Limited_Sources_J_and_A_AFICA_Signed_for_Redact_Redacted.pdf

SENICK.SCOTT.D.1023622

Digitally signed by SENICK.SCOTT.D.1023622013 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=SENICK.SCOTT.D.1023622013 Date: 2018.01.26 12:19:43 -08'00'

POWNER.DEVIN.ROBERT.

1454238890

Digitally signed by

POWNER.DEVIN.ROBERT.1454238890

Date: 2018.02.13 07:59:33 -08'00'

VANZOEST.CHRISTOPHER

.M.1093156079

Digitally signed by

VANZOEST.CHRISTOPHER.M.1093156079

Date: 2018.04.13 10:33:02 -07'00'

JUDGE.AARON.D

.1151934834

Digitally signed by

JUDGE.AARON.D.1151934834

Date: 2018.05.02 16:02:56 -04'00'

Limited Sources Justification and Approval (J&A)

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For Official Use Only (FOUO)

For Official Use Only (FOUO)

I. Contracting Activity.

9th Contracting Squadron, 9th Reconnaissance Wing Beale AFB, CA Limited Sources Justification, Purchase Request No.F1H2EE7362AW01

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

This sole-source requirement is a follow-on, firm-fixed price order to be acquired under Utah State University's Research Foundation, Space Dynamics Laboratory GSA schedule GS-23-F-0046P.

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

This requirement is for maintenance, technical assistance, and software updates for VIP-C servers in the Global Hawk Tech Control Facilities at Beale AFB and Grand Forks AFB.

The services required to meet agency needs will provide continuous support for Command, Control and Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) capabilities. These capabilities are provided through the AF Distributed Common Ground System (DCGS), Vantage Imagery Processing Capability (VIP-C) at Beale AFB and Grand Forks AFB. The RQ-4 Global Hawk is the airframe that uses the software.

Sustainment of this capability includes the warranty of 5 installed servers that the Vantage Software Suite will be hosted on (including all necessary spare parts and materials for hardware repairs), technical phone support (up to a combined total of 16 hours per month between Beale and Grand Forks), semi-annual software updates (two per year, per location) and training of personnel for the updates at both Beale and Grand Forks AFB (up to 40 classroom hours per year). The contractor will be required to minimize system outages and ensure timely response to correct outages.

The total estimated value of the maintenance, support and estimated travel for 5.5 years (base plus four options and six month extension) .

This requirement will be performance-based in accordance with AFI 63-138 Acquisition of Services and the Period of Performance is 21 September 2018 to 20 September 2019, with four, one-year option periods as well as a potential six month extension allowed by FAR 52.217-8.

This requirement was performed previously via task order FA4686-15-F-0011 with a period of performance of 21 September 2015 to 20 September 2018 (base year plus two option years). There have been no changes to this requirement from the previous contract, which was awarded sole source to Space Dynamics Laboratory due to the proprietary nature of the Vantage software.

IV. Identification of the justification/rationale for limiting sources and demonstration of the contractor's unique qualifications to provide the required supply/service.

SDL assembled these servers to host their proprietary software, developed under contract to the government, to assemble raw imagery tiles into scenes, improve image quality on those scenes, store those scenes in a database, and then disseminate them to remote workstations. The Vantage software and hardware was initially installed at a cost of $19.7 million via task order SP0700-99-D-0301-0231 with Alion Science and Technology Corporation, with Space Dynamics Laboratory as a subcontractor. The Vantage software is being maintained by the Naval Research Laboratory via contract N00173-12-D-2004 with Space Dynamics Laboratory, and $84.9 million has been spent since May 2012 to update the software. The Global Hawk System Program Office has chosen the Vantage suite as the system of choice for imagery analysis. Because of the proprietary nature of the image processing software, no other company would be able to identify or resolve problems with this software or be able to determine whether a problem was caused by this software or the hardware it is hosted on. The cost and time required to pursue the use of a new software and hardware configuration would not be reasonable for this requirement.

