N613331_3325-0008_Redacted.pdf

SOURCE SELECTION INFORMATION - SEE FAR 2.101 and 3.104

J&A Number: 3325-0008

Code:

PR Number: TBD

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity

The Naval Sea Systems Command, Naval Surface Warfare Center, Panama City Division (NSWC PCD), 110 Vernon Avenue, Panama City, FL 32407-7001 (Contracts Department Code ).

2. Description of the Action Being Approved

This action will award an Indefinite Delivery Indefinite Quantity

(IDIQ) contract required to conduct the necessary support of sensor. The contract will be awarded on a sole source basis to

Ultra Electronics Ltd., Waverley House, Hampshire Road, Weymouth

Dorset DT4 9XD United Kingdom.

3. Description of Supplies/Services

The NSWC PCD Deployed Systems Branch (Code ) maintains and sustains the MDCP systems. The support will include upkeep of the specific hardware, software and operating system drivers, periodic preventative maintenance of sonar components, repair of sonar components and fabrication of new components to replace those that cannot be repaired for MDCP. The Contractor will provide:

(a) A feasibility and risk reduction study for updating/modifying the software drivers for the sensor specific interface cards.

(b) Development of Windows 7 32 and 64 bit software drivers for the sensor specific interface cards

(c) Periodic preventative maintenance of sensor Electronic

Pressure Vessels (EPVs) and Integrated Pressure Vessels

(IPVs)

(d) Repair of sensor EPVs and IPVs.

(e) Refurbishment of Receive Arrays

(f) Fabrication of new Receive Arrays

(g) Refurbishment of Transmit Arrays

(h) Procurement of Receive and Transmit array interconnection cable assemblies

(i) Procurement of repair parts, spares and Other Direct

Charges

The period of performance will be one base year with four option years. The Government’s minimum needs have been verified by the certifying technical and requirements personnel. The contract will be funded with Operation and Maintenance Navy (O&MN) and

Other Procurement Navy (OPN) funding during the fiscal years

(FYs) of the contract. The estimated value of this effort is provided as follows:

Maximum Estimated Dollar Value

FY 15 OPN/O&MN Funds

FY 16 OPN/O&MN Funds

FY 17 OPN/O&MN Funds

FY 18 OPN/O&MN Funds

FY 19 OPN/O&MN Funds

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, FAR 6.302-1.

5. Rationale Justifying Use of Cited Statutory Authority

MDCP is a Fleet deployable data collection system installed on

US Navy Fleet assets. The MDCP data is critical in support of

National data collection requirements. Two of the major MDCP sensor sub-systems are sonars developed and manufactured by

Ultra Electronics Ltd. located in Weymouth UK. These sonars are composed of an electronics assembly with an integrated transmit and receive array or connected to separate transmit and receive arrays. In order to maintain the sonar’s ability to collect the data needed to meet the National data collection requirements, periodic health assessments, maintenance and repairs of these components are required. The interconnecting cabling for these sensors also requires periodic replacement after several deployments. In addition, changes to the sensor specific software and software drivers for the unique interface hardware are required as Windows operating systems become obsolete. All of these maintenance items are also essential to maintain sufficient quantities of the components to meet MDCP operational requirements and the spares necessary to effect repairs of deployed systems.

This requirement is not suitable for full and open competition for the following reasons.

(a) Ultra Electronics Ltd. was and is the original sole developer and Original Equipment Manufacturer (OEM) of the MDCP sonar components.

(b) The Government did not purchase or acquire the rights in data and design or a Technical Data Package (TDP) with a sufficient level of detail to support a competition for the components. This was primarily due to the limited number originally envisioned being deployed to the Fleet. Access to this data is necessary to provide the services required by the contract.

(c) As the sole developer and OEM, Ultra Electronics Ltd. is the only source with sufficient in-depth knowledge of the sonar that could fabricate the parts and conduct any necessary repairs. In addition, Ultra Electronics holds the proprietary data for the sonar rendering the contractor the only viable source for additional parts and repairs.

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

Offerors as Practicable

The proposed contract was synopsized via posting on the Federal

Business Opportunities (FEDBIZOPPS) website on 13 November 2013 in accordance with FAR 5.2. The synopsis expressed the

Government’s intent to contract on a sole source basis. There have been no inquiries to this synopsis. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any company other than Ultra Electronics Ltd., the Original Equipment Manufacturer

(OEM), to provide the equipment and repairs.

7. Determination of Fair and Reasonable Costs

The Contracting Officer will determine that the anticipated cost to the Government for the supplies and services covered by the

J&A will be fair and reasonable.

8. Actions to Remove Barriers to Competition

The planned contract is required in order to provide for periodic maintenance and repairs, some new replacement sonar components as well as addressing Windows operating system obsolescence. These items are sole source for the reasons specified in paragraph 5.0 above. The MDCP system configuration has been tested using these items. Any attempt to substitute an item repaired by other than the OEM would take up to two years to undergo qualification testing and replacement of the existing systems and add an anticipated cost of $8,750,000 to replace all eight systems.

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

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