13820 - Redacted JA Redacted.pdf

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

CONTROLLED UNCLASSIFIED INFORMATION

August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 2 of 6

I. Agency and Contracting Activity.

OL_H/PZIMC

United States Air Force

OO-ALC

6038 Aspen Ave. Bldg 1289 Hill Air Force Base, UT. 84056-5805 Contracting Officer: Nathanial Littlewood

DSN: 856-3432

PR #: F2DCBX5265A001

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

This action is for a new contract utilizing a Firm Fixed Price contract type to re-host 4 Gas Turbine Engine (GTE) test cells. This includes updating proprietary data acquisition systems, replacing obsolete hardware, adding system capabilities, and updating computers. Additionally, the contract will correct identified issues in the existing software and system.

The ProTECS software, designed by Sytronics Inc., is their proprietary test stand software. Sytronics has provided test stands for military and commercial use for many years. Sytronics software has been in use on the GTE test stands since 1999.

The software's flexibility allows the government to develop custom Test Program Sets, enabling in-house execution of future workloads. The software provides extensive data capture and analysis capabilities. The Government Purpose Rights (GPR) associated with the software have allowed the government to use it as needed.

The upgrade is driven by hardware and software obsolescence, as well as a government mandate to upgrade to a current operating system. The scope of this effort includes updating the Data Acquisition hardware, computers, and all associated software. Existing Test Program Sets and files will remain compatible. Utilizing a different vendor would require starting over, resulting in increased costs.

An open competition would result in significant time, cost, and effort for the government. A new system would introduce the risk of new issues and a learning curve, potentially leading to a less capable system. Many other Test Stand vendors use proprietary software.

The current platform, in use for nearly 20 years, is beyond its expected lifespan. While it has been on the Capital Investment Plan (CIP) list, its relative reliability has led to its continued use. However, component obsolescence is becoming an increasing concern. This tech refresh allows the government to leverage its existing mature system at a much lower cost than a full replacement.

III. Description of supplies/services required to meet agency needs.

The contractor shall provide updated data acquisition systems, including all associated hardware, August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 3 of 6 software, and computers for Human Machine Interface, data storage, and handling systems for the existing GTE test cells. The current software in use is ProTECS, a proprietary system developed by Sytronics INC. While the equipment is considered commercial off-the-shelf, Sytronics has developed, designed, and integrated the software, necessitating a system upgrade due to the obsolescence of several components. The software requires an update to be compatible with modern data acquisition hardware.

Services required include installation of new equipment, removal of existing equipment, programming to add capability, and correction of identified software issues. The contractor shall document system changes and create operation and maintenance manuals as part of the Technical Data Package. The Technical Data Package will remain proprietary to Sytronics; therefore, future efforts will be considered proprietary.

The total estimated contract value is This estimate was derived through a detailed Rough Order of Magnitude (ROM) developed collaboratively between the government and Sytronics. The government reviewed the contractor's itemized breakdown of labor, materials, test cell execution, and deliverables. This ROM ensures the price is fair, reasonable, and directly traceable to the Scope of Work, providing a sound basis for the firm-fixed-price structure.

Period of Performance - 5 November 2025 - 5 November 2026.

Type of Appropriation for CLINs - 4930 Working Capital Funds

CLIN 0001 - Kickoff/Site Visit: Quantity: 1 ea

CLIN A002 - Materials Purchased Quantity: 1 ea

CLIN A003 - Test Cell 1: Quantity 1 ea

CLIN A004 - Test Cell 2: Quantity 1 ea

CLIN A005 - Test Cell 3: Quantity 1 ea

CLIN A006 - Test Cell 4: Quantity 1 ea

CLIN A007 - Deliverables/Final: Quantity 1 ea

IV. Demonstration that the contractor's unique qualifications or the nature of the acquisition requires use of the authority cited above.

The GTE test cells currently utilize ProTECS software, a proprietary system developed by Sytronics, for operation and data acquisition. The GTE test cells are highly specialized equipment, integral to a major system requiring extensive technical integration, qualification, and sustainment under DoD major system criteria.

As the original developer, Sytronics is uniquely qualified to perform all upgrade tasks without reverse engineering. A new contractor would be forced to reverse engineer or completely redesign the system. Utilizing Sytronics will have the lowest impact on testing and production, as well as the lowest associated costs. The government explored the potential acquisition of ProTECS IP and IP rights with Sytronics; however, Sytronics declined. Therefore, the government is proceeding with a sole-source acquisition plan to ensure the upgraded system closely resembles the existing system, preventing unnecessary reverse engineering. Existing test program sets will remain compatible.

