REDACTED_J_A PR 21-00036 Approved_FINAL.pdf

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. Contracting Activity.

The Justification and Approval requests authority for the Other Than Full and Open Competition (OTF&OC) to support requirements generated for the Air Force Global Logistics Support Center (AFGLSC), 638 Supply Chain Management Group (SCMG), 408 Supply Chain Management Squadron (SCMS). The contracting authority for this requirement is Defense Logistics Agency (DLA) Aviation Warner Robins. The purchase request supporting this contracting action is

FD2060-21-00036.

II. Nature and/or Description of the Action Being Processed. [FAR 6.303-2(b) (2)]

Due to the circumstances described herein, the activity requests authority to acquire the spares listed in this document using OTF&OC as prescribed by FAR 6.302-1 Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a new Firm-Fixed Price (FFP Requirements contract with a basic year plus four (4) one year ordering periods.

This sole source requirement will be purchased from the following company:

RANTEC Power Systems INC.

1173 Los Olivos AVE Los Osos, CA 93402-3230 Cage Code: 60132 Small Business

III. Description of the Supplies/Services Required to Meet Agency Needs. [FAR 6.303- 2(b) (3)].

The ALR-56M Advanced Radar Warning Receiver (ARWR) continuously detects and intercepts Radio Frequency (RF) signals in certain frequency ranges and analyzes and separates threat signals from non-threat signals. It displays threat signals to pilot on a priority basis and provides efficient and effective logistical support to the using command activities for the system. The power supplies covered under this effort are an integral part of the ALR-56M ARWR system.

This requirement is for the procurement of the AN/ALR-56M Power Supplies. This effort will procure three different power supplies that are required for the operation of the ALR-56M.

These three power supplies have been previously procured from GE and ELDEC however their designs are obsolete and no longer procurable. These power supplies are typically referred to as PS1, PS2, and PS3. The below chart represents the current fielded models that are no longer procurable. This spares contract will be funded through Working Capital Funds dollars.

manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application.

Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained.

AMC/AMSC 1/B: Acquire the part competitively; This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application.

Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained.

This contract will have a basic ordering period and four out-year ordering periods.

PERIOD FISCAL YEAR ESTIMATED TOTAL

Basic FY21

OP 1 FY22

OP 2 FY23

OP 3 FY24

OP 4 FY25

TOTAL

The nominal Contract Line Item Numbers (CLINs) anticipated for each period are as follows:

CLIN DESCRIPTION COST

X001 PS1 Buy FFP X002 PS2 Buy FFP X003 PS3 Buy FFP X004 Data NSP

The basis for the estimated quantity was derived from the D200A Summary Computation. The total estimated contract value is $2,930,771.61. The estimates are per a ROM from Rantec. A 3% escalation factor was applied to basic estimated unit price for each Out-Year Option Period.

The anticipated type of appropriation that will be used to fund this effort is the Consolidated Sustainment Activity Group (CSAG). The period of performance will be March 2021 to March 2026, 30 days ARO (After Receipt of Order).

IV. Statutory Authority Permitting Other Than Full and Open Competition. [FAR 6.303-2(b) (4)]

10 USC 2304(C)(1), as implemented by FAR 6.302-1, Only One Source and No Other Supplies Or Services Will Satisfy Agency Requirements.

V. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (Applicability of Authority).

[FAR 6.303-2(b) (5)]

This agency's minimum needs can only be satisfied by the unique supplies or services available from only the above cited qualified source (Rantec) that possesses unique capabilities demonstrated as follows:

The three ALR-56M power supplies were designed by ELDEC. The Government has purchased power supplies from both ELDEC and GE. Since last procurement, this design has been deemed as obsolete by ELDEC, GE, and the ALR-56M Original Equipment Manufacturer (OEM), BAE.

The current design will require $2M to resolve the obsolescence issues based on an email from ELDEC dated 24 Jul 19. Additionally and email from GE dated 27 Jan 20, stated, “GE is providing a No Bid. These parts have been out of production for a number of years, and GE would require funding for the redesign of the units and new test equipment, due to obsolescence.” Furthermore any items produced by GE or ELDEC would have to undergo First Article test by the system OEM, BAE. The Government does not have the capability to do system integration or First Article testing. The only data possessed by the Government is the BAE’s Source Control Drawing (SCD), which is inadequate to be used as a build to print specification.

BAE has been contracted to produce 70 full ALR-56M installs for AFLCMC/WNY. ELDEC was contacted by BAE to redesign the three power supplies. ELDEC did not wish to sub-contract with BAE on the full systems buy contract. Therefore, BAE contracted with another power supply vendor, RANTEC. As of 1 Feb 21, RANTEC has qualified their PS3 design and qualification of the PS1 and PS2 is scheduled to be complete in March 2021. Thus, making RANTEC the only qualified vendor. The forecasted life cycle for the power supplies for ALR- 56M is 25 years, the power supplies will support the F-16 and C-130.

