HCLOS AN/GRC-245 UPG. TO BAND IV

Trade Agreement: Agreement on Internal Trade (AIT)
Tendering Procedures: Generally only one firm has been invited
to bid
Attachment: None
Non-Competitive Procurement Strategy: Exclusive Rights
Comprehensive Land Claim Agreement: No
Vendor Name and Address: 
ULTRA ELECTRONICS TCS INC.
5990 CH DE LA COTE DE LIESSE
MONT-ROYAL Quebec
Canada
H4T1V7
Nature of Requirements: 

Advance Contract Award Notice
1.	General
An Advance Contract Award Notice (ACAN) is a public notice
indicating to the supplier community that a department or agency
intends to award a contract for goods, services or construction
to a pre-identified supplier, thereby allowing other suppliers
to signal their interest in bidding, by submitting a statement
of capabilities. 

If no supplier submits a statement of capabilities that meets
the requirements set out in this ACAN, on or before the closing
date stated in the ACAN, the contracting officer may then
proceed with the award to the proposed vendor.


2.	Requirement

The Department of National Defence (DND) has a requirement to
procure sixty Band IV Radio Frequency Units (RFUs) from Ultra
Electronics in order to upgrade existing High Capacity Line of
Sight (HCLOS) AN/GRC-245B (V) 5 Broadband Units (BBUs) from Band
I and III+ that were originally supplied by Ultra Electronics.
DND's intent is to upgrade the existing sixty in-service BBUs to
Band IV capability by purchasing Band IV RFUs that will plug
into the original BBUs. The Band IV RFUs is a "plug and play"
module that can simply be connected to the existing BBUs by
using a single coaxial cable. The upgraded BBUs are known as the
AN/GRC-245B (V) 5. The upgraded HCLOS system will provide high
throughput at long range for the line-of-site communication
equipment.

This procurement will consist of the following components in
quantities of sixty each:  

·	Amplifier, Radio Frequency Unit (RFU) Band IV
·	Antenna Band IV
·	Cable Assembly, Special Purpose, Electrical
·	Adapter, Mast
·	Case Electronic, Communication Equipment Transit Case for RFU
Band IV
·	Band IV Software - V79a.0

The Contractor may be required to provide the Engineering
Services including training to carry out the following work:

2.1	provide sixty HCLOS Radio Frequency Units capable of Band IV
frequencies that must be "plug and play" compatible with Ultra's
existing HCLOS BBUs;

2.2	upgrade Ultra firmware/hardware of existing HCLOS BBUs and
be able to interface with existing antennas and other
ancillaries;  

2.3	provide upgraded Band IV HCLOS system while ensuring minimum
downtime and conduct system acceptance testing; 

2.4	provide Manuals, As-built drawings and pertinent
documentation for all equipment upgrades in both official
languages, as necessary;

2.5	provide Operator "Train the Trainer"/Administrator training
and training material to DND personnel for the new functionality
of equipment in both official languages, as necessary; and

2.6	provide disposal services at the end of life cycle for its
equipment, ancillaries, cables and conduits etc. as applicable,
in accordance with government's disposal guidelines.

3.	Criteria for assessment of the Statement of Capabilities

Any interested supplier must demonstrate and substantiate by way
of submitting a statement of capabilities that it has the
following mandatory capabilities:

3.1	It has technical know-how of Ultra's proprietary HCLOS
equipment that will be utilized to upgrade DND's currently
in-service BBUs;

3.2	It is authorized by Ultra to upgrade Ultra's proprietary
BBUs and ancillaries  that were originally supplied by Ultra
Electronics TCS Inc;

3.3	It is authorized by Ultra to upgrade proprietary firmware
such that the legacy BBUs and ancillaries are compatible with
the new components that will be supplied by the vendor;

3.4	It is capable of delivering complete plug and play system
that will upgrade Ultra's existing BBUs to Band IV capability
with minimal disruption and downtime;  

3.5	It has the technical know-how, resources and equipment to
upgrade the legacy BBUs, ancillaries and make them fully
functional.  

3.6	It is financially capable to undertake and deliver this
initiative.

3.7	It is capable of delivering all aspects of the requirements
listed under Para 2 of this document; 

3.8	It has carried out similar work in the recent* past for its
other customers, whereby it has successfully upgraded Ultra's
proprietary equipment and delivered fully upgraded Band 4 radio
system.

Note: Recent is defined as in the last five years.

4.	Trade agreements and/or other obligations

Canada's intent is to award a contract on sole source basis to
Ultra Electronics TCS Inc, the Original Equipment Manufacturer
(OEM) of the existing radios, who owns the intellectual property
rights to the radios and its software/firmware. Ultra is the
only supplier capable of performing the work, meeting the
justification for sole source procurement in accordance with
Government Contracting Regulations, Part 1, article 6(d), where
only one person is capable of performing the contract. Canada
does not have a "right for use" that would allow for upgrades to
the radios without the vendor's involvement. 

