JA_for_PR_No._FD2020-16-00993.v3.7_Redacted.pdf

FD2020-16-00993

TELLO.ROCKY.

COORDINATION AND APPROVAL DOCUMENT

(Also known as Justification Review Document)

Contracting Activity: DLA Aviation Ogden Purchase Request Number: FD2020-16-00993 Project/Program Name: F-15 AIRCRAFT Estimated Contract Cost:

Type Program: Other Contracting Authority: 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1 Type J&A: Individual

COORDINATION:

2/7/2017

X

OFARRELL.MICHA Digitally signed by

OFARRELL.MICHAEL.JAMES.JR.

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=DLA, Date: 2017.02.07 21:57:53 -07'00cn=OFARRELL.MICHAEL.JAMES.JR

Michael J. O'Farrell, Jr., Associate Counsel DLA Counsel Aviation

APPROVED:

Digitally signed by

TELLO.ROCKY.E.

DN: c=US, o=U.S. Government, Rocky Tello, DOD DLA/AUB Contracting Officer ou=DoD, ou=PKI, ou=DLA, cn=TELLO.ROCKY.E Date: 2017.02.08 09:36:03 -07'00'

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY:

Defense Logistics Agency DLA Aviation at Ogden 6051 Gum Lane Bldg. 1225 Hill AFB, UT 84056-5825 Contracting Officer: Rocky Tello Phone Number: 385-519-8203 Email: Rocky.tello@DLA.mil PR Number: FD2020-16-00993

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING PROCESSED:

A. Upon approval to use other than full and open competitive procedures, DLA Ogden will issue a new contract to procure the Shaft, Turbine used on a F-15 Power System, to Goodrich Corporation, Cage Code 99551.

B. Contract Type & Structure: A spares contract to procure a total quantity of 13 units with a Firm-Fixed-Pricing arrangement will be issued. The estimated award date is March 201 7 with performance and delivery expected through N ov e m be r 2 0 1 7 .

C. Type J&A: Individual

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED MEETING

THE AGENCY'SNEEDS:

A. The F-15 Secondary Power System is equipped with a Jet Fuel Starter (JFS), Central Gear Box (CGB), two PTO Shafts and two Airframe Mounted Accessory Drive (AMAD). The JFS connects to the CGB which transfers power to the AMAD via a clutch. The AMAD and main engines are connected to one another by the PTO shaft which transfers power for startup, hydraulic power, and electricl power generation.

The PTO shaft on the F-15 is unique because it must allow for some misalignment during operation due to the flexure of the wings and aircraft frame. To accommodate this, the shaft is equipped with diaphragms tht allow for flexure while maintaining the necessary torsional strengrth for operation. This shaft has some unique manufacturing processes involved with the flow forming of the center tube and the creation of the diaphragms.

mailto:Rocky.tello@DLA.mil

NSN Name Qty Price/Unit Ext. Price 2835-01-522-8015RP Shaft, Turbine 13

Total

B. Total estimated cost is: Due to aged history of the standard price, this unit cost is based on government estimation. This action is using appropriated funds 47GH (4F) to meet FMS mission requirements.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION:

10 USC 2304 (c) (1) as implemented by FAR 6.302-1 -- Only One Responsible 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 AUTHORITY CITED

ABOVE (APPLICABILITY OF AUTHORITY):

A. The above authority was selected because Goodrich holds proprietary rights for this item and is the only contractor with the rights to use the data to manufacture this item for the government's use. This item has not been sold as a commercial, non-government product.

There are similar items throughout the aerospace industry are being producing or have been produced in the past for the commercial marketplace; however none of these co mme r ci al items will meet the government’s need for military applications. The Shaft, Turbine is only used on the F-15, and cannot be made from minor modifications on existing models in the marketplace. Small business opportunities exist if they can reverse engineer the Shaft, Turbine. This however, will be a challenging feat, considering the c o m pl e xi t y of the Shaft, Turbine. If they did reverse engineer the Shaft, Turbine, they would then own their own data package and could be qualified as a source of supply. Since the government does not own the data, they would have to perform this at their own expense. FMS countries are not willing to absorb the reverse engineering cost.