Qualifying a new source would require extensive reverse engineering by a potential source. This would result in duplication of cost already incurred by AFLCMC/WNY’s full system production contract. Duplicated cost would include design cost, First Article production and testing cost, and cost for BAE to do integration testing. The source control drawing does not provide sufficient data to enable another source to qualify for production, and would require BAE oversight.

At this time, award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force’s requirements.

VI. Description of Efforts Made to Ensure that Offers are Solicited From as Many Potential Sources as Practicable. [FAR 6.303-2(b) (6)]

A Sources Sought (SS) / Request for Information (RFI) synopsis was posted to Beta Sam on 31 Oct 2019 with a response date of 20 Nov 2019 under Solicitation Number FD2060-20-00205.

The SS/RFI requested responses from interested vendors that possess the expertise, capabilities, and experience to meet qualification requirements for this effort. No vendors responded to the

SS/RFI.

This requirement will be synopsized in Beta Sam in accordance with FAR 5.201. It is anticipated that sources having an interest in subcontracting may be identified through synopsis.

Any source who responds to the Government as a result of this synopsis will be identified to the prime contractor as a potential subcontracting possibility.

VII. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable. [FAR 6.303-2(b) (7)]

The overall cost of this acquisition will be fair and reasonable to the Government. In accordance with FAR 15.403-4, the contractor will be required to provide certified cost or pricing data to be used to support the Government's evaluation of the proposed cost. The proposed skill mix of labor, labor hours, types and quantities of material and other direct costs, and direct and indirect rates will be negotiated by the Government based on recommendations from the Defense Contract Management Agency (DCMA) and expert technical personnel supporting the program.

The contract price will be negotiated in accordance with the procedures in FAR Part 15 ensuring the ultimate cost to the Government is fair and reasonable.

VIII. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research was not Conducted. [FAR 6.303-1(b) (8)]

Market research was accomplished during August 2019 through December 2019 and formally completed on 20 Dec 2019. The MR was accomplished in accordance with FAR Part 10.001 and

10.002. The following market research techniques were utilized:

As described in section VI above, a SS/RFI was posted to Beta Sam advising industry of the pending acquisition and soliciting inquiries from interested vendors. The SS/RFI was posted on 31 Oct 2019 under FD2060-20-00205. There were no respondents to the SS/RFI.

Queries were conducted within the Acquisition Center of Excellence (ACE) website in search of potential sources. The ALR-56M Systems Engineering team conducted a review of several industry-wide searches on the Internet by NSN, part number, and/or item description (ALR-56M Power Supply) using the following ACE-recommended component search engines. As a result, no potential sources were identified.

http://www.aerospace-technology.com/contractors/index.html http://www.electronics-oems.com/products.htm http://www.globalspec.com/ProductFinder http://www.eem.com/

The ALR-56M power Supplies do not fit the definition of a commercial item as defined in FAR Part 2.101. This item is defined as military unique and is not customarily used by the general public or by non-Governmental entities. The Government requires parts that meet an exact form, fit, and function as determined by the specific mission. There are no aircraft in the commercial market with the same or similar components.

A SBA Dynamic Small Business Search (DSBS) query was conducted utilizing. North America Industry Classification System (NAICS) code 335999. This query produced 3,569 potential vendors. However none has ever produced the three ALR-56M Power Supplies. An additional SBA search was conducted using NAICS 335999 and keyword “ALR-56M”. This resulted in zero vendors

The Government Logistics Manager for ALR-56M contacted RANTEC via email on 21 Oct 19 asking about their willingness to sell the Government the technical data package necessary to qualify another source. The response stated that the contractor is not interested in selling technical data. However as discussed in Section V, the Government may have access to the data. A determination has not been made at this time.

The power supplies (PSI, PSI and PS3) do not fit the definition of a commercial items as defined in FAR Part 2.101. This item is defined as military unique and is not customarily used by the general public or by non-Governmental entities. The Government requires parts that meet an exact, form, fit, and function as determined by the specific mission. There are no aircraft in the commercial market with the same or similar components.

The market research concluded RANTEC is the only company capable of fulfilling the Government’s requirement.

IX. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

[FAR 6.303-2(b) (9) (i)]

None.

X. List of Sources, if any, That Expressed Interest in the Acquisition. [FAR 6.303-2(b) (10)

See Section VI above.

XI. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition Before Making Subsequent Acquisitions for the Supplies or Services Required. [FAR 6.303-2(b) (11)]

If production data becomes available as discussed in section V, the power supplies’ production would then be competed. Once a new vendor is qualified, further ordering periods under this effort will not be exercised.

XII. Certification by the Contracting Officer. [FAR 6.303-2(b) (12)]

The contracting officer’s signature on the Coordination and Approval Document evidences that she has determined this document to be both accurate and complete to the best of her knowledge and belief.

XIII. Technical/Requirements Personnel’s Certification. [FAR 6.303-2(c)]

As evidenced by their signatures on the Coordination and Approval Document, the technical and/or requirements personnel have certified that any supporting data contained herein, which is their responsibility, is both accurate and complete.