Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

NEGOTIATION SENSITIVE

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DAFFARS 5313.501 U.S.C. 3572, Implementation of Simplified Acquisition Procedures (41 U.S.C. 1901)

This acquisition is for overhaul of B2 Alarm Control, B52 Battery Charger, and F15 Battery Charger. The Original Equipment Manufacturer (OEM), Eldec Corporation, is the only known source that has the data, repair procedures, parts, expertise, tools and test equipment necessary to meet the Government's needs. Eldec Corporation possesses the unique theory of operation/architecture, assembly/disassembly procedures, material provisioning and selection criteria, fault diagnostics, shop practices, replacement parts and trained personnel needed to satisfy the Air Force's requirements. Eldec Corporation is currently providing this highly specialized service on solesource contracts FA811723D0017, FA811723D0018, and FA811723D0019 and are scheduled to end Aug 2025. Therefore, this acquisition will be a followon contract for the continued performance of a highly specialized service for the B2, B52, and F15 Weapon Systems. Eldec Corporation provided only Form, Fit and Function data with the production of these items. The part is a sensitive instrument used for gathering and transmitting vital wind speed data to aircrews. Eldec Corporation is the only approved repair/overhaul source for this part. Eldec Corporation was contacted on 14 Feb 25 and asked if limited or unlimited rights in repair/overhaul data would be considered. They declined to waive rights to their proprietary data in this case. Due to current unavailability of repair data, specialized test equipment, the Government does not anticipate that another source could become qualified in time to avoid unacceptable delays in meeting the Government's requirements.

The 422 SCMS believes Eldec Corporation is the only firm capable of providing this highly specialized service without the U.S. Air Force experiencing unacceptable delays in fulfilling its requirements. This service has Qualification Requirements (QRs). Once a Source Approval request (SAR) is submitted by a vendor, a period of three years can be required to process and validate an alternate supplier's approach. This timeframe includes acquisition of repair data and equipment, application for SAR and conduct of Initial Product Evaluation (IPE).

The government verified with AFSC/SB on 1 May 2025 zero SAR packages in queue at this time. The proposed solesource approach is the Air Force's only remaining alternative to execute the requirements by the need date for this action. If a contract is not awarded by Aug 2025, we will struggle to fill not only our current MICAPS, but future MICAPS as well. This will greatly affect our ability to support the war fighter.

A Sources Sought Synopsis (SSS) was posted on 09 Dec 2024, with closing date 09 Jan 2025; no responses were received. A request for a Rough Order of Magnitude (ROM) to purchase the necessary technical, manufacturing and maintenance data rights was submitted to Eldec Aerospace Inc. on 14 Feb 2025. As of 26 Mar 2025, no other response was received from Eldec Corporation. The Government was unable to obtain IP rights or deliverables under the previous or current contract. If data rights were able to be purchased, a cost analysis study with an examination of repair/manufacture data rights along with obsolescence and tooling requirements would need to be performed to verify if it is cost effective to purchase the rights. Based on

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

March 2023 NEGOTIATION SENSITIVE Page 8 of 12 similar weapon systems it is estimated to take up to 6 years for this study and possible approval. The unexpected unknowns involved with the study would hinder the timely award of this acquisition.

The Contracting Officer will ensure that the items described herein are negotiated at a fair and reasonable price to the Government utilizing simplified acquisition procedures IAW FAR 13.5.

Market research, IAW FAR 10, was conducted by a multifunctional team consisting of the Item Manager, Equipment Specialist, Logistics Officer, and Engineer. Market Research was conducted via the Internet along with phone calls that were conducted on 6 Feb 2025. Searches in multiple government databases and commercial websites; Parts Manufacturer Approvals (PMA) and HAYSTACK were made. Due to the complexity and criticality of the item, only preapproved sources meet Air Force requirements. Further, this requirement cannot be modified nor be satisfied with a nondevelopment item that is commercial off the shelf. Market research did not reveal any other qualified sources available to fulfill the requirement.

The development of overhaul procedures without the requisite data and/or technical manuals is not possible without extensive and costly reverse engineering. Bases on previous reverse engineering projects, it could cost as much as $10 million$15 Million and take between three to five years to complete. The Government does not possess the experience or historical data to estimate costs with any degree of specificity, but we anticipate that developing an overhaul capability for these parts without any releasable data would be a very highrisk endeavor.

Eldec Corporation 16700 13th Ave W Lynnwood, WA 98037 Phone: (425)4731313

CAGE: 08748

As a result of continued refusal by the sole source contractor to provide or license data, there are no known additional actions which can be taken to remove barriers to competition. Eldec is also not interested in licensing to other distributors for their service/equipment. Therefore, specific actions and milestones cannot be established.

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

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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