FA2486-19-C-0002_Toolsets_3_4_Redacted.pdf

FOR OFFICIAL USE ONLY

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

NOTE: lf o Justificotion ond Apptovol wos opproved for the preceding acquisition, o copy of the opproved l&A for the predecessor action must be included in the stoff pockage fot apprcvol of the instant J&A. This applies to J&A stoff pockoges thot ore submitted fot rcview ond opptovol ot a level above the contrqcting officer, The predecessor J&A will be used os a reference document by the opptoving officiol.

ls this a new or amended J&A Document? X New n Amended ( prior to Aword anly! )

Funding level for th is acq uisition: [ <S700K X >5700Kand sS13.5M n >$13.5Mand sS93M n >Sg:n,4

Contracting A(tivilyt AFIZ/PZZ

Purchase Request / Local lD Number: F1T4AD80618101

Program / Project (and PE, ifapplicable): AFSEO 96 SK/sKP Engineering Data Toolsets 3 & 4

Program Type (PEO or Other Contracting): Other Contracting

Authority: 6.302-l - 1 0 USC 2304(c)(1 ), Only One Responsible Source and No Other Supplies or Seruices Will Satisfy Agency Requirements

Estimated ContractCost (including options): 00.00 J&AType: X Class I lndividual

Date Project Lead / Program Mgr / Requiring Activity

Date Contracting Officer

STACEY L. HUGHES

AFrC/p77/DSN 87 s-2823

Signature

HUGHES.STACEY.L.l O3

735901 3

Diqitally signed by

HUGHES,STACEY.L,] 0373590] 3

Date: 201 8.02.01 16.45:09'06',00

Date

02 Feb 2018

Local Legal Reviewer Signature

Date

09 Mar 2018

Competition Advocate Signature

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I I I I I

COORDINATION (AFFARS s306.304{al) lSignature I I I

APPROVAL (AFFARS 5306,304(A))

l. Contracting Activity.

The Air Force Test Center (AFTC), Services Management Office (PZZ\.205 West D Avenue. Ste.

414, Bldg. 350. Eglin AFB, FL. 32542-6864 is the contracting activity responsible for this proposed justification for other than full and open competition action.

ll. Nature and/or description of the action being processed.

The mission of the Air Force SEEK EAGLE Office (AFSEO) 96TW/SK, is to ensure new warfighter capabilities through the application and transfer of aircraft-store compatibility expertise for the USAF.

One of AFSEO's primary roles in the eventual roll out of a fully operational F-35 aircraft is to issue flight clearance recommendations to Air Combat Command (ACC). In that role. AFSEO requires support to procure the development and delivery of the associated engineering tools. training and services from Lockheed Martin Aeronautics Company (LM) for use in assessing the Aircraft-Store compatibility capability for the 5th generation F-35 Lightning Il. These associated tools. called toolsets, will be a Firm-Fixed Price (FFP) contract. A follow-on contract or modification will be awarded for the addition of the technical support toolsets (note that the CLIN names may change based on the delivery pricing strategy. i.e. based on disciplines versus timing). lt is anticipated that the engineering support will be on a Cost-Plus Fixed Fee basis.

During the Systems Development and Demonstration (SDD) Phase, the analysis required prior to issuing a flight clearance for the next phase. Developmental Test & Evaluation (DT&E), was obtained by the F-35 Lightning ll Joint Program Office (JPO). The JPO contracted directly with LM to produce the necessary flight clearance packages for F-35 flight testing of weapons. Now that the F-35 is in DT&E, AFSEO will use its organic capability to produce flight clearance products for ACC to rely upon after lnitial Operational Capability (lOC) is achieved. ln order to achieve this, AFSEO will require engineering tools developed by LM for the purpose of issuing flight clearance products. This follow on contract is expected to be ar.varded in the second quarter of FY I 8 providing LM the contract vehicle to deliver the associated engineering tools and training necessary for AFSEO to support ACC requirements after IOC. The contract wilt be funded with AFSEO 3600 Budget Appropriations. The contractor is Lockheed Martin Aeronautics Corporation, Lockheed Blvd.. Ft. Worth. Texas. LM is the only responsible source and no other supplies or services will satisfy the requirement.

lll. Description of supplies/servi(es required to meet agency needs.

Under the contemplated contracts, LM rvill provide engineering tools. training and services. LM is the only responsible source for meeting AFSEO requirements including, but not limited to, the practicability, feasibility, desirability, and supportability of potential changes to the F-35 Systems engineering, testing, modeling and simulation, support and assessments ofexisting Air Systems and/or the F-35 Air System design, the development ofassociated technical data. other technical support, training and weapons integration.

It is reasonable to seek approval for more than one fiscal year's requirement because this contract will allow for maximum econon'ry and efficiency. The Period of Pertbrmance (POP) will be for 24 months After Contract Award (ACA). Market prices are not expected to change significantly over the life of the contract. This structure allows stability with the eventual awardee and allows fbr the establishment of a long-term pricing arrangement to ensure continuity in the support provided to the Government. The contemplated contract is considered a supply type contract because the engineering tools are deliverable commodities. Although the service CLINs are a considerable cost, the services m

14 Nov 2017 FOR OFFICIAL USE ONLY Page 2 of5 involved are incidental Io the supply and will be contracted for in FYl9 for support ofthe toolsets.

