N6883618R0013_18-0001_REDACTED_JA.pdf

J&A No. 18-001

NAVSUP FLEET LOGISTICS CENTER

CONTRACTING DEPARTMENT

110 YORKTOWN AVENUE

NAS JACKSONVILLE FL 32212

JUSTIFICATION AND APPROVAL FOR

OTHER THAN FULL AND OPEN COMPETITION

ONLY ONE RESPONSIBLE SOURCE

1. Contracting Activity.

(a) Requiring Activity: Fleet Readiness Center Southeast (FRCSE)

Naval Air Station Jacksonville

Code: 66290

Jacksonville, FL 32212-0016

(b) Contracting Activity: Fleet Logistics Center (FLC) Jacksonville

Regional Contracting Department

Jacksonville, FL 32212-0097

2. Description of the Action Being Approved.

This Justification and Approval (J&A) authorizes issuance of a firm-fixed-price, requirements contract on a sole source basis to Woodward, Inc. (CAGE: 66503, Large Business), located in Rockford, IL, for TF34-GE-100 engine fuel control system component overhaul services and certifications in support of the A-10 aircraft including:

• Main Fuel Control overhauls

• Differential Pressure Body Assembly overhauls

• VG Feedback Housing Assembly overhauls

• Gold Standard Fuel Control Assembly Recertification

• Gold Standard Jump & Rate Limiter Assembly Recertification

3. Description of Supplies/Services.

The Contractor shall perform various tasks including inspecting, cleaning, repairing, testing, certifying, and/or recertifying the following components:

Table 1

Nomenclature Description Part Number Estimated Quantity

Main Fuel Control (MFC) Assembly 6040T09P01/P01A/P02/P02A/

P02B/8062-353/8062-354

428 (five year period)

Differential Pressure Body Assembly

(DPBA)

4033-581 150 (five year period)

Variable Geometry Feedback Housing

Assembly (VGFHA)

4033-563 225 (five year period)

Gold Standard Fuel Control Assembly (FCA) 6040T09P02 1 (Option year 3 only)

Gold Standard Jump and Rate Limiter

Assembly (JRLA)

5225-086 1 ( Option year 3 only)

Table 2

Table 3

Base Option Year 1 Option Year 2 Option Year 3 Option Year 4 Total

Period of Performance:

Base Period: 30 September 2018 - 29 September 2019

Option Period I: 30 September 2019 - 29 September 2020

Option Period II: 30 September 2020 - 29 September 2021

Option Period III: 30 September 2021 - 29 September 2022

Option Period IV: 30 September 2022 - 29 September 2023

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

The statutory authority which permits other than full and open competition is 10 U.S.C. 2304 (c)(1) and the Federal Acquisition Regulations (FAR) Part 6.302-1. Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

Woodward, Inc. (hereafter called Woodward) is the Original Equipment Manufacturer (OEM) of the components in Table 1. All repair manuals, specifications, and drawings pertaining to these components are proprietary and solely owned by Woodward. The OEM has provided a sole source letter to the Government, confirming that they are the only company capable of providing the requested services.

FRCSE is the depot source of repair (DSOR) for the Air Force A-10 engine components. Woodward granted FRCSE limited use of their technical information necessary to repair the TF34 Main Fuel

Nomenclature Base Year QTY OP 1 QTY OP 2 QTY OP 3 QTY OP 4 QTY

MFC 96 83 83 83 83

DPBA 30 30 30 30 30

VGFHA 45 45 45 45 45

Gold Standard FCA NONE NONE NONE 1 NONE

Gold Standard JRLA NONE NONE NONE 1 NONE

FY18 FY19 FY20 FY21 FY22

Controls, but did not give the Government access and/or rights to their repair manuals or other technical documents. Woodward only supplied technical information to FRCSE (that cannot be shared) so FRCSE could develop technical orders (TO) which have been approved by Woodward for organic repair purposes of the MFC only. However; FRCSE does not have the capability to repair

DPBA’s and VGFHA’s, or certify/recertify FCA’s and JRLA’s. There are no other authorized providers to perform factory authorized overhauls and certifications. Therefore, Woodward is the only source capable of satisfying the instant requirement.

When Contractor support is required for MFC overhauls due either to critical part shortages or inadequate organic repair capabilities to handle production volume surges, the MFCs must be sent to Woodward. The Contractor will provide TF34-GE-100 engine fuel control system component overhaul services to support MFC overhauls for the TF34 Logistics Division.

The MFC is an aircraft Critical Safety Item (CSI) that requires stringent personnel training, component testing and material documentation. Therefore, only Woodward and limited FRCSE personnel have the capability to perform these complex overhauls.

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

A sources sought was posted on the FEDBIZOPS website on November 21st, 2017 and closed on

November 27th, 2017 in accordance with PGI 206.302-1(d). No other potential sources expressed an interest in this requirement. The Contracting Officer’s Representative performed market research through review of previous acquisitions for the same or similar requirements and discussions with the

FRCSE TF34 Fleet Support Team (FST) that has the capability to do a portion of this requirement through organic resources. Internet searches included a review of the Federal Procurement Data System-

Next Generation, FedBizOpps, Haystack Gold, DLA PubLOgFlis Search, and previous acquisition documents. All sources confirmed Woodward is the OEM and only source capable of performing the required services with the exception of organic resources for the main fuel controls which is not currently capable of handling the projected repair demands.

Market research was performed by the Contract Specialist through review of previous acquisitions for the same or similar requirements, discussions with the requiring activity, a review of SAM for small business certifications, and online research on the TF34 engine itself, confirming the sole source environment. The engine components to be covered by this requirement are mirrored by a commercial engine equivalent (General Electric CF-34) in the business and regional jet airliner industry. General Electric is also in a sole source environment with Woodward. Woodward is the only provider of repair and overhaul in the world for these TF34 engine components outside of the

FRCSE. The FRCSE, while capable, cannot keep up with the overhaul demands of the Air Force.

7. Determination of Fair and Reasonable Cost.

Analysis of the Contractor’s proposal will be performed by the Contract Specialist with the assistance of the TF34 FST, DCMA and DCAA auditors, as required, to determine price fair and reasonable pursuant to FAR 15.404-1(b).

8. Actions to Remove Barriers to Future Competition.

This is a follow on requirement to a previously approved sole source contract. The current J&A 13-003 was reviewed and Woodward has remained the sole source provider of the required services. In addition, when the current contract was awarded on September 30, 2013, the sun-setting of the A-10 aircraft was anticipated and that a follow-on contract may not be necessary. Programmatic changes have since occurred and there is now an anticipated 10-year delay of the sun-setting of the A-10 aircraft.

Going forward, for the reasons set forth in sections 5 and 6, FLCJ has no plans at this time to compete future contracts for the types of services covered by this document. If another potential source emerges, FLCJ will assess whether competition for future requirements is feasible.