JUSTAPPR_Redacted.pdf

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

FOR OFFICIAL USE ONLY

March 2018 FOR OFFICIAL USE ONLY Page 1 of 7

NOTE: If a Justification and Approval was approved for the preceding acquisition, a copy of the approved J&A for the predecessor action must be included in the staff package for approval of the instant J&A. This applies to J&A staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor J&A will be used as a reference document by the approving official.

Is this a new or amended J&A Document? New Amended ( Prior to Award Only! )

Is this a Bridge Action as defined in the AF Bridge Action Reduction Plan? Yes No

Funding level for this acquisition: < $700K > $700K and < $13.5M > $13.5M and < $93M > $93M

Contracting Activity: AFSC/PZABB

Purchase Request / Local ID Number: FD2060-18-02278

Program / Project (and PE, if applicable): AN/ALE-50 Integrated Multi-Platform Launcher Controller (IMPLC)

Program Type (PEO or Other Contracting): Other Contracting

Authority: 6.302-2 – 10 USC 2304(c)(2), Unusual and Compelling Urgency

Estimated Contract Cost (including options): J&A Type: Class Individual

COORDINATION (AFFARS 5306.304(a) )

APPROVAL (AFFARS 5306.304(a) )

March 2018 FOR OFFICIAL USE ONLY Page 2 of 7

I. Contracting Activity.

This Justification and Approval to request authority for Other Than Full and Open Competition supports requirements generated for the Air Force Sustainment Center (AFSC), 638 Supply Chain Management Group (SCMG), 408 Supply Chain Management Squadron (SCMS) GULA. The contracting activity for this requirement is AFSC/PZABB. The purchase request number supporting this contracting action is FD2060-18-02278.

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

Due to the circumstances described herein, the activity requests authority to acquire repair services necessary to meet repair requirements for AN/ALE-50A(V)1 Integrated Multi-Platform Launcher Controller (IMPLC) using Other Than Full and Open Competition as prescribed by FAR 6.302-2, Unusual and Compelling Urgency. This action will result in the award of a new definitive contract under terms of an Undefinitized Contract Action (UCA) for the repair of the AN/ALE-50A(V)1. The pricing arrangement for the UCA will be Firm-Fixed-Fee (FFP). The UCA will be awarded no later than 15 Aug 2018 in order to meet an operational need date of 15 Sept 2018. The UCA period of performance (PoP) is 30 Sep 2018 through 29 Sep 2019.

This sole source requirement will be obtained from the following source:

Raytheon Company DBA: Raytheon 870 Winter St.

Waltham, MA 02451-1449 Large Business

CAGE 499

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

This urgent/emergency requirement is to acquire repair services for the currently fielded AN/ ALE-50A(V)1 IMPLC, National Stock Number (NSN): 5865-01-486-5262EW, PN: 3410AS120-5.

The IMPLC is the monitoring and control center for the AN/ALE-50A(V)1 system and interfaces directly with the aircrew via the Control Display Unit (CDU). This repair contract will be used to support the AN/ALE-50A(V)1 Electronic Warfare System that is on the B-1B aircraft used by Air Force Global Strike Command (AFGSC).

There are currently 20 backorders. Six (6) of the backorders are Mission Impaired Capability Awaiting Parts (MICAPs). The repair of all backorders is estimated at This requirement will be funded with Defense Working Capital (97X4930) funds. The projected period of performance is one year (Sep 2018 - Sep 2019).

UCA Contract Line Item Number (CLIN) Structure:

CLIN Description Type Qty Unit Price Total 0001 Repair FFP 20 0002 Data FFP NSP

March 2018 FOR OFFICIAL USE ONLY Page 3 of 7

Total Estimated Amount

NSN 5865-01-486-5262EW has been screened and assigned Repair Method Code / Repair Method Suffix Code (RMC/RMSC) of R3/R. Explanations of the RMC/RMSC codes are provided below:

RMC Repair Method Code R3 Repair, for the second or subsequent time, directly from the actual manufacturer.

RMSC Repair Method Suffix Code R The Government does not own the data or the rights to the data needed to contract repair this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights.

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

10 U.S.C. 2304(c) (2), as implemented by FAR 6.302-2, Unusual and Compelling Urgency.

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

The AN/ALE-50A(V)1 is a major system with highly specialized firmware, hardware, and software.

The AN/ALE-50A(V)1 program, a joint development venture by a U.S. Air Force/Navy/Raytheon integrated product team, demonstrates a highly successful multi-service approach to Electronic Counter Measure (ECM) system commonality. The AN/ALE-50A(V)1 towed decoy acts as a preferential target that lures enemy missiles away by providing a much larger radar cross section than the aircraft. The protection it provides to aircraft and aircrews makes the AN/ALE-50A (V)1 one of the most important end-game electronic countermeasures available today as more than 25,000 decoys have been delivered.

The AN/ALE-50A(V)1 Countermeasures Decoy Dispensing Set (CMDDS) provides the B-1B aircraft with Radio Frequency (RF) electronic countermeasures to increase survivability against missile threats. The CMDDS is an electronic warfare system utilizing deployable tethered receiver-transmitters (Decoys). Deployed singularly, these act as a decoy, receiving, amplifying, and retransmitting enemy radar signals. Enemy missiles receive these retransmitted signals and are drawn away from the parent aircraft.

This agency's needs can only be satisfied through the unique services that the Original Equipment Manufacturer (OEM), Raytheon, offers since they have the necessary expertise, facilities, equipment, and proprietary repair data for the AN/ALE-50A(V)1 IMPLC. Highly specialized technical skills and use of relevant technical data is required to satisfactorily service and maintain the currently fielded AN/ALE-50A(V)1 IMPLC. All the technical data associated with the AN/ALE-50A(V)1 IMPLC is proprietary to Raytheon. There are no other sources of repair for this NSN due to the complex nature of the device, unique performance specifications, lack of Government owned production facilities, knowledge, and proprietary production level drawing packages. The Government does not have the details of the assembly and does not currently possess unlimited data rights or Government purpose

March 2018 FOR OFFICIAL USE ONLY Page 4 of 7 rights to the OEM's proprietary technical data package. The Navy was the Primary Inventory Control Activity (PICA) and the Air Force was the Secondary Inventory Control Activity (SICA) until 2015 when the Navy upgraded to the IMPLC Version 6 and the Air Force became PICA for the IMPLC Version 5. The last asset from the Navy's multi-year contract with Raytheon was received January 2018.

Raytheon has previously supported the repair of this asset through a Navy repair contract. The USAF was notified in 2015 that the Navy would be transitioning from IMPLC Version 5 NSN 5865-01-486-5262EW to IMPLC Version 6 via the Navy Basic Ordering Agreement (BOA) which was to be awarded in December 2016. The USAF began preparations to have the IMPLC Version 5 as part of the new Navy BOA. The Navy BOA however did not award until August 2017 and failed to incorporate the IMPLC Version 5 necessary for the USAF. The USAF continued to work with the Navy points of contact to determine the feasibility of including Version 5 into the Navy BOA up to March 2018, at which time, the AF IPT opted to incorporate the IMPLC Version 5 into the Raytheon Corporate contract FA852-15-D-0004. It is anticipated that it will take the USAF up to 4 months to incorporate the IMPLC Version 5 into the Raytheon corporate contract. The USAF is now in an emergency situation and must award a UCA to fill six (6) MICAPs, 20 backorders, and repair coverage. During the 12-month UCA period, repair of NSN 5865-01-486-5262EW will be added to Raytheon corporate contract, FA8522-15-D-0004 for future sustainment. The Raytheon corporate contract was awarded in June 2015 and expires June 2020. No other sources of repair exist for this requirement.

The Government sent an inquiry to Raytheon on 20 Jul 2018 requesting their interest in selling the technical data right. Raytheon responded on 20 Jul 2018 that they “…are not willing to sell the IMPLC proprietary data at this time.”

Due to Raytheon's unwillingness to sell the proprietary technical data for the IMPLC, award to any other source would require a redesign and/or reverse engineering effort to develop a technical data package (TDP). Based on the Air Force's engineering staff's experience and engineering project data, a redesign and/or reverse engineering effort would expose the Air Force to unnecessary cost risk, schedule risk, and technical risks with no guarantee of success since the whole AN/ALE-50A (V)1 system would have to be redesigned.

The timeline for a reverse engineering effort is estimated to take a minimum of three years to complete at a cost between $300,000 and $500,000. This estimate is based on similar projects, such as the reverse engineering effort for the ALR-56C. To pursue a reverse engineering effort for AN/ ALE-50A(V)1, the Program Office must first submit an appropriation budgetary request for Research and Development project funds. The funding process is estimated to take two years. Once funded, acquisition could proceed for solicitation and qualification of a new source. Qualification of a new source of supply is estimated to take approximately three years, not including contracting lead time.

