SPRBL1-18-R-0007_JA_Fully_Redacted.pdf

SPRBL1-18-R-0007

SPRBL1-18-R-0007 Source Selection Information per FAR 2.101 and 3.104 Page 1

DEFENSE LOGISTICS AGENCY

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity: Defense Logistics Agency 6001 Combat Drive, Room C1-301

ATTN:DLA-ZLAA

Aberdeen Proving Ground, MD 21005-1846

2. Description of Action: The proposed action is a procurement for an AM-7651/A Dual Stabilator Controller (DSC), spare for the UH-60A/L, Black Hawk helicopter. Please see below for details on this effort.

Nomenclature P/N

NSN Unit Price Quantity Estimated Value

AM-7651/A

Dual Stabilator Controller

(DSC)

1011445-1

5996-01-547-3452 88 each

Estimated Maximum Total Value:

Army Working Capital Funds will be used for this effort.

3. Description of Supplies/Services: The DSC supports systems used in UH-60A/L Black Hawk helicopters, to assist the pilot in maintaining controlled flight. The DSC processes airspeed, lateral acceleration, and collective stick position signals from their respective sensors, and pitch rate signals from internal gyros, to derive stabilator actuator control signals, also providing fault monitoring and built-in test capability. The AM-7651/A DSC is unique to the UH-60A/L Black Hawk helicopter

4. Authority Cited: The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1) and FAR 6.302-1, Only One Responsible Source.” The use of authority 10 U.S.C 2304 (c) is based on Acquisition Method Code (AMC) 5, acquire only from the prime contractor, although the engineering data identifies the commercial and government entity code (CAGE) and part number of a source other than the prime contractor. The Acquisition Method Suffix Code (AMSC) Z, identifying the DSC as a commercial, non-developmental item. Hamilton Sundstrand is identified as the original manufacturer with Aviall identified as the prime contractor.

5. Reason for Authority Cited: The approved source for this action is Aviall Services, Inc, 2750 Regent Boulevard, DFW Airport, Texas 75261, CAGE 22819. Aviall has exclusive licensed rights to distribute the DSC from Hamilton, the Original Equipment Manufacturer (OEM) of the above-mentioned system. The Government cannot repair or manufacture the part due to the proprietary nature of the systems and unavailability of technical data. . The Government asked Hamilton if they were interested in selling the DSC technical data package (TDP), including data rights, and on 18

SPRBL1-18-R-0007 Source Selection Information per FAR 2.101 and 3.104 Page 2

September 2017, Hamilton informed the government that they are not interested in selling DSC technical data rights to the government at this time. If another source(s) could be found, reverse engineering the part will take at least nine months, and then the reverse-engineered part still needs to be manufactured, tested, and procured.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional potential sources for hardware procurement. There is no competition anticipated for this acquisition.

In accordance with FAR 5.201, this action will be synopsized via Federal Business Opportunities (FedBizOpps) website at least 15 days prior to issuance of the solicitation.

7. Actions to Increase Competition: The management of this item is handled by Army Integrated Logistics Support Center (ILSC), Enterprise Soldier Aviation (ESA) Directorate. The Government will continue Market Research to ascertain if changes occur in the marketplace that would enable future action for these services to be competitive. The Government contacted Mr. Corey Holtz Hamilton by email on 21 October 2015 to request the Technical Data Package (TDP). The second attempt was made on 18 September 2017 for the price to acquire the DSC TDP. Both requests were returned with Hamilton declining to sell the TDP. Per the guidance of DFARS PGI 206.304, the Contracting Officer reviewed the previous J&A to ascertain what actions were proposed to increase competition. The previous J&A did not have any plan to increase competition because the follow-on contract was not anticipated at the time.

8. Market Research: A Sources Sought Announcement (SSA) was posted on Federal Business Opportunities on 22 February 2016 with a closing date of 7 March 2016. No responses were received by the closing date.

On 23 June 2016, Hamilton Sundstrand was contacted about the Dual Stabilator Controller and Advanced Flight Control Computer purchase and repair efforts by email. A response was received on 24 June 2016, with a further clarification on 28 June 2016. Hamilton Sundstrand has the capability to manufacturer and repair the AFCC and DSC to meet government needs, but Hamilton has an exclusive distribution agreement for new DSCs with a company named Aviall.

A second SSA was posted on Federal Business Opportunities on 17 November 2016, with a closing date of 16 December 2016, attempting to locate sources for purchase of the DSC. One response was received, on 16 December 2016 from Aviall Services Inc, a Boeing company.

If the Army intends to purchase units beyond the current quantity, Aviall holds a lifetime agreement with Hamilton Sundstrand/UTAS to produce the

SPRBL1-18-R-0007 Source Selection Information per FAR 2.101 and 3.104 Page 3 additional units required to meet the Army’s need. Aviall was considered to be responsive to the SSA and capable of fulfilling the Army’s requirements.

On 29 August 2017, Market Survey-6231-1 was posted to FedBizOpps with a closing date of 11 September 2017, another attempt to locate sources for procurement of the DSC. Only one response was received, from Aviall Services.

After follow-on postings beginning July 2015 through September 2017, no other information was found to be different from the prior responses, and Aviall is considered responsive to the market survey.

9. Interested Sources: In accordance with FAR 5.201, the solicitation will be synopsized on the Federal Business Opportunities page. Any proposals received shall be evaluated. Aviall is the only source that has expressed an interest in providing this system to the government.

10. Other Facts:

a. Procurement History:

Contract Number Award Date Contractor Extent Competed/FAR Exception

W15P7T-07-D-C013 April 27, 2007 Hamilton Sundstrand

Sole Source/FAR 6.302-1

b. Acquisition Data Availability: The Government only possesses a broad-based Performance Work Statement for this effort and Hamilton part numbers. The Government did not buy the TDPs during the first acquisition of the systems. Hamilton stated there is no desire to sell either TDP to the government as of 18 September 2017 (email from Corey Holtz). Based on demand history and the Independent Government Cost Estimate (IGCE) prepared 27 August 2017, it is not economical to reverse engineer TDP either due to the level of testing that would be required to ensure flight safety.

c. Subcontracting Competition: FAR 52.244-5, Competition in Subcontracting, will be included in the solicitation.

SPRBL1-18-R-0007 Source Selection Information per FAR 2.101 and 3.104 Page 5