J and A Redacted.pdf

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

CONTROLLED UNCLASSIFIED INFORMATION

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(See "Specific Guidance for Completing this Template" below.)

I. Agency and Contracting Activity.

United States Air Force

AFMC AFSC OL:H/PZIMB

6038 Aspen Ave, Bldg 1289 Hill AFB, UT 84056 PCO: TSgt, Gregory Smith

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

A. Upon approval to use other than full and open competitive procedures, the 309th Software Engineering Group (SWEG) intends to award a new, sole source contract for a PAO Chillers system with all equipment, fixtures, software, manuals, and spares. The contractor for this effort will be:

Gas Turbine Efficiency (GTE) Technologies LL

623 Olympia Hills CIR

Berwyn, PA 19312-1982

CAGE: 8P3B8

DUNS:079846723

Based on the NAICS code: WOSB, EDWOSB

B. Contract Type & Structure: Type C contract with Firm-Fixed-Priced (FFP) CLINs

C. Estimated Value:

D. The Period of Performance: 140 days After Receipt of Order

E. Estimated Date of Award: 30 Sept 2021

III. Description of supplies/services required to meet agency needs (including the estimated value).

A. Remove and replace Ogden Air Logistics Complex, 309th Software Engineering Group (SWEG) Bldg.

1515, Ogden Test Enterprise (OTE) F-22 lab Polyalphaoefin (PAO) chillers. In addition, optional preventative maintenance services for the system. To avoid potential lab shutdown replacement of the aging PAO chillers to facilitate the labs Primary Mission Equipment (PME). The existing equipment is five

(5) years past the engineered life expectancy, no longer meets environmental requirements (use of R-22 is no longer allowed) and is suffering from multiple breakdowns annually which greatly increases the costs to maintain. From January 2016 to January 2018, each cart required on average three (3) annual major repairs resulting in significant downtime and cost. The current F-22 workload is scheduled to increase each year and will place a greater demand on the lab. Increased lab demand puts the current system at greater risk of not being able to support the F-22 PME workload.

B. This effort will be funded with 4930, CSAG-M dollars. The Government anticipates a 1 year equipment and installation delivery period to begin 30 September 2021, and (4) 1 year options of preventative

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C. The Government estimates the total value to be

D. The anticipated CLIN structure will be as follows:

CLIN 0001 PAO Chillers System Est

CLIN 0002 CDRLs (NSP)

CLIN 1001 PM FY 22-23 Est.

CLIN 2001 PM FY 23-24 Est.

CLIN 3001 PM FY 24-25 Est

CLIN 4001 PM FY 25-26 Est.

E. The system removal and installation of 140 days, plus 1 year) options of preventative maintenance schedule is anticipated to be a total 5 year time-frame prior to contract completion; therefore, approval is needed for more than one fiscal year.

IV. Statutory authority permitting other than full and open competition.

10 USC 2304(c) as implemented by FAR 6.302-1(a)(2).

V. Demonstration that the contractor's unique qualifications or the nature of the acquisition requires use of the authority cited above (applicability of authority).

The above authority was selected for the subject PAO Chillers which are highly specialized because of the required equipment to support the unique cooling requirements (Polyalphaolefin) of 5th generation aircraft.

Market research identified that GTE is the only specialized, and capable source to support this requirement.

There are no other vendors identified that have the expertise, equipment, design, and integration capabilities to support a PAO chiller system of this magnitude.

The company Gas Turbine Efficiency (GTE) has a proven track record of designing and installing 5th generation PAO chiller systems in support of the DoD. GTE emerged as the only company with the patents, capacity, and expertise to support this requirement. GTE designed, built and installed the PAO chiller system at Eglin AFB in support of Navy/Air Force F-22 and F-35 aircraft, built in robustness and increased safety while minimizing downtime through the design of back-up systems to allow work to continue while repairs are made. GTE has met all Intelligence Community directive 705, Joint Special Access Program Implementation Guide, National Security Council Instruction 7700 and Air Force Instruction 33 requirements. In addition, they have specialized and trained technicians to provide preventative maintenance on their equipment.

If there were another vendor with the specialized experience willing and capable to reconstruct, design, and build a new PAO chiller system to meet the flow rate and supply PAO for this group's specific need, the engineered design process and approvals, in addition to being compliant to all directives, AF instructions, and AF implementation guides would result in at least a two year unacceptable delay to the Government for

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Unacceptable delays would result in potential lab shutdown and work stoppage for F-22 core capabilities.

The existing polyalphaolefin fluid chillers, responsible for maintaining and cooling lab Primary Mission Equipment (PME), are currently at End of Life (EOL.) The polyalphaolefin (PAO) chillers are dated and failing and require a new updated system. Equipment that is currently in use is on year 15, of a 10-year life expectancy.

Accordingly, GTE is the only vendor capable of providing the PAO chillers described in Section II above, without experiencing unacceptable delays in fulfilling this requirement.

VI. 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 Synopses was posted on 23 March 2020 and closed 23 April 2020 (FA8224-20- SSS-7515). As part of the posting, the Government provided a draft statement of objectives for a universal PAO Chiller system. Only one company responded, Bemco, which had some level of capability for PAO Chiller manufacturing, but did not have the experience to provide the required flow rates to meet system requirements.

In addition, market research was conducted through GSA Advantage, Ability One, and Internet searches.

The following companies known to work with PAO were contacted directly to determine interest: Lytron, Greatwall, Cumond and Lenya could only provide 25 percent of the required flow needed. Other manufacturers: Liebert, Reymas, Carrier, Evopco, Thermal Care and Fluid Industrial Manufacturing systems meet the OTE requirement but lack any experience with PAO and only utilize water-glycol pressurized systems that are not suitable for this application. GTE has emerged repeatably as the one (1) company with the experience to provide the flow rates required, industry leader in PAO systems and the patents / relationships necessary to meet the OTE requirements.

The Government conducted visits to off-site locations and observed PAO Chiller systems designed by GTE for the Navy and Air Force, F-22 and F-35 programs. GTE has verified their capability with the F-35 Australia-Canada-UK Reprogramming Lab (ACURL) at Eglin AFB in 2009, F-35 Unites States Reprogramming Lab (USRL) at Eglin AFB in 2007, F-35 Norway-Italy-Reprograming Lab (NIRL) Partner Eglin AFB in 2008, and the F-35 Reprogramming Center West (RC West) Lab at Point Mugu Naval Base in 2016. GTE has satisfied the prerequisites in compliance with SAFP Intelligence Community Directive (ICD) 705, Joint Special Access Program (SAP) Implementation Guide (JSIG), National Security Council Instruction (NSCI) 7700, and Air Force Instruction (AFI) 33. Apart from competition, GTE also utilized aircraft pump components and specialized, fluid specific chiller and building supply parts with these lab projects wherever possible. The added engineering and additional robustness attributes to their limited downtime and safety record.

GTE has sustained 12-year success record and accountability, a decade after Full Operational Capability (FOC.) The result of the site visit substantiated GTE's assessment with building 1515 design constraints, and validated their capacity to modify SWEG's fifth generation government lab facilities exclusive to the F-22 program.

This requirement includes a three year warranty for equipment and piping in the mechanical rooms and a five year warranty standard for its PAO lines in the hallways. The warranty will help resolve future issues regarding major safety hazards within the workplace which have been major issues in the past. Mike Heaton, representative from GTE, stated that if the Government were to utilize a 3rd party for installation for the initial equipment purchase or provide preventative maintenance, it would void any warranty for the entire PAO chiller system. GTE does not have any approved resellers or distributors that sell or install their

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

A. The following steps will be taken to ensure that the anticipated cost of this acquisition will be fair and reasonable: The Contracting Officer will comply with the procedures and criteria contained in Federal Acquisition Regulation (FAR) under Part 30, Cost Accounting Standards; Part 31, Contract Cost Principles and Procedures; Subpart 15.4, Contract Pricing; to include technical evaluation through historical data/ acquisitions and audits, as appropriate.

B. Additional steps to ensure price reasonableness will be under the guidance of the Contract Pricing Reference Guides, jointly developed by the Federal Acquisition Institute and the Air Force Institute of Technology. The Contracting Officer will obtain information related to pricing data IAW DFARS PGI

15.403. This includes information related to price and cost the Contracting Officer requires to determine the price is fair and reasonable. The final step is to include the Price Negotiation Memorandum (PNM); this detailed documentation and justification of price reasonableness will be disclosed in the official PNM, to be prepared upon completion of negotiations.

VIII. 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 was conducted in accordance with FAR Part 10 through synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties. The following information is listed regarding vendor capabilities:

A. Bemco produces PAO chillers for laboratory or development for use in many programs and prior contracts with the Government for similar equipment but could not provide the flow rate necessary for this requirement.

B. Lytron cited relevant experience providing support for PAO chiller systems but could only provide 25 percent of the required flow and their units are for smaller stand-alone air cooled applications which would not meet the Government requirement.

C. Greatwall cited relevant experience providing support for PAO chiller systems but could only provide 25 percent of the required flow and their units are for smaller stand-alone air cooled applications which would not meet the Government requirement.

D. Cumond cited relevant experience providing support for PAO chiller systems but could only provide 25 percent of the required flow and their units are for smaller stand-alone air cooled applications which would not meet the Government requirement.

E. Lenya cited relevant experience providing support for PAO chiller systems but could only provide 25 percent of the required flow and their units are for smaller stand-alone air cooled applications which would not meet the Government requirement.

F. Liebert can meet the OTE requirement but lacks experience with PAO and only utilizes water-glycol pressurized systems that are not suitable for this application.

G. Reymas can meet the OTE requirement but lacks experience with PAO and only utilizes water-glycol pressurized systems that are not suitable for this application.

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H. Carrier can meet the OTE requirement but lacks experience with PAO and only utilizes water-glycol pressurized systems that are not suitable for this application.

I. Evopco can meet the OTE requirement but lacks experience with PAO and only utilizes water-glycol pressurized systems that are not suitable for this application.

J. GTE has significant experience with PAO chiller equipment installed, already has the design capabilities and can meet all of the Government requirements for a new PAO chiller system.

Based on industry response and additional market research, the Government determined that in order to obtain a complete PAO chiller system that meets the requirements including safety hazards and concerns, it is recommended to purchase through GTE.

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

None

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

See Section VI above.

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

The agency anticipates that as the need for PAO chillers matures, more companies will emerge in the future and create a more competitive environment.

On an annual basis, the Government will conduct additional market research for this effort. If applicable, additional vendors with capability will be evaluated on future acquisitions for this program which will allow the USAF to achieve Better Buying Power by promoting effective competition in the future.

XII. 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.

XIII. 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.

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Specific Guidance for Completing this Template

I. Agency and Contracting Activity.

II. Nature and/or description of the action being processed. (FAR 6.303-2(b)(2))

State whether the action is a new contract or a modification to an existing contract (identify contract number) and identify the contract type planned (e.g., firm-fixed-price, cost-plus-incentive-fee, hybrid etc.). If exception 2 is cited (unusual or compelling urgency), include the date of UCA/contract/modification issuance and amount.

For class J&As, where the number of contracts in the class can be identified: Provide the nature and/or description of each contract action and contract type. If the same information applies to more than one contract, it need only be stated once.

III. Description of the supplies/services required to meet agency needs (including the estimated value).

(FAR 6.303-2(b)(3))

Describe the supplies and/or services to be acquired and include the total estimated value of the acquisition and, for class J&As, by contract action, and the estimated periods of performance.

For ID/IQ or requirements contracts, use the maximum dollar value of the total estimated orders as the estimated J&A dollar value.

IV. Statutory authority permitting other than full and open competition. (FAR 6.303-2(b)(4))

10 USC 2304(c)(?) (see Note 1), as implemented by FAR 6.302-? (see Note 2), and required by FAR 6.303-2(b)(4).

Note 1: Complete the 10 USC 2304(c) citation with the statutory subparagraph cited in the (a) Authority (1) Citations portion of the Competition exception used for your J&A. Do not provide more than one citation.

Note 2: Complete the FAR citation with the appropriate subparagraph.

Note 3: For class J&As, all contracts within the class must fall within the same statutory authority.

V. Demonstration that the contractor's unique qualifications or nature of the acquisition requires the use of the authority cited above. (FAR 6.303-2(b)(5))

Provide an explanation to support the use of the authority cited. The explanation should tie back to the conditions described in the FAR for using the particular authority cited.

A. Only One Responsible Source (FAR 6.302-1) (DFARS 206.302-1 and DFARS PGI 206.302-1)

When using this authority, thoroughly describe the contractor's unique/highly specialized capabilities and/or qualifications (e.g., facilities, personnel, special tooling acquired), and why no other type of supplies or services will satisfy the agency requirements. This authority shall be used, if appropriate, in preference to the authority in FAR 6.302-7. This authority shall not be used when any of the other authorities apply.

For example, in the case of a follow-on contract for continued development or production of a major system or highly specialized equipment/services, the rationale must first justify the supplies/services as being a “major system” or “highly specialized.” The rationale must then justify “either” substantial duplication of cost to the government that is not expected to be recovered through competition, or unacceptable delays in fulfilling the agency's requirements, whichever situation applies.

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In accordance with DFARS 206.302-1(c)(2) Application for brand-name descriptions. Notwithstanding FAR 6.302-1(c)(2), in accordance with section 888(a) of the National Defense Authorization Act for Fiscal Year 2017 (Pub. L. 114-328), the justification and approval addressed in FAR 6.303 is required in order to use brand name or equal descriptions.

B. Unusual and Compelling Urgency (FAR 6.302-2, DFARS 206.302-2, and DFARS PGI 206.302-2)

Contracting Officers must notify SAF/AQC as soon as practicable when contemplating the use of this authority for a J&A requiring SPE approval.

Provide an explanation why (1) the supplies or services are needed at once and/or (2) essential equipment or repairs to that equipment are needed at once to preclude the ability to meet critical mission needs of the USAF and Defense of the Nation. In other words, identify the anticipated serious injury to the Government, the nature of the urgency, the reasons for it occurring and why it is “urgent and compelling” to preclude adverse impact to military readiness. Merely citing a Joint Urgent Operational Need (JUON), Force Activity Designator (FAD) rating, Program Management Directive (PMD)/Program Action Directive (PAD) guidance, or DX priority rating is not in and of itself sufficient reason to use this exception from the requirement to obtain full and open competition. Note that only the minimum quantity required to satisfy the unusual and compelling urgency qualifies for this exception. In addition, the period of performance may not exceed one year, including all options [FAR 6.302-2(d)(ii)]; thus, the inclusion of options, when using this authority, is not advised.

Note: This statutory authority requires that agencies request offers from as many potential sources as is practicable under the circumstances.

C. Industrial Mobilization; or Engineering, Developmental, or Research Capability (FAR 6.302-3)

Justifications citing this authority must demonstrate the need to establish or maintain an essential capability, or a contract for supplies or services incidental to establishing or maintaining an essential capability, possessed by the identified source(s).

Some form of market survey must support the need to establish or maintain the capability being procured.

D. Authorized or Required by Statute (FAR 6.302-5)

Identify what is being acquired and the applicable statute authorizing other than full and open competition in accordance with FAR 6.302-5(b).

Note: Some statutes do not require a written J&A.

E. National Security (FAR 6.302-6)

This authority may be used for any acquisition when disclosure of the Government's needs would compromise the national security (e.g., would violate security requirements); it shall not be used merely because the acquisition is classified, or merely because access to classified material will be necessary to submit a proposal or to perform the contract. Full and open competition need not be provided for when the disclosure of the agency's needs would compromise the national security unless the agency is permitted to limit the number of sources from which it solicits bids or proposals. This statutory authority requires that agencies shall request offers from as many potential sources as dis practicable under the circumstances.

F. Public Interest (FAR 6.302-7 and DFARS 206.302-7)

The use of this authority requires a written Determination and Finding (D&F) in accordance with FAR 1.7 in lieu of J&A. The D&F shall not be made on a class basis.

This authority may only be used when none of the other authorities apply. Provide detail addressing the reasons full and open competition is not in the public interest and why no other authority is appropriate for use.

VI. 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 FAR 5.2 and, if not, which exception under FAR

5.202 applies. (FAR 6.303-2(b)(6))

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Describe all efforts taken, or to be to be taken, to ensure that offers are solicited from as many potential sources as practicable under the circumstances. Although market research is covered in Section VIII, the information in Section VI should correlate with the market research described in Section VIII. To ensure completeness, it is best to provide information such as the following:

If a sources sought synopsis or an RFI was issued, provide the date the synopsis was issued along with a brief description of its content.