Additionally, market research found that there are no other contractors or laboratories that specialize in or have the

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For Official Use Only (FOUO)

For Official Use Only (FOUO) rights to maintain the Vantage software and its hardware. In accordance with FAR 8.405-6(a)(1)(i)(B), Space Dynamics Laboratory is the only source capable of providing the service required because it is unique and highly specialized.

V. Determination by the ordering activity Contracting Officer that the order represents the best value consistent with FAR 8.404(d).

The Contracting Officer has determined that ordering from Space Dynamics Laboratory will provide the best value to the Government, as they are the only company capable of fulfilling the requirement. The Vantage software and hardware was initially installed for a cost of $19.7 million, and the Vantage software has been continuously maintained and updated by the Naval Research Laboratory via their contract with the Space Dynamics Laboratory. A total of $84.9 million has been spent just to maintain and update the Vantage software since May 2012. The cost and time required to pursue the use of a new software and hardware configuration would not be reasonable for this requirement.

FAR 8.405-2(d) requires that the ordering activity shall evaluate all responses received using the evaluation criteria provided to the schedule contractors. As part of the best value determination, a price reasonableness determination will be performed after receipt of proposal in accordance with FAR 8.404(d) using various price analysis methods from FAR 15.404-1 to include FAR 15.404-1(B)(2)(iv), FAR 15.404-1(B)(2)(v) and FAR 15.404-1(B)(2)(vi).

VI. Description of the market research conducted and the results, or explain why market research was not conducted.

Market research was conducted and started with contact being made with the Global Hawk System Program Office (Mr.

Judd Powell); SDL (Ms. Courtney Winn); The Naval Research Laboratory (NRL) (Mr. Dale Linne von Berg, Head of the Applied Options Branch); and the customer, Mr. Larry Martinsen to determine the origin of the software, its intended function for Beale and Grand Forks AFB, the history of how it was previously fulfilled and the proprietary status.

This requirement was previously performed at Beale and Grand Forks by the SDL via task order FA4686-15-F-0011 with a period of performance of 21 September 2015 to 20 September 2018 (base year plus two option years). No significant changes to the market have occurred since the beginning of the previous contract.

The Vantage software and hardware was originally installed under contract SP0700-99-D-0301-0231 with Alion Science and Technology Corporation, with SDL as the subcontractor. SDL is responsible for creation and maintenance of the software, the reason a sole-source contract to this laboratory is proposed. The NRL owns and maintains the Vantage software suite through contract N00173-12-D-2004 with SDL. While there is no inter-agency contracting vehicle available from the NRL to the Air Force, the software is free for use by the Air Force from NRL. This information was provided by Mr. Dale Linne von Berg, who also provided the authorization to proceed with contracting with SDL. It was determined that there are no other contractors or laboratories that specialize in or have the rights to maintain the Vantage software and its hardware.

VII. Other facts supporting the justification.

All facts supporting the justification have been listed in section IV and VI.

VIII. Actions the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services.

Actions taken to remove and overcome barriers leading to the restriction for the acquisition of this service included contacting the developer of the Vantage software to identify companies certified and authorized by SDL to perform the work. Contact was made with the NRL in a search for other companies and/or DoD affiliated laboratories to provide support and maintenance for Vantage--there are none. SDL has not authorized any other companies to do work as this software suite is controlled by the government (NRL), leaving SDL as the sole provider for support and updates for the Vantage software.

Market research will be conducted prior to exercise of each option year and prior to a new acquisition to determine whether barriers to competition have been removed. This will depend largely on whether the Global Hawk System Program Office has identified a new source for software maintenance. Additionally, if SDL authorizes other vendors to maintain their

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For Official Use Only (FOUO)

For Official Use Only (FOUO) proprietary software, then future acquisitions will be competed among all authorized contractors.

IX. Certification by the Contracting Officer.

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

X. 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.