IMRFDK_J&A_Final_Redacted.pdf

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

INDIAN HEAD EXPLOSIVE ORDNANCE DISPOSAL

TECHNOLOGY DIVISION

3767 STRAUSS AVENUE

SUITE 201

INDIAN HEAD, MD 20640-5150

J&A Number:FY17-DEC15-12 Code: 023

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

JUSTIFICATION

1. Contracting Activity The Naval Sea Systems Command, NSWC Indian Head Explosive Ordnance Disposal Technology Division (NSWC IHEODTD), Contracts Department Code 023, Department D, Indian Head, MD 20640-3681.

2. Description of the Action Being Approved

This action is for the use of other than full and open competition to award a single Firm Fixed sole source contract to procure Improved Mechanical Remote Fuze Disassembly Kits (I-MRFDK), EOD, Remote (AN/GJQ-34) program and a Technical Data Package (TDP). The contract will have a total value of $600,000 in support of the Joint Service Explosive Ordnance Disposal Program.

The identified vendor for this effort is:

General Dynamics, Ordnance and Tactical Systems (GD-OTS) 12644 Research Parkway Orlando, FL 32826.

J&A Number:FY17-DEC15-12

3. Description of Supplies/Services

This action is for the procurement of AN/GJQ-34 systems and a TDP. This will be a Firm Fixed Price (FFP) price contract.

Estimated Dollar Value FY17 Total

US Navy OPN $150,000 $150,000 US Marine Corp OPMC $300,000 $300,000

US Air Force

OPAF $150,000 $150,000

Total $600,000 $600,000

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

4. Statutory Authority Permitting Other Than Full and Open Competition

10 U.S.C. 2304(c)(1) as implemented through Federal Acquisition Regulation (FAR) 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Rationale Justifying Use of Cited Statutory Authority

This procurement represents a Firm Fixed Price type contract to procure Improved Mechanical Remote Fuze Disassembly Kits (I-MRFDK) and the TDP to support sustainment efforts.

The previous contract N00174-08-D-0021 was intended to be awarded using full and open competition with a subsequent down select and limited competition beginning in 2008. The intent was to award to all valid proposers for Phase I with a subsequent strategic downselect occurring at Phase II. Phase III was intended to be a limited competition with those vendors that performed under Phase II of the development contract. However, GD-OTS was the only proposal received in the full and open Phase I competition that was deemed technically acceptable. Therefore, GD-OTS is the only vendor that performed the development and production for the efforts in the following phases. GD-OTS is the only source that can fulfill the government’s current requirement because it is the only source for I-MRFDK capabilities and sustainment and because it has proprietary rights to the underlying TDP to be procured.

Based on the current state of the market, there are no other available systems that would meet the remote fuze disassembly sustainment or TDP needs.

Pursuant to FAR 6.302-1(a)(2)(ii)(A)&(B), supplies may be deemed to be available only from the original source in the case of a follow-on contract for the continued development or production of a major system or highly specialized equipment, including major components thereof, when it is likely that an award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition or would result in unacceptable delays in the fulfilling the agency’s requirement. The Government has invested at least five (5) years and approximately $3.99M for the development, testing, safety certifications, and logistics infrastructure design and development. It is estimated that the Government would have to incur the entire costs of the effort again to qualify another source and these duplicative costs are not expected to be recoverable through competition.

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

In accordance with Defense Federal Acquisition Regulation Supplement 206.302-1 (d), a sources sought notice was released on Federal Business Oppertunities 14 October 2016 and closed 31 October 2016 with no capability statements received.

The proposed action was synopsized on the Federal Business Opportunities (FEDBIZOPS) website on 7 November 2016 and closed 22 November 2016. No other parties expressed interest.

The initial requirement was competed under full and open competition and awarded to GD-OTS. The Government is continuously researching the commercial market for similar systems and will also procure the TDP under this contract in an effort to compete future contracts.

7. Determination of Fair and Reasonable Costs

The Contracting Officer will determine in accordance with FAR Part 15.4 that the anticipated cost to the Government for the supplies/services covered by the J&A will be fair and reasonable prior to award.

8. Actions to Remove Barriers to Competition

As stated under paragraphs 5 and 6, the Government has reviewed the current state of the market and utilized new market research in an attempt to remove barriers of competition. With the market’s current state, there are no available sources to provide the current production systems under this program other than GD-OTS.

The TDP will be procured from GD-OTS and will be used for future production.