J&A_Redacted_2.pdf

DEFENSE THREAT REDUCTION AGENCY

AND

UNITED STATES STRATEGIC COMMAND CENTER

FOR COMBATING WEAPONS OF MASS DESTRUCTION

8725 JOHN J . KINGMAN ROAD, STOP 6201

FORT BELVOIR, VA 22060-6201

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

1. Nature and/or Description of Action

The Defense Threat Reduction Agency (DTRA) contracting activity proposes to procure without using full and open competition a contract for US International Monitoring System (IMS) waveform operations and maintenance support for the Nuclear Arms Control Technology (NACT) program.

2. Description of the Supplies/Services Required

DTRA is the Department of Defense (DoD) executive agent for the Nuclear Arms Control Technology (NACT) program which supports one of the six safeguard assurances associated with the original US Senate ratification effort for the 1996 Comprehensive Test Ban Treaty (CTBT). The NACT program manages, operates, and sustains the majority of the US segment of the International Monitoring System (IMS) monitoring stations for the Comprehensive Nuclear Test-Ban Treaty Organization (CTBTO). The IMS was established to detect worldwide nuclear detonations from nuclear weapon tests via an extensive monitoring network that includes seismic, infrasound, hydroacoustic and radionuclide monitoring technologies. Relevant to this contracting activity are infrasound and seismic monitoring stations (collectively called "waveform" stations) located iri the continental United States (CONUS), Alaska, Hawaii , Puerto Rico, and US-controlled Pacific Territories and Antarctica.

DTRA requires the continued uninterrupted operations and sustainment of all of the US IMS waveform monitoring stations managed by the NACT Program. As of 9 June 2016, 25 of 26 required US IMS waveform stations are installed, certified, and operating. DTRA requires a performer to operate and sustain only 13 of the US IMS waveform stations (seven (7) lnfrasound (JS), one ( 1) Primary Seismic (PS), and five (5) Auxiliary Seismic (AS)) monitoring stations beginning on I April 2017. The remaining twelve US IMS waveform stations will be operated and maintained by the Air Force Technical Applications Center (AFT AC) or the US Geological Survey (USGS).

Each of the US IMS waveform stations is necessarily a custom design and installation intended to optimize data quality and availability and to control long-term sustainment costs of the US IMS. Once installed, the configuration of these stations is strictly controlled and all changes must be approved and documented by the CTBTO. The monitoring station locations are specified by the Comprehensive Nuclear-Test-Ban Treaty and include a wide range of disparate and extreme environments. The US IMS station operations are generally automated, but stations also require regular preventative and occasional unscheduled maintenance. Station operations also include the routine provision and maintenance of technical documentation and timely station and data reporting as required by the Provisional Technical Secretariat (PTS) of the CTBTO.

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The current acquisition strategy for this requirement is to award a sole-source contract to the University of Alaska Fairbanks (UAF), 3295 College Road, Fairbanks, AK 99709-3705. The period of perfomiance will commence upon contract award and continue for up to four years thereafter ( 12-month base, and three 12-month options). The contract ceiling will be approximately $17,090,000. It is anticipated that the contract will contain Operations and Maintenance (O&M) and Research and Development (R&D) Contract Line Item Numbers (CLINs) for suppo1t.

The proposed contract addresses waveform operational requirements that are consistent with previously determined NACT program priorities and requirements and operational commitments to the verification regime for the CTBT.

3. Statutory Authority

The statutory authority for this non-competitive action is I 0 U .S.C. 2304( c )(I), as implemented by Federal Acquisition Regulation 6.302-1, Only One Responsible Source.

4. Applicability of Authority

The current waveform prime performer is the University of Alaska Fairbanks (UAF). UAF became the prime performer beginning in June 2008 under contract W9l13M-08-C-O194 while the NACT program was still under the US Army Space and Missile Defense Command (SMDC).

After the NACT program transitioned to DTRA along with administrative responsibility for contract W9113M-08-C-0194 with UAF, two 3-month bridge options spanning Oct 2014 to Mar 2015 were executed to ensure program continuity. On I April 2015, UAF was awarded a new contract, HDTRAl-15-C-0022 (12-month base with a single 12-month option), on a sole-source basis covering the period I Apr 2015 - 31 Mar 2017. The sole-source justification was executed under the authority of 10 U.S.C. 2304(c) (I) as implemented by Federal Acquisition Regulation 6.302-1 (a)(2)(iii), only one responsible source. The rationale behind this justification was based on the lack of technical data packages, specifications, statements of work or purchase descriptions suitable for effective competition. It was anticipated at the time that this contract would be a bridge to a follow-on competitive procurement.