B. The 419 SCMS/GUEA Engineer believes that award to any other source would result in substantial duplication of costs to the Government that is not expected to be recovered through competition as well as delay the expected delivery date. The cost to reverse engineer this part is estimated at $1,199,770.00. Based on the reverse engineering estimate and a 10% reduction in sales price due to competition, it would take about 4 years to break even.

C. The last attempt to obtain the data, rights, drawing, etc. was by , 430

SCMS/GUID. On 8 Nov 2016, an email was sent to , Government Contracts Manager at Goodrich, asking if data may be sold to the government, Goodrich did not respond to the Government’s request.

VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE:

A. Sources Sought Synopsis: A request for information and sources sought synopsis was issued 22 July 2016, advising industry of the pending acquisition and soliciting inquiries from interested parties. No responses were received from industry.

B. This requirement has been synopsized in FedBizOpps, as a notice of contract action IAW

FAR 5.201. If other sources express interest as a result of this synopsis or other action, they will be listed in the official contract file.

C. Other actions: None

D. Qualifying Country Sources: None

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND

REASONABLE:

The following steps will be taken to ensure that the anticipated cost of this acquisition will be fair and reasonable. The Contracting Officer will comply with the procedures and criteria contained in Federal Acquisition Regulation (FAR) under Part 30 - Cost Accounting Standards, Part 31 - Contract Cost Principles and Procedures, Subparts 15.4 - Contract Pricing; to include technical evaluations and audits, as appropriate. Additional steps to ensure price reasonableness will be under the guidance of the Contract Pricing Reference Guides, jointly developed by the Federal Acquisition Institute and the Air Force Institute of Technology. The Contracting Office will obtain certified cost and pricing data IAW FAR Subpart 15.403, when required. The final step is to include the Price Negotiation Memorandum (PNM). This detailed documentation and justification of price reasonableness will be disclosed in the official PNM, to be prepared upon completion of negotiations.

VIII. DESCRIPTION OF MARKET RESEARCH CONDUCTED AND THE

RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS

NOT CONDUCTED:

A. As described in Section VI above, market research, in accordance with FAR Part 10, will be conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties.

B. IAW FAR 10.002 (b)(2)(i), Contacted knowledgeable individuals in Government and industry to determine whether any commercial parts could satisfy the Government's needs or whether the parts needed can be obtained from any other source than Goodrich. This effort did not yield any additional sources of supply. Individuals surveyed include Program Manager David Lavely, and F-15 Engineer Daniel Newquist.

C. Market Research included conducting a vendor survey, the vendors listed in the market research were found by searching electronic databases; ThomasNet, and Google. All websites where searched using part# 19E173-4A and the NSN 2835-01-522-8015RP. This internet search was conducted 12October 2016 and did not yield any additional sources of supply other than Goodrich.

D. Reviewed catalogs and other generally available product literature published by manufacturers, distributors, and dealers or available online. This effort did not yield any additional sources of supply.

E. The last attempt to obtain the data rights was by David Lavely, 430 SCMS/GUID. On 8 Nov

2016, an email was sent to William Long, Government Contracts Manager at Goodrich, asking if data may be sold to the government, Goodrich did not respond to the Government’s request.

F. Based on the market research conducted, there is a high level of confidence that there are no additional sources capable of satisfying the agency's need for this proprietary item nor are there any other commercial or nondevelopmental items which could be utilized to meet needs or which could be modified to meet the needs of the government.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL

AND OPEN COMPETITION:

None

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED INTEREST IN

THE ACQUISITION:

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:

None

XII. CONTRACTING OFFICER'S CERTIFICATION:

The Contracting Officer's signature on the Coordination and Approval Document evidences that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief (FAR 6.303-2(a){l 2)).

XIII. TECHNICAL/REQUIREMENTS PERSONNEL'S CERTIFICATION:

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 (FAR 6.303-2(b)).