17-00310_JA-CA_Redaction_Redacted.pdf

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

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017

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! )

Funding level for this acquisition:

Contracting Activity: AFSC/PZABA

Purchase Request / Local ID Number: FD2060-17-00310

Program / Project (and PE, if applicable): B-52 AN/AAQ-23 FLIR Technical Refresh

Program Type (PEO or Other Contracting): Other Contracting

Authority: 6.302-1 – 10 USC 2304(c)(1), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

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

COORDINATION (AFFARS 5306.304(a) )

Date

16 Oct 2017

Project Lead / Program Mgr / Requiring Activity Sarah A Luiggi

407 SCMS/GULBA, 478-926-2556

Signature

Date

16 Oct 2017

Contracting Officer Webster Stubbs

AFSC/PZABA, 478-222-4413

Signature

Date

17 Oct 2017

Local Legal Reviewer Bradley Adams

AFMC 78 ABW/JA 478-222-0569

Signature

APPROVAL (AFFARS 5306.304(a) )

Date

20 Oct 2017

Competition Advocate Elizabeth F. Kennedy

AFSC/PZCA, 472-1102

Signature

LUIGGI.SARAH.A.10686

48188

Digitally signed by LUIGGI.SARAH.A.1068648188 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=LUIGGI.SARAH.A.1068648188 Date: 2017.10.16 09:28:06 -04'00'

STUBBS.WEBSTER.1085

261050

Digitally signed by STUBBS.WEBSTER.1085261050 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=STUBBS.WEBSTER.1085261050 Date: 2017.10.16 11:49:15 -04'00'

ADAMS.BRADLEY.S.101

6901063

Digitally signed by ADAMS.BRADLEY.S.1016901063 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=ADAMS.BRADLEY.S.1016901063 Date: 2017.10.17 15:32:04 -04'00'

KENNEDY.ELIZABETH.F.

1383983009

Digitally signed by KENNEDY.ELIZABETH.F.1383983009 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=KENNEDY.ELIZABETH.F.1383983009 Date: 2017.10.20 09:45:18 -04'00'

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017

I. Contracting Activity.

This Justification and Approval (J&A) is to request authority for Other Than Full and Open Competition (OTF&OC) to support requirements generated for the Air Force Sustainment Center (AFSC), 638th Supply Chain Management Group, 407th Supply Chain Management Squadron (407 SCMS/GULB). The contracting activity for this requirement is AFSC/PZABA. The purchase request number supporting this contract action is FD2060-17-00310.

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

Due to the circumstances described herein, the activity requests authority to acquire the technical refresh listed in this document using OTF&OC as prescribed by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a new Firm-Fixed Price Requirements Indefinite Delivery Contract (IDC) with a one year basic plus four (4) one year ordering periods.

This requirement will be purchased from the following company:

BAE Systems Information and Electronic Systems Integration I 450 Pulaski Road Greenlawn, NY 11740-1609

CAGE: 72314

Large Business

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

This requirement is for technical refresh of AN/AAQ-23 Forward Looking Infrared (FLIR) into AN/ ASQ 151 FLIR utilizing a repair input/output process. The technical refresh for the legacy FLIR is a major system on the B-52 and was designed and built specifically for the B-52 Bomber by BAE Systems. The technical refresh is a form, fit, function, and interface effort that replaces obsolete components through the repair line at the contractor's facility. The AN/ASQ-151 FLIR system provides crewmembers with visual presentation of the area ahead of the aircraft for low level penetration and air refueling rendezvous during day and night missions on the B-52 in support of the AFSC Supply Chain Management Operational Availability (OA) of this system. This requirement will directly impact the reduction in Mission Impaired Capability Awaiting Part (MICAP) hours, backorders, and turn-around-time for depot customers. This requirement includes all actions necessary to perform input/output to return asset to a serviceable condition. This requirement includes the services and materials necessary for the depot level technical refresh, functional testing, inspection, and packaging.

