JA_IDM-304_W15P7T-14-R-E100Redacted.pdf

JUSTIFICATION REVIEW DOCUMENT

FOR OTHER THAN FULL AND OPEN COMPETITION

Program/Equipment: Maintenance of the Improved Data Modem MD-1395/A.

Authority: 10 U.S.C. 2304(c)(1) and FAR 6.302-1 Amount:

Contracting Officer:

Technical Representative:

Requirements Representative:

Reviews: I have reviewed this justification and find it adequate to support other than full and open competition.

Program Manager:

Signature:

Legal Counsel:

Signature:

JUSTIFICATION AND

APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Agency/Contracting Activity: U.S Army Contracting Command

ACC-APG-CCAP-CCE

6001 Combat Drive Aberdeen Proving Ground, MD 21005

2. Description of Action: This action is for a three (3) year Cost Plus Fixed Fee (CPFF) , Indefinite Delivery Indefinite Quantity (IDIQ) term Contract for the Maintenance of the Improved Data Modem (IDM) MD-1395/A. Army Working Capital Funds and Aircraft Procurement Army appropriations will be utilized for this action.

3. Description of Services or Supplies: This effort is for the Repair and Overhaul of the MD- 1359/A, Improved Data Modem Model 304 (IDM-304) NSN 5895-01-493-4396, part number 81995-DM-001-304 to include testing, inspection and repair, and Unique Item Identification (UID) marking efforts. The MD-1359/A is required for successful accomplishment of airborne combat missions and is used in all front-line Army aircraft platforms including the AH-64D/E, OH-58D, CH-47F and UH-60M. The IDM-304 allows for connectivity to the tactical internet via the Blue Force Tracking System. The total estimated price of the proposed action is

4. Authority: The statutory authority permitting other than full and open competition is 10 USC 2304(c)(1) and Federal Acquisition Regulation (FAR) 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.

5. Reasons for Authority Cited: The proposed source is Symetrics Industries, 1615 West NASA Blvd. Melbourne, FL 32901. Symetrics Industries is the current production facility of the IDM. Symetrics Industries is the only responsible source that is known to have purchased sufficient quantities of the obsolete part, Infineon PEF20534H10-V21 208-PQFP while the part was available, to perform the required repair, testing and Overhaul of the MD-1359/A. Lack of this part would result in a degraded ability to repair both the Input-Output Module (IOM) and the Communication Process Module (CPM) and would prevent the replacement of either if the entire module failed. This is the last expected repair effort for the MD-1359/A due to obsolescence issues with parts and capability. The subject Infineon part is an Advanced Serial Interface that provides unique digital signal processing within the IDM. There is no drop in replacement for the required Infineon part. In order to utilize an alternate part, both the IOM and CPM would have to be re-designed. This re-design would result in the IDM having to undergo EMI/EMC testing on the following airframes: the AH-64D/E, CH-47F, UH-60M and the OH- 58D. This testing involves placing the airframe in a testing chamber and verifying that the re-designed IDM does not produce any adverse signals. The estimated cost for completing this testing is per airframe for a total estimated cost of . The MD-1359/A is set to retire in FY18 due to parts and capability obsolescence issues, thus, it is not cost-effective for the Government to perform the EMI/EMC testing. Symetrics has a sufficient screened quantity of these parts for use in the repair effort. The previous producer of the IDM, Elbit Systems, tested their quantity of Infineon parts and found them to be counterfeit. For this reason, Elbit would not be able to perform the repair of any IDM that required Infineon parts.

The MD-1359/A is required for flight while an aircraft is deployed in Theater. Thus, failure to repair the IDMs would result in the grounding of aircraft and the inability to perform any combat missions until the MD-1359/A is replaced. Symetrics possesses the only known supply of the Infineon part; therefore, Symetrics is the only vendor capable of repairing the IDM.

6. Efforts to obtain Competition: Market research was conducted and the details of which are provided in Section #8, Market Research, of this document.

7. Actions to Increase Competition: The Government will continue to conduct market research to determine whether changes occurred in the marketplace to enable competition for future actions. The MD-1359/A is approaching its end of life and is expected to be retired in FY18.

