JA_-_iNET_SOFTWARE_FINAL_04.11.2013_REDACTED.doc

J&A_13_23191

J&A_13_23191

JUSTIFICATION AND APPROVAL

FOR USE OF OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity.

Naval Air Warfare Center Aircraft Division (NAWC-AD) Patuxent River, MD

2. Description of the Action Being Approved.

This Justification and Approval (J&A) authorizes and approves the issuance of a cost type contract on a sole source basis to Southwest Research Institute (SwRI), located in San Antonio Texas, for the development, testing, and demonstration of the integrated Network Enhanced Telemetry (iNET) software reference applications. This includes inherent support for system integration testing and technical support of the Telemetry Network System (TmNS) for the iNET project, which falls under AIR 5.2 of the Naval Air Warfare Center Aircraft Division (NAWCAD).

The TmNS is being developed by the iNET project, which is sponsored by the Central Test and Evaluation Investment Program (CTEIP). CTEIP is a program element within the Office of The Secretary of Defense, chartered with anticipating and developing future technology needs to meet emerging requirements within the Major Range and Test Facility Base (MRTFB) with an emphasis on interoperability for tri-service (Army, Navy, and Air Force) commonality. AIR 5.2 has been leading the iNET project for approximately eight (8) years on behalf of the tri-services. The purpose of the iNET initiative is to develop a standardized open system that is interoperable across MRTFBs as well as test aircraft that utilizes Radio Frequency (RF) spectral resources in an effective manner. The contract will procure the required reference applications, integration, and maintenance to support all branches of the tri-services as the need arises.

3. Description of Supplies/Services.

This requirement is a follow-on effort that supports the development of a new generation of standardized network enabled components in accordance with the draft iNET standards in preparation for transferring the iNET standards to the Range Commanders Council (RCC) for long-term maintenance. Reference applications are used to validate/refine the interoperability as defined by the draft standards and are used to prove system concepts and define operational processes and procedures. SwRI has been working with AIR 5.2 under contract N00421-08-C-0052 to develop the iNET standards and application references.

With this follow-on contract, SwRI will begin the next phase of the program software development, integration and testing efforts, and provide maintenance support as the System Manager and Link Manager reference applications are integrated at different testing sites (e.g. Edwards AFB, Patuxent River NAS, etc.) and during interoperability/compliance testing against other hardware components currently being developed under other contracts as part of the ongoing iNET project. The System Manager executes all primary functions (manages, configures, controls, status, and verifies) through the standardized interfaces of all the other TmNS developed components. The System Manager represents the basis against which the TmNS components are measured. The Link Manager executes the RF link TDMA (Time Division Multiple Access) controller that schedules uplink and downlink transmission opportunities through coordination of radio link operations. SwRI will continue to provide the system engineering expertise and perform maintenance of the requirements management system database/tool, which is used for requirements traceability and verification as well as to generate all the development specifications used for other component development.

The purpose of the iNET project is two-fold: (1) Use RF spectral resources more efficiently, and (2) Achieve hardware and software interoperability among vendors of flight-test instrumentation. The validation of these expected outcomes is heavily dependent on the System Manager and Link Manager Reference applications.

This effort will be funded using Research, Development, Test & Evaluation (RDT&E) funds and the estimated value of all efforts described within this J&A is $12.425M. The anticipated award date is October 2013 with an expected five (5) year period of performance.

See Appendix A for Estimated Dollar Value

4. Statutory Authority Permitting Other Than Full and Open Competition.

10 U.S.C. 2304(c)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

5. Rationale Justifying Use of Cited Statutory Authority.

SwRI is the only source with the knowledge, expertise, and technical data required to perform this design, development, and support effort to further advance its existing iNET applications. Award to any other source would result in duplication of cost and an unacceptable level of programmatic/schedule risk. SwRI is the sole designer and developer of the key software elements (i.e. manager tool and metadata tool) which form the foundation for the System Manager application and represent the system management interfaces for the Link Manager application. Award to another source would result in the iNET program’s failure to satisfy its mission to complete developmental flight-testing as part of the System Development and Demonstration (SDD) Acquisition Phase scheduled for 2014. Another source would have to start from scratch by interpreting existing documentation and developing a working relationship with the community and vendors that has been built-up over the last seven (7) years with SwRI. In addition, another source would need to establish nondisclosures with the existing TmNS Component developers. The duplicated time and costs associated with awarding this effort to another source and re-developing SwRI’s existing software is estimated to take five (5) years and result in a duplicate cost estimated at $7M based on the current development, knowledge building, and expertise already invested by the Government in the highly specialized area of aeronautical telemetry.

The reference applications developed by SwRI will become operational applications to manage the TmNS hardware components. The TmNS hardware components that are being built under other contracts are dependent on these reference applications to verify hardware operational suitability. The TmNS system (software and hardware) working in conjunction with each other are expected to bring cost savings to flight test activities. Currently, flight tests are conducted using the dedicated channels of theRF spectrum reserved for each test. Once the entire available spectrum is scheduled, no other tests may be conducted. If a test is delayed or cancelled at the last minute, the spectrum goes unused because the planning required cannot be done in such a short timeframe, causing schedule delays and cost increases. One example is that NAVAIR experiences unacceptable delays and additional cost in the amount of approximately $750K per day for each platform affected. The entire cost impact due to schedule delays throughout the Navy cannot be accurately assessed, however, currently at NAVAIR alone, the Atlantic Test Range experiences a conflict 1 day a week on average due to resource limitations. This results in a cost impact of approximately $39M per year based on 52 days x $750k/day. The TmNS system employs a shared access scheme managed by the reference applications for the RF spectrum that will allow for dynamic sharing of the RF spectrum, thus eliminating the problem described above and resulting in a cost savings to the Government.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

A synopsis was issued on 14 January 2013 notifying industry of the intent to issue the sole source contract to Southwest Research Institute (SwRI). The synopsis closed on 29 January 2013 and no responses were received. Additionally, despite the program risks and duplication of cost associated with any other source, a market survey was conducted via the Internet and Navy representatives regularly attends Industry Conferences to determine the availability of sources that can provide the functionality required to meet the Government’s needs. No other companies were found to be capable of providing this requirement in the timeframe required to continue the program.

7. Determination of Fair and Reasonable Cost.

As stated in FAR 15.402(a), the Contracting Officer is required to procure all supplies and services from a responsible source at a fair and reasonable price. Experienced Government technical analysts, auditors, and contract specialists will perform cost and/or price analysis of the contractor’s proposal in order for the contracting officer to determine that prices are fair and reasonable. Based on historical data from similar efforts, the contracting officer, NAVAIR Technical Experts, and the cognizant Defense Contract Audit Agency have adequate information and background to assist in making these determinations.

8. Actions to Remove Barriers to Future Competition.

Currently, the iNET program has no plans to issue future contacts for the work covered by this J&A because once this contract is completed, the project will be transitioned to an operational status to the tri-services. The Government shall maintain the technical data rights for the reference applications and will obtain technical specifications that may be used in support of potential competitions for future acquisitions of the same or similar items. The development of the reference applications and all other TmNS components is based on open system architecture managed by the Government. It is anticipated that the iNET program will create/enhance future competition opportunities as TmNS hardware components mature through the established standards and MRTFB interoperability of the TmNS becomes prevalent in the open market place. This software is essential for interoperability testing. As the Services evolve the software and mold into Range Operational Concepts, these concepts will be new to MRTFBs and will evolve and be tailored to satisfy MRTFB constraints.

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