N6449823G0002 Redacted BOA JA final redact_Redacted_1.pdf

DEPARTMENT OF THE NAVY

NAVAL SURFACE WARFARE CENTER

PHILADELPHIA DIVISION

5001 SOUTH BROAD STREET

PHILADELPHIA PA 19112-1403

IN REPLY REFER TO:

J&A Number: 0232-22-287-00 Code: 0232 P.R. Number: 21-KJD-117

CLASS 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, Philadelphia Division (NSWCPD), Code 0232.

2. Description of Action Being Approved

Award of a firm-fixed-price (FFP), basic ordering agreement (BOA) on a sole source basis to Hamilton Sundstrand Corporation doing business as (DBA) Collins Aerospace San Dimas, CA 91773 for the furnishing of Central Atmosphere Monitoring System (CAMS) IIA A5 modules, and associated technical data. The subject equipment serves as the analyzer to be used on the to monitor the breathable atmosphere. This BOA is a new requirement. Authority to act under this Class Justification and Approval (CJ&A) expires two

(2) years after issuance of the BOA.

3. Description of the Supplies or Services

The BOA will provide up to six (6) Central Atmosphere Monitoring System (CAMS) IIA A5 including wiring adapters, in support of the hulls as well as the associated technical data. The ordering period will be two (2) years. The CAMS IIA A5 modules will be installed in the CAMS Mk II cabinets onboard . This upgrade consists of removing the CAMS Mk II A5, A6, and A7 modules and installing the new CAMS IIA A5 module with the associated wiring adapter. These upgrades will allow the Virginia Class hulls to have a common monitoring system.

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

As this requirement is for supplies, a MOPAS/AP is not required.

modules

J&A Number: 0232-22-287-00

The total estimated dollar value of the proposed acquisition is $5,015,256 and will be funded by Other Procurement, Navy (OPN) appropriations as indicated below under individual BOA orders:

Estimated Dollar Value per Fiscal Year (FY)

Fiscal Year FY22 FY23 Total

Total $2,482,800 $2,532,456 $5,015,256

The BOA will have an ordering period of two (2) years.

This acquisition is to satisfy the requirements of the Naval Surface Warfare Center Philadelphia Division requirements. This class justification does not authorize acquisitions for other requirements. In accordance with FAR 16.703(c)(2), this BOA will be reviewed annually before the anniversary of its effective date and revised as necessary to conform to the requirements of this regulation.

The table below provides a detailed breakout of the Independent Government Cost Estimate for this requirement:

Cost element Year 1 Year 2 Total Materials (Qty 3 per year) $2,400,000 $2,448,000 $4,848,000 M&H $72,000 $73,440 $145,440 G&A $10,800 $11,016 $21,816 Total $2,482,800 $2,532,456 $5,015,256

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,” as implemented by Federal Acquisition Regulation (FAR) Subpart 6.302-1.

5. Rationale Justifying Use of Cited Statutory Authority

The procurement of the CAMS IIA A5 units is deemed to be available only from Hamilton Sundstrand dba Collins Aerospace. Collins Aerospace is the Original Equipment Manufacturer (OEM) of the CAMS units, and the only source that possesses the necessary technical data and uniquely qualified personnel. The CAMS IIA A5 module is unique to Collins Aerospace as it is designed to withstand shock and vibration. The CAMS IIA A5 module is also unique as it can be installed in CAMS Mk II cabinets, which easily allows upgrades to the that currently have installed CAMS Mk II’s. This will eliminate costly obsolescence issues that may arise within the CAMS Mk II A5 module, which are no longer procurable. These unique characteristics are essential to the U.S. Government because the environment in which the CAMS IIA A5 monitors the atmosphere is unique and harsh. Laboratory grade equipment may not be suitable or survive in this environment which would leave the sailors no way to measure what they are breathing. The CAMS IIA A5 allows the sailors to continuously monitor the atmosphere and determine the adjustments that are required to allow the atmosphere to remain safe for breathing in order for them to carry out their mission. The U.S. Government would be delayed a minimum of 77 months waiting for a competitive award. While waiting the CAMS Mk II’s that this sole source aims to upgrade would become older and certainly experience obsolescence issues that would place more CAMS Mk II’s out of commission which would negatively impact the overall mission of the US Submarine Force. If this is not replaced, sailors will be unable to adequately monitor their atmosphere. A new design is also not necessary as the CAMS IIA A5 is already in service throughout the fleet.

As a result, the CAMS IIA has been designed through spiral development as an upgrade to the CAMS Mk II. In 2011, Environmental Qualification Testing (EQT) was conducted on the CAMS IIA units and determined that the units will be the primary atmospheric analyzer aboard and will require no changes to shipboard piping and electrical connections, which alleviates costly alterations to the ship. The CAMS IIA will hold the same physical functionality as the CAMS Mk I and Mk II but will utilize an updated mass spectrometer to monitor the submarine atmosphere, which was developed at Hamilton Sundstrand’s own expense in 2006 and 2007. The most recent design will allow the CAMS IIA to operate more efficiently and reliably, and provide for increased cycle time between maintenance.

