Non NSS -Fleet Surveillance J and A 21 Oct 19 Redacted.pdf

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

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APPROVAL (AFFARS 5306.304(a) )

Date

21 Oct 2019

Senior Contracting Official

TROYCE R. GUNTER, SES, DAF, SMC/PK

Signature

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I. Contracting Activity.

Space and Missile Systems Center (SMC) Enterprise Systems Launch Contracts Division (ECLK) 483 N. Aviation Blvd. El Segundo, CA 90245

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

This class Justification and Approval (J&A) is for the authority to modify the Space Exploration Technologies Corporation (SpaceX) and United Launch Services (ULS) Phase 1A-6 contracts to enable fleet surveillance of each company's family of launch vehicles for non-National Security Space (non-NSS) missions. For contract FA8811-19-C-0005, the contractor is ULS, the estimated contract value is $442 million, firm-fixed-price contract type, and the PoP length allows for mission completion of SBIRS GEO-5, SBIRS GEO-6, and SILENTBARKER. For contract FA8811-19- C-0004, the contractor is SpaceX, the estimated contract value is $270 million, firm-fixed-price contract type, and the Period of Performance (PoP) length allows for mission completion of NROL-85, NROL-87, and AFSPC-44. These fleet surveillance efforts will be conducted throughout the remainder of each company's Phase 1A-6 missions. In the event that either company is awarded a Phase 2 contract, a scope determination will be performed to decide if non-NSS fleet surveillance effort on their respective Phase 1A-6 contract should continue. The estimated award date for non-NSS fleet surveillance contract modifications for both SpaceX and ULS is November 2019.

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

The contract modifications authorized by this J&A will provide the Government with fleet surveillance efforts across the SpaceX and ULS families of launch vehicles for non-NSS missions.

The Government performs fleet surveillance activities in accordance with AFSPCI 13-610 Launch and Range Operations. Fleet surveillance maintains insight into issues or changes that are used on and affect non-NSS missions, and may impact the approved certified baseline of NSS missions.

These non-NSS fleet surveillance contract modifications will enable the Government to view test and launch operations data, monitor voice communications, view closed circuit TV video (CCTV), and witness launch site processing and launch site testing of all non-NSS missions. These efforts were determined to be outside the scope of existing Phase 1A-6 contracts.

The requirement for non-NSS fleet surveillance covers a period of more than one fiscal year to cover multiple Phase 1A missions. Additionally, as there are no feasible actions that could develop future competition, it is reasonable to seek approval for more than one fiscal year's requirements.

Currently, the existing Phase 1A-6 contracts only require that the Launch Service Providers (LSPs) provide access to data and analyses of the launch vehicle systems; the existing contracts do not include access to tools, systems, processes, and launch site activities developed by the LSPs for non- NSS missions. These tools are unique and proprietary, developed by each LSP for analyzing data generated by their internal systems. These fleet surveillance contract modifications will allow the same access to systems and tools included in existing Phase 1A contracts, to ensure applicability across all missions, to include non-NSS.

ULS

The PoP for fleet surveillance will be one six month base period with six additional six month options

March 2018 Page 5 of 6 mission success, access to current and future data of all non-NSS missions is also required.

FAR 6.302-1(b)(1)(ii) states that when there are unique supplies or services available from limited sources, it may be appropriate not to pursue full and open competition. This Government non-NSS fleet surveillance effort requires in depth knowledge of each company's family of launch vehicles, including certain proprietary information which is owned and produced solely by each company. With the unique insight into each LSP's capabilities required for this effort, it is appropriate to obtain the data and access from each company rather than pursuing full and open competition.

Additionally, FAR 6.302-1(b)(2) provides that in some cases, “the existence of limited rights in data, patent rights, copyrights, or secret processes; the control of basic raw material; or similar circumstances, make the supplies and services available from only one source.” Given that SpaceX and ULS are each the sole owner and manufacturer of their respective family of launch vehicles, they individually possess the unique ability to deliver data for the family of launch vehicles. Further, each company owns their own proprietary analysis and verification tools. Due to the amount of proprietary data required to execute non-NSS fleet surveillance, it is necessary to pursue a sole source contract modification specific to each LSP.

VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable.

ECLK issued a Notice of Intent (NOI) on Fed Biz Ops notifying the public of the Government's intent to pursue sole source contract modifications. The pre-solicitation notice also invited interested parties to submit a statement of capabilities demonstrating the interested parties' understanding, capability, approach, and qualification in the meeting the work requirement. The NOI was submitted on 01 Aug 2019 and closed on 15 Aug 2019. As of date of closing, there was no response from any interested parties.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

The PCO anticipates the cost for this effort will be considered fair and reasonable. However, subsequent to the technical and price evaluations of each contractors respective proposals by the Government team, the PCO will make a determination as to whether the price is fair and reasonable and document the basis for that determination.

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

As described in Section VI above and in accordance with FAR Part 10, market research was conducted by synopsis of the proposed acquisition advising industry of the pending acquisition and soliciting inquiries from interested parties. ECLK issued a NOI on Fed Biz Ops notifying the public of the Government's intent to pursue sole source contract modifications. The pre-solicitation notice also invited interested parties to submit a statement of capabilities demonstrating the interested parties' understanding, capability, approach, and qualification in the meeting the work requirement. The NOI was submitted on 01 Aug 2019 and closed on 16 Aug 2019. As of date of closing, there was no response from any interested parties.

IX. Any other facts supporting the use of Other Than Full and Open Competition.

N/A

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X. List of any sources that expressed, in writing, an interest in the acquisition.

No sources submitted a statement of capabilities during the sources sought period.

XI. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before making subsequent acquisitions for the supplies or services required.

SpaceX and ULS are the only LSPs that can provide access to their own individual proprietary analysis and verification tools, data, and launch site activities used and owned by each company for all of the company's missions; therefore, it is not appropriate for the United State Government (USG) to compete this action. However, it is appropriate for this type of action to be a sole source activity.

Non-NSS fleet surveillance is currently being competed on the LSP Phase 2 effort. In the event that either company is awarded a Phase 2 contract, a scope determination will be performed to decide if non-NSS fleet surveillance effort on their respective Phase 1A-6 contract should continue.

XII. Certification by the Contracting Officer.

As evidenced by my signature above, I have determined this document to be both accurate and complete to the best of my knowledge and belief.

XIII. Certification by the technical/requirements personnel.

As evidenced by my (our) signature(s) above, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.