JA FD2030-24-02381 01 Post PZCA Rev 1_CA Signed Redacted JApdf.pdf

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

NEGOTIATION SENSITIVE

August 2023 NEGOTIATION SENSITIVE Page 2 of 7

APPROVAL ( DAFFARS 5306.304(a))

Date Competition Advocate

SUSAN L. SKAGGS

AFSC/PZC/405-339-2372

susan.skaggs@us.af.mil

Signature

SKAGGS.SUSAN.L

YNN.1239579406

Digitally signed by

SKAGGS.SUSAN.LYNN.12395794

Date: 2025.06.12 15:40:32 -05'00' xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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I. Agency and Contracting Activity.

United States Air Force

AFSC/PZABA

3001 Staff Drive Tinker AFB, OK 73145 PR Number: FD20302402381

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

A Class Justification and Approval (J&A) is appropriate based on the expectation that there will be multiple delivery orders generated from the basic contract. The delivery orders will be authorized by the basic contract, the orders will be for in-scope work. This is a follow-on acquisition for a non- commercial, sole source, Firm-Fixed Price Requirements-type contract.

The predecessor contract was awarded competitively; however, only one qualified, responsible source now remains to accomplish required repairs. The contemplated award is for the repair of Rate of Flow Transmitter applicable to T-38 and J85 engine platforms across the Air Force. The contemplated contract is for a repair service from The Gyro House, DBA TGH Aviation Commercial and Government Entity (CAGE) code 2L671. This acquisition is a non-commercial effort. This is not a bridge action. A 1-year basic Requirements contract with four 1-year options is appropriate for this acquisition and consistent with the increased repair quantity of FFTs. The estimated total value of this award is with an estimated award date of Sep 2025.

Previous Contract Number: FA811720D0025 Contractor Name: The Gyro House, DBA: TGH Aviation (CAGE 2L671) Award Date: 18 Sep 2020 Completion Date: 17 Sep 2025 Basis of Award: Competitive Total Award Amount: $

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

This acquisition is for repair services for the sustainment of the Rate of Flow Transmitter (FFT) installed on the T-38 and J85 engine used by the Air Force. National Stock Numbers (NSN) as shown below.

6620-00-952-4278 6620-00-421-2223 6620-00-618-5979 6620-00-737-9762

Contract Summary

Year Estimated PoP Estimated Dollars

Basic 18 Sep 25 - 17 Sep 26 $ Option 1 18 Sep 26 - 17 Sep 27 $ Option 2 18 Sep 27 - 17 Sep 28 $ Option 3 18 Sep 28 - 17 Sep 29 $ Option 4 18 Sep 29 - 17 Sep 30 $ Over and Above (O&A) 18 Sep 25 - 17 Sep 30 $ I&A (SURGE expedite fee) 18 Sep 25 - 17 Sep 30 $

Dollar Values estimated using previous contract historical data with a 5% escalation rate for option years.

Purchase Request (PR) Line Item (L/I) 0001: Repair

Repair of NSN: Input as 6620-00-952-4278. Output as 6620-00-952-4278 PN: Input as 8TJ61GAB3 and Output as 8TJ61GAB3 Noun: Rate of Flow Transmitter Application: T-38 / J85 Engine Item Description and Function: Provides signal directly proportional to mass rate of fuel flow in pounds per hour and

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Basic 1ea 18 Sep 25 - 18 Sep 26 OPT YR 1 1ea 18 Sep 26 - 18 Sep 27 OPT YR 2 1ea 18 Sep 27 - 18 Sep 28 OPT YR 3 1ea 18 Sep 28 - 18 Sep 29 OPT YR 4 1ea 18 Sep 29 - 18 Sep 30

IV. Demonstration that the contractor's unique qualifications or the nature of the acquisition requires use of the authority cited above.

This acquisition is for repair of T-38 Rate of Flow Transmitters (FFT). This highly specialized transmitter is unique to the T-38 and its J85 engine. The FFT provides signals directly proportional to the mass rate of fuel flow in pounds per hour and transmitted to visual indicators in the T-38 aircraft used by the United States Air Force (USAF) trainee pilots. Award will be a follow-on action to FA811720D0025, which was awarded to the The Gyro House DBA TGH Aviation as a non-commercial, small business competitive contract. This contract expires on 18 Sep 2025, and a follow-on contract is required to support the Department of Defense (DOD) and J85 engine for the highly specialized repair of the FFT. Therefore, this acquisition is for continued performance of this highly specialized service.

