16-00082_CAD_(2696.pdf_-__-_11-16-2015_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY:

This purpose of this Justification and Approval is to request authority for Other Than Full and Open Competition to support requirements generated for the Air Force Sustainment Center (AFSC), 638 Supply Chain Management Group (SCMG), 409 Supply Chain Management Squadron (SCMS) located at Robins AFB, Georgia. The contracting authority for this requirement is the Defense Logistics Agency (DLA)/AWB. The purchases request number supporting this contracting action is FD2060-16-00082.

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

Due to the circumstances described herein, the activity requests authority to acquire the spares listed in this document using Other Than Full and Open Competition as prescribed by FAR 6.302-1, Limited Number of Responsible Sources and No Other Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a new three year Firm- Fixed Price, Indefinite Delivery Indefinite Quantity (IDIQ) contract consisting of a basic year and two one-year ordering periods. Kaiser Electronics (now Rockwell Collins) Source Control Drawing (SCD) PC82040 requires purchase of this item from the approved sources listed below.

These supplies are required to support sustainment of the F-15E aircraft fleet.

Symbolic Technologies, Inc. Transicoil, LLC 1917 Saint Andrew PL E 9 Iron Bridge Dr.

Santa Ana, Ca 92705-5143 Collegeville, PA 19426

CAGE: 19565 CAGE: 82686

Woman Owned Business Large Business

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS:

The Air Force has immediate requirements for the acquisition of the Multipurpose Display Panel (MPD), Control Panel Assembly, PN PC82040-4 (hereafter, “Control Panel”). The MPD is mission critical and must be operational for the aircraft to be fully mission capable as it provides the pilot with visual representation of flight, navigation, attack, target, weapon, and advisory data. The Control Panel allows pilot interaction with the system by means of push buttons. In addition, continuous and initiated built-in test (BIT) status of the system is also displayed on the Control Panel. The MPD is presently in service in the F-15E model. The F-15E is currently used by ACC, USAFE and AFMC and is scheduled to be in service until 2041. Quantities needed and dollar values for each year are as follows:

Basic Ordering Period:

NSN Est. Unit Cost Min.

Qty

Max.

Qty

Est. Maximum Total Cost

1290013952696 1 55 $ Est. Maximum Total Cost for Period $

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE

QUALIFICATIONS OR NATURE OF THE ACQUSITIION REQUIRES THE USE

OF THE AUTHORITY CITITED ABOVE (APPLICABILITY OF AUTHORITY):

The agency’s requirement can only be satisfied by the unique supplies or services available from the approved sources listed in Section II based on the AMC/AMSC coding of 2/B as described in Section IV.

The Control Panel is manufactured exclusively for military use specific to the F-15E MPD; the MPD is considered the Next Higher Assembly (NHA) to the Control Panel. There are four MPDs installed in each aircraft and are mission critical and considered specialized equipment for military use and must be operational for the aircraft to be fully mission capable. The MPD is presently in service in the F-15E model which provides direct support for deployed forces.

The MPD itself is currently non-procurable due to obsolescence; however the Control Panel is currently manufactured. Engineering awarded a form, fit, function and Interface (F3I) replacement contract for the MPD in Oct 2014 with a PoP of Sep 2017 (FA8222-12-D-0011- RJ01). If successfully completed, fielding is estimated to begin in 2018/2019 timeframe. The F3I replacement will eliminate the need for the present Control Panel.

The Control Panel is carcass constrained (only 19 spares available with 21 backorders). It has a 4 Quarter Average Condemnation Rate of 4.5, and a Monthly Demand Rate of 19. At this rate, the stock will be depleted in less than one year inhibiting the ability to fill priority requirements.

Lack of spare Control Panels will inhibit repair of the MPD which is already affected by obsolescence. Currently there are over 70 backorders for the MPD, 3 Mission Capability (MICAP - aircraft awaiting this part to be mission capable) and 15 Surge requirements. Surge requirements fill “holes” in Readiness Spares Packages (RSP) which provides support for deployed forces actively executing real-world missions until a supply chain can be established.

Failure to execute these missions inhibits the achievement of critical military objectives around the world.

Engineering estimates determined qualification of additional sources will require approximately 12- 18 months and an estimated This cost was based on comparable taskings to approve sources and assumes the source has already produced a similar item. This cost is for government engineering evaluation alone and not a reverse engineering effort. If failures with first article/qualification testing were realized with a non- approved source performing this requirement, it could push the schedule out thereby causing undue delay in filling real-world requirements. Considering an award date of Apr 2016 to qualify an additional source:

Contract Award

Development Time

Contract Expiration

Spares Buy Contract Award

Lead Time for Manufacture

Requirements Filled

Apr 2016 18 months Oct 2017 Nov 2017 12 months Oct 2018

Considering the complexities of the interface between the Control Panel, MPD and the interaction between the MPD and other aircraft systems and ordinance a reverse engineering effort would be relatively complex. A recent F-15E development effort of similar complexity was a Test Program Set for the F-15E EEMD. Cost to reverse engineer the Control Panel could cost as much as This cost includes development, TDP, flight testing and adjustments to test equipment.