The new source would be required to supply at a minimum: functional block diagrams, outline drawings including reference designators, schematic diagrams (electrical, mechanical and electro-mechanical), Preferred Parts Selection List (PPSL), Non-Standard Parts List, Detailed Troubleshooting & Fault Diagnostic Procedures, Detailed Repair Procedures, Special Materials & Process Guide, Identification of Special Tooling, Environmental Qualification Procedures, Acceptance Test Procedures, Special Test Equipment requirements, Obsolete parts and identification of

March 2018 FOR OFFICIAL USE ONLY Page 5 of 7 alternatives or requisite redesigns, and the means to validate all of the above. It is estimated to take a vendor approximately two years to accomplish given the historical data on similar projects. An additional year would be required for the Government to evaluate and qualify a new source. This instant urgent acquisition is required to support repair of current IMPLC backorders. Pursuing a reverse engineering effort would cause an unacceptable delay and is not viable to support this immediate need. If this immediate need is not supported, mission support will continue to be impacted. There are currently four (4) B-1B airplanes grounded, with more to follow if this immediate IMPLC need is not fulfilled.

Accordingly, Raytheon is the only firm capable of providing the immediate repair services described in Section III. Without award of the UCA, more MICAPs will accumulate resulting in more grounded aircraft. Due to the urgency of this requirement, a schedule delay of five years to obtain funding and pursue a reverse engineering effort is unacceptable and would cause serious injury to the Government by compromising the combat capability of the B-1B aircraft.

VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable.

Due to the urgency of need, this requirement will not be synopsized on the Federal Business Opportunities (FedBizOpps) website in accordance with FAR 5.202(a) (2).

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

The overall cost of this repair effort will be determined fair and reasonable to the Government. In accordance with FAR 15.403-4, the contractor will be required to provide certified cost or pricing data to be used in supporting the Government's evaluation of proposed cost. The Government, based on recommendations from the Defense Contract Management Agency (DCMA) and expert technical personnel supporting the program will negotiate the skill mix, labor hours, types and quantities of material, other direct cost, and direct/indirect rates required for this repair effort. The contract price will be negotiated in accordance with the procedures in FAR Part 15, ensuring the ultimate price to the Government is fair and reasonable. The UCA will specify a not to exceed maximum Government liability amount before definitization as required by FAR 16.603-2 (d).

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

Market research was conducted and completed 17 Jul 2018 in accordance with FAR 10.001 and

10.002. The market research techniques used were as follows:

The team conducted a review of several industry-wide searches on the Internet, using the following search engines. The key terms used in the search were: ALE-50 IMPLC Repair, Control Dispenser Repair, and Countermeasures Repair:

http://www.aerospace-technology.com/contractors/index.html http://www.globalspec.com/ProductFinder

March 2018 FOR OFFICIAL USE ONLY Page 6 of 7 http://www.eem.com/ http://web.sba.gov/pro-net/search/dsp_dsbs.cfm http://www.google.com

Vendor surveys were conducted on potential capable sources of which all identified were determined non-capable based on lack of proprietary data associated with this NSN.

The IMPLC does not fit the definition of a commercial item in accordance with FAR 2.101. Market research revealed that there is no commercial application that can fulfill the AN/ALE-50A(V)1 IMPLC requirement. The Government requires parts that meet an exact form, fit, and function as determined by the specific mission.

The market research concluded Raytheon, as the OEM, is the sole owner of the proprietary data package for this part, which precludes repair of this item from alternate sources. They are the only qualified source with the data, skills, and equipment necessary to support this instant acquisition.

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 Government has made attempts to request the procurement of technical data from the OEM.

Raytheon responded they are unwilling to sell the TDP to the Government. The plan forward is to add the IMPLC NSN to the Raytheon corporate contract for repair sustainment.

Award to any other source would require a redesign and/or reverse engineering effort to develop a TDP. The estimated time to obtain funding and qualify a new source is five years. To delay this effort by five years would directly impact and degrade mission effectiveness by increasing MICAPs and backorders and result in the grounding of B-1B aircraft. There are currently four grounded B-1B aircraft.

To break barriers to competition, the Government will engage Raytheon regarding the purchase of technical data prior to adding the IMPLC to the corporate contract and will continue to perform market research to support competition for any future requirements.

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