1.J&A redacted FA2487-22-D-A001 RFTS.pdf

Justification and Approval (J&A) for Other Than Full and Open Competition

I. Agency and Contracting Activity.

Air Force Materiel Command (AFMC) AFTC/PZIE, Air Force Test Center, 205 West D Avenue, Bldg. 350, Ste

414, Eglin AFB, FL 32542-6864 is the contracting activity responsible for this justification for other than full and open competition.

II. Nature and/or description of the action being approved.

The Government intends to award a new $69.74M Indefinite Delivery Indefinite Quantity (IDIQ) contract

(FA2487-22-D-A001) to Textron Systems Corporation, a large business located at 124 Industry LN, Hunt

Valley, MD 21030-3342, CAGE CODE 97384. Sustainine: Ene:ineerine: Services (SES) are to be obtained for e:overnment-owned threat simulators in the The mission data (MD) test facilities are located in the 350 Spectrum Warfare Group (350 SWG), Future squadrons and mission partners will also be supported as needed. A Class J&A is required since all rates, hours and material will not be negotiated as part of the basic contract. The contract will be fixed price types. The Contracting Officer will determine the CUN structure for each task order, and will be based on specific risk categories for execution and tied to specific cost, schedule, and performance. The contract will have a potential ten-year ordering period. Contract award is planned for no later than 3QFY22, the anticipated ordering period is 14 June 2022 through 13 June 2027 with a five year option from 14 June 2027 through 13 June 2032 with performance for all task orders not to exceed 2 years after the end of the ordering period. The estimated value and duration of each individual task order will be determined prior to solicitation of each task order.

Funding appropriations will be comprised of, but not limited to, 3600 Air Force Research, Development, Test and Evaluation (RDT&E), 3080 Procurement, 3010 Procurement, 3400 O&M and Navy 1319 RDT&E funds. Anticipated customers for this requirement are the United States Air Force (USAF), This effort will provide these requiring activities with the software, hardware and engineering services to facilitate upgrades, technical support, repairs and spare parts on Radio Frequency Threat Simulators for mission data production.

Ill. Description of supplies/services required to meet agency needs (including the estimated value).

Under the contemplated contract, the awardee will provide:

(1) Engineering and technical services in support of the customer's operational test requirements for the

Advanced Architecture Phase Amplitude and Time Simulators (A2PATS). The contractor will also provide solutions to sustaining engineering inquiries, perform system and software deficiency analysis, and provide on-call support as required.

(2) The estimated value of each year's performance will increase from . This estimated cost was derived using the FY17-22 actuals escalated for known, budgeted workload .

The labor amount for the total contract value is estimated to be . but may increase with

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April 2021 Page 3 of 8April 2021 Page 3 of 8 unknown equipment modernization and modification efforts. Additionally, mean time between failure is not uniform for various laboratory support equipment and labor costs to quickly address system failures will add to this cost. Materials (80%) are driven by Mission Support. No material list is available without knowing what lab missions will occur for the duration of this anticipated IDIQ contract. The travel amount of the total contract value is estimated to be for CONUS travel, but may increase depending on mission requirements.

The vast majority of funding/task orders go toward independent task orders to assist in maintaining, repairing, and upgrading lab equipment. Those particular task order requirements are defined when the Performance Work Statement (PWS) for each task order is written. Each task order will establish the number of hours and labor categories for each requirement and define all materials and travel needed to accomplish each task. Therefore, the number of hours per year, materials, and travel will fluctuate. For each task order, the contractor's proposal will include all labor hours and labor categories, materials, and travel. A technical evaluation will be accomplished on each work breakdown structure (WBS) to address all requirements. The technical evaluation will discuss how the proposal aligns with the Government estimate. Since this contract is primarily funded via external sources, it is critical for our mission success to have a flexible contract vehicle, so funding can be obligated quickly by individual task orders. All task orders are severable.

It is reasonable to seek approval for more than one fiscal year requirement because this contract will allow for maximum efficiency. Market prices are not expected to change significantly over the life of the contract. This structure allows stability with the anticipated awardee and allows for the establishment of a long term pricing arrangement to ensure continuity in the support provided to the Government.

The contract will have a 5-year basic ordering period with a 5-year option to extend the ordering period.

All requirements will be ordered using the Fixed Price contract types. CLINs will be specified at the basic contract level with contract types for specific types of work, but with some flexibility at the task order level. The ordering period length of a 5-year basic and 5-year option is appropriate, since no new competitors are expected to enter the market due to the proprietary nature of the A2PATS systems. The table below shows the estimated contract value for the ten (10) year ordering period, which commences in 3QFY22:

Year 1 Year 2 Year 3 Year 4 Year 5

Year 6 Year 7 Year 8 Year 9 Year 10 Total

$69.74M

The Contracting Officer will issue a task order for specific tasks, as needed. The minimum guarantee is $1K, which will be the value of the first task order.

IV. Statutory authority permitting other than full and open competition.

Title 10 U.S.C 2304(c)(1), as implemented by FAR 6.302-1(a)(2)(iii)(B), required by FAR 6.303-2(b)(4), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements is the

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Simulator Systems to the Government on other AFTC contracts, which are similar to A2PATS systems. The government asked industry and these companies questions that would help remove restrictions to competition. The discussions have been held informally via telephone. The companies provided good feedback concerning how to compete new systems, but have stated that they are unable to sustain each others systems. The client program manager and acquisition team fielded questions and answered all questions posed. Much of the discussion surrounded how to compete new systems via Multiple-Award Contracts, Source Selections and Commercial Solutions Openings. Questions concerning security, design, and schedule were also answered. Participants were encouraged to come to base to provide briefings discussing the particulars of their RF Threat Simulator Systems.

In addition, meetings were held with government officials with similar experiences to the requirement who could potentially provide insight on the acquisition situation. All of the 350 SWG squadrons with different A2PATS Systems met to discuss the position of Textron Systems in the market. None were able to suggest alternative vendors to sustain Textron Systems A2PATS Systems.

All findings are documented in the Market Research Report (MRR 12 Jan 22.pdf).

This acquisition will require a synopsis IAW FAR 5.201. A Notice of [Proposed] Contract Action (NOCA) will be published on FBO at least 15 days prior to release of the final Request for Proposal (RFP). The NOCA was published on 16 Feb 2022. If any responses are received, a capability review will be conducted and if necessary, the sole source strategy will be reconsidered. Thus, in the case of the contract award permitted under 6.302-1, the justification shall be posted within after contract award.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer will ensure the final price of all contracting actions under this J&A will be fair and reasonable. A price and cost analysis will be performed in accordance with the FAR. The Government will use a traditional pricing approach to determine fairness and reasonableness using the following means: 1) price analysis IAW FAR 15.404-1(b); 2) thorough technical evaluation addressing technical data packages, specifications, engineering descriptions, and performance work statements; and 3) recommendations from the Defense Contract Management Agency and the Defense Contract Audit Agency. At the conclusion of negotiations, the contractor will be required to provide certified cost and pricing data in accordance with FAR 15.403-4(a), if applicable. Cost and price analysis will be completed for the basic contract and at the task order level.

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

As described in section VI above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties. The government performed market research with the hope of fostering competition for this requirement. A review of historical task orders revealed that the Air Force has relied on its sole source Textron Systems contract FA2487-17-D-0052. Contract FA2487-17-D-0052 was justified as sole source utilizing No other vendors have been found to meet the requirements outlined above.

The companies found not capable, could not be made capable through negotiations since, according to their capability responses, they lack access to Textron