FOUO_FA8656-18-F-1001_FOE_Redacted....pdf

m Justification for an Exception to Fair Opportunity or to Use Brand-Name Restriction

Is this a brand-name justification? QYes ^No

Contracting Activity: Direct Attack Contracting Division, AFLCMC/EBDK, Egiin AFB, FL

Purchase Request: FA8656-t8-F-1002

Program Name (and Program Element, if applicable): M-Code Anti-Jam Application Specific Integrated Circuit

Estimated Cost/Price of the Order {including options): I

TypeProgram (see AFFARS 5302.101 for definitions): PEG Program D Other Contracting

Fair Opportunity Exception: FAR 16.505(bK2)(i). subparaaraph DjA) EI(B) DfC) 0(0) □(£)

TypeofDetermination: ^Individual Q Class Expires: [click and select]

Click here for instructions to complete the boxes below.

(1) Contracting Activity:

The Air Force Life Cycle Management Center (AFLCMC), Operating Location-Eglin, Rapid Acquisition Cell (RAC), Eglin AFB, FL 32542 is the contracting activity for this Fair Opportunity Exception (FOE).

(2) Nature and/or description of the action being approved:

This is a new order for the development effort of a Military-Code (M-code) Anti-Jam (AJ) Application Specific Integrated Circuit (ASIC) common to the Boeing Family of Weapons. This order will be placed under the existing Agile Acquisition indefinite Delivery Indefinite Quantity (IDIQ) contract, FA8656-18-F-1002, with Rockwell Collins Inc. (RCi),400 Collins Road N.E. Cedar Rapids, lA 52498. This delivery order will be for development of a common AJ ASIC that will integrate in the M-Code Anti-jam Receiver (MEAJR) within the Boeing Family of Systems (FoS) weapons: Massive Ordnance Penetrator (MOP), Joint Direct Attack Munition (JDAM),and Small Diameter Bomb (SDB-1). A cost type contract is anticipated for this effort. Delivery order award is anticipated by the end of the third quarter of FYl 8 and will be funded with Research Development Test Si Evaluation (RDTSiE) 3600 funding. Delivery of developmental effort is within 32 months of award.

(3) Description of the supplies/services required to meet the agency's needs:

The Direct Attack Division's current M-Code Phase i performance has identified that a critical component that enables anti jamming capability, Field Programmable Gate Array (FPGA), is not affordable and unfeasible for integration and use across the Boeing Family of Systems {FoS). In fact, according toanaffordabiiity study that was completed, it was revealed that M-Code receivers equipped with the FPGA component were too costly at approximateiy^H P®"" Furthermore, the FPGA component had performance issues and concerns particularly in regards Since there is a real world warfighter need for anti-jamming capability that enables better operational mission support with superior functionality for the Boeing FoS, an alternate technology to replace the FPGA component was imminent. The solution to the aforementioned issues is to develop the ASIC component that will be developed and integrated across the Boeing FoS.

Replacing the FPGA with an ASIC will enable the M-Code Program to meet the required Government objectives of: integrating a

Although, an ASIC does have an initial increase in costs to produce the production template via the development effort, it is anticipated that ultimately, the effort will drive down the final cost of the receiver to less than^| per unit. The Government is able to achieve the desired functionality at a significantly lower cost.

The FPGA is currently being developed by RCi as a subcontractor to Boeing for the Boeing M-Code Phase ii effort. This step is necessary to mature and prove the AJ algorithms. Once the AJ algorithms meet weapon requirements, the FPGA is used as a blueprint to create the ASIC network specification list and other technical manufacturing data. Since RCI holds intellectual property rights to the M-Code receiver for the Boeing FoS that the AJ ASIC must operate with and because the Government cannot accept any greater schedule and performance risk to deliver the required warfighter critical capabilities, RCi is deemed to be the only company capable of fulfilling the requirements to develop an AJ ASIC. Additionally, the RCi AJ algorithms are specific to the Boeing FoS MEAJR, as are all other AJ algorithms specific to their designated receiver. The proprietary AJ algorithms that will reside In the ASIC are required for the circuit to properly integrate and operate within the Boeing FoS lAug 2017 Page i of 4

The purpose of this delivery order is to: develop an AJ ASIC that will integrate into the MEAJR within the Boeing FoS weapons.

RCl shall cooperate with the Trusted Access Program Office (TAPO) and Global Foundries (GF) for the manufacturing of the AJ ASIC prototypes. This effort will focus on system requirements, preliminary design, detailed design and initial prototype manufacturing.