A repair screening analysis has been performed on the National Stock Numbers (NSNs). Input NSN 1280-01-398-3958AY has been assigned a Repair Method Code/Repair Method Suffix Code (RMC/ RMSC) of “R3/C.” The code “R3” means repair, for the second or subsequent time, directly from the actual manufacturer. RMSC “C” means this part requires engineering source approval by the design

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017 control activity in order to maintain the quality of the part. Output NSN 1280-01-570-1501AY RMC/ RMSC is “R3/R.” RMSC of “R” means the Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined 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.

The NSN, Best Estimated Quantities (BEQ), and total estimated amount is as follows:

Basic Input NSN NOUN Output NSN NOUN BEQ

1280-01-398-3958AY FLIR 1280-01-570-1501AY FLIR

Ordering Period I

Ordering Period II

Ordering Period III

Ordering Period IV

TOTAL ESTIMATED CONTRACT VALUE:

The total estimate of this acquisition is . The estimated technical refresh cost is based on the latest technical refresh cost from contract F09603-03-D-0001 with a 3 percent annual inflation rate applied. Defense Working Capital Fund (97X4930) will fund these requirements. The Period of

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017

Performance (PoP) is projected to be March 2018 - March 2023. Delivery is estimated to start 45 days after receipt of order.

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 (applicability of authority).

The agency's minimum needs can only be satisfied by the unique supplier or services available from the cited source which possesses the unique capabilities demonstrated as follows:

The Government owns overhaul technical data to repair the FLIR 1280-01-570-1501AY, not data relating to the technical refresh of the legacy FLIR 1280-01-398-3958AY. The technical refresh data is proprietary to the Original Equipment Manufacturer (OEM), BAE Systems. In order for the Depot to perform the technical refresh, they must have the data, highly skilled technicians, and special test equipment (including interface test adapters). Highly skilled technicians to include Environmental Technicians who can perform the Environmental Stress Screening and Vibration testing. Electronic Technicians whose expertise is performing compliance testing in accordance with the Acceptance Tests Plans (ATPs) and In-Line testing. In addition, Engineering Technicians whose expertise is data analysis, running MATLAB, and technical troubleshooting of failures and performing the six (6) range Focal Plane Array (FPA) Gain and Offset Calibration. The skills required to perform the technical refresh of the FLIR are not available at the Depot, however BAE Systems has trained and experienced personnel in place to perform this input/out FLIR refresh repair FLIR effort.

This highly specialized equipment requires skilled Electrical and Mechanical Assembly personnel who have expertise in the assembly and disassembling of the units. They must have expertise and knowledge of working with lenses and optically coated windows, handling sensitive electronic components, such as the Thermal Imaging System (TIS) and harness and cable assembly.

BAE Systems has configuration control and owns all engineering data that pertains to the legacy configuration. The FLIR Integrated Planning Team (IPT) requested the cost to purchase the technical refresh data on 31 Mar 2017 from the BAE Systems, but they did not respond.

The estimated cost to reverse engineer the technical refresh data is estimated to cost and take five years to complete. This is based on a similar B-52 reverse engineering project that is currently underway. A five year reverse engineering effort would cause an unacceptable delay in fulfilling our requirements. The Air Force is currently carcass constrained, therefore any delays will cause MICAPs to increase. This is the last FLIR technical refresh effort planned, therefore it would be uneconomical for the Government to pursue a reverse engineering effort. Once this effort is complete, there will be no legacy FLIRs in the Air Force inventory.

The legacy B52 FLIR P/N 1395AA7001 (1280-01-398-3958AY) was designed in the early 1990s with the first delivery in 1996. BAE Systems delivered the equivalent of 122 systems, which comprised 112 full up systems with a technical refreshed junction box and a set of cables which included a

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017

Legacy FLIR Kit 13957KT7001, spare assemblies and spare Line Replacement Units (LRUs).

