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FD2060‐12‐30116 Page 1

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

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), 407 Supply Chain Management Squadron (SCMS)/GULB. The contracting authority for this requirement is the AFSC/ PZABA Robins AFB, GA. The purchase request number supporting this contract action is FD2060-12-30116.

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING PROCESSED

This repair effort will be awarded as a new contract and will result in the award of a Cost Plus Fixed Fee Contract.

The Period of Performance is from date of contract award through five (5) years, consisting of a 12-month Basic ordering period plus four (4) additional 12-month ordering periods. Due to the circumstances describe herein, the activity requests authority to acquire the repair listed in this document using Other Than Full and Open Competition as prescribed by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. This sole source requirement will be purchased from the following company:

The Boeing Company The Boeing Company 4615 S. Oliver Street 6200 JS McDonnell Blvd Wichita, Kansas 67210 Saint Louis, Missouri 63134 Cage Code: 82918 Cage Code: 76301 Large Business Large Business

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS

Under the contemplated contract, Boeing will provide the following services in the sustainment of the AN/ACQ-7 Integrated Conventional Stores Management System (ICSMS).

The Air Force has a requirement for the Original Equipment Manufacturer (OEM) to repair the AN/ACQ-7 ICSMS to the latest configuration. The contractor shall perform depot level repair, functional testing, inspection, and packaging.

The Integrated Conventional Stores Management System permits the crew to load smart missiles with details of

FD2060‐12‐30116 Page 2 route and target, and also allows the weapon load of a B-52 to be changed from one flight to the next. This contract requirement will directly have an impact on reducing MICAPS, backorders and turn-around-time for Depot customers. The estimated repair cost is based on estimate from D035 latest repair cost with 3% escalation applied to derive ordering periods repair costs. The BEQ is based on requisitions from the D200 database. MSD funding will be used to fund these repairs.

Period NSN NOUN BEQ UNIT PRICE TOTAL PRICE Year 1 1280 01 573 4821 Processor, Signal Year 1 1290 01 278 5141 Data Keyboard Year 1 5996 01 575 4080 Amplifier, Radio Year 1 1290 01 463 6539 GPS Interface Unit $787,235

Year 2 1280 01 573 4821 Processor, Signal Year 2 1290 01 278 5141 Data Keyboard Year 2 5996 01 575 4080 Amplifier, Radio Year 2 1290 01 463 6539 GPS Interface Unit $949,825

Year 3 1280 01 573 4821 Processor, Signal Year 3 1290 01 278 5141 Data Keyboard Year 3 5996 01 575 4080 Amplifier, Radio Year 3 1290 01 463 6539 GPS Interface Unit $1,037,652

Year 4 1280 01 573 4821 Processor, Signal Year 4 1290 01 278 5141 Data Keyboard Year 4 5996 01 575 4080 Amplifier, Radio Year 4 1290 01 463 6539 GPS Interface Unit $1,123,406

Year 5 1280 01 573 4821 Processor, Signal Year 5 1290 01 278 5141 Data Keyboard Year 5 5996 01 575 4080 Amplifier, Radio Year 5 1290 01 463 6539 GPS Interface Unit $1,224,020

TOTAL POTENTIAL CONTRACT VALUE $5,122, 138

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IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION:

10 U.S.C. 2304(c)(1) as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE QUALIFICATIONS OR

NATURE OF THE ACQUISITION REQUIRES THE USE OF THE AUTHORITY

CITED ABOVE

Screening action resulted in the assignment of RMC/RMSC Code R3/D for NSNs 1290 01 278 5141AY, 1290 01 463 6539AY, 1280 01 573 4821AY, and RMC/RMSC Code R4/D for NSN 5996 01 575 4080AY. The Government does not own the data or data rights required to repair these parts. Boeing is the original OEM repair facility for the AN/ACQ-7 ICSMS. Boeing possesses the knowledge of testing and evaluation processes for the sustainment of these parts used in the ICSMS.

Boeing has configuration control and owns all engineering data that pertains to the past and current configurations.

The data is proprietary to Boeing, to include their ownership of interface test adapters needed for successful integration to the aircraft. A complete data package is not available for competitive solicitation.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE

This requirement will be synopsized on the Federal Business Opportunities (FedBizOpps) web page as required by FAR

5.201. It is anticipated that sources having an interest in

subcontracting may be identified through synopsis. Although the Government does not own data to support acquisition of this repair effort from any other source, any source who responds to the Government as a result of this synopsis will be identified to the prime contractor as a potential subcontracting possibility.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The overall cost of this acquisition will be fair and reasonable to the government. In accordance with FAR 15.403-4, the contractor will be required to provide

FD2060‐12‐30116 Page 4 certified cost or pricing data to be used supporting the government’s evaluation of the proposed cost. The proposed skill mix of labor, labor hours, types and quantities of material and other direct costs, and direct and indirect rates will be negotiated by the government based on recommendations from the Defense Contract Management Agency (DCMA), and expert technical personnel supporting the program. The contract price will be negotiated in accordance with the procedures in FAR Part 15 ensuring the ultimate cost to the government is fair and reasonable.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS

NOT CONDUCTED

The System Engineer, 407 SCMS/GUEA, conducted market research in accordance with FAR 10.001 and 10.002. The engineer conducted research using internet search engines:

Central Contractor Registration, Thomas Registry, Dynamic Small Business Search and Google. The engineer searched these websites by part numbers, national stock numbers, nomenclature, and manufacturers. Email was sent to Boeing requesting data rights and a quote for data rights. Also, qualified individuals within the appropriate government sections were contacted for assistance gathering product background information. A search for HUBZone and Service Disabled Veteran Owned businesses was also conducted using the Dynamic Small Business Search Engine. Given the unique characteristics of ICSMS requirements and capabilities, only Boeing is qualified to perform this repair effort.

Boeing is uniquely and solely capable of meeting contractual performance metrics. The item is peculiar for military application, the repair processes and components used in the repair are unique to the avionics industry. The item must interface and integrate with existing configuration in regards to size, weight, and electrical requirements. Based on the market research performed, Boeing is the only repair source available to meet the Government’s needs.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND

OPEN COMPETETION

During the market research, there were no companies that have the capabilities to repair listed NSNs because the data rights are proprietary to Boeing. Boeing refuses to quote the cost of acquiring the data to enable the U.S.

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Government to competitively compete. The OEM retains ownership of the technical data package. Reverse engineering has not been pursued, listed NSNs do not meet the Mission Degradation Data requirements to secure CSAG funding.

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED 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

Depot Maintenance Interservice (DMI) decision on 11 May 2011 designated this workload contract repair because of the nonrecurring cost, workload hours and personnel equivalents are not available due to lack of Data. Attempts have been made to request data rights; however, the OEM is unwilling to sell the data rights. The cost and time it will take to produce an asset from reverse engineering efforts will not satisfy current government needs. In addition, the listed NSNs do not meet the Mission Degradation Data requirements to secure CSAG funding.

It is for these reasons that no additional efforts to remove competitive barriers will be taken at this time.

XII. CONTRACTING OFFICER’S CERTIFICATION

The contracting officer’s signature on the Coordination and Approval Document evidences that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief.

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

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