This repair is covered by Qualification Requirements (QR). Previous Market Research (MR) indicated four companies possessing capability for this acquisition per previously-approved Source Approval Request (SAR) packages: TGH Aviation, . During MR, reviewers noted that several of the SARs on the AFMC 762 had surpassed minimum renewal dates. To address PK Small Business concerns, each company was contacted on 12 Feb 25 requesting status of their capability. responded that they no longer have repair capability and are not interested in re-establishing capability. TGH Aviation was the only company with a current SAR that responded with a positive response. TGH is the only source currently capable of fulfilling the USAF's needs without unacceptable delays. Over the course of several years, Tech Orders, repair plans and test equipment for T-38 FFT repairs have evolved and improved. As this has occurred, previously qualified sources have allowed their SARs to expire because they no longer possess the necessary data and equipment to accomplish this sensitive repair. TGH is the only approved/qualified source that has the repair procedures, expertise, tools and test equipment necessary to sufficiently meet the Government's needs. TGH Aviation holds unique capabilities test equipment, acceptance test procedures, theory of operation/architecture, assembly/disassembly procedures, material provisioning and selection criteria, along with fault diagnostics, shop practices, replacement parts, and personnel specially trained for transmitter repair. The Government possesses the form, fit and function data. However, the Government does not posses the technical equipment, nor the repair process data to perform organic repairs.

The 422 SCMS has determined that attempts to award to any source other than TGH Aviation will result in unacceptable delays in fulfilling USAF requirements.

When FFTs are repaired, half of the units are sent to support J85 repair line on contract FA812420D0005 Currently the Government is below requisition objective (RO) in stock with zero on hand along with 85 high priority backorders.

The critical performance requirements for repair must be met in accordance with Technical Order (T.O.) 5L13-2-15-3 and alternate sources must be qualified in accordance with (IAW) the T.O. along with the cognizant government engineering authority. The Rate of Flow Transmitter is a military unique application and no commercial applications satisfy the criteria that currently exist. New sources are required to submit a Source Approval Request (SAR). A period of up to 3 years can be required to process and validate an alternate supplier's approach. As the Government is not aware of any vendor proffering a SAR at present to initiate this process, the proposed sole source approach is the USAF's remaining alternative to execute the requirement by need date.

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Accordingly, The Gyro House DBA: TGH Aviation is the only source capable of providing the supplies and services described in section III above without the Government experiencing unacceptable delays in fulfilling its requirements.

V. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under

FAR 5.202 applies.

This requirement was synopsized in Jun 2024 and Oct 2024 in sam.gov as a notice of proposed contract action IAW FAR

5.201. A Sources Sought Synopsis (SSS), reference number FA8117-24-SS-0015, was posted on 12 Jun 2024 in support of market research to identify potential repair sources. The SSS emphasized the Government's interest in all businesses, including large businesses, small businesses, small disadvantaged businesses (8(a)), service-disabled veteran-owned small businesses, HUBZone businesses, and women-owned small businesses. The SSS stated the estimated demand for the follow-on contract and 848-RQR (repair/manufacture requirements) and this survey urges interested contractors to submit a source approval request (SAR). The SSS closed on 5 Jul 2024, and the Synopsis on Nov 2024, with no responses from other vendors than the current source of repair TGH Aviation. 422nd SCMS engineer conducted a review of the Contract Repair Screening Approval Worksheet (CRSAW) and on 24 Feb 2025, confirmed that only one qualified source, TGH, remained as an approved vendor.

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

The Contracting Officer will ensure that the items described herein are negotiated at a fair and reasonable price to the Government. IAW FAR as supplemented, the contractor will be required to submit Certified Cost or Pricing Data. A detailed price analysis will be accomplished. The Contracting Officer may request support from the Defense Contract Management Agency (DCMA) to aid in the evaluation of the contractor's proposal if necessary. The Contracting Officer may seek audit assistance from the Defense Contract Audit Agency (DCAA), if necessary.

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

As described in Section V above and IAW FAR Part 10, market research was conducted by Sources Sought Synopsis posted 12 Jun 2024 and telephonically in Feb 2025. Additionally, a multi-functional team consisting of the Logistics Manager, Engineer, Contracting Officer, and Production Management Specialist conducted further research by reviewing Parts Manufacturer Approval (PMA), Haystack, web searches, and was completed 5 Mar 2025. Market research did not identify another non-commercial process available to meet this requirement. TGH Aviation was found to be the only responsible source available to fulfill the requirement.

VIII. Any other facts supporting the use of Other Than Full and Open Competition.

No further information.

IX. List of any sources that expressed, in writing, an interest in the acquisition.

The Gyro House DBA: TGH Aviation CAGE: 2L671 2389 Rickenbacker Way Auburn, CA 95602-9537 1(800)843-4979

X. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisitions for the supplies or services required.

As a result of continual exit of vendors for this repair from the market, as well as increased specialization of test equipment to address obsolescence issues, as well as the unacceptable delay of developing additional sources per Sections IV andX, there are no known additional actions which can be taken to remove barriers to competition; therefore, specific actions and

August 2023 NEGOTIATION SENSITIVE Page 7 of 7 milestones cannot be established.

Since this is the first exemption to competition for this repair, a previous J&A does not exist.

XI. Certification by the Contracting Officer.

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

XII. Certification by the technical/requirements personnel.

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