Bridge_JA_AIR_4.1_05-15-16_REDACTED_7-15-16.pdf

DEPARTMENT OF THE NAVY

NAVAL AIR SYSTEMS COMMAND AIRCRAFT DIVISION

21983 BUNDY ROAD

BUILDING 441, UNIT 7

PATUXENT RIVER, MARYLAND 20670

IN REPLY REFER TO:

J&A_16_0255

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, on a sole source basis, the award of a twenty-one (21) month Cost Plus Fixed Fee (CPFF) and Cost Reimbursable bridge contract to Engility Corporation (3750 Centerview Drive, Chantilly, VA 20151-3200) for AIR-4.1’s Systems Engineering Competency Support. This stand-alone bridge contract allows for ongoing execution of the existing task order, N00178-04-D-4143-M807, while the competitive follow-on contracts are being awarded. The contract is estimated to include $73,151,940 in Labor and $3,150,000 in Other Direct Costs (ODCs) for a total estimated value of $76,301,940. The current task order is expected to end on 31 July 2016, and the Bridge Contract end date will be 30 April 2018.

3. Description of Supplies/Services.

This J&A will cover the full scope of the existing Statement of Work (SOW), which contains requirements for systems engineering and technical efforts to be performed in the following functional areas: Systems Engineering Management (AIR-4.1.1), Air/Ship Integration (AIR-4.1.5), Systems Safety (AIR-4.1.6), Mass Properties (AIR-4.1.7), Survivability (AIR-4.1.8), Manufacturing & Quality (AIR-4.1.9), Reliability & Maintainability (AIR-4.1.10), Electromagnetic Environmental Effects (AIR-4.1.13), Anti-Tamper (AIR- 4.1.14), and Mission Engineering & Interoperability (AIR-4.1.18). These efforts are focused across a broad business base comprised of Integrated Program Teams (IPT's), Externally Directed Teams (EDT's), and Enterprise Teams (ET's), which support all Naval Air Programs.

Aircraft Programs supported under this contract will include, but not be limited to the Joint Strike Fighter (JSF), F/A-18, EA-6, AV-8, V-22, Navy Commercial Derivative Aircraft, Tactical Reconnaissance, Unmanned Air Systems (UAS), Aerial Targets Systems, E-2, C-130, KC-130, P-3, P-8, H-1, H-60, H-53, Scan Eagle UAS, Fire Scout UAS, Broad Area Maritime (BAMS) UAS, Shadow UAS, Joint Tactical Combat Training Systems, Night Vision Devices, Integral Cockpit Lighting, Mission Planning, Advanced Avionics Technology Demonstration, Common Avionics, Communication, Navigation, Advanced Tactical Surveillance, Integrated Tactical Decision Aids, Weapon Engagement Rehearsal Aids (E&RA), Theater Ballistic Missile Defense, and Aircraft/Weapon Integration, Joint Precision Approach Landing System (JPALS), Electro-Magnetic Aircraft Launch Systems (EMALS) and other Externally Directed Programs.

NAWCAD also supports Joint Service Programs in addition to JSF, such as LH-X, Advanced Tactical Airborne Reconnaissance System, and Operations Aircraft.

See Appendix A for Estimated Dollar Value by fiscal year.

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.

Pursuant to FAR 6.302-1(a)(2)(iii)B), only Engility Corporation can perform the required continuation of effort without unacceptable delays and uninterrupted continuation of contracted services in support of critical AIR-4.1, Program Executive Officer and PMA functions.