Due to obsolescence issues both in parts and capability, the IDM MD-1359/A is being replaced by one of the two follow-on units, the MD-1383/A or the MD-1386/A. The retrofit of the fleet will begin in FY14. At that time, the density of the MD-1359/A will start to decrease. This current repair effort will have a performance period of three years. At the end of the three year performance period, the repair requirement for the IDM MD-1359/A will be re-evaluated and every effort will be made to compete any potential follow-on contract. It is estimated the follow-on acquisition will be synopsized in the 2nd Quarter of FY17 and any interested contractor may submit a response which will be reviewed and evaluated.

8. Market Research: Market Research was conducted in November 2012 and in February/March 2014. A Sources Sought Announcement (SSA) was published in FedBizOps from 30 November 2012 through 30 December 2012 and again from 19 February 2014 through 21 March 2014. Two responses were received from the November-December 2012 announcement (Symetrics Industries and Elbit Systems of America). Elbit informed the Government on 26 December 2012 that they were testing their stock of Infineon parts to verify authenticity and on 10 January 2013, from Elbit informed the Government that their stock of Infineon chips was not authentic. Because of the inability of Elbit to provide a sufficient number of Infineon PEF20534H10-V21 208-PQFP parts as discussed above, utilizing Elbit to repair the items is not feasible. Only one response was received from the February- March 2014 announcement which was received from Symetrics Industries. Elbit did not respond to the 2014 market survey.

9. Interested Sources: Symetrics Industries and Elbit Systems of America responded to the November-December 2012 Sources Sought Announcement and both responses were evaluated. However, as discussed above, it was determined that Elbit was not capable of performing the repairs due to not possessing the obsolete part necessary to repair the IDM if the Infineon part were to fail. Without the Infineon PEF20534H10-V21 208-PQFP, Elbit is not capable of performing 100% of the required repairs of the MD-1359/A. Symetrics was determined to be capable of performing the repairs because this company does have sufficient quantities of the Infineon PEF20534H10-V21 208-PQFP parts to provide Repair and Overhaul of the MD-1359/A.. Symetrics was the sole response to the February-March 2014 announcement.

In accordance with FAR 5.201, the solicitation will be synopsized on the FedBizOps website, and any proposals received will be evaluated.

10. Other Facts:

a. Procurement History:

1.

2.

b. Acquisition Data Availability: The Government owns the Technical Data Package (TDP) for the production of the MD-1395/A.

c. Subcontracting Opportunities: FAR 52.244-5, Competition in Subcontracting, will be included in the proposed contract. Symetrics is considered a small business under NAICS Code 334290.

d. The total contract ordering ceiling for the three (3) year ordering period is

11. Technical Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

12. Requirements Certification: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

13. Fair and Reasonable Price Determination: As contracting officer, I hereby determine that the anticipated cost to the government for this contract action will be fair and reasonable.

This determination will be based on the use of techniques, which includes cost and/or price analysis, Defense Contract Audit Agency (DCAA) audit, and Independent Government Estimate (IGE) resulting from the contractor’s firm proposal covering repair services.

Certified cost or pricing data is applicable for FAR 15 solicitations and contracts as delineated in FAR 15.403 and will be required.

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Approval:

Based on the foregoing justification, I hereby approve the award of this acquisition of a three year Cost Plus Fixed Fee (CPFF), Indefinite Delivery Indefinite Quantity (IDIQ) contract, with an ordering ceiling of , for the acquisition of maintenance services for the MD-1395/A on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c)(1) and FAR 6.302-1, subject to the availability of funds, and provided that the services and property herein described have otherwise been authorized for acquisition. If the proposed contract action is not completed within 180 days from the below date, this Justification and Approval shall be returned to the Competition Advocate for revalidation. Additionally, any changes to the requirements, basis for the justification, market conditions, or increases in estimated value of the proposed action occur at any time, the Contracting Officer shall document these changes in a memorandum and obtain review/concurrence from the Competition Advocate.

Date: Signature: