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

CONTROLLED UNCLASSIFIED INFORMATION

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I. Agency and Contracting Activity.

Department of the Air Force

AFSC/PZIMC

3001 Staff Drive 2S75 Tinker AFB, OK 73145

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

This is a class J&A for the purchase of a class of equipment (Water Jet Strippers) covering several equipment purchases over the next few years. This procurement action will result in multiple new, firm, fixed price contract for a single 6 axis articulated arm 20,000 psi water jet system for stripping masking off of Integrated Blade Rotors (IBRs) for CBN repairs, and approval for the sole source for two (2) other water jet projects in the next three (3) years, three (3) of which will be 55ksi machines for plasma spray repairs, and two (2) more 20ksi for rubber repairs.

Estimated FY26: one (1) Robotic 20,000 psi Water Jet - $1.4M two (2) Gantry 20,000 psi Water Jets - $3.1M Estimate: FY27 / FY28: three (3) Robotic 20,000 psi Water Jets - $5.5M Total - $10M

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

This requirement is for the supply of one (1) ultra high water jet stripping systems consist of an enclosure, 6-axis robotic arm, 7th axis turn table, controls cabinet, water jet nozzle, filter housing, hoist, mist collectors, and intensifiers. This system uses 20,000 psi of pure water to strip Dymax maskings off of F119/F135 IBR blades during the Cubic Boron Nitride application process, based on programs stored on the controls computer. Parameters and programs are designed to reduce ancillary spray and ensure CBN plating remains intact; in such a way that coating is removed without to the substrate of the part.

The first follow on project will supply three (3) machines with 55ksi pumps instead, and will be used for plasma spray coating removal on TF33, F100, F101, F108, F110, F118, F119, F135 and F139 engine components, and the second will supply two (2) 20ksi machines with 20ksi pumps for stripping of rubber and abradable coatings.

The type of appropriation to be used for this acquisition is DMAG Working Capital Funds, 47E4.

Each purchase covered by this J&A will be an individual purchase order with a single CLIN for the machines covered by that purchase order, as follows:

FY 26: CLIN 000X 1 EA Robotic 20,000 psi Water Jet $1,400,000 per unit

Future purchase orders will have a similar CLIN structure and will include continuing market research.

Estimated 12 months for delivery for each purchase order.

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

There is only a single responsible source for the Government to use for this procurement.

Water jet stripping of coatings from jet engine parts is a highly niche industry for equipment manufacture, and there are only a limited number of companies that provide this machinery (Progressive Surface and Aquarese), which is manufactured custom for each purchase. Progressive Surface Inc. is the only company who meets all required specifications and does not cause the Government significant duplication of effort. Progressive Surface Inc. was awarded to install (3) three water jet systems under the competitively awarded FA8126-11-M-0059 contract, as well as two (2) follow on contracts in 2017 and 2018 which were approved sole source, and then again approved sole source on contract FA813225P0030 which was

August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 3 of 5August 2023 CONTROLLED UNCLASSIFIED INFORMATION Page 3 of 5 awarded in June of 2025. The only other vendor who responded during the competitive contract in 2011 is Machine Tools USA, which is a certified reseller of the Aquarese products.

Progressive Surface Inc. has the highly specialized capabilities to construct a water jet system, and their designs have been proven to be applicable to every aircraft component that is currently being processed by the 76 PMXG. Progressive Surface Inc.'s personnel are highly skilled in their knowledge of all aspects of the water jet operation from equipment function to maintenance issues.

76 PMXG believes that an award to any other source would result in duplication of cost investment to the Government that would not be recoverable through competitive pricing, and would incur in the their fulfillment of Air Force requirements. When accounting for the labor, parts, spares and re-qualifying of parts, including shipping and insurance , the Government estimates that it would cost over $5 million dollars to change manufacturers, which does not include and the ability to produce assets during the re-qualification process.

76 PMXG is qualified to strip the F119/F135 4th, 5th, 7th and 9th stage , F119/F135

, F119/F135 1st Stage , F119 1st Stage , F135 2nd Stage , F135 2nd and 3rd Front and 2nd Stage , F135 and F135 on our existing Progressive Surface Inc. water jets by means of . Program testing takes a minimum of two (2) weeks per part, and up to four (4) months per part for lab review (both Government and OEM labs review the results) and two (2) months for paperwork qualification, in addition to and cost investment into sourcing (

For this group of parts, that will total up to over six (6) years of duplicated effort alone. Additionally, CBN masking removal has also been qualified on the F119 4th-9th , which will result in one (1) additional year of qualification effort.

Progressive Surface Inc. has the ability to duplicate their components to match these previously purchased water jet systems, programs can be copied over from already qualified systems and the qualification process can be significantly simplified (done by similarity) and removes the necessity for

(averaging over $150,000 per part across 16 parts), and the that it will take to get parts if qualification is required cannot be quantified, .

