JandA for E-11A 6-25-20 - HCA signed_Redacted.pdf

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

FOR OFFICIAL USE ONLY

March 2018 FOR OFFICIAL USE ONLY Page 3 of 8

I. Contracting Activity.

The responsible Contracting Activity for this Justification and Approval for Other Than Full and Open Competition is the Air Force Materiel Command (AFMC), Air Force Life Cycle Management Center (AFLCMC), Command, Control, Communications, Intelligence and Networks Directorate (C3I&N), Aerial Networks Division Contracting Office (AFLCMC/HNAK), Hanscom AFB, MA, 01731-2100.

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

The United States Air Force (USAF) intends to award a contract to procure up to six (6) new commercial Learjet/Bombardier Global 6000 aircraft. These aircraft are in production and are equivalent to the BD-700 (designated E-11A) currently in use under contract FA8726-17-C-0011.

These aircraft are required to support 24/7 Battlefield Airborne Communications Node (BACN) operations outside the contiguous United States (OCONUS) in multiple theaters of operation. This acquisition will support the stated objective of the attached HQ ACC/A5 Letter Of Direction, dated 28 June 2018 and the objective of attached HQ USAFCENT/A3/A4 Letter Of Direction, dated 31 January 2020, by expanding the E-11A fleet to provide a service retained capability to rapidly respond to worldwide COCOM needs.

The overall direction includes procurement of up to six (6) additional E-11A aircraft under two phases. Each phase will result in its own independent contract action. Phase One consists of procurement of up to six (6) green Global 6000 aircraft from Learjet (Bombardier) with associated Supplemental Type Certificates (STCs). Phase Two is integration of the BACN Payload on the Global 6000. Completion of the BACN Payload integration on the Global 6000 produces up to six (6) E-11A's. This J&A is only for Phase One, the purchase of up to six (6) green Global 6000 aircraft. The BACN BOSS Payload Contract J&A was approved on 1 November 2019.

The USAF intends to award this Phase One aircraft requirement as a new single award Indefinite Delivery/Indefinite Quantity (ID/IQ) contract with mixed Contract Line Items Numbers (CLINs).

Primary contract types include, but are not limited to: Firm Fixed Price (FFP) and Cost Reimbursement (CR) for up to six (6) green Global 6000 aircraft and modifications integrated by Bombardier in the form of STCs.

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

The BACN E-11A fleet currently consists of three (3) aircraft. The fourth aircraft, tail # 9358, experienced a Class A Mishap in January of 2020, resulting in total aircraft loss. The fleet is responsible for maintaining 24/7 operations in theater at multiple sites. With the loss of aircraft 9358, a deviation from routine operations including, but not limited to unscheduled maintenance and additional orbits, seriously jeopardizes the requirement to maintain the 24/7 operations for service to support the warfighter.

The BACN platform also has to continue with scheduled STC modifications which include, for example, Military GPS and Identification of Friend or Foe (IFF Mode 5) on the E-11A fleet which will take place in Wichita, KS. The extensive STC modification timeline per aircraft jeopardizes the 24/7 BACN orbit requirement with only three (3) aircraft currently flying the 24/7 coverage requirement.

Due to increased surge mission demands for BACN assets, the gaps in orbit coverage and inability to meet warfighter requests for BACN support are increasing. Additionally, with aircraft maintenance and modifications scheduled over the next five years, the E-11A fleet will potentially drop to two(2)

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

FOR OFFICIAL USE ONLY

March 2018 FOR OFFICIAL USE ONLY Page 5 of 8

Subsection 2:

Award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force's requirements.

Substantial Duplication of Cost

Since a new Global 6000 aircraft can only be manufactured and purchased through Learjet/ Bombardier, an award to a contractor other than Learjet/Bombardier would be required to purchase directly from the manufacturer and subsequently provide the aircraft to the Air Force at a cost of or more based on market research and Government Cost Estimates. As such, a contractor other than Learjet/Bombardier would incur additional costs such as management, administrative oversight, and profit. These costs provide the Government with no additional benefit and are simply pass-through costs approximately 9.5% per aircraft based on previous contractual actions and Government Cost Estimates.

The requirement for this acquisition is an E-11A BACN aircraft, which consists of a Global 6000 aircraft and a BACN payload. Program office analysis indicates that procuring and acquiring a used Global 6000 aircraft would have significant cost impacts. A used aircraft would be outfitted with a luxury interior to include a forward club suite, a conference suite, approximately fifteen (15) seats, and partitions separating sections of the business aircraft. The cost of these items would be included in the used aircraft. A used 2018 Global 6000 aircraft was recently selling for $38M. Should the Air Force procure a used Global 6000, the Air Force would incur costs of removal and disposal of all the interior components which may vary in costs depending on the interior. Additionally, the used aircraft would be equipped with components that met the needs of the previous owner including specific antennas and exterior paint. These would not be required on the E-11A and therefore, the Air Force would incur costs for removal of added components and paint, as well as sealing of the holes of the removed equipment. Based on prior year efforts, this cost incurred for the above activities is approximately . Lastly, it would be unknown to the Air Force where and how the used planes were flown. Excess dust, freezing temperatures or other elements could have affected the engines and flight equipment. The unknowns would add high risk to the program and no warranty to replace failing equipment. Given the aircraft operate at approximately eight (8) times the typical commercial use rate, the Government would be required to replace the used engines far sooner than with a new “green” aircraft. The estimated cost for a replacement of two engines is

. Based on the information provided above, the total cost for a used 2018 Global 6000, combined with the cost to modify the aircraft to meet the BACN mission and replacement of the engines would be approximately . As such, the Government would incur more costs by purchasing and modifying a used aircraft than would be incurred with the purchase of a new “green” Global 6000.

Unacceptable Delays

The current E-11A fleet risks suffering incurred gaps in operational coverage as a result of the need to remove aircraft from service for maintenance and system upgrades. The maintenance and upgrades of the fleet often require aircraft to be removed from the area of responsibility and sent back CONUS at contractor facilities. Subsequently, any delay in fielding would result in the failure to meet the current and future 24/7 coverage requirements, effectively reducing the tactical and operational advantage of joint and coalition forces, and increasing risk to the warfighters currently engaged in combat operation. Again, the current 24/7 CENTCOM requirement has already been challenged by the recent combat loss of E-11A Tail # 9358. Therefore, a delay of either two (2) years for an aircraft other than the Global 6000 or eighteen (18) months for a used Global 6000 would be unacceptable infulfilling the Air Force requirement.