420 SCW ESCAPE JA - Redacted for Public Release.pdf

Department of the Air Force: Justification for Other Than Full and Open Competition

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I. Agency and Contracting Activity (RFO 6.104-1(a)(1)):

United States Air Force

AFSC/PZAAC

3001 Staff Drive Tinker AFB, OK 73145 Contracting Officer:

DSN:

II. Nature and/or description of the action being approved (RFO 6.104-1(a)(2)):

This document approves modification of the firm fixed price, commercial, definitive “C” type contract, FA810921C0001, on a sole source basis to Parametric Technology Company (PTC) for a Air Force Sustainment Center (AFSC) requirement led by HQ AFMC/A4/10 - A4NL (Program Management Branch) to modernize AF logistics and support planning systems. This justification is made on an individual basis. This Justification and Approval (J&A) authorizes the use of other than full and open competition procedures on the Enterprise Supply Chain Analysis Planning and Execution (ESCAPE). Through the initial source selection, Parametric Technology Company's (PTC) Service Parts Manager (SPM) Commercial-Off-The-Shelf (COTS) software platform was chosen to fulfill the ESCAPE requirement previously. In 2021, FA810921C0001 was awarded as a sole source to PTC and the same type of contract is needed to maintain continuity and full implementation and integration. The primary objective of this contract is to obtain an AF Enterprise-wide License for the SPM Cloud COTS software and associated IL5/ IL6 cloud hosting to support AFMC/A4, AFSC, and supply chain user base by delivering the ESCAPE program functionality/capability, integration with heritage/legacy systems, or other Logistics Capability Initiative (LCI) modernization efforts.

This contract modification is not a bridge effort. The contract is a contracting vehicle for supply contracts with Parametric Technology Company (PTC), Inc. Commercial and Government Entity (CAGE) code 0K0D7. To qualify for use of this contracting vehicle work to be done under this contract must be inherently sole source to PTC.

The delivery schedule for the contract modification is five option years from from 28 September 2026 to 29 September 2031. It is estimated that between will be awarded each year for a total estimated value of over 5 years.

III. Description of supplies/services required to meet agency needs (RFO 6.104-1(a)(3)):

The ESCAPE program is an Air Force Sustainment Center (AFSC) requirement led by HQ AFMC/A4/10 - A4NL (Logistics, System Branch) to modernize AF logistics and support planning systems. Through a competitive award, PTC's Service Parts Manager (SPM) COTS software platform was chosen to fulfill the ESCAPE requirement. Now as the ESCAPE development on the contract is drawing to a close, the contract modification is necessary to maintain continuity and full implementation and integration.

The primary deliverable of this follow-on supply contract is the acquisition of the vendor cloud and associated COTS SPM licensing, hardware/software, support, and Authority-To-Operate (ATO) in a fully configured environment. The vendor cloud is a turnkey delivery with fully configured environment, associated hardware/software, cloud support, DISA Provisional Authority (PA), and Mission Owner (MO) Authority-to-Operate (ATO). All software, hardware, performance, labor, and IA/cyber compliance risk are borne by the vendor to deliver and sustain the cloud environment availability. The contract modification award includes sustainment and maintenance of the previously delivered unclassified For

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Official Use Only (FOUO), now Controlled Unclassified Information (CUI), National Security System (NSS) Impact Level 5 (IL5) cloud and the acquisition and delivery of a classified Impact Level 6 (IL6) cloud environment and new IL6 emerging integration configurations and requirements to support future state operations, emerging functionality, capability, and business processes. The implemented product will streamline enterprise business capabilities; facilitate efficient and accurate data management and consumption; and provide cost effective planning services capable of adapting to future needs.

Due to the circumstances described below, there are no feasible actions which can be taken to develop future competition. Therefore, it is considered appropriate to seek approval for more than one fiscal year. Due to the proprietary nature of the PTC's SPM software the government does not consider competition feasible within the prescribed period. P

In order for the government to fully implement and integrate the SPM software and benefit from its continuous commercial iterations it will be necessary to contract directly with PTC.

The independent government estimate is broken out by fiscal year.

Year Estimated Dollars Estimated Delivery Schedule

Option Year 5 (FY 26) 29 Sep 2026 - 28 Sep 2027

Option Year 6 (FY 27) 29 Sep 2027 - 28 Sep 2028

Option Year 7 (FY 28) 29 Sep 2028 - 28 Sep 2029

Option Year 8 (FY 29) 29 Sep 2029 - 28 Sep 2030

Option Year 9 (FY 30) 29 Sep 2030 - 28 Sep 2031

Total

At this time, there are no special clauses or RFO deviations being considered.

All CLINs funded with the following appropriation: CSAG-S 97X 4930

This requirements target cost is for five (5) years.