The CAMS IIA is a critical system essential to the submarine’s operational capability. Failure of this system could jeopardize the submarine’s ability to accomplish its mission and could result in safety hazards that could lead to injury or death of shipboard personnel. Furthermore, the Government only received limited data rights to the CAMS Mk I and II systems, and the drawings contain a restrictive legend stating that the data is proprietary to Hamilton Sundstrand since the unit consists of commercial items developed at their own expense. The Government does not possess and is unable to independently develop technical data in the form of drawings or a purchase description adequate to obtain the CAMS IIA on the basis of full and open competition. The Government contacted Collins Aerospace about purchasing data rights to the CAMS IIA units. Collins Aerospace responded that it would not be willing to sell the data rights.

Due to the lack of sufficient technical data, it is impossible to ensure that any other solution would satisfy this requirement. There are no other CAMS IIA A5 modules available from other sources. In addition to being cost prohibitive, this would result in the introduction of technical risk. The estimated cost for an entirely new CAMS system was estimated from past projects of similar scope as well as past task orders using similar vendors. Estimates were also developed from working knowledge of the submarine life support industry. If this was to be competed, the US Government would have to purchase the intellectual property pertaining to the CAMS IIA A5 module from Collins Aerospace and provide it to interested vendors for a competitive award.

The CAMS IIA A5 module design is what makes the CAMS IIA unique to Collins Aerospace and is part of their primary business portfolio.

Table 1. Cost and Schedule Impact of developing a new CAMS system

Activity Cost Time Requirements Development $30,000 6 months Contract Development $150,000 16 months Competitive Award $10,000,000 30 months Environmental Qualification $300,000 12 months Ship Alteration Development $100,000 12 months Installation (6 ship sets) $100,000 1 month

Total $10,680,000 77 months

Considering all the above, Collins Aerospace, the OEM and sole manufacturer of the CAMS units, is the only responsible source available capable of providing the required supplies for the duration of the two (2) year ordering period as award to any other source would result in substantial costs to the Government associated with developing a new CAMS. This cost is not expected to be recovered through competition.

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

In accordance with DFARS PGI 206.302-1, a request for information was posted to the sam.gov website on 3 November 2021 and closed on 17 November 2021. Additionally, a synopsis of this procurement was published on the sam.gov web page on 12 November 2021 and closed on 29 November 2021. No contractors have responded to date to either posting. No additional market research was conducted because it is not practicable, for the reasons discussed in paragraph 5 above, for any other contractor than Collins Aerospace to provide the required supplies.

7. Determination of Fair and Reasonable Costs

The Contracting Officer has determined the anticipated cost to the Government of the services covered by this Class J&A will be fair and reasonable. The contractor will submit a formal price proposal with certified cost or pricing data and sufficient information to support the accuracy and reliability of the estimate. The contractor’s proposal will be reviewed by experienced technical analysts and contract specialists with the aid of necessary field pricing support. The PCO will use cost and pricing analysis as the basis for negotiating a fair and reasonable price.

8. Actions to Remove Barriers to Competition

For the reasons set forth in Paragraph 5, the Naval Surface Warfare Center Philadelphia Division (NSWCPD) has no plans at this time to compete future contracts for the types of services covered by this document. The BOA will be reviewed annually by the PCO to ensure that Collins Aerospace is the only company that can satisfy agency requirements. If another potential source emerges, NSWCPD will assess whether competition for future requirements is feasible.

Date: 2022.03.08 07:48:02 -05'00'

GUTMAKER.KAREN.B.1230919824 Digitally signed by GUTMAKER.KAREN.B.1230919824 Date: 2022.03.16 15:13:21 -04'00'

J&A Number: 0 2 3 2 - 2 2 -2 8 7 - 0 0

TECHNICAL/REQUIREMENTS CERTIFICATION (FAR 6.303-2(c)):

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

COMBINED TECHNICAL AND REQUIREMENTS COGNIZANCE:

Signature: Phone No. Date D ivis ion H e a d

SUFFICIENCY REVIEW (NMCARS 5206.303(90)):

I have determined that this justification is legally sufficient.

Office of Counsel

CONTRACTING OFFICER CERTIFICATION (FAR 6.303-2(b)(12)):

I certify that this justification is accurate and complete to the best of my knowledge and belief.

APPROVAL BLOCK (FAR 6.304 for Approving Official)

Upon the basis of the above justification, I hereby approve, as Competition Advocate of the Procuring Activity, the solicitation of the proposed procurement(s) using other than full and open competition, pursuant to the authority of 1 0 U .S . C . 2 3 0 4 ( c )( 1 )

CHIEF OF THE CONTRACTING OFFICE

Signature: Date Chief of the Contracting Office (Code 02)