Description
SMALL BUSINESS INNOVATION RESEARCH (SBIR) PHASE III JUSTIFICATION & APPROVAL FOR USE OF OTHER THAN FULL AND OPEN COMPETITION 1. Contracting Activity . Naval Air Warfare Center Aircraft Division (NAWC-AD) Lakehurst, NJ 2. Nature/Description of the Action Being Approved. This is a justification to award a Small Business Innovation Research (SBIR) Phase III Basic Ordering Agreement (BOA) order to Diversified Technologies, Inc. (DTI), Bedford, MA. DTI was awarded SBIR Phase I contract number N68335-06-C-0216 on 9 May 2006, resulting from Solicitation 06.1, Topic N06-043, entitled "Innovative Aircraft Landing Aid Transmission Technology". DTI was subsequently awarded SBIR Phase II contract number N68335-07-C-0354 on 12 September 2007. DTI was awarded SBIR Phase II.5 contract number N68335-12-C-0143 on 26 January 2012. DTI was awarded SBIR Phase III BOA N68335-14-G-0001 on 19 November 2013, and three orders have been previously issued against the BOA. Topic N06-043 sought the development of innovative technologies that would increase bandwidth and efficiency and reduce power density and losses in the transmitting set of the aircraft electronic landing aid. Phase I sought to demonstrate the feasibility of a proposed innovative approach to reduce power density, increase bandwidth, decrease losses and increase efficiency in the Ku band transmitters. Phase II sought to develop and demonstrate prototype algorithms and hardware; and evaluate the prototype in a Navy environment. Phase III sought to demonstrate a mature system in fielded platforms. 3. Description of Supplies/Services. This Phase III effort derives from the Phase I, II, and III efforts described in paragraph 2, and is for fabrication and integration of thirteen (13) internal transmitter parts developed in Phase II for SPN-41 upgrade kits into the pre-existing transmitter set housing (chassis). The deliverables of this effort are thirteen (13) fabricated internal transmitter parts, and a Test Acceptance Report will be included with each production unit. This effort will be contract number N68335-17-F-0107. 4. Statutory Authority Permitting Other Than Full and Open Competition . 10 U.S.C. 2304(c)(5), as implemented by FAR 6.302-5: Authorized or Required by Statute. 15 U.S.C. 638(r)(1) states: "In the case of a small business concern that is awarded a funding agreement for Phase II of an SBIR or STTR program, a Federal agency may enter into a Phase III agreement with that business concern for additional work to be performed during or after the Phase II period." Furthermore, 15 U.S.C. 638(r)(4) states: "To the greatest extent practicable, Federal agencies and Federal prime contractors shall issue Phase III awards relating to technology, including sole source awards, to the SBIR and STTR award recipients that developed the technology." 5. Demonstration that Proposed Contractor's Unique Qualifications or Nature of Acquisition Requires Use of Authority Cited. The nature of the acquisition requires the use of the authority cited. The SBIR/STTR Programs are structured in three phases. Phase I (project feasibility) determines the scientific, technical and commercial merit and feasibility of the ideas submitted. Phase II (project development to prototype) is the major research and development effort, funding the prototyping and demonstration of the most promising Phase I projects. Phase III (commercialization) is the ultimate goal of the SBIR/STTR Programs. Because the Phase III work derives from, extends, or completes efforts performed under Phase I, II, and III, use of the authority cited is required. 6. Description of Efforts Made to Ensure Offerors Were Solicited From as Many Potential Sources as Practicable/Public Notification through Government Point of Entry (GPE). The topic for this effort was included in the Department of Defense Program Competitive Solicitation issued under the SBIR Program. As described above, only DTI is being considered for Phase III award due to the nature of the acquisition. In accordance with FAR 5.202(a)(7), this proposed contract action does not require public notification to the GPE . 7. Determination of Fair and Reasonable Cost. The Contracting Officer will determine prior to award that the negotiated price of the contract executed under this justification is fair and reasonable pursuant to FAR Subpart 15.4. This determination will be documented in a Business Clearance Memorandum, which will be included in the contract file. 8. Description of Market Research or Statement of the Reason Market Research was not Conducted. FAR 10.001(a)(2) indicates that market research appropriate to the circumstances must be conducted. SBIR Phase III procurements are such that traditional market research to identify alternative sources is generally unnecessary. As described above, the Phase III work derives from, extends, or completes efforts performed under Phase I and Phase II. 9. Any Other Supporting Facts. Not Applicable. 10. Listing of Interested Sources. Not Applicable. 11. Actions Taken to Remove Barriers to Future Competition: The Contracting Officer anticipates that competitors will enter the market once the product is commercialized. It is likely that future acquisitions will be competed using full and open competition and commercial item acquisition procedures. The Contracting Officer is not aware of any specific actions that would further remove barriers to competition. 12. Period of Performance. Base: 18 months Option(s): None 13. Total Estimated Dollar Value of the Acquisition Covered by this Justification, with Funding Specified by Year and Appropriation: 14. Actions Attempted to Make Immediate Acquisition Competitive and Cost/Benefit Analysis. No actions were attempted to make the immediate acquisition competitive; no cost/benefit analysis was performed. As described above, only DTI is being considered for Phase III award due to the nature of the acquisition .