As it relates to the basic Agile Acquisition IDIQ, this effort is related to the armament mission and involves engineering activities for the modification of an existing system. This action is within the ordering period of the basic contract, iswithin the total contract ceiling, and fails under the basic contract scope throughout the statement of work, specifically as detailed below:

Base Statement of Work Paragraphs:

3.2 Design and Engineering Development (3.2.3,3.2,7)

3.3 Testing (3.3.1,3.3.5,3.3.6,3.3.7,3.3.8,3.3.9,3.3.10,3.3.13,3.3.16)

3.4 Hardware/Software Modification

3.5 Fabrication (3.5.6)

3.6 Logistics (3.6.1,3,6.3)

(4) Identification of the exception to fair opportunity and the supporting rationale:

Federal Acquisition Regulation (FAR) 16.505(b)(1)(i) requires the Contracting Officer to provide eachawardee under a multiple award contractfair opportunity to be considered for each order exceeding $3,500 unless a statutory exception applies. The exception that precludes the fair opportunity process for this acquisition is FAR 16.505(b)(2)(i)(B): "Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized".

UNIQUE KNOWLEDGE OF EXISTING BOEING M-CODE FAMILY OF SYSTEMS. Within the Boeing FoS, each weapon has their own power requirements, internal configurations, flight times, and operational requirements. However, RCi is the vendor for ail Boeing FoS receiver development. Successfully developing an AJ ASIC to meet requirements with commonality of the Boeing FoS weapons requires a single developer and integrator to identify ail tasks, interfaces, hardware and software requirements.

RCI is the only vendor capable of filling the role of designing and integrating the AJ ASIC into the MEAJR within a time line to meetwarfighter needs. The M-Code development program is based on, and builds on the activities conducted by Boeing during the M-Code study contract, if the development for the AJ ASIC were to be awarded to another vendor, it will likely jeopardize the development and integration process as RCi holds inteliectuai property rights to the M-Code receiver for the Boeing FoS that the AJ ASIC must operate, if the M-Code development effort were to be halted and required re-accompiishment, a new study will need to be completed via another vendor and the development effort will have to be re-accompiished which would cause a 14 to 18 month delay in the program with additional costs between^^^^^^^, based on current study/Phase i & li development schedules with Boeing and Raytheon.

UNIQUE KNOWLEDGE OF THE PRELIMINARY RECEIVER DESIGN. At the present time, RCi is the only company that possesses the requisite Institutional corporate knowledge of the Boeing FoS receivers as RCI is the subcontractor for Boeing receivers. This level of expertise, gained over a significant period of time with Boeing, cannot be duplicated without a tremendous cost and time to be expended by the Government in hiring a different company to perform work, duplicating costs and also duplicating schedule which threatens national security due to the inability to meet time sensitive critical warfighter needs.

(5) Contracting Officer's determination that the anticipated cost to the Government will be fair and reasonable:

The Contracting Officer will ensure the negotiated price is fair and reasonable to the Government. Steps taken to ensure the final contract price is fair and reasonable will include; (1) Accomplishing a price analysis by comparing proposed prices to recent contract actions for like items; (2) Using rates set forth in the current (FPRA, FPRR) Provisional Billing Rates for cost analysis purposes; (3) Getting a technical evaluation from the Program Manager and lead engineer that evaluates the proposed labor mix, hours, materials, travel, and shipping for reasonableness; (4) Using the Weighted Guidelines (WGL) tool to determine

1Aug2017 Page 2 of 4 the appropriate profit/fee; and (5) In accordance with the Truth in Negotiations Act {TINA) and FAR 15.403-4, upon conclusion or negotiations, the Contracting Officer will obtain a Certificate of Current Cost or Pricing Data from the Contractor.

(6) Other facts supporting the Justification:

(7) Actions the agency may take to remove or overcome any barriers to increasing fair opportunity before any subsequent acquisition for the supplies or services:

The Weapons M-Code Program Office will develop non-proprietary interfaces as part of this effort to potentially Increase competition and fair opportunity in the future. Additionally, the M-Code Program Office will seek potential opportunities to conduct case studies to seek out companies that can provide capabilities as technology matures.

(8) Program Manager's certification that supporting data is accurate and complete;

As evidenced by my signature below, I certify that any supporting data contained herein, which Is my responsibility, is both accurate and complete.

(9) Contracting Officer's certification that the justification Is accurate and complete:

As evidenced by my signature below, I certify that the justification is accurate and complete to the best of my knowledge and belief.

(10) Approving Official's determination that one of the circumstances In FAR 16.505fbK2Ki) applies to the order.

As evidenced by my signature below, I hereby determine that the fair opportunity exception checked on page 1 applies.

Date

30 Jan 2018

Date

30 Jan 2018

Date

30 Jan 2018

Date

31 Jan 2018

Date

12Feb 2018

1Aug2017 Page 3 of 4

12Feb 2018

1 Aug 2017 Page 4 of 4