REQ-DASOBO-00114778_Aircraft_ODF_Approved.pdf

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REQUEST FOR SPECIAL PROCUREMENT

AND BRAND NAME SPECIFICATION DETERMINATION

NO. REQ-DASOBO-00114778

PART A. Requesting Agency must complete Items 1 through 13.

1. Requesting Agency Name: Department of Administrative Services, State Procurement Services (DAS SPS), on behalf of Oregon Department of Forestry (ODF or Agency)

2. Date of Request: January 23, 2025 3. Agency Number: 10700

4. Agency Contact Name: Melissa Esser 5. Phone: 971-283-4439

6. Type of Request: Class Special Procurement X Contract-specific Special Procurement

7. Time Period Requested: From: April 1, 2025 To: April 30, 2028

8. Total Estimated Cost: $12,000,000

9. Title: Supplies and/or Services to be Acquired:

One Multi-Mission Twin Otter Aircraft, including Systems Integration and maintenance, training and other related services

Brand

AEVEX Twin Otter X2-300HG

10. Request, Background, Current Need, and Proposed Contracting Procedure:

a. Request:

This Special Procurement (SP) Request #REQ-10700-00114778 seeks approval for DAS SPS, on behalf of ODF, for the following:

1. to issue a direct-award contract to AEVEX Aerospace for a Multi-Mission Twin Otter X2-300HG Aircraft and integration of mission specific systems and maintenance, training and other related services, in accordance with the Proposed Contracting Procedure set out in section 10.d. below;

and

2. pursuant to ORS 279B.215 and OAR 125-247-0691, the use of a Brand Name Specification for AEVEX Twin Otter X2-300HG.

b. Background:

ODF operates a Multi-Mission Aircraft (MMA) program to provide critical wildfire detection, monitoring, and all-hazard emergency response. Since 2020, the MMA program has been a cornerstone of ODF’s efforts to save millions annually in fire suppression costs by detecting and containing wildfires early. The current MMA program consists of the P-68 Partenavia Observer aircraft. ODF’s current aircraft, the P-68

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Partenavia Observer, is aging and experiencing frequent downtime due to unscheduled maintenance, rendering it unreliable during critical fire seasons.

Brand Name Justification: ODF conducted extensive market research and identified the Twin Otter X2- 300HG as the only aircraft capable of meeting all high-level bond requirements and specific operational needs.

The high-level requirements for the aircraft outlined in the legislative bond measure listed in the Senate Bill (SB) 5701 Measure Summary include:

• Twin or single turbine engine.

• High fixed wing.

• Type certificated at purchase.

• Infrared and night vision equipped (or compatible platform).

• Short take-off and landing (STOL) performance.

• Minimum 6 passenger capacity.

• Ability to deliver airborne cargo.

In addition, the Agency’s specific operational system requirements are:

• Integration compatibility with Forward Looking Infrared (FLIR) 380HDc technology, Overwatch TK8 sensor, and GeoFOCIS mission management software.

• Twin-turbine engines for redundancy and safety.

• Single-pilot configuration for air attack missions.

• Large windows to maximize passenger visibility and operational effectiveness.

AEVEX Aerospace is uniquely positioned to deliver this solution as it:

• Has a Twin Otter X2-300HG on the market meeting the needed base airframe specifications and is ready for mission system integration.

• Hold exclusive Federal Aviation Administration (FAA) approved Supplemental Type Certificates (STCs) for required modifications and integrations.

• Will be able to provide comprehensive integration, testing, and training services to ensure seamless compatibility and timely delivery by fire season 2026.

c. Current Need:

ODF requires the Multi-Mission Twin Otter Aircraft, including Systems Integration, to be operational by the 2026 fire season to replace the current aircraft and address increasing demands for wildfire detection and emergency response. This project is funded through a legislative bond, with a total budget not to exceed $12,000,000. Delayed acquisition could result in millions in additional suppression costs due to undetected or uncontrolled fires.

The estimated cost of $12,000,000 includes:

• Aircraft acquisition.

• System integrations (FLIR 380HDc, Overwatch TK8 sensor, GeoFOCIS software, and Night Vision

Goggle (NVG) modifications).

• FAA certification, testing, and compliance.

• Comprehensive training for operators and maintenance personnel.

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The estimated cost of $12,000,000 includes the following breakdown:

Expense Category Estimated Cost Aircraft Acquisition $7,000,000 System Integrations $3,500,000 FAA Certification & Testing $1,000,000 Training for Agency Pilots & Operators $100,000 Contingency & Miscellaneous $400,000

Total Estimated Cost: $12,000,000

d. Proposed Contracting Procedure:

Special Procurement Public Notice

1. As required by OAR 125-247-0287, DAS SPS, on behalf of ODF, will issue a public notice (Notice) of the approved SP on OregonBuys, the State’s eProcurement system of record, for a period of seven calendar days.

2. The Notice will include provisions that any affected party may protest the approval of the SP.

3. DAS SPS, working with ODF, will respond to and resolve all protest(s), if any.

4. If no protests to this SP are received and sustained, DAS SPS will proceed with directly awarding, negotiating and issuing the contract to AEVEX Aerospace to purchase the aircraft including systems integration.

5. Pursuant to OAR 137-045-0015, DAS SPS will work with Oregon Department of Justice (DOJ) to obtain legal sufficiency approval prior to executing the Contract and all Contract Amendments, if any.

11. Justification for use of Special Procurement and Brand Name Specification: Describe the circumstances that justify the use of a Special Procurement and a Brand Name Specification.

A customized procurement method, such as that outlined in section 10.d above, that is different than any procurement method already established in statute can only be requested and approved through a Special Procurement. In addition, ODF is requesting a Brand Name Specification Determination approval for the following brand:

• AEVEX Twin Otter X2-300HG

Rather than submitting two different special requests to DAS SPS, one for the customized procurement method and one for the Brand Name Specification, both requests have been combined into this SP Request. Findings to satisfy the mandatory requirements for a Special Procurement are documented in section 12. below.

Brand Name Requirements and Findings

Brand Name or Equal Specification OAR 125-247-0691(2) provides that a brand name Specification may be prepared and used based on one or more of the following determinations:

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(a) That use of a brand name Specification is unlikely to encourage favoritism in the awarding of Public Contracts or substantially diminish competition for Public Contracts.

Findings: The development of a multi-mission aircraft capable of conducting wildfire detection, suppression, and all-hazard emergency response missions involves extreme complexity and highly specific requirements. The aircraft must meet stringent operational demands, including STOL capability, NVG compatibility, single-pilot configuration, and seamless integration of advanced mission systems. These capabilities are critical for safe and effective operations in remote and challenging environments.

The Twin Otter X2-300HG is the only aircraft that satisfies ODF’s operational requirements. This selection was based on objective criteria, including the operational requirements, compatibility with mission-critical systems, current availability on the market in the configuration needed, and compliance with budgetary constraints.

Through extensive market research, it was determined that competing platforms either:

1. Lack essential capabilities, such as single-pilot configuration, para-cargo delivery, or STOL performance.

2. Exceed the budget established by the Bond Measure, which strictly allocates $12 million for acquisition, integration, and training.

3. Require additional integration and certification work, significantly delaying delivery and jeopardizing the agency’s ability to meet the 2026 fire season deadline. The agency’s current aircraft is aging and has become unreliable in meeting the demands of fire season. This is a critical resource that save millions of dollars annually in suppression costs.

The selection process avoided favoritism by relying on quantifiable performance standards and current market availably of aircraft that meet the specific requirements.

(b) That use of a Brand Name Specification would result in substantial cost savings to Agency.

Findings: The specificity and complexity of integrating advanced mission systems, such as FLIR 380HDc, Overwatch TK8, and GeoFOCIS software, into an aircraft platform requires highly specialized expertise. AEVEX Aerospace’s proprietary capabilities, including FAA-approved STCs and their Re- Life® program, ensure that these integrations can be executed efficiently and cost-effectively. Key cost savings arise from:

1. Engineering and Integration Expertise: The development of FAA-compliant designs for integrating mission systems involves extensive testing and certification. AEVEX’s existing STCs eliminate these costs, saving an estimated $2.1M–$5.6M compared to alternative vendors.

2. Turnkey Solutions for Complex Systems: The extreme specificity of integrating sensors, augmented reality mapping software, and NVG-compatible modifications requires a vendor with demonstrated experience. AEVEX’s single-provider approach eliminates interoperability risks, reducing costs associated with troubleshooting and delays.

3. Avoidance of Multi-Vendor Coordination Costs: Multi-vendor approaches often lead to challenges in aligning system compatibility, testing, and certification, adding significant costs and time. By choosing the Twin Otter X2-300HG provided by AEVEX, ODF avoids these complications, ensuring the aircraft is delivered on schedule and within budget.

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(c) That there is only one manufacturer or seller of the product of the quality, performance or functionality required.

Findings: The extreme complexity of developing a multi-mission aircraft capable of meeting ODF’s operational needs necessitates a vendor with a unique combination of expertise, certifications, and resources. AEVEX Aerospace is the sole provider that meets these criteria:

1. Specialized Platform Readiness: The Twin Otter X2-300HG is uniquely suited for wildfire and all-hazard missions, with proven capabilities such as STOL performance, para-cargo delivery, infrared and night vision system configured, and single-pilot configuration.

2. Integration of Advanced Mission Systems: AEVEX’s FAA-approved STCs for integrating FLIR 380HDc, Overwatch TK8, and GeoFOCIS software ensure seamless functionality.

3. Alignment with Project Timelines: Developing a comparable solution with another airframe from another vendor would require years of additional design, testing, and FAA approval, jeopardizing the agency’s ability to deploy the aircraft by the 2026 fire season.

(d) That efficient utilization of existing Goods requires the acquisition of compatible Goods or Services.

