determination of Fair and Reasonable Costs The Contracting Officer has determined that the anticipated cost to the Government for the supplies/services covered by this J&A will be fair and reasonable. The Contracting Officer will use cost and price analysis to determine a fair and reasonable price. Historical pricing information will also be used to aid in determining fair and reasonable prices. Certified cost and pricing data is not required for this requirement, however, Defense Contract Management Agency (DCMA) and/or Defense

Contract Audit Agency (DCAA) assistance and/or audit may be requested to support the fair and reasonable cost determination.

8. Actions to Remove Barriers to Competition For the reasons set forth in Paragraph 5, NSWC-CR has no plans at this time to compete future procurements for the required supplies and services. NSWC-CR will continue to survey the market for future requirements and if another potential source emerges, NSWC-CR will assess if competition for future requirements is feasible.