Sole_Source_Justification_REDACTED.pdf

12 March 2019

MEMORANDUM

From: Bobby Dixon, NSWC PCD Code E12 To: Luis Gely, NSWC PCD Code 024

Subj: SOLE SOURCE MEMORANDUM TO ACQUIRE DOPPLER VELOCITY LOG

DEVELOPMENTS AND UPGRADES FROM TELEDYNE RD INSTRUMENTS

(PR 1300774809)

1. Identification of the agency and the contracting activity, and specific identification

This is a sole source justification. Contracting activity is the Naval Sea Systems Command, Naval Surface Warfare Center, Panama City Division (NSWC PCD), 110 Vernon Avenue, Panama City, FL 32407-7001 (Contracts Division Code 02).

2. Nature and/or description of the action being approved.

This action will award a firm fixed price commercial item order to Teledyne RD Instruments, 14020 Stowe Drive, Poway, CA 92064 for the acquisition of Doppler Velocity Logs Developments and Upgrades.

3.

(including the estimated value).

In support of the SEAL Delivery Vehicle (SDV), the Naval Surface Warfare Center Panama City Division (NSWC PCD) was tasked by the NAVSEA Program office (SEA-06 NSW) to develop an upgrade to the SDV acoustic navigation system. The Doppler Velocity Log will be used in the upgrade of the current acoustic navigation system and will become part of the Integrated Bridge System (IBS). The contract effort is to procure the following:

Part Number Description Qty Unit Price

Extended Price*

None New Development Non-Recurring Costs:

Commercial Feature Port, Verification Testing, & Documentation Updates

1 $49,360 $49,360

None New Development Depot Firmware Upgrade Kit 2 $150 $300

None New Development XRT Upgrade Fee 15 $4,975 $74,625

None New Development Bottom Track Accuracy Enhancement Fee

15 $0 $0

None New Development LABT Upgrade Fee 15 $1,600 $24,000

This acquisition will be conducted using simplified acquisition procedures with a total estimated value of $148,285.00. The Government’s minimum needs have been verified by the certifying technical and requirements personnel. The contract action will be funded with Fiscal Year 2019 (FY19) RDT&E, NAVY (RDTE) funds.

4. Identification of the justification rationale (see FAR 8.405-6(a) and (b)) and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

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. A firm-fixed-price commercial contract will be issued under the Test Program for Commercial Items, Federal Acquisition Regulations (FAR) Subpart 13.5, Section 4202 of the Clinger-Cohen Act of 1996.

This acquisition is unsuitable for full and open competition for the following reasons:

a) Teledyne RD Instruments is the sole manufacturer of the DVL currently used in all SDVs. The commercial feature being ported to the Doppler Velocity Log is an upgrade to the currently installed equipment and minimal changes are required.

No other company has data rights to the TRDI proprietary source code being ported to the custom SDV DVL unit.

b) Use of another vendor would result in a duplication of cost. Acquiring equipment from another vendor will require our team to research the data format, data communication protocol, write, test and validate new code to integrate with the IBS system, test and validate information from the sensor. Any changes to the data would be expected to cost $100K to $150K in additional costs associated with integration efforts and lab testing. These costs would not be expected to be recouped in an open competition.

c) US Navy ships have been using Teledyne RD Instruments equipment for more than fifteen years. These items have been installed on SDV type ships for ten years. The performance of the Teledyne equipment is documented and well known. Any other equipment vendor would require extensive underway ship trials and performance measurements prior to being able to utilize that equipment within our IBS hardware. This underway testing would be prohibitively expensive and would extend beyond the required ship delivery.

5. A determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 8.404(d).

The Contracting Officer has determined that the order represents the best value and results in the lowest overall cost alternative (considering price, special features, administrative costs, etc.) to

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 4 above, Teledyne RD Instruments is the only source that can meet the Government s need. This requirement will be synopsized on FEDBIZOPPS per FAR 5.2.

7. Any other facts supporting the justification.

None

8. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

As stated in paragraph 4 above, Teledyne RD Instruments is the only company that can provide the required engineering development and services.

TECHNICAL AND REQUIREMENTS REQUESTING OFFICIAL

I certify that the facts and representations under my cognizance, which are included in this justification and its supporting acquisition planning data, except as noted herein, are complete and accurate to the best of my knowledge and belief.

CONTRACTING OFFICER REVIEW AND APPROVAL

I, as contracting officer for the contracting activity, have reviewed this justification and certify that the justification is accurate and complete to the best of my knowledge and belief. I hereby approve this justification