JA Redacted.pdf

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

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I. Agency and Contracting Activity.

United States Air Force Air Force Sustainment Center Hill Operating Location/PZABB 6050 Gum Lane, Bldg 1215 Hill AFB UT 84056

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

A. Upon approval to use other than full and open competitive procedures, the Air Force will issue a new follow-on repair service contract to repair the Signal Distribution Panel and CCA for the Intercontinental Ballistic Missile (ICBM) Weapon System, used by the United States Air Force to:

LOCKHEED MARTIN CORPORATION

LOCKHEED MARTIN INFORMATION SYSTEMS

9970 FEDERAL DR LOCATION B

COLORADO SPRINGS, CO 80921-3616

UNITED STATES

CAGE CODE: 3VQD6

B. The estimated dollar value is with FFP and a Cost Plus Fixed Fee (CPFF) pricing arrangement being anticipated.

The estimated award date is 12 SEP 2023. The delivery period for this contract will be through 12 July 2024.

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

Signal Distribution Panel and CCA Part Numbers: C005633-02,C003796-01. Nomenclature: NSNs: 5820015627700, and 5998014074299. These have been assigned as budget code 8 repairable items.

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

A. 10 USC 2304 (c) (1) as implemented by FAR 6.302-1 -- Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements, required by FAR 6.303-2(b)(4).

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. The above authority was selected for highly specialized equipment contained in a weapon system console is in the Launch Control Center (LCC) for the Minuteman III ICBM Weapon System.

B. Capability to efficiently repair these items is available only through the Lockheed Martin Corporation. Lockheed is the only known source with the ability to satisfy all program requirements because they possess the knowledge, repair expertise, technical data, tooling, equipment and facilities to successfully perform

The government does not possess specific radiation qualification data, which is necessary to qualify replacement components for use in repairs. In addition, the government does not possess the technical data required to validate any new contractor undertaking a repair capability.

Market Research conducted in March and April of 2021 has verified this position.

C. The government does not have in its possession the specialized test equipment nor technical data in JEDMICS required in

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Acceptance Test Procedure (ATP) for LRU repair sell-off, and this is currently the only method the government has for validating repairs. The repair of the LRU, is dependent upon the unique special test equipment possessed solely by the original Design Activity/OEM contractor, Lockheed Martin. The cost and time for the government to acquire the capability to validate repairs is prohibitive and not economically feasible. Past analysis has determined the government would have to develop sufficient data to validate any new vendor's repairs, at an estimated cost .

Such development may not be technically feasible due to the data held solely by the OEM and their refusal to sell the data rights. Additionally, the government estimate for a new vendor to establish competent repair capability is

Also, Lockheed Martin has refused to sell data rights for this equipment.

D. The 414th SCMS believes that award to any other source other than Lockheed Martin, would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force's requirements.

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

The component items are unique to the ICBM and do not have commercial off-the-shelf sources of manufacture. No commercial or non- developmental items are available with similar form, fit, or function parameters that can be used or modified to satisfy the agency's need. These items are currently not candidates for organic repair due to the high cost of depot stand-up. The government does not possess data rights sufficient for organic repair stand-up. The contractor will provide other than certified cost and pricing data to be evaluated against contracts of repair for similar and the same item(s) as well as conduct a technical evaluation to determine the labor hours and materials are reasonable. The proposal elements are subject to negotiation.

Past attempts to acquire data rights from Lockheed Martin have been unsuccessful, however the government will periodically request to purchase data rights. The ICBM Systems Directorate is making a new effort in conjunction with the replacement program for this equipment to acquire the data rights. Once the government owns these data rights, then repair will be available for re-competition of future repair for the new generation equipment.

ThomasNet, Google, Yahoo, Bing, and knowledgeable Government experts were consulted and none could find an alternate qualified source in existence.

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

A. Market research, in accordance with FAR Part 10, was conducted from 2019-2023 and included an announcement advising industry of the pending acquisition and soliciting inquiries from interested parties.

B. Additionally, a Basis of Estimate for re-engineering capability at a new vendor was generated. This BoE indicates that the low usage and high cost of current repairs would not make standing up a new vendor's repair capability feasible.

C. ThomasNet, Google, Yahoo, Bing, and knowledgeable Government experts were consulted and none could find an alternate qualified source in existence at the present time.

D. Reference , no depot capability exists for organic repair.

E. The CCA component items are unique to the ICBM and do not have commercial off-the-shelf sources of manufacture. No commercial or non-developmental items are available with similar form, fit, or function parameters that can be used or modified to satisfy the agency's need.

F. The CCA component items are currently not candidates for organic repair due to the high cost of depot stand-up. The government does not possess data rights sufficient for organic repair stand-up.

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

None

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

Lockheed Martin Information Systems

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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.

A. Past attempts to acquire data rights from Lockheed Martin have been unsuccessful, however the government will periodically request to purchase data rights. The ICBM Systems Directorate is making a new effort in conjunction with the replacement program for this equipment to acquire the data rights. Once the government owns these data rights, then repair will be available for re-competition of future repair for the new generation equipment.

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