Identify the number of responses received, the results of the screening process, and the rationale for determining the unacceptability of any respondents. Note: An RFI or Sources Sought Synopsis is mandatory IAW DFARS PGI 206.303-2(b)(i) when citing the authority of 10 USC 2304(c)(1), “Only one (or a limited number of) responsible source(s)”.

Specify whether this acquisition will require a Notice of proposed Contract Action (NOCA) IAW FAR 5.201 and if not, provide the exception IAW FAR 5.202. If a NOCA was or will be publicized provide the dates or expected dates of publication of the NOCA. Address any other actions taken or planned to facilitate competition for this acquisition.

Qualifying Country Sources. If qualifying country sources have expressed interest, but are to be excluded, provide supporting rationale.

VII. Determination by the contracting officer that the anticipated cost to the government will be fair and reasonable.

(FAR 6.303-2(b)(7))

Provide the basis for this determination.

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

(FAR 6.303-2(b)(8))

Discuss any market research conducted pursuant to FAR Part 10 and describe results of that research.

When other exceptions from the requirement to obtain full and open competition are relied upon, the market research might be limited to an examination of the acquisition history and experience with the marketplace under previous acquisitions for the same or similar items.

If market research was not conducted, so state and provide the rationale.

IX. Any other facts supporting the use of Other Than Full and Open Competition. (FAR 6.303-2(b)(9)(i))

X. List of sources, if any, that expressed interest in the acquisition. (FAR 6.303-2(b)(10))

If a sources sought synopsis or RFI was issued and all interested sources are included in Section VI, it is acceptable to state, “See Section VI above.”

XI. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before making subsequent acquisitions for the supplies or services required. (FAR 6.303-2(b)(11))

If no actions are planned, provide rationale (i.e., sole-source to OEM, unable to compete due to inability to procure data rights, etc.)

IAW DFARS PGI 206.304(a)(S-70)(ii), for a non-competitive follow-on acquisition to a previous award for the same supply or service supported by a J&A citing the authority at FAR 6.302-1. Include a copy of the previous J&A and include a discussion of the actions planned to overcome barriers to competition established in the previous justification, the status of those actions, and the results of those actions; and

The approval authority shall determine whether the planned actions were completed. If the planned actions were not completed, the justification for the follow-on acquisition shall be approved by the approval authority one-level above the approval authority for the previous justification (see DFARS 206.304). If the previous justification was approved by the Senior Procurement Executive (SPE), the approval remains at the SPE level.

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XII. Certification by the Contracting Officer. (FAR 6.303-2(b)(12))

As evidenced by his/her signature, the contracting officer has determined this document to be both accurate and complete to the best of his/her knowledge and belief.

XIII. Certification by the technical/requirements personnel. (FAR 6.303-2(c))

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.

The following page contains a suggested template for “International Agreement Competitive Restrictions (IACR)”.

The authority to prepare an IACR has been delegated from the HCA to the Contracting Officer.

(AFFARS 5306.302-4)

International Agreement Competitive Restrictions ( IACR)

CONTROLLED UNCLASSIFIED INFORMATIONCONTROLLED UNCLASSIFIED INFORMATION

April 2021

I. Organization:

TSgt Gregory Smith, Contracting Officer

AFSC OL:H/PZIMB

6038 Aspen Ave BLDG 1289 Hill Air Foce Base, UT 84056

DSN 777-5539, COM (801) 777-5539

gregory.smith.86@us.af.mil

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

III. Description of the supplies or services being acquired, including the estimated value:

[ Include contract type, period of performance, cost and schedule, and rationale. ]

IV. Statutory Authority: 10 USC 2304(c)(4) as implemented by FAR 6.302-4, International Agreement.

V. Applicability of Authority:

[ State that the cited exception is applicable because (LOA #, treaty, agreement, etc.), dated ____________, directed that the requirement be obtained from __________________. ]

[ NOTE: Provide a copy of the page(s) of the agreement, treaty, or written directions that has the effect of restricting competition by the requirements activity and attach them to the IACR. ]

VI. Certification of Accuracy and Completeness:

As evidenced by his/her signature, the contracting officer has determined the IACR to be both accurate and complete to the best of his/her knowledge and belief. The CO also approves the IACR.

As evidenced by his/her signature, the program/technical/requirements manager(s) have/has determined that any supporting data contained in the IACR, which is his/her responsibility, is both accurate and complete.