NNA16BD26C JOFOC REDACTED 4 Feb 2021.pdf

Rev.:10/2020

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

AMES RESEARCH CENTER (ARC)

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

(JOFOC)

For Contract No. NNA16BD26C

Aerospace Testing Facilities Operations and Maintenance-4

1. Federal Acquisition Regulation (FAR) 6.303-2(b)(1) – Identification of the agency and the contracting activity, and specific identification of the document as a “Justification for other than full and open competition.”

This document is a justification for other than full and open competition prepared by

National Aeronautics and Space Administration (NASA) Ames Research Center (ARC):

The procuring agency is the National Aeronautics and Space Administration (NASA) and the contracting activity is the Procurement Office located at ARC.

This JOFOC is recorded in the ARC JOFOC Log as JA-FY21-J04.

2. FAR 6.303-2(b)(2) – The nature and/or description of the action being approved:

This justification provides the rationale for contracting by other than full and open competition to award a sole-source contract extension to contract number NNA16BD26C, Aerospace Testing Facilities Operations and Maintenance-4 (ATOM-4), with Jacobs Technology Inc. for up to eighteen additional months added to the period of performance (PoP) and an estimated increase of FOIA Ex. 5 to the total contract value. The contract extension will consist of a one-year base period (from February 2, 2021 – February 1, 2022) and six one-month option periods (from February 2, 2022 – August 1, 2022). The options will be exercised as necessary to accommodate the completion of the competitive procurement of the follow-on Aerospace Testing Facilities Operations and Maintenance-5 (ATOM-5) contract.

NASA ARC competitively awarded contract number NNA16BD26C on January 6, 2016, with a period of performance from February 2, 2016 through February 1, 2021. The current contract is a hybrid contract with a Cost-Plus-Fixed Fee (CPFF) Contract Management Core and an Indefinite-Delivery, Indefinite-Quantity (IDIQ) component under which CPFF and Firm Fixed Price (FFP) task orders are executed. The total maximum potential contract value is $269.6 million with a total Core value of $104.6 million and a total maximum ordering value under the IDIQ component of $165 million. To date, all Core CLINs have been exercised and a total $116.1 million IDIQ task orders are anticipated to be awarded by February 1, 2021. The current period of performance will need to be extended and the contract maximum value will need to be increased in order to permit the critical services (e.g.

Wind Tunnel testing, maintenance, and Arc Jet Modernization) under the contract to continue until the new ATOM-5 contract is awarded.

3. FAR 6.303-2(b)(3) – A description of the supplies or services required, to meet the

Agency’s needs (including the estimated value):

This JOFOC documents the justification for executing a sole-source extension of the current ATOM-4 contract for a period of up to eighteen months from February 2, 2021 through August 1, 2022, pending completion of a competitive procurement for the ATOM-5 contract, in order to continue critical requirements performed under the ATOM-4 contract. The ATOM-4 contract provides essential testing, operations, maintenance, repair, development and special project support services for the ground-based Aerospace testing facilities including the Unitary Plan Wind Tunnels (UPWT), the high-enthalpy, high-speed Arc Jet Complex, Gun Ranges, laboratories, and support facilities at Ames. The NASA testing and testing support facilities are very complex and have extraordinary operational requirements and maintenance needs, which is driven by the age and condition of the facilities. In addition, the research testing performed in the facilities is very dynamic requiring a mobile and rapid response to changing needs. The testing facilities have been in service for fifty years and are projected to remain as nationally important assets to NASA, the Department of Defense, other federal agencies, and the United States commercial industry.

The ATOM-4 contract provides support to multiple organizations at Ames Research Center including: the Ames Research Center’s Aeronautics Directorate; the Wind Tunnel Division (Code AO); and the Exploration Technology Directorate, Entry Systems and Technology Division (Code TS). The branches within the Divisions which are supported by the contract include the Wind Tunnel Systems (Code AOI), Wind Tunnel Exploration (Code AOO), Experimental Aero-Physics (Code AOX), the Thermo-Physics Facilities Branch (Code TSF) and the Thermal Protection Materials Branch (Code TSM). The major objective of the Ames Aeronautics Directorate and the Exploration Technology Directorate’s aerospace facilities is to satisfy research, development, and commercial needs for programs that utilize the testing facilities. The wind tunnels and high-enthalpy, high-speed Arc Jet facilities support testing involving a vast variety and number of experiments. The mission requires conducting high quality test programs and operating facilities, and involves the development of models, new data systems, sensors and instrumentations and other test techniques. The long-range goal is to continually improve the capability of these facilities to better meet customer needs.

