FY14_PSE.doc

J&A_13_23428

J&A_13_23428

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Naval Air Warfare Center Aircraft Division (NAWC-AD) Lakehurst, NJ

2. Description of the Action Being Approved.

This Justification and Approval authorizes and approves on a sole source basis a Firm Fixed Priced contract with Northrop Grumman Systems Corporation (NGC), Aerospace Systems, Bethpage, NY, for the procurement of Peculiar Support Equipment (PSE) in support of the E-2D aircraft.

3. Description of Supplies/Services.

This acquisition is to procure a total of one-hundred forty seven (147) pieces of PSE for maintenance support of the E-2D aircraft. Fifteen (15) of the PSE items will require design, development, first article units, and production (Attachment A). Thirteen (13) of the items will require development and production (Attachment B). One hundred-nineteen (119) items have been previously developed by NGC (Attachment C). This PSE is required to perform Organizational Level and Intermediate Level Maintenance on the E-2D aircraft.

See Appendix A for Estimated Dollar Value

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.

NGC was awarded the System Development and Demonstration (SDD) contract N00019-03-C-0057 on April 08, 2003. NGC is the sole designer, developer, and manufacturer of the E-2D airframe, as well as the sole integrator of the avionics systems, and therefore is the only contractor with the requisite knowledge, experience, and technical data that can meet the Government's requirements. The Government did not purchase Level Three Drawing Packages under the SDD contract. The drawing packages for the items listed in paragraph 3 are proprietary to NGC. Furthermore, there are proprietary aircraft interfaces that only NGC has full access to as the Original Equipment Manufacturer (OEM). This J&A authorizes the sole source procurement to acquire one hundred forty-seven (147) pieces of PSE necessary for the maintenance support of the E-2D aircraft that are not available from any other source except NGC.

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

Market research was conducted for this procurement using the following websites: Google, Yahoo, and Bing. Market research did not identify any other source that could provide the PSE items other than NGC. The synopsis required by FAR 5.201(b)(1) was published on the Federal Business Opportunities website on 27 December 2013. No inquiries other than NGC were received; however, the PCO will evaluate any responses received prior to award.

7. Determination of Fair and Reasonable Cost.

The Contracting Officer will determine that the price negotiated for this acquisition is fair and reasonable. An independent Government estimate has been provided for this effort and NGC will provide a detailed pricing and technical proposal which will form the basis of negotiations.

A technical evaluation will be performed by the cognizant technical personnel to verify that the proposed labor hours and skill levels are consistent with the effort to be accomplished; that the frequency, duration and destinations of any proposed travel are necessary to accomplish the effort; and that any material or subcontracts proposed are necessary to fulfill this requirement. The Contracting Officer will utilize Defense Contract Management Agency and Defense Contract Audit Agency to determine a fair and reasonable price.

A Certificate of Current Cost or Pricing Data will be obtained, as required, upon conclusion of negotiations.

8. Actions to Remove Barriers to Future Competition.

For the reasons set for in paragraph 5, NAVAIR LKE does not have adequate and proprietary rights to compete future contracts for the types of supplies/services covered by this document at this time. If another potential source emerges, NAVAIR will assess whether competition for future requirements is feasible.

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