SSP SEI JA_SPJA 24-39_Redacted.pdf
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- Attached to
- D5LE2 Systems Engineering and Integration Federal contract opportunity
- Solicitation number
- N0003025C6304
About this file
This document is a Justification and Approval (J&A) for the use of other than full and open competition to award a Cost-Plus-Fixed-Fee contract to BAE Systems Technology Solutions & Services, Inc. for Systems Engineering and Integration (SE&I) support services and special studies in support of the TRIDENT II (D5) Strategic Weapons System (SWS) Program D5 Life Extension 2 (D5LE2) Strategic Systems Programs Alteration (SPALT).
The key details are: The contract will provide SE&I support services including technical planning, requirements management, system-level integration, configuration management, system security engineering, safety risk assessments, and product support. The Contracting Officer determined the cost will be fair and reasonable. A Sources Sought Notice was issued, but only BAE was deemed capable of meeting all the requirements. The incumbent, BAE, is the only firm with the requisite level of technical expertise and experience needed to fulfill the government's requirements without unacceptable delays or cost increases to the program. The contract was awarded to BAE Systems Technology Solutions & Services, Inc. on a sole source basis under 10 U.S.C. 3204(a)(1) for $1,222,855,398.00 on November 4, 2024.
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DEPARTMENT OF THE NAVY
DIRECTOR, STRATEGIC SYSTEMS PROGRAMS
1250 10TH STREET SE SUITE 3600
WASHINGTON NAVY YARD DC 20374-5127
J&A No. SPJA24-39
Code: SPN301
JUSTIFICATION AND APPROVAL (J&A)
FOR USE OF OTHER THAN FULL AND OPEN COMPETITION
1. Contracting Activity. Department of the Navy’s Strategic Systems Programs (SSP).
2. Description of the Action Being Approved. This Justification and Approval (J&A) authorizes and approves the use of other than full and open competition to award a Cost-Plus-Fixed-Fee contract to BAE Systems Technology Solutions & Services, Inc. (herein referred to as BAE) for
Systems Engineering and Integration (SE&I) support services and special studies in support of the United States TRIDENT II (D5) Strategic Weapons System (SWS) Program D5 Life
Extension 2 (D5LE2) Strategic Systems Programs Alteration (SPALT).
3. Description of Supplies/Services. During the contract period of performance, BAE will provide SE&I support services and special studies for the following specific D5LE2 SPALT efforts.
a. System level technical planning, requirements management and integration, including interface, with the COLUMBIA Common Missile Compartment (CMC), system-level integration engineering coordination between the subsystems and technical engineering reviews, system level test planning, Independent Verification and Validation (IV&V), architecture maturation and interface development.
b. System level Preliminary Design Review (PDR) support, SWS Subsystem Redesign
Sufficiency Assessment 1 (SRSA-1) model-based program activities, Knowledge Point 1 (KP-1) and Systems Engineering Technical Reviews (SETR) close out activities.
c. System level Configuration Management (CM), SPALT planning and implementation.
d. System Security Engineering (SSE) including digital engineering environment operational and cybersecurity assessments, supply chain security and risk management, hardware assurance/anti-tamper engineering, criticality trust and assurance, and non-enterprise cybersecurity implementation.
e. System level safety (including nuclear weapons safety) risk assessments and management.
f. Infrastructure Operations (Model-Based Engineering)/Information Systems (IS) program acquisition and environment cybersecurity, technology applications tools management.
g. System level product support, lifecycle management and sustainment, supportability engineering, and documentation development.
h. Technical data and applications tools.
of these system engineering and integration efforts that meet the schedule, program acquisition milestones, and integration into the new COLUMBIA SSBN program arriving in the Fleet.
Therefore, an alternate source would require extensive and comprehensive training in all facets of the SWS and other applicable SSP programs to obtain the requisite level of technical, infrastructure, design and development, and systems integration expertise and experience needed to fulfill the Government’s requirements. It is critical that the TRIDENT II D5LE2 program meet its Program Lifecycle Milestones on time, including PDR, in the scope of this contract, to avoid any interruption in Fleet readiness, interruption to national security, and overall substantive cost increases.