The current contract is a hybrid contract with a CPFF Contract Management Core and an IDIQ component under which CPFF and FFP task orders are executed. The total maximum potential contract value is $269.6 million with a total potential Core value of $104.6 million and a total maximum ordering quantity under the IDIQ component of $165 million; a total $116.1 million of IDIQ task orders have been issued, leaving $48.9M before reaching the maximum IDIQ ordering quantity. The estimated value of the services for the potential eighteen-month extension is approximately FOIA Ex. 5 (FOIA Ex. 5 Core, and FOIA Ex. 5 IDIQ) based on the Independent Government Cost Estimate (IGCE). The IGCE was based on a review of the current requirements, historical direct labor costs, subcontracts, and other direct costs required to continue performance of the ATOM-4 contract for up to eighteen months. Based on the current IGCE estimate, the current contract maximum value of the Core will need to be increased by FOIA Ex. 5 and the IDIQ will need to be increased by FOIA Ex. 5; the PoP for both the CORE and IDIQ will need to be extended by 18 months.

The total cost estimate for the proposed extension period is:

Extension Base Period Core February 2, 2021 – February 1, 2022 FOIA Ex. 5 Extension Period IDIQ February 2, 2021 – February 1, 2022 FOIA Ex. 5 Extension Option Periods Core* February 2, 2022 – August 1, 2022 FOIA Ex. 5 Total Estimate Extension FOIA Ex. 5 Total Contract Value Increase** FOIA Ex. 5

* Six one-month Core option periods estimated at FOIA Ex. 5 each.

** FOIA Ex. 5 increase to the Core and an increase of FOIA Ex. 5 to the maximum IDIQ ordering quantity to accommodate the estimated value of the obligations during the extension.

4. FAR 6.303-2(b)(4) – An identification of the statutory authority permitting other than full and open competition:

The statutory authority permitting other than full and open competition is 10 U.S.C.

2304(c)(1), as implemented by FAR 6.302-1 (i.e., Only one responsible source and no other supplies or services will satisfy agency requirements).

5. FAR 6.303-2(b)(5) – A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited:

The rationale supporting the use of 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1, Only one responsible source and no other supplies or services will satisfy agency requirements, is described below.

In accordance with FAR 6.302-1(a)(2)(iii)(A) and (B), for DOD, NASA, and the Coast Guard, services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition, or where unacceptable delays would occur in fulfilling the agency's requirements. For the reasons set forth below, the incumbent is the only responsible source that can reasonably satisfy the requirements to be performed during the proposed extension of the ATOM-4 contract pending completion of the competitive ATOM-5 procurement.

Highly specialized wind tunnel testing sessions are scheduled with precision and require an accurate, timely schedule for each testing and maintenance action to allow for maximum customer utilization of the tunnels. After a test is scheduled, the full testing cycle including test planning, test preparation, test operations, and post-test operations for some of the more complex Arc Jet or wind tunnel tests can require on average 6-12 months to complete. The current contractor is supporting 12 ongoing critical long-term testing projects in the NASA ARC wind tunnel facilities for critical government programs, including classified programs that will continue into the extension period. Each customer testing session in the tunnels involves a unique, tailored development of data models and implementation of sensitive and/or proprietary data transfers and requires tailored engineering expertise and familiarity with each program to meet customer requirements.

The contractor is also managing ongoing maintenance projects in support of this testing such as the Unitary Rheostat Cell Replacement, 9x7 Aftercooler Replacement, and the Dynamic Braking MG Set Repair – all of which require upfront labor and material costs to assess and develop a unique maintenance execution plan for each effort. These maintenance efforts also require continuous interface and coordination with service contract staff, NASA civil servant staff including Ames Permit Boards and support contractors.