Any lapse in service will cause substantial disruption to mission critical services, such as performance of system analysis, functional allocations, and synthesis and evaluation efforts for transforming an operational need into an operational system. Engility Corporation has the management structure, experience and technical expertise required to execute the effort. As such, Engility is the only source currently positioned to provide the necessary continuation of these services without causing a break in support. In order for another contractor to assume the ongoing workload, a transition period of approximately four (4) months would be required. This lapse would directly result in unacceptable delays and disruption in completing or continuing tasks under multiple programs for the Systems Engineering Division (AIR 4.1) and have serious adverse impacts on the Fleet and its on-going operations to include: Critical production line shut downs that interrupt fleet aircraft transition to post production sustainment; Technical Data packages required to support the fleet for life cycle sustainment will not be coordinated and reviewed for delivery to the Fleet Support Team; Critical cracked aircraft will not be addressed resulting in grounding events; Violations of international agreements due to time-sensitive Foreign Military Sales deliveries not being met; Flag level programs for condition-based maintenance and engineering regime recognition analysis will not meet scheduled milestones and fail to provide timely readiness of fleet assets to the warfighters; and Essential services for ongoing and urgent needed weapons programs will fail to meet budgeted timelines, resulting in loss of test assets and increase cost to the Government to cover additional test assets beyond approved budgets and timelines.

Using the P-8A community as a specific example of negative impacts resulting from a support lapse, the Maritime Patrol and Reconnaissance community would suffer a loss of Flight Clearance and NATOPS/Safety support who draft, staff and route P-8A fleet and flight test IFC’s. This loss, even temporarily, would cause delays in fielding critical upgrades and enhancements to the P-8A fleet adding as much as $1 Million per day in unprogrammed cost. Additionally, any loss to NATOPS support will quickly impact operational flexibility, operations and flight limitations.

At this time, Engility is the single source capable of providing the management and technical continuity necessary to avoid a degradation of performance and quality.

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

Pursuant to FAR 5.201, a synopsis of solicitation N00421-16-R-0056 for this bridge effort was posted in FedBizOpps for the period of 04 February 2016 to 19 February 2016, and no other potential sources expressed an interest in this requirement or contested a proposed award on a sole source basis to Engility.

The requirement in DFARS PGI 206.302-1 has been waived by Class Waiver of DFARS PGI 206.302-1 “Request for Information/Sources Sought (RFI/SS) Requirement for Bridge Actions” dated June 9, 2015.

7. Determination of Fair and Reasonable Cost.

In accordance with FAR 15.402, the Contracting Officer shall ensure that all supplies and services provided under this contract are procured at a fair and reasonable price. Engility will submit a formal price proposal with certified cost and pricing data and sufficient information to support the accuracy and reliability of its estimated costs. Experienced technical analysts and contract specialists, with the aid of necessary field pricing support, will review Engility’s proposal. The Contracting Officer will obtain sufficient cost and/or pricing data, utilize available direct/indirect rate information from DCAA/DCMA and consider previous estimated and actual cost history as the basis for determining a fair and reasonable price.

8. Actions to Remove Barriers to Future Competition.

NAWCAD intends to competitively award three follow-on procurements, to establish contract vehicles under which to procure 4.1’s requirements in the out-years. The Government will release a draft copy of the statements of work along with the pre-solicitation notice to ensure potential offerors have ample opportunity to review the requirement.

The competitive follow-on contracts are described below:

Sustaining/Training/Tools

Specialty Engineering

Systems Engineering Management

The bridge contract will consist of a one year base period, followed by a nine (9) month option period (Option I). The duration and option period is the minimum and sufficient estimated time required to allow for award of the competitive follow-on contracts and ensure that there will not be a gap in the required services. The acquisition strategies for each of the three follow-on contracts are being vetted through Contracts, Legal, and Comptroller. Additionally, inch-stone schedules are being established for these procurements that will be closely monitored by both AIR 4.1 and Contracts. The single award D&Fs for two of the three follow-on contracts were approved on 13 May 2016 and the final D&F has been routed for signature.

Appendix A

Estimated Dollar Value in Thousands

FY16 FY17 FY18 FY19 FY20 FY21 FY22 Total

PROCUREMENT $1,795 $10,821 $6,456 0 0 0 0 $19,073

O&M $862 $5,193 $3,099 0 0 0 0 $9,153

RDT&E $3,447 $20,780 $12,398 0 0 0 0 $36,625

WCF $359 $2,166 $1,292 0 0 0 0 $3,817

FMS $719 $4,331 $2,584 0 0 0 0 $7,634

Total $7,182 $43,291 $25,829 0 0 0 0 $76,302