The most compelling factor is time due to the impending NHA replacement effort. The time to develop the source and procure spares will coincide with the PoP of the NHA F3I replacement in 2018. Additional source qualification carries inherent risks involved with the Government obtaining this requirement from any source other than the currently approved sources, no other sources besides the currently approved sources should be considered due to the above mentioned limiting factors.

Rockwell Collins is listed on the Screening Analysis Worksheet report as a design activity. This data is presently due to the Prime-Vender relationship that existed with Rockwell Collins as the prime and the two approved sources as the venders. The Rockwell Collins SCD stored in the JEDMICS systems is current to the best of the knowledge of the Integrated Process Team.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITATED FROM AS MANY POTENTIAL SOURCES AS DEEMED

PRACTICABLE:

A Sources Sought Synopsis was posted on the Federal Business Opportunities (FedBizOpps) website which expired on 6 Oct 2015, Solicitation #1290-01-395-2696, requesting interested parties identify their capability to fill this requirement. There were no responses from potential sources. This requirement will be synopsized on the FedBizOpps as required by FAR 5.201. It is anticipated that sources having an interest in subcontracting may be identified through synopsis.

Although acquisition of the Control Panel is limited to the sources listed in Section II, any source who responds to the Government as a result of this synopsis will be identified to the prime contractor as a potential for subcontracting possibilities.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE:

The overall cost of this acquisition will be fair and reasonable to the Government. In accordance with FAR 15.404, it is anticipated that negotiations will be conducted using information other than cost or pricing data from the contractor. Thorough price analysis will be conducted using available information and approved pricing techniques. This will support the contracting office in making a determination that the price is fair and reasonable to the Government.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS:

A Market Research Report (MRR) was accomplished in accordance with FAR Part 10.001 and

10.002 To determine if commercial items suitable to meet the Air Force’s requirement or non-developmental items that could be modified to meet the needs are available in the market place.

The Market Research Report was completed 24 Sep 2015. Market research techniques employed were Internet queries; such as, http://web.sba.gov/pronet/search/dsp_dsbs.cfm, http://thomasregister.com, http://www.eem.com, http://www.yahoo.com, and www.ccr.gov.

The resulting MRR determined this item to be specialized equipment and designed specifically for the F-15E aircraft and manufactured per Rockwell Collins SCD. These items were designed, qualified and manufactured exclusively for a military application. These parts are not interchangeable with any parts found on any other military or commercial aircraft. Engineering has determined these items, although similar to commercial items are F-15E unique and are non-commercial.

As stated in Section III, there is a pending F3I replacement effort in place to the MPD. If successfully completed, fielding is estimated to begin in 2018/2019 timeframe. At this point, additional sources cannot be qualified due to the impending F3I replacement of the MPD.

Engineering could not complete qualification a procure spares prior to the anticipated fielding of the replacement. Accordingly, the sources listed in Section II are the only sources capable of providing the supplies described in Section III and not cause undue delay in supporting current USAF requirements.

IX. ANY OTHER FACTS SUPPORTING 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. ACTIONS THE AGENCY MAY TAKE TO REMOVE OR OVERCCOME ANY

BARRIERS TO COMPETITION BEFORE MAKING SUBSEQUENT ACQUISITIONS

FOR THE SUPPLIES OR SERVICES REQUIRED:

Although the Government does possess a TDP, the MPD is scheduled to be replaced in 2 years.

The Control Panel should continue to be acquired by the sources listed in the Source Control Document. This being considered, all sources which express an interest from the synopsis will be evaluated to determine if they are or can be qualified to perform on this and/or future requirements with the emphasis on schedule.

The Government owns the rights and data required to purchase this part from the approved sources listed in Section II as suggested by the Screening Analysis Worksheet. Section V describes the timeframe to fill requirements, considering the pending F3I replacement of the end item, as the limiting factor not the availability of data or rights thereof. This limiting factor (time) does not justify the time to approve additional sources as described in Section V. No other contractual vehicles are in place to purchase these items. The current item design has successfully operated on the aircraft since deployment, and there is no known obsolescence or diminishing manufacturing issues to be resolved. Additionally, there are no new technologies, applicable to these items that provide affordable best value alternatives to the current design.

According to the SCD and engineering knowledge of the item and aerospace industry, the only viable sources for manufacture of this part are the sources in Section II.

As stated in Section III, there is a pending F3I replacement effort in place to the MPD. If successfully completed, fielding is estimated to begin in 2018/2019 timeframe. At this point, additional sources cannot be qualified due to the impending F3I replacement of the MPD.

Engineering could not complete qualification a procure spares prior to the anticipated fielding of the replacement. Accordingly, the sources listed in Section II are the only sources capable of providing the supplies described in Section III and not cause undue delay in supporting current

USAF requirements

The Government will receive a complete TDP with a minimum of Government Use Rights as a deliverable of the MPD F3I replacement contract. Spares procurement of the MPD replacement will be Full and Open Competition.

XII. CONTRACTING OFFICER’S CERTIFICATION

The contracting officer’s signature on the Coordination and Approval Document evidences that she has determined this document to be both accurate and complete to the best of her knowledge and belief. (FAR 6.303-2(b) (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(c))