Unacceptable delays would occur on the contract due to the learning curve required to implement and transfer unique customer and program modeling requirements for each testing action. A new contractor would need to conduct additional tests to ensure their models perform to the unique customer requirements, which would delay customer testing schedules. Also, for classified programs, a new contractor might experience delays in obtaining appropriate clearances to be able to access the testing data. Required unique and ongoing maintenance efforts would also be delayed due to transfer of developed plans and the learning required to complete each individual maintenance project; this would affect day to day maintenance operations and would delay schedules for the supporting vendors associated with the projects. Any intermittent schedule delays would also likely result in long term interruptions and potential shutdowns to the full testing and maintenance schedule; and wind Tunnel testing actions supported by the current contractor have been deemed essential by NASA management and therefore have continued uninterrupted even despite difficult circumstances created by the COVID-19 pandemic.

Awarding the extension to a new contractor would result in duplication of costs to the Government. The learning and transfer of unique customer testing and tunnel maintenance requirements to a new contractor would require additional labor hours for the contractor, Government customers, and NASA civil servants. Additional customer interface and testing would be required to test and resolve issues with unique data models supported by a new contractor. Increased administration costs and fees would be required on the current maintenance efforts due to delays in schedule and the transfer of supplier agreements that are already in place for the current actions. Any significant delays in schedule would also result in less testing actions being accomplished in the tunnels which would result in a decrease in revenue from commercial customers. For these reasons, a separate competition and award of the potential eighteen-month extension to another vendor would not be feasible or reasonable given the current re-competition for the follow-on contract and would cause a substantial duplication of cost to the Government that is not expected to be recovered.

For reasons set forth above, Jacobs Technology Inc. is the only responsible source that can perform the highly specialized requirements under the ATOM-4 contract for up to eighteen additional months given award to any other source would result in substantial duplication of cost that would not be recouped through competition, and unacceptable delays in fulfilling the highly specialized requirements. This makes the incumbent the only responsible source that can reasonably satisfy the subject requirements pending completion of the competitive ATOM-5 follow-on procurement.

6. FAR 6.303-2(b)(6) – A description of the 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 5.202 applies:

A notice to the Government Point of Entry (GPE) website (beta.sam.gov) was published on October 26, 2020, in accordance with FAR Subpart 5.2. This posting informed potential sources of NASA’s intent to award this sole-source contract extension to Jacobs Technology Inc. The results of this synopsis are summarized in Section 10 below.

7. FAR 6.303-2(b)(7) – A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable:

The Contracting Officer’s signature on this document indicates that the Contracting Officer has determined that the anticipated cost to the government will be fair and reasonable. The Contractor shall be required to submit a proposal to be evaluated and negotiated by the Government. Prior to the award of the extension and the execution of the contractual instrument, a proposal analysis will be performed to ensure that the final agreed-to price is fair and reasonable. The proposal analysis will be performed for the core management effort, and during the extension period proposal analysis will be performed on each task order before award in accordance with FAR 15.404. The proposal analysis will include a review of cost and pricing data as required including cost element analysis, comparison to the IGCE, the use of both cost and price evaluation techniques and the use of a structured approach for the profit/fee objective ensuring that the final agreed-to cost and fee is fair and reasonable. In accordance with FAR 15.406, pre-negotiation objectives will be prepared prior to the initiation of negotiations and will be approved prior to commencing negotiations, a certificate of current cost or pricing data will be obtained from the contractor as required, and a post negotiation memorandum will also be prepared to document the outcome of the negotiation.

8. FAR 6.303-2(b)(8) – Description of the market research conducted, and the results, or a statement of the reasons a market research was not conducted:

ARC conducted market research in support of the decision to award this extension to Jacobs Technology Inc. Based on the Contracting Officer’s Representative’s (COR) technical knowledge of the current ATOM-4 requirements, and for all of the other reasons stated herein, market research supports that Jacobs Technology Inc. is the sole responsible source able to fulfill the short-term ATOM-4 requirements.