Transitioning to another source would result in substantial duplication of cost to the government, including

August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 4 of 6 reverse engineering, re-qualification, and redevelopment of proprietary interfaces and test program sets, which is not expected to be recovered through competition.

To ensure consistency and maintain weapon system capability, brand-name products that have undergone rigorous testing by weapon system engineers must be used to maintain operational capability and minimize weapon system risk, which is critical to asset availability.

Therefore, this acquisition will likely be a follow-on contract for the continued development and production of this highly specialized equipment and its major system.

V. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under

FAR 5.202 applies.

Market research was conducted by a sources sought posted on 25 June 2025 on SAM.gov for two weeks and reaching out to the known OEM. The government team received 4 responses to the sources sought.

The requirement was not found to be available on GSA Advantage or through AbilityOne. As of October 2025 Sytronics' GSA and DESP III contracts have expired, and this requirement did not fall within scope of those contract vehicles.

Sytronics INC is the OEM of the software and drawings. Sytronics has the ability to meet this requirement.

BHPE replied on the sources sought that they are interested in meeting this requirement and stated they would follow up with a capability statement but one was never provided.

CEL AERO USA INC. responded to the sources sought indicating their interest in meeting this requirement using their own software. However, due to the proprietary software and drawings currently in use, CEL AERO USA INC. cannot meet the requirement. The significant cost and time associated with reverse engineering the existing software would greatly impact operational continuity and could result in grounded aircraft.

CELENIUM Corporation replied to the sources sought that they are interested in meeting this requirement as a prime. Due to the proprietary software and drawings currently in use CELENIUM can't meet this requirement. Sytronics has stated in an email dated 16 October 2025 that they will not subcontract with ProTECS software.

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

The cost of this acquisition will be determined fair and reasonable in accordance with Federal Acquisition Regulation (FAR) Parts 31 and Subpart 15.4. Contract pricing will be further guided by the Contract Pricing Reference Guides developed by the Federal Acquisition Institute and the Air Force Institute of Technology, as well as the Air Force Materiel Command (AFMC) Guide for Price Negotiation Memorandum/Price Competition Memorandum (PNM/PCM), as appropriate. Detailed documentation and justification of price reasonableness will be disclosed in the official PNM/PCM upon completion of negotiations.

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

Based on our market research findings, one small business, the OEM Sytronics, was identified that can

August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 5 of 6 provide the required service without having to reverse engineer the ProTECS software already in place.

VIII. Any other facts supporting the use of Other Than Full and Open Competition.

Utilizing other companies would necessitate complete reverse engineering of the system due to the proprietary software currently in use. The labor required to redesign all software programs and hardware configuration is cost-prohibitive, This estimate is based on a cost comparison with a similar scope project, Sytronics estimates an 8-month completion time for the upgrade. In contrast, a contractor other than Sytronics would likely require 3-5 years, based on similar test stand projects requiring all-new software development and engineering.

IX. List of any sources that expressed, in writing, an interest in the acquisition.

Sytronics LLC BHPE LLC's

CEL AERO USA INC

CELENIUM CORPORATION

X. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisitions for the supplies or services required.

The government currently lacks the organic capability to complete this work due to the proprietary software in use. No actions are currently planned to establish organic capability. The government can reevaluate potential system support options in the future. Unless Sytronics is willing to subcontract or sell the proprietary systems, this will likely remain a sole-source requirement.

The government aims for a 10-year lifespan for such systems before a technology refresh. The current platform has exceeded this, nearing 20 years of service. While on the Capital Investment Plan (CIP) list, its relatively stable performance has delayed its upgrade. However, component obsolescence is becoming an increasing concern.

Upon the next technology refresh, the government will reassess the situation. Given the diminishing workload, a technology refresh is deemed the best value for the government at a much lower cost than a full system replacement.

XI. Certification by the Contracting Officer.

As evidenced by my signature above, I certify that this justification is accurate and complete to the best of my knowledge and belief.

XII. Certification by the technical/requirements personnel.

As evidenced by my signature above, I certify that any supporting data contained herein, which is my responsibility, is both accurate and complete.

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