The amount of time necessary for an alternate source to obtain a comparable level of expertise and experience necessary to fulfill the Government’s requirements, as described in the above paragraph, would result in unacceptable delays. Based on the breadth and depth of BAE’s technical personnel experience, having performed similar required efforts on a current SSP SE&I contract, SSP estimates it would require approximately three years for a new source to hire sufficient personnel, obtain the comprehensive knowledge transfer to qualify, and possess the requisite technical expertise level to execute the requirements. To assess the estimated cost, schedule, and programmatic impact of transitioning to an alternative source, SSP performed an analysis using average incumbent historical loaded labor rates and quantified the level of familiarization training hours required to meet competence requirements. Understanding that historical knowledge of the existing systems, incumbent retention, construction of required capabilities, and establishment of a Top-Secret processing facility are all prerequisites to meeting the new D5LE2 requirements, SSP estimates an aggregate cost more than $10M to replicate the capabilities and $21M in duplicated costs due to overlapping support to fully transition to an alternative source. Additionally, SSP estimates that two years of unreasonable and unacceptable programmatic delays during transition creates significant risk to Fleet readiness and national security.
In summary, if these efforts were competed, the total program would realize an estimated delay of a minimum of three years and $31 million in duplication of costs. This is an unacceptable delay because the SSP cannot have any interruption in the TRIDENT II program and these substantive costs would not be recovered via competition.
6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.
a. A Sources Sought Notice (SSN) was published to the System for Award Management
(SAM) website on February 22, 2024, and closed on March 4, 2024. Two vendors submitted responses to the SSN: (1) Strategic Technology Consulting, LLC (STC), and
(2) BAE. SSP’s technical experts conducted a detailed and thorough analysis of each respondent’s submission and determined only one of the two respondents is capable of performing the requirement. The results of SSP’s technical analysis of each respondent’s submission are included below:
i. STC failed to demonstrate it could meet all the requirements including the lack of documenting thirteen of the sixteen SSN minimum qualifications/experience requirements and only partial experience in three of the sixteen SSN minimum qualifications/experience requirements. STC did not demonstrate relevant experience to completely perform a majority of the SSP Statement of Work (SOW) requirements, the three year relevancy minimum, and failed to provide documented technical expertise for Systems Engineering Management; Requirements and
Architecture Maintenance; Independent Verification and Validation (IV&V);
System Digital Integration; CM; SPALT; SSE; Safety Risk Management; Model-
Based Engineering Environment Cybersecurity; System Test; Product Lifecycle
Management and Custom Software Development nor the complexity needed to accomplish the required work. The SSN requirements cannot be divided; therefore, STC was determined to be not qualified.
ii. BAE provided a thorough, complete and detailed recent and relevant experience synopsis as evidenced utilizing current SE&I contract N00030-22-C-6001 and current D5LE2 contract N00030-23-C-6304. Only BAE met all sixteen required minimum SSN qualifications/experience requirements. BAE provided satisfactory evidence of experience relevant to execute a contract of this size, scope and complexity. BAE is currently serving as the incumbent, prime contractor for these requirements and was the only respondent deemed qualified to perform all the SSP
SOW requirements.
b. Continuous market research is performed by SSP to maintain awareness of defense sector capabilities that can be applied to program requirements as opportunities for competition.
At this time, based on the research and reasons discussed in paragraph 5 above, SSP concludes that no other company other than BAE can provide the required services under this J&A. Further, qualification of an alternative source would represent an untenable impact to the SSP mission and introduce an unacceptable level of risk to SSP programs, degrade Fleet readiness, and result in unacceptable risks to national security.
c. A pre-solicitation notice was posted on the SAM website 09 August 2024 in accordance with Federal Acquisition Regulation (FAR) 5.201, providing vendors with an opportunity to demonstrate their capability to meet the requirements. No responses were received in response to this synopsis.
7. Determination of Fair and Reasonable Cost. The Contracting Officer has determined the anticipated cost to the Government of the supplies and services covered by this J&A will be fair and reasonable.
8. Actions to Remove Barriers to Future Competition. For the reasons set forth in Paragraph 5 above, SSP has no plans at this time to compete future contracts for the types of supplies and services covered by this document. SSP will continue to monitor the market in an attempt to identify potential sources of these services for future requirements, while analyzing any potential impact to cost, schedule, and program risk. If another potential source emerges, SSP will assess whether competition for future requirements is feasible. Additionally, the prime contractor for this effort will continue to utilize competition and commercial item procurement, when possible, for supplies, services and required materials. As this is a follow-on for supplies and services previously awarded on a non-competitive basis, in accordance with DFARS PGI 206.304(a)(S-
70)(i), the prior J&A was provided to the approval authority for review. Approval of this J&A signifies the approval authority has made the determination required by DFARS PGI
206.304(a)(S-70)(ii).
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