J A-14D3025.pdf

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

DAHLGREN DIVISION

6149 WELSH ROAD, SUITE 203

DAHLGREN, VIRGINIA 22448-5130

IN REPLY REFER TO

J&A Number: DL 13182.1 Code: CS40-12

N00178-14~D-3025

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, Dahlgren Contracts Department.

2. Description of the Action Being Approved

Award of a firm fixed priced and cost plus fixed fee Indefinite Delivery, Indefinite Quantity (IDIQ) contract on a sole source basis from Progeny systems.

3. Description of Supplies/Services

This requirement is for a maximum of thirty (32) Progeny VERITAS Controlled Interface Devices (CID) and non reoccurring engineering (NRE) that includes modification of the Unmanned Aircraft System (UAS) CID software in accordance with the Interface Requirements Specifications (IRS) and Development of an Integrated Logistic Support (ILS) plan for incorporating VERITAS Controlled Interface Device in an Interactive Electronic Technical Manual.

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

The estimated value of this acquisition is $537,122.

Funding will be provided as follows:

OPN $10,000 $304,820 $314,820

Total $232,302 $304,820 $537,122

J&A Number: DL13182.1

Period of performance is estimated to start on 3 March 2014 and end 3 March 2015.

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 Statutory Authority

The intended use for this equipment is to enable functional control of communications and messages to and from the main system, the high side level and Digital Recorder Subsystem, the low side level.

The Digital Recorder Subsystem replaces the existing and obsolete Digital Recorder equipment directly connected to the main system. Selection of an alternate Controlled Interface Device or Cross Domain Solution other than the Progeny CID is riot possible due to the extreme configuration differences with the installed system. The original contract was a Small Business Innovation Research (SBIR) contract (Phase I and II) awarded to Progeny Systems. An alternative controlled interf~ce device or cross domain ,solution to replace the VERITAS CID would cost the Government in excess of $500,000 in materials, $300,000 in labor, and $100,000 for annual maintenance and licensing fees including travel and engineering support. In addition to the increased cost the selection of an alternative source would delay the Program of Record efforts by an estimated three years, putting the program and its missions in dire jeopardy.

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

The synopsis was posted on the Federal Business Opportunities (FEDBIZOPS) website on 4 June 2013. As of 8 July 2013, no responses were received.

The following information gathered from the market survey is provided:

a. Progeny Systems is the Original Equipment Manufacturer of the VERITAS CID.

J&A Number: DL13182.1

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined that the anticipated cost to the Government for the equipment covered by the J&A will be fair and reasonable. The Contracting Officer will use cost and price analysis to determine fair and reasonable price. Assistance from the Defense Contract Audit Agency (DCAA) and the Defense Contract Management Agency (DCMA) will be utilized to analyze, evaluate and negotiate based upon detailed cost and pricing data.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, NSWC Dahlgren Division has no plans at this time to compete future contracts for the types of supplies covered by this document. If another potential source emerges, NSWCDD will assess whether competition for future requirements is feasible.

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