The total for supply items has been estimated at This estimate was made on the basis of each ofthe 6 Engineering Discipline CDRLs costing in materials, and 2000 manhours at a rate of for a total of per CDRL (6 CDRLs X on CLIN 0001 . Engineering support is estimated to be of approximately in the first year and in the second. This estimate was made on the basis of a 20Yo increase in contractor tasking per year using the most recent year as a baseline.

lV. statutory authority permitting other than full and open (ompetition.

l0 U.S.C. 2304(c)(l), as implemented by FAR 6.302- l (a)(2)(ii); Only one responsible source

v. Demonstration that the (ontractor's unique qualifications or nature of the acquisition requires the use of the authority (ited above (applicability of authority).

Subsection 1.

Technical data packages suitable for full and open competition are not available to permit sources other than LM to perform the contemplated contract effbrt. LM r.vas awarded a contract for the development of the F-35 aircraft. giving them the unique expertise and experience to perform this requirement. LM is the only source u,ith the requisite knowledge and capabilities to satisfactorily conduct JSF F-35 engineering, manulacturing, progranrmatic. and logistics investigations required for developing flight clearance packages. No other source has. or can obtain, the necessary expertise and experience to perform these studies. Given LM involvement with the design, development, qualification, manufacturing, integration, and continuing improvements ofthe F-35 Air System, LM has the required understanding ofthe original design and integration intent, original engineering drawings, and the most recent design/integration changes that are necessary to ensure compatibility between existing and redesigned hardware. The toolsets (supply) and the technical support (service) are specific to LM; no other firm has the toolsets or the expertise to provide technical support in the operation of the toolsets. Due to the proprietary nature of the LM software and data involved. it would require a significant amount of time for another firm to acquire or develop the same capability: LM is the only responsible source capable of fulfilling this requirement. Therefore, this acquisition vr.ill be a follow-on contract for the continued development of highly specialized engineering tools and the continued performance of highly specialized services.

Subsection 2.

LM is the original designer. developer. and manufacturer ofthe F-35 Lightning II Air System.

pursuant to the F-35 Lightning Il JSF Acquisition Strategy, approved on 27 March 2012 by the Under Secretary of Defense (Acquisition, Technology, and Logistics). LM is the only source with the requisite knowledge, experience. and technical expertise to perform this work.

Subsection 3.

AFSEo believes that award to any other source would result in unacceptable delays in fulfilling the Air Force's requirement. These tools, services and training are critical to ensure AFSEO the

14 Nov 2o'r7 FOR OFFICIAL USE ONLY Pase 3 or5 capability to perform the clearances and certification recommendations for the Warfighter. It is impractical lor AFSEO to develop the models internally; because knowledge of the platform is something LM possesses currently. If AFSEO were able to obtain that knowledge, it would require an additional twenty four to thirty six months to develop the source code and then require lengthy flight testing to verify and validate their models. Flight testing for model validation would require approximately l0-12 years based upon the time it has taken LM to accomplish this task. This timeframe approximation assumes that at least 20 experienced, full+ime AFSEO engineers are dedicated to F-35 modeling and testing. This also assumes that flight test facilities and resources (manpower, aircraft. and support equipment) are available for the entire duration. This is work that has already been accomplished internally by LM as a part ofthe F-35 aircraft development life cycle.

This delay would impact the AFSEO Final Operational Capability (lOC) date of April 2020 and thereby substantially impact the Air Force's warlime capability and readiness.

S ubsection 4.

(a). Accordingly. LM is the only company capable ofproviding the supplies and support described in Section lll above without the U.S. Air Force experiencing unacceptable delays in fulfilling the agency's mission req u irements.

Vl. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable, In accordance with PGI 206.302-l(d), a sources sought synopsis was issued l8 May 2017 on Federal Business Opportunities (FedBizOps) under the Solicitation Number AFSEO_F-3s_Data_Toolsets. The posting titled F-35 Engineering Data Toolsets sought sources that could provide engineering data tool sets and associated technical support services to be used by the Air Force to organically produce flight clearance packages for submission to ACC. No responses were received as a result of the synopsis and no other sources have been identified to date. Alternatives u ill be evaluated ifthev arise.

Vll. Determination by the Contracting Offi(er that the anticipated (ost to the Government will be fair and reasonable.

The Contracting Officer will ensure the final price will be fair and reasonable. 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: (l) cost analysis IAW FAR 15.404-l(c); (2) thorough technical evaluation: and 3) utilization of weighted guidelines to determine fee and profit. At the conclusion of negotiations. the contractor will be required to submit a certificate of Current Cost or Pricing Data executed in accordance with FAR 15.406-2(a).

Vlll. 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.

lx. Any other fa(ts supporting the use of other Than Full and Open Competition.

No other facts.

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X. List of a]!y sources that expressed, in writing, an interest in the a(quisition.

See Section Vl above.

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

AFSEO will work to modify the tools as they learn more about the aircraft. However with block changes anticipated in the future, LM, the Prime contractor will possess knowledge that only they will have to support the program. Furthermore. due to the level ofconcurrency in the baseline program (i.e.. SDD. Low Rate lnitial Production (LRIP) and initial Sustainment) the complexity and risk of introducing configurations that may deviate from the established baseline are too great ofa programmatic risk to overcome. In the interim, continuing market research through trade journals, technical symposia, and contact with industry representatives will be on-going to monitor other contractors' ability to support this requirement.

Xll. Certification by the Contracting Officer.

As evidenced by my signature above, I have determined this document to be both ac(urate and complete to the best of my knowledge and belief.

Xlll. Certification by the technical/requirements personnel.

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

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