Redacted_JA_LANTIRN.pdf

Controlled Unclassified Information

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. AGENCY and CONTRACTING ACTIVITY

This Justification and Approval is to request authority for Other Than Full and Open Competition supporting requirements generated for the United States Air Force (USAF), Air Force Life Cycle Management Center (AFLCMC)/WNY. The contracting activity for this requirement is AFLCMC/WNKC. The purchase request number supporting this contracting action is F3QCBV0163A105.

II. NATURE AND/OR DESCRIPTION OF THE ACTION BEING PROCESSED

Due to circumstances described herein, the activity request authority to acquire engineering services listed in the document using Other Than Full and Open Competition as prescribed by FAR 6.302-1, Only One Responsible Source and No Others Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a follow-on Requirement Indefinite Delivery Contract (IDC), which will be Cost Plus Fixed Fee (CPFF) and Cost Reimbursable No Fee (CRNF) with a basic one-year plus four (4) one-year Ordering Periods.

Based on the projected contract award date, orders can be issued 22 September 2021 to 20 September 2026.

This sole source requirement will be purchased from the following company:

Lockheed Martin Corporation DBA Lockheed Martin 5600 W. Sand Lake Rd. #MP-265 Orlando, FL 32819-8907 Cage Code: 04939 Large Business

This Requirements IDC will be awarded as a Single Award Task Order/Delivery Order Contract based on FAR 16.504(c)(1)(ii)(B)(1) in which this J&A provides supporting rationale.

III. DESCRIPTION OF THE SUPPLIES/SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS

This requirement is to acquire Sustainment and Engineering technical services for the USAF for post-production sustainment of the AN/AAQ-13 LANTIRN Navigation Pod. These services are required to support Precision Attack System Program Office (PASPO) engineering efforts. These services include: Class I Engineering Change Proposals, Prime Mission Equipment Line Replaceable Unit (LRU) sustainment analysis and reporting, maintenance analysis and support of repair process, and technical services to support future LANTIRN analyses and planning by Air Force Materiel Command and the PASPO.

The estimated projections by fiscal year are as follows:

Period Fiscal Year Estimated Total Basic FY22

OP 1 FY23

OP 2 FY24

OP 3 FY25

OP 4 FY26

TOTAL

The nominal Contract Line Item Numbers (CLINs) and Best Estimated Quantity (BEQ) anticipated for each period is as follows:

CLIN Description Type BEQ Unit of Measure X001 Sustainment Support CPFF 1 LOT X002 Travel CRNF 1 LOT X003 Data CPFF 1 LOT

Total estimated contract value is . The basis for the estimated cost was derived from yearly expenditures on the last contract.

Orders can be