Inactive

NAVAIR intends to enter into sole source negotiations and subsequently award a contract to Kato Engineering (Kato), Mankato, Minnesota. The anticipated contract will be for the production of the EMALS... NAVAIR intends to enter into sole source negotiations and subsequently award a contract to Kato Engineering (Kato), Mankato, Minnesota. The anticipated contract will be for the production of the EMALS Energy Storage Subsystem (ESS), required for integration on the U.S. Navy aircraft carrier USS Doris Miller (CVN 81). The EMALS system is an aircraft launch system that provides the U.S. Navy with the ability to launch current and projected carrier-based, nose-gear-launch-equipped aircraft from Ford-class aircraft carriers. The EMALS ESS primary function is to provide the electrical-pulsed power for the EMALS. Specifically, the EMALS ESS stores energy in the inertia of its rotor and releases that energy upon initiation of the launch. In fact, the EMALS ESS is designed to store sufficient energy to launch the aircraft if the ship loses power. The ESS is composed of three main components: the Motor/Generator (M/G), the Generator Control Tower (GCT), and the Stored Energy Excited Power System (SEEPS). The M/G provides the overall energy storage and pulse power generation to power the aircraft launch system. The anticipated contract action will be for material and labor necessary to manufacture, assemble, inspect, integrate, test and preserve 12 EMALS ESSs, as well as associated program management, systems engineering, logistics support, obsolescence and financial management functions required to support this production effort. The EMALS ESS production and integration are on the ship construction critical path to meeting CVN 81 delivery. The U.S. Navy will accept delivery of 12 EMALS ESSs from Kato and deliver the EMALS ESSs as government-furnished equipment to the CVN 81 shipbuilder. As the sole designer, developer and manufacturer of the EMALS ESS for the Ford-class aircraft, Kato is the only source with the requisite knowledge, experience, facilities, technical expertise and technical data required to provide the required supplies and services that satisfy U.S. Navy requirements. The Government does not possess adequate EMALS ESS data nor sufficient license rights to the technical data to support a competitive procurement. In addition, Kato no longer has an obligation to deliver applicable technical data pertaining to EMALS ESS to the Government under the CVN 78 production contract and SDD contract. Furthermore, Kato respectfully declined to offer the necessary license rights to the technical data to the Government to allow the Government to provide to third parties to compete for the effort. As a result, the Government does not possess the necessary data nor the license rights to the technical data to support a competitive procurement for the EMALS ESS. Pursuant to Federal Acquisition Regulation (FAR) 6.302-1(a)(2)(ii)(B), unacceptable delays in fulfilling the agency’s requirements would be incurred if the EMALS ESS was procured through another source. The procurement of the supplies and services required is on the ship-construction critical path to meeting CVN 81 ship delivery of February 2032. Based on historical production durations for the previous Ford-class aircraft carriers, the ESS production contract award must occur no later than the second quarter of FY 2023 to meet the RIYD of August 2027 provided by Naval Sea Systems Command. Currently, award to any source other than Kato would result in an unacceptable delay to fielding. Using EMALS ESS and production timeline of previous CVN shipsets as the basis, specifically using Critical Design Review (that gated ESS manufacturing during SDD) and High-cycle Testing dates (demarking the completion of qualification with the completion of 30,000 cycles), a new source would require at least four years to develop missing information, stand-up facilities, establish manufacturing processes, and build the system. Additionally, a minimum of two years would be required to complete the qualification process of the completed unit. With a three-year EMALS ESS production lead-time, this amount of time would present an unacceptable delay to deliver the EMALS ESS of no less than nine years. The minimum nine-year delay would result in missing the RIYD of August 2027 that is critical to meeting the CVN 81 delivery date in February 2032. In addition, pursuant to FAR 6.302-1(a)(2)(ii)(A), NAVAIR determined substantial duplication of cost that is not expected to be recovered through competition would be incurred if the EMALS ESS was procured through another source. Based on a NAVAIR Cost and Schedule Analysis Group estimate of historical new sourcing start-up costs for the EMALS system, it is estimated to cost $85 million to stand-up a new source. The start-up costs for a new source include non-recurring engineering (NRE) costs for design of a new ESS and TDP, manufacturing prototypes, testing, and qualification. The aforementioned NRE is required to develop an ESS that meets the current specifications in order to allow for future development/systems improvement efforts. In addition to the NRE, the new source would require government funding to stand-up production facilities and processes, and a testing facility for the ESS. The Government would not expect to recover these costs through competition. Therefore, Kato is the only responsible source capable of fulfilling the EMALS ESS production requirements without causing an unacceptable delay to the ship construction schedule or resulting in substantial duplication of costs that would not be recovered through competition. THIS IS NOT A REQUEST FOR COMPETITIVE PROPOSALS. The authority permitting other than full and open competition is Title 10, U.S. Code 2304(c)(1), as implemented by FAR 6.302-1, 'Only One Responsible Source', and no other supplies or services will satisfy agency requirements. There is no commitment by the Government to issue a solicitation, make an award, or be responsible for any money expended by interested parties before award of a contract for efforts described above. Information provided herein is subject to change and in no way binds the Government to solicit for or award a contract. All responsible sources may submit a capability statement, proposal, or quotation, which shall be considered by the agency. Subcontracting opportunities should be sought directly from Kato Engineering, Tyler Scholl, +1 507-345-2807; Tyler.Scholl@mail.nidec.com