IV. Statutory Authority Permitting Other Than Full and Open Competition (RFO 6.104-1(a)(4)):

10 U.S.C. 3204(a)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

V. Rationale for Use of Authority (RFO 6.104-1(a)(5)):

The full implementation and integration of PTCs Servigistics Service Parts Manager (SPM) software platform is necessary to fulfill the ESCAPE requirement.

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The AF has invested heavily in the infrastructure and training to accommodate SPM.

The PTC Service Parts Management (SPM) solution fully satisfies all ESCAPE technical baseline requirements. Because the platform is driven by proprietary algorithmic models, the Department of the Air Force (DAF) seamlessly inherits continuous COTS capability enhancements and software updates.

Furthermore, the platform's modernized, intuitive User Interface (UI) mitigates workforce attrition risks by reducing training latency and accelerating the operational proficiency of incoming Item Managers.

PTC is the only industry source capable of providing vendor cloud requirements for the AF with the PTC SPM COTS capabilities. This contract will leverage PTC's SPM software delivered via cloud. Other vendors cannot offer this type of capability without establishing a cloud managed services contract with PTC to meet AF requirements. Such a scenario would incur significant costs and risk. Based on a Request For Information/Sources Sought from November 19,2025 - Dec 9, 2025, results indicated that PTC is the only provider that can satisfy ESCAPE requirements and capabilities that can be deployed within the contract period of performance.

In the RFI response PTC stated:

HQ AFMC/A4/10 - A4NL believes that award to any other source would result in unacceptable delays in fulfilling the Air Force's requirement. The AF has invested heavily in the infrastructure to accommodate the SPM. The government has been pleased with the performance of the SPM software and system integration. There is no reason for the government to reverse course on full installation. To do so would waste millions of dollars of investment. Program management estimates an additional markup and add at least a 18 month delay for a new prime contractor to understand PTC and AF processes, data, business rules, and configuration to become a status neutral resource.

VI. Integrated Market Analysis and Efforts to Solicit Competition (RFO 6.104-1(a)(6), (8), and (10)):

In alignment with Department of War (DoW) directives to leverage existing contract vehicles, in depth market research was conducted utilizing DAF Enterprises Contract Launchpad, GSA Acquistition Gateway, GSA Oasis+, GSA STARS III 8(a), and Category management Buying Guide. Additionally in accordance with DFARS 208.74, the DoD Enterprise Software Initiative (ESI) Blanket Purchase Agreement (BPA) N66001-19-A-0054, awarded to was formally evaluated. While this ESI BPA offers PTC COTS software licenses and standard maintenance, it does not provide Servigistics software or full Software as a Service capability and additional software configuration necessary to support Air Force supply chain planning processes. The . Because the software is not available, the BPA is not a viable acquisition option. PTC does not have a schedule on GSA Oasis or STARS therefore those vehicles are not viable. The acquisition team determined to use the existing contract, FA810921C0001, as the existing contract vehicle to provide five more years of supply.

As required by RFO 6.104-1(a)(6),(8) and (10) a Request for Information for the proposed contract action

March 2026 Page 5 of 7 was made to the www.SAM.gov on Nov 19, 2025 thought December 19, 2025.

The purpose of the RFI was to obtain industrial market intelligence to determine the feasibility of competition in fulfillment of the government requirement. A series of technical questions and capabilities akin to the government requirement were issued within the posting.

Contractors were required to provide a "Yes" or "No" response regarding current capability to fulfill each of the government requirements. If "Yes" then the contractor was required to provide facts to support its assertions. If "No" then the contractor was required to substantiate how and by what date the contractor would acquire the required capability. Among the questions asked, Contractors were to confirm whether or not the contractor possessed or had access to PTC's SPM software and PTC's full spectrum of Servigistics COTS capabilities.

Market research was in accordance with FAR Part 10, begining in December 2025 and ending in January 2026 via RFI, Internet searches and reviewing results of market research on similar requirements. Internet searches included review of the US Air Forces Network-Centric Solutions-2 (NETCENTS-2) and Small Business Enterprise Application Solutions (SBEAS) Home Page, PTC's website and list of partners, and the DoD Enterprise Software Initiative (ESI) website.

The Request for Information notice resulted in legitimate and timely responses. The AF used evaluation criteria to determine if competition was possible, which required affirmation of possessing or having access to PTC Servigistics SPM software and PTC's full spectrum of Servigistics COTS capabilities.

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VII. Determination of Fair and Reasonable Cost (RFO 6.104-1(a)(7)):

The Contracting Officer is responsible for evaluating, determining, and documenting the anticipated contract cost/price is fair and reasonable in accordance with RFO Subpart 15.4, Contract Pricing.

VIII. Any Other Facts Supporting the Justification (RFO 6.104-1(a)(9)):

N/A

IX. Actions to Overcome Barriers to Competition (RFO 6.104-1(a)(11):

The program will continue market research and review any other cost effective manner to overcome barriers to competition. As for this acquisition, the Department of the Air Force has exhausted all known actions.