FD20201500055_Redacted.pdf

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY:

Defense Logistics Agency DLA Aviation Ogden 6051 Gum Lane Bldg 1225 Hill AFB UT 84056-5825 Contracting Officer: Nathan Gomm Phone Number: 801-586-3414 PR Number: FD20201500055

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

A. Upon approval to use other than full and open competitive procedures, DLA will issue a new contract to procure Radar Receivers for FMS customer Israel. The AN/FPS-117 System is manufactured at Lockheed Martin Corp, DBA MS@ Div MS2 Radar Systems, 497 Electronics Pkwy Bldg 5, Liverpool, NY 13088-6062, Cage Code 03538.

B. Contract Type & Structure: A spares contract to procure a total quantity of 16 units with an anticipated Firm-Fixed-Pricing arrangement will be issued. The estimated award date is 17 June 2015, with performance and delivery expected through 3 July 2016.

C. Type J&A: Individual

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED MEETING THE

AGENCY’S NEEDS:

A. This item is a Radar Receiver, used for the AN/FPS-117 System. The Radar Receiver performs phase shifting of transmitted waveforms before sending them to the tramsmitter.

It also performs low noise amplification of received signals and routes them to the appropriate monopulse feeds and monitors the transmit/receive signal path for unacceptable signal characteristics.

NSN Name Qty Price/Unit Ext. Price 5840-01-360-0379QX Radar Receiver 16

Total

B. Total estimated cost is: . This estimate is based on D043A Unit Cost. This action will use 47SH 4F appropriated FMS funds.

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 the government does not own the data or the rights to the data needed to procure this part from other than the current approved source, Lockheed Martin. Lockheed Martin owns the proprietary technical data. Given the critical role that this part plays in the system’s operation, poor replacement part would critically undermine the operation and mission of the radar. Lockheed expressed an unwillingness to sell data. This part was developed by Lockheed Martin to resolve obsolescence issues with the original FPS-117 row receivers. The government did not pay for its development and is therefore not entitled to the data. In accordance with this proprietary rights agreement, DLA cannot legally competitively source this item.

B. The vendor is not willing to sell the data rights to the government.

C. The FMS countries acquiring these items are not interested in and will not fund reengineering efforts by a new vendor. Any effort to reengineer this part would have technical risks associated with it. The engineer estimates a reengineering effort would have about a 30% chance of successful completion within 2 years and a 75% chance of success within 5 years, with five countinous years of working on one contract. Furthermore, this part is required at the present time, not in 2 to 5 years. Reengineering cost would be which the country is not willing to obsorb.

D. Accordingly, Lockheed Martin Corp. is the only approved source capable of providing the supplies described in Section III. Therefore, competition for this acquisition is restricted and an acquisition method code of 3R has been assigned.

VI. DESCRIPTION OR EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE:

A. Sources Sought Synopsis: A sources sought synopsis will be posted to the Federal Business Opportunities website (www.fbo.gov) for a minimum of 30 days, advising industry of the pending acquisition and soliciting inquiries from interested parties. Any information resulting from the sources sought synopsis will be shared with the program office and documented in the official contract file.

B. Other actions: None

C. 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. IAW FAR Part 10, Market research was conducted by the engineer, Eric Widdison, 28 Jan 2014. His efforts included 1) contacting knowledgeable people with in government and industry (the SPO, ACC, Lockheed Martin, US Dynamics, and users in Canada, Alaska, and Puerto Rico), 2) querying government and commercial databases (Haystack, Jedmics, WebFlis, Medals, and eTIMS), 3) utilizing source lists for similar items (Parts 7326440G1 and 7328731G1), and 4) publishing formal requests for information (solicitation published 17 May 2011). Research did not identify any additional qualified sources. While parts were identified to perform similar functions exist for other systems, the particular nature of the FPS-117 V1/4 functions and interfaces render them incompatiable with USAF systems. No other qualified source is known for this part.

B. No other commercial items or non-developmental items that can be modified exist.

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)(12)).

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)).