This procurement pertains to excluded goods (Federal Supply
Classification 59, Electrical and Electronic Equipment
Components) and, as such, is exempt from:

(a)	The North American Free Trade Agreement (NAFTA), under
Chapter 10, Annex 1001.1b-1 Goods, Section A, General
Provisions; and

(b)	The World Trade Organization Agreement on Government
Procurement (WTO AGP) in accordance with Appendix 1 since the
client is DND.

This procurement is subject to the Agreement on Internal Trade
(AIT).
The limited tendering provisions are applicable as per Article
506 of AIT, paragraphs 12 (a) and (b):

(a)  to ensure compatibility with existing products, to
recognize exclusive rights, such as exclusive licences,
copyright and patent rights, or to maintain specialized products
that must be maintained by the manufacturer or it's
representative; and

(b)  where there is an absence of competition for technical
reasons and the goods or services can be supplied only by a
particular supplier and no alternative or substitute exists.

This requirement is exempt from Comprehensive Land Claims
Agreements, as no deliveries will be made to any of the Land
Claim Settlement areas.

CLCA:  The Comprehensive Land Claims Agreements (CLCA) do not
apply because the delivery points do not fall within the
geographic areas covered by the CLCAs. 


5.	Government Contracts Regulations Exception and Limited
Tendering Reason

Canada intends to award this contract to Ultra Electronics TCS
Inc. as it has been identified as a Sole-source vendor that can
provide the goods and services required.  
Ultra Electronics TCS Inc. is the Original Equipment
Manufacturer (OEM) and has the intellectual property rights for
the software, firmware and the legacy equipment that is
currently in service at DND.  
This meets the requirements for sole source procurement in
accordance with GCR, part 1, article 6(d), where only one
person/company is capable of performing the contract.


6.	Ownership of Intellectual Property

There will not be any intellectual property (IP) developed under
this contract.  Ultra Electronics TCS Inc. holds the
Intellectual Property (IP) rights for its equipment, software
and firmware and the IP rights will reside with the supplier.


7.	Period of performance of the proposed contract 

The contract period will be from the contract award date until
all deliverables have been completely satisfied. 

8.	A cost estimate of the proposed contract
Total cost of this contract is estimated at $3,909,931.83 CDN,
GST and QST Included.


9.	Name and address of the proposed contractor

Ultra Electronics TCS 
5990 Côte de Liesse
Montreal, Québec
H4T 1V7, Canada

10.	 Suppliers' right to submit a statement of capabilities
Suppliers who consider themselves fully qualified and available
to provide the services and/or goods described herein, may
submit a statement of capabilities in writing to the contact
person identified in this notice on or before the closing date
of this notice. The statement of capabilities must clearly
demonstrate how the supplier meets the advertised requirements. 

  11.	 Closing date for a submission of a statement of
capabilities

The closing date for a submission of a statement of capabilities
is on the covering page of this notice.


12.	Inquiries and submission of statements of capabilities

Please submit statements of capabilities or inquiries to:

Mr. Ricky Anand
Public Works and Government Services Canada
Acquisitions Branch
Electronics, Munitions and Tactical Systems Procurement
Directorate 
Defence Communications Division (QD)
11 Laurier Street
Place du Portage, Phase III, 8C2
Gatineau, Quebec, Canada K1A 0S5

Telephone:  (819) 956-1075
Facsimile: 	(819) 956-0636
E-mail: 	Ricky.Anand@tpsgc-pwgsc.gc.ca	

Delivery Date: Above-mentioned

You are hereby notified that the government intends to negotiate
with one firm only as identified above. Should you have any
questions concerning this requirement, contact the contracting
officer identified above.

An Advance Contract Award Notice (ACAN) allows departments and
agencies to post a notice, for no less than fifteen (15)
calendar days, indicating to the supplier community that it
intends to award a good, service or construction contract to a
pre-identified contractor. If no other supplier submits, on or
before the closing date, a Statement of Capabilities that meets
the requirements set out in the ACAN, the contracting authority
may then proceed with the award.  However, should a Statement of
Capabilities be found to meet the requirements set out in the
ACAN, then the contracting authority will proceed to a full
tendering process.

Suppliers who consider themselves fully qualified and available
to provide the services/goods described herein, may submit a
statement of capabilities in writing to the contact person
identified in this Notice on or before the closing date of this
Notice. The statement of capabilities must clearly demonstrate
how the supplier meets the advertised requirements.

The PWGSC file number, the contracting officer's name and the
closing date of the ACAN must appear on the outside of the
envelope in block letters or, in the case of a facsimile
transmission, on the covering page.

The Crown retains the right to negotiate with suppliers on any
procurement.

Documents may be submitted in either official language of Canada.