Findings: N/A

12. Findings to Satisfy the Required Standards for Special Procurement: This proposed special procurement:

___X__ (a) will be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts because:

• Market research demonstrates that no other Twin Otter X2-300HG with the needed airframe modifications for systems integrations are currently for sale.

• AEVEX Aerospace has exclusive FAA-approved STCs for required modifications.

• Direct award to AEVEX Aerospace ensures compliance with high level legislative bond measure requirements, operational requirements, federal requirements, substantial cost savings, and meets urgent operational timeframes.

and

__X____ (b)(i) will result in substantial cost savings to the contracting agency or to the public because:

• AEVEX owns a Twin Otter X2-300HG aircraft that is already configured to meet the agency’s required specifications, avoiding additional costs and delays associated with procuring and modifying another aircraft.

• AEVEX holds the necessary FAA-approved STCs, eliminating the need for costly and time-consuming certification processes.

• By conducting all system integrations at a single location, AEVEX reduces logistical costs, minimizes handling risks, and ensures seamless compatibility between the aircraft and mission systems.

• AEVEX’s turnkey approach avoids the risk of integration failures, which could lead to costly rework and operational delays.

• Timely delivery of the aircraft will enable the agency to avoid millions of dollars in fire suppression costs associated with delayed wildfire detection and response.

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• Consolidated training provided by AEVEX further reduces costs and ensures operational readiness without the need for additional contracts.

Category Estimated Savings Aircraft Availability $500,000–$1,000,000 Integrated Solution at Single Location $200,000–$400,000 STCs and FAA Compliance $100,000–$500,000 Avoided Integration Failures $200,000–$500,000 Timely Delivery $1,000,000–$3,000,000 annually Training Consolidation $100,000–$200,000 Total Estimated Savings $2.1M–$5.6M+ or

______ (b)(ii) will otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with the requirements of ORS 279B.055, 279B.060, 279B.065, or 279B.070, or any rules adopted thereunder because:

13. Signature: The actual signature of the Agency Head or designee (e.g., Designated Procurement Officer) is not required on the Request if it is submitted through OregonBuys. Agency may elect to attach a signed Request.

Signature: e.g. Electronically via email January 21, 2025 Type Name: Shannon Rand, ODF DPO Date

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PART B. The Department of Administrative Services completes Part B.

STATUTORY AND RULE AUTHORITY:

ORS 279B.085(2) states the Director of the Department of Administrative Services may approve a special procurement if the Director finds that a written request submitted under ORS 279B.085(4) demonstrates that the use of a special procurement as described in the request, or an alternative procedure prescribed by the Director will:

(a) Be unlikely to encourage favoritism in the awarding of public contracts or to substantially diminish competition for public contracts; and (b)(A) Result in substantial cost savings to the contracting agency or to the public; or

(B) Otherwise substantially promote the public interest in a manner that could not practicably be realized by complying with requirements that are applicable under ORS 279B.055, 279B.060, 279B.065 or 279B.070 or under any rules adopted thereunder.

OAR 125-246-0170 delegates the authority of the Director of the Department of Administrative Services to approve special procurements to the State Chief Procurement Officer. OAR 125-247-0285 through 125-247-0288 implement

ORS 279B.085.

OAR 125-247-0700(2) Protests and Judicial Review of Special Procurements designates the State Chief Procurement Officer as the Contract Review Authority.

FINDINGS: The findings are accepted, adopted, and incorporated by reference herein.

1. Pursuant to OAR 125-247-0691 and based upon the statements above, DAS SPS adopts the findings set forth above and hereby approves the use of the brand name specification for the purchase of the AEVEX Twin Otter X2-300HG.

2. Pursuant to OAR 125-246-0170(3) and OAR 125-247-0285 and based upon the statements above, DAS SPS adopts the findings set forth above and hereby approves the use of the Special Procurement process detailed in Part A, Section 10.d.

CONDITIONS OF APPROVAL:

1. Notice Period. The Authorized Agency shall post the Public Notice on OregonBuys. The Special Procurement may not be used until after the completion of the seven (7) day notice period required pursuant to OAR 125-247- 0287(4), and either:

a. No Written protests are received by the Contract Review Authority, State Chief Procurement Officer, from an Affected Person in response to the notice, or

b. If any protest is received during the notice period, then not until:

i. the State Chief Procurement Officer or delegate issues a written disposition of the protest in accordance with ORS 279B.400 and OAR 125-247-0700 and OAR 137-047-0700, and

ii. confirms in writing the first possible date of use of the Special Procurement.

2. ORS 279A.165 Requirements. Authorized Agency shall comply with the requirements of ORS 279A.165 and OAR 125-247-0287(12) regarding a report about this Special Procurement. Agency shall use a form and follow the instructions provided by the State Chief Procurement Officer or delegate.

APPROVED:

Jay Jackson, Procurement Policy Officer Date:

Department of Administrative Services, State Procurement Services

03/29/2025