Market research was performed September 2020 through November 2020, which included a synopsis posted on October 26, 2020 on the Contract Opportunities site located on www.beta.SAM.gov. The purpose of the synopsis was to: (1) notify industry of NASA’s intent to extend the ATOM-4 contract on a sole source basis; and (2) solicit information http://www.beta.sam.gov/ about interested sources that are capable of providing the required support during the extended period of performance. Interested organizations were requested to submit their capabilities and qualifications in writing. The Contracting Officer received no capability statements in response to the synopsis.

Additional research was completed which included reviews of the following Government databases: the Dynamic Small Business Search and the NASA Vendor Database. These market research tools revealed several firms that can provide various types of facilities and operations support. However, only one (1) indicated experience in “wind tunnel”, “operation wind tunnel”, “wind tunnel testing” or “aerospace testing” support. The firm capability description did not delineate the complex and unique size and scope of the wind tunnel and aerospace testing, operations and maintenance required of the ATOM-4 contract.

Additional research was performed by the Contracting Officer to determine whether there were sources capable of performing the above stated requirements extended to NASA’s testing, facilities and operations maintenance services. This included the General Services Administration Building Maintenance and Office and the Multi Award Schedule contract vehicles, and the Federal Procurement Data System. Based on a discussion with the COR, it was clear that while there are limited additional firms in the industry, the scope of highly specialized work described in Section 5 requires a unique knowledge of specific customer requirements and can only be accomplished by the current contractor under the proposed extension without creating unacceptable delays and a duplication of costs.

Market research indicates that in accordance with FAR 6.302-1(a)(2)(iii)(A) and (B), Jacobs Technology Inc. is the only responsible source that can provide the highly specialized services without substantial duplication of cost to the Government that will not be recovered through competition and unacceptable delays in meeting agency requirements. There has been no interest in this proposed contract extension.

9. FAR 6.303-2(b)(9) – Any other facts supporting the use of other than full and open competition:

None.

10. FAR 6.303-2(b)(10) – A listing of the sources, if any, that expressed an interest in writing in the acquisition:

A notice of NASA’s intent to award this sole-source action was synopsized on the GPE website (beta.sam.gov) per FAR Subpart 5.2 (See Section 6 above). The synopsis was posted on October 26, 2020 with a closing date of November 12, 2020. No sources expressed interest in performing the requirements NASA ARC intends to procure through this eighteen-month extension of the ATOM-4 contract.

11. FAR 6.303-2(b)(11) – A statement of actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required:

ARC has already started the ATOM-5 procurement, which is the competitive follow-on procurement to the existing ATOM-4 contract. This sole source award of a potential eighteen-month extension to the ATOM-4 contract is necessary to provide the necessary time to complete the ATOM-5 procurement while providing uninterrupted support of critical requirements. Because ATOM-5 is a competitive procurement, there are no actions the agency needs to take to remove or overcome any barriers to competition before any subsequent acquisition for similar services.

AEROSPACE TESTING FACILITIES OPERATIONS AND MAINTENANCE-4,

CONTRACT NO. NNA16BD26C

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SIGNATURE PAGE

I certify that the facts presented in this justification are accurate and complete.

Mark Washington Technical Representative

I hereby certify that the above justification is complete and accurate to the best of my knowledge and belief.

Gary Shelley Contracting Officer

CONCURRENCES:

Sarah Pollock Procurement Officer

David Korsmeyer Competition Advocate, NASA Ames Research Center

APPROVAL:

Sarah Pollock Head of Contracting Activity, NASA Ames Research Center

MARK

WASHINGTON

Digitally signed by MARK

WASHINGTON

Date: 2020.12.21 10:24:18 -08'00'

GARY

SHELLEY

Digitally signed by GARY

SHELLEY

Date: 2021.01.04 14:01:48 -08'00'

Sarah Pollock

Digitally signed by Sarah Pollock Date: 2021.01.06 09:16:19 -08'00'

CAROL

CARROLL

Digitally signed by

CAROL CARROLL

Date: 2021.01.06 13:30:37 -08'00'

Sarah Pollock Digitally signed by Sarah Pollock Date: 2021.01.14 17:59:12 -08'00'