Additionally, the local maintenance group stocks spare/replacement parts for existing Progressive Surface Inc. water jets, and the cage space to stock . Additional spare parts inventory for a different machine would

, and reduction in current spare parts inventory to sustain alternative manufacturer's spare parts could .

spare part inventory is estimated to be about $100,000 for the eleven (11) existing water jet booths. Purchasing additional inventory would incur a cost of about $40,000.

Water jets from a new vendor will also incur a time cost for additional training for the engineers who work on the machines, the operators who run them and the maintenance technicians who maintain them in order to ensure that running, programming and maintenance are all doable. This will result in additional cost since the individuals who are participating in this training .

Based on this, Progressive Surface Inc. is the only firm capable of providing water jet systems as described above in section 3 without the U.S. Air Force experiencing duplication in cost which could not be expected to be recovered through competition and .

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.

A Sources Sought Synopsis (SSS), reference number H6WP24, was posted on 8 Aug 2025 in support of market research to identify potential sources. The SSS emphasized the Government's interest in all businesses, including large businesses, small

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The SSS closed on 15 Aug 2025 with three vendors expressing interest. BHPE LLC expressed interest but did not provide the information required by the SSS. Cesco, Inc. provided incomplete information. Only Kent Homes LLC included all of the information required by the SSS, but after evaluation by the engineer it was determined that those responses did not provide relevant experience for building and installing large scale water jet equipment at the pressures and precision required.

A notice will be posted publicly to SAM.gov, announcing the Government's intent to issue a sole source award to Progressive Surface Inc. A post award synopsis will be posted publicly to SAM.gov IAW FAR Part 5.

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

The Contracting Officer will ensure the effort described herein is negotiated at a fair and reasonable price. A detailed price analysis will be performed IAW FAR 15.404-1(b).

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

As described in Section V above and IAW FAR Part 10, market research was conducted by a Sources Sought Synopsis (SSS), reference number H6WP24, which was posted on 8 Aug 2025 to identify potential sources. Three (3) vendors expressed interest, but were not capable of meeting the Government's requirements based on the capability statements and experience provided.

Additional market research was conducted using Internet searches and it was determined no companies featuring water jet stripping as a mature technology exist other than from Progressive Surface Inc. and Aquarese. The use of equipment from a different manufacturer would result in significant duplication of cost and time for the US Government, based on the below:

1. Requalification of parts currently qualified (cost of parts, labor and time)

2. Additional operator training on new systems.

3. Additional maintenance training on new systems.

4. Lack of maintenance history and failure mode analysis on new systems

5. Identification, purchase and storage of repair and replacement items, time and resources involvement of 76 PMXG and 76 MXSS engineers to ensure proper operation of water jet systems, component reliability, process stability and repeatability.

6. These additional spare parts would need to be stored in an .

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

Progressive Surface Inc. does not have resellers. The equipment is custom manufactured to the customers requirements, so they do not have off the shelf equipment that would allow them to work with a distributor. In addition, they do not license out their maintenance.

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

A Sources Sought Synopsis (SSS) was posted to SAM.gov with three vendors expressing interest:

~BHPE LLC.

10601 S. Western Ave, Ste 113 Oklahoma City, OK 73170-6215 POC: Jonathan Howard, 405-473-0422

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CAGE: 9SWS7, SDVOSB

~Cesco Inc 7251 Cross Country Rd.

N. Charleston, SC 29418 POC: Chris Fulmer, 843-760-3000

CAGE: 6K233, VOSB

~Kent Home LLC. (DBA Kore Logistics) 10330 Bandera Rd, Ste 108 San Antonio, TX 78250 POC: Kenneth Williams, 210-984-3564

CAGE: 98XS8, SDVOSB

After evaluation by the engineer, it was determined that the responses received from the interested vendors could not meet the government's requirements.

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.

Competition was considered early in this program, as described above. We were unable to remove or overcome the steps necessary to foster competition because of the duplication of effort and cost with operating another manufacturer's water jet system. The Air Force does plan to purchase more of these machines in the future, but the industry is too niche for a distribution partner to emerge. This equipment is highly specialized and custom built to customer requirements. There are no available actions that can be taken to ameliorate barriers blocking competition, due to the custom built nature of already qualified equipment combined with the cost associated with requalifying existing programs on machine of a different design.

IAW DFARS PGI 206.304(a)(S-70)(ii), the prior J&A was reviewed and similar to this J&A, there were no actions that could remove barriers to competition.

XI. Certification by the Contracting Officer.

As evidenced by their signature, the Contracting Officer certifies that this justification is accurate and complete to the best of their knowledge and belief.

XII. Certification by the technical/requirements personnel.

As evidenced by their signatures, the technical and/or requirements personnel have certified that any supporting data contained herein, which is their responsibility, is both accurate and complete.