Currently, UAF is the only responsible source that can accomplish the specified waveform support requirements. The Government currently does not have site licenses in place for five of the US IMS stations, including the IS53 station installed on UAF property. Until all site licenses are in place, only UAF has authorizations in place to access all of the necessary sites. The change to a new performer introduces the risk that a non-incumbent performer may be unable to access the land, which would necessitate a costly move of the stations. Without current site licenses in place between DTRA and station site land owner (s), a requirement to relocate three

(3) infrasound stations (at $200k per station) and two (2) auxiliary seismic stations (at $400k per station) is a significant risk. Award to any other source could result in unacceptable duplication of cost(> $1.4M) and incur significant station downtime.

The US Government commitment to support the US IMS and CTBT verification regime would be harmed by an interruption to waveform monitoring station operations. The risk of an interruption increases with the precipitous nature of a change in the waveform contractor. The lack of current site licenses between DTRA and all of the land owners of the waveforn1 stations prevents DTRA from procuring the new contract through a full and open competition.

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5. Effort to Solicit Potential Sources

An Industry Day for CWMD ID/IQ performers was conducted on I Dec 2015 and an RFI was published for ID/IQ performers on 12 November 2015. Responses were received and considered, and the conclusions are discussed in the Market Research section below.

An RFI was published in Federal Business Opportunities (FedBizOps) (solicitation number:

HDTRA 1-NACT-FY 17) on 23 Feb 2016. Responses were received and considered, and the conclusions are discussed in the Market Research section below.

A FedBizOps notice of the proposed contract action will be published as required by FAR 5.2.

6. Fair and Reasonable Costs

The anticipated cost/price of this contract action to the Government will be determined to be fair and reasonable based on inputs and evaluations from the DTRA Program Office, an analysis of the costs and pricing data, field pricing support from the Defense Contract Audit Agency and /or Defense Contract Management Agency (DCMA), an analysis of the proposed costs against historical program waveform performer support cost data and information.

7. Market Research

Market research was performed in order to determine potential sources which can assist the agency in waveform operations support requirements. An Industry Day for CWMD ID/IQ performers was conducted on I Dec 2015 and an RFI was provided to ID/IQ performers on 12 Nov 2015. The industry day was attended by six of the seven CWMD ID/IQ performers: ARA, Raytheon, Leidos, Harris, Northrup Grumman, and A lion. The industry day consisted of two presentations by the NACT program, a question and answer session, model and equipment display, and the opportunity for one-on-one session for each performer.

An RFI was published in FedBizOps (solicitation number: 1-IDTRA 1-NACT-FY 17) on 23 Feb 2016. The responses from three (3) potential performers addressed the waveform portion of the requirement: University of Alaska Fairbanks (UAF), Leidos, and Kegman Inc.

Historical acquisitions and personal knowledge resources within the program office have also been reviewed. Based on past performance, UAF has demonstrated the ability to perform the operations, maintenance, and sustainment of the waveform monitoring stations from day-one with no risk. While both Leidos and Kegman Inc. have provided evidence that they are capable the waveform monitoring station requirement which includes some risk due to the need to establish local operators at each station, the lack of current land-use agreements I site licenses at the waveform station locations precludes the use of a full and open competition.

There are five (5) stations without any or current site-licenses in place. Until such time that formal licenses agreements are in-place, UAF is the only contractor capable of providing the required services.

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8. Other Facts

Technical data packages, specifications, statements of work or purchase descriptions suitable for effective competition are now available and will allow for future competition once land-use issues have been resolved.

9. Interested Sources

University of Alaska Fairbanks Lei dos Kegman Inc.

10. Subsequent Actions

The NACT Program Office will coordinate and put in place current site licenses for all waveform stations. As similar waveform O&M support acquisitions are undertaken in the future, Market Research will be conducted in order to assess the potential for competition. The goal is to allow for full and open competition for NACT requirements beyond FY 19.

Technical Certification I certify that the data and information forming the basis for this justification are accurate and complete to the best of my knowledge and belief.

Project Manager

J9NTV NACT

Contracting Officer Certification & Determination

Date

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Debra L. Mudd Contracting Officer

J4CRT

Coordination This Justification is legally sufficient.

Associate General Counsel

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Date

1 December 2016

Date

Approval Based on the above justification and findings. I hereby approve accomplishment of this acquisition by means other than using full and open competition.

Date

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