To meet the requirements of the B-52 specifications, BAE Systems has established a special test facility. This facility has unique capabilities, including Optical Tables and custom made mechanical fixtures that mount to the Optical tables, and a Collimator/Black Body that is integrated into a Thermal Chamber. In addition, the FPA calibration requires an Agilent Data acquisition interface, an Absolute Black Body with a 6 inch aperture that has the capabilities of a wide range of temperatures application specific to the B-52 is the interfaces with the Agilent Data Acquisition to acquire image(s) to calculate the pixel gain coefficients, the offset, and to create the Dead Pixel Map and upload the gain files and dead pixel maps to the system. The BAE Systems facility has the unique capability and equipment required for the calibration and Agilent Data Acquisition interfaces.

Accordingly, BAE Systems is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements.

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

A Sources Sought/Request for Information (SS/RFI) was issued thru FedBizOpps on 30 Dec 2016 under solicitation number FA8539-17-RFIFLIR-Tech-Refresh with a response date of 30 Jan 2017.

The SS/RFI requested responses from potential sources that possess the repair expertise, capabilities, and experience to meet qualification requirements to provide technical refresh for the B-52 ASQ-23 FLIR. There were no respondents to the SS/RFI.

This requirement will be synopsized on the FedBizOpps web page as required by FAR 5.201. It is anticipated that sources having an interest in subcontracting may be identified through the synopsis.

Any source who responds to the Government as a result of the synopsis will be identified to the prime contractor as a potential for subcontracting opportunities.

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 certified cost or pricing data to be used to support 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 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.

Market Research (MR) was conducted in accordance with FAR Part 10.001 and 10.002 and was

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017 completed on 28 Mar 2017. The market research techniques used were as follows:

• System for Award Management (SAM) was searched using “ASQ-23 FLIR” with no records found.

• Small Business Administration (SBA) Dynamic Small Business Search (DSBS) engine was searched using “FLIR” and “ASQ-23” with no records found.

• Google was searched using “ASQ-23 FLIR” with no pertinent results other than the SS/RFI issued via the team thru FedBizOpps.

A SS/RFI was posted to FedBizOpps on 30 Dec 16 under solicitation number FA8539-17-RFIFLIR- Tech-Refresh. The Government did not receive a response.

A vendor survey was conducted on the OEM, BAE Systems. The survey confirmed they have the technical refresh capability for the FLIR Sensor Assembly. No other companies perform this FLIR Sensor Assembly technical refresh because the technical data and procedures required are proprietary to BAE Systems. BAE possesses the experience, facilities, knowledge, and technical data required to repair the FLIR.

The item is peculiar for military application and the manufacturing processes and components used in the manufacture are unique to the avionics industry; therefore, this item is not considered a common commercial item. The commercial market does not have any similar items; this application is military unique to the B-52 aircraft.

The market research concluded BAE Systems, due to proprietary technical data rights, is the only viable source capable to perform the technical refresh for the Legacy FLIR system.

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 NSNs for the technical refresh of the FLIR are stable and mature in the sustainment lifecycle.

The refreshed FLIRs are on B-52 aircraft and are scheduled to remain operational through 2050.

There will be no future acquisitions for the technical refresh effort as all legacy FLIR upgrades would be complete. There will be future acquisitions for the repair of the technical refreshed (most current version) FLIRs.

A reverse engineer effort is estimated to cost and take five years to complete. With this being

FOR OFFICIAL USE ONLY

FOR OFFICIAL USE ONLY13 Sep 2017 the last technical refresh effort, it is not economical to pursue a reverse engineering effort.

This is the final technical refresh effort for the legacy FLIR, therefore there is no plan to remove or overcome barriers to competition.

The previous J&A was a Strategic Sourcing Initiative Class J&A approved by the SAF/AQ. It did not contain any specific planned actions to remove barriers to competition, therefore higher-level approval on this instant acquisition per DFARS PGI 206.304(a) (S-70) (ii) is not applicable.

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