N64498_0232-24-004-00.pdf

J&A No. 0232-24-004-00

4. Statutory Authority Permitting Other Than Full and Open Competition.

10 U.S.C. 3204(a)(1), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

The life support equipment that is the subject matter of this procurement is needed to revitalize the submarine atmosphere and is considered mission essential. Failure to properly troubleshoot, maintain and upgrade the life support equipment mentioned above could impair the mission of an OHIO, or COLUMBIA Class submarine and pose a serious safety hazard to shipboard personnel and risk to mission readiness.

Hamilton Sundstrand Corp (Collins Aerospace) is the sole OEM for the ACRU qualification (SN001 SN002) and production units (SN003 SN006). Currently, SN001 is located at Collins Aerospace undergoing modifications in support of CLIN013 Acoustics Re-work as part of the Qualification Contract (N64498-16-C-5004), SN002 is installed on board a deployed submarine.

Additionally, SN004 has been delivered to the Navy and provided to General Dynamics Electric Boat (GDEB), while SN003, SN005, SN006 has yet to be delivered. Any services under this sole source procurement will be only in support of the qualification and production units listed above.

The technical data resulting from ACRU qualification has not been fully received at this time and is in progress with an expected delivery date of January 2025. However, delivery could be impacted by unresolved technical challenges. Once the technical data is received, a complete Technical Data Package (TDP) to support competitive procurement will require 4 6 months to develop. The technical data will include drawings and technical manuals that only aid in the construction and operation of the ACRU, not engineering and field services. The rationale for a particular design choice is not included in the technical data, as this can only be gained through design expertise and proprietary modeling. This specialized knowledge can only be obtained through years of experience operating and troubleshooting ACRU units. To date, all ACRU units have been procured from Hamilton Sundstrand Corp (Collins Aerospace). While these engineering services must be sole ny future procurement regarding ACRU production units will be solicited on a competitive basis as the Government will own the supporting technical data.

Though the Navy does possess limited organic capability to maintain and repair the items mentioned above, problems arise periodically that cannot be properly diagnosed or repaired due to assembly and long term operation of the units. The Government also does not possess the qualified personnel and specialized test equipment to provide emergent support for deployed submarines as well as successfully design, develop, and test these items. As the original designer of the listed equipment, Hamilton Sundstrand Corp (Collins Aerospace) has specialized expertise in the intricacies of the equipment of interest. A new source would have to familiarize themselves with the specific Hamilton Sundstrand Corp (Collins Aerospace) equipment currently installed shipboard. It is estimated that a new source would require at least 24 months to establish facilities for the execution of research, development, design, test and evaluation to sustain, upgrade and/or modernize the Hamilton Sundstrand Corp (Collins Aerospace) equipment mentioned above, and at least 18 - 36 months to train personnel to become familiar with the existing equipment prior to adequately servicing equipment aboard U.S. Navy submarines. The existing equipment that the new source would have to become familiar with is either installed, in process of being installed, or involved in qualification testing. The Navy will not have possession of an ACRU until January 2025. At that time, a new source would then be able to start the minimum 2-year process of ACRU familiarization training. This is after the end date for the contract that this effort follows, which would leave a gap in support of the unit installed aboard an actively deployed strategic deterrent guided missile submarine. If the Government were to pursue a full and open competition, an estimated timeframe to achieve these requirements for Submarine Life Support equipment is shown below in Table 2.

Table 2 Estimated Alternate Submarine Life Support Contractor Schedule Task Duration Execute Competitive Award 18 months Submarine Life Support Systems Design and Engineering Familiarization Training*

18-36 months after date of award

Test Facility Construction* 24 months after date of award Special Test Equipment Development* 12 months after date of award Total Concurrent Time 42-54 months

*expected tasks to occur concurrently after date of award

A new source may establish some familiarity with these systems for servicing, however, these personnel will not have the complete knowledge and expertise possessed by the OEM to efficiently provide emergent support for deployed assets and potentially jeopardize military missions. In this regard, Hamilton Sundstrand Corp (Collins Aerospace specific expertise in engineering, troubleshooting and servicing the ACRU would alleviate unduly time schedules from another unforeseen delays working with the current and impending fielded units.

The lack of detailed knowledge of the equipment, access to technical data and the complexity of the system design of the ACRU would render replacement of this system from another source, a lengthy and expensive process. Pursuing a new source would delay servicing and modernization of this mission critical submarine life-support equipment by at least 42 - 54 months. As a result, Hamilton Sundstrand Corp (Collins Aerospace), the original designer and manufacturer of the equipment above, is the only responsible source available that is capable of providing the required services in an acceptable time mission capability.

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

In accordance with the Defense Federal Acquisition Regulation Supplement (DFARS) Procedures, Guidance, and Information (PGI) 206.302-1, a Request for Information (RFI) was posted to SAM.gov on 18 October 2023 with a closing date of 30 October 2023. Additionally, a synopsis of this procurement was published on the SAM.Gov on 24 October 2023 with a closing date of 06 November 2023. Two responses were received. RV Global Solutions Inc. and SRR International Inc. provided capability statement. Technical code POC analyzed and found both companies to be not technically capable of supporting the work outlined in the statement of work. Hamilton Sundstrand Corp (Collins Aerospace) did respond to the Sources Sought posting and has intent on bidding on the solicitation once posted. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any contractor other than Hamilton Sundstrand Corp (Collins Aerospace) to provide the required services.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer has determined the anticipated cost to the Government of the services covered by this J&A will be fair and reasonable.

8. Actions to Remove Barriers to Future Competition.

For reasons set forth in Paragraph 5, the Naval Surface Warfare Center Philadelphia Division (NSWCPD) cannot compete this contract at this time for the types of services covered by this justification and approval.

At the expiration of this document, NSWCPD will re-evaluate the current programmatic status, and will actively search for novel contracting approaches to compete future ACRU services contracts.

For example, NSWCPD will pursue an Other Transactional Authority (OTA) award to create an opportunity for the original equipment manufacturer to train and develop a capable vendor base for future ACRU engineering services. Through collaboration with the sponsor and shipbuilder, NSWCPD will conduct market research and solicit multiple vendors to determine if new sources have become available.

In summary, the intent is always to compete ACRU production, and ultimately engineering services, which is why NSWCPD is acquiring the data to develop a complete TDP. The Government does not own the necessary technical data and expertise required to compete production, and since services cannot be competed until there are units produced by multiple manufacturers resulting from a competitive production contract award, there are no other sources who can provide the neces for the next several years. As stated above, once the technical data is delivered and compiled, the contracting approach will be evaluated.

There are no plans currently to buy design specific documents for the fielded ACRU units.

However, if another company becomes a potential new source, a future contract could be competed.

NSWCPD has previously procured the production level drawings under Contract No. N64498-16- C-5004 for the ACRU qualification units as a sole source follow on to the Prototype Contract (N65540-11-C-0015) which was on a competitive basis. Additionally, NSWCPD has previously procured ACRU production units on Contract No. N64498-20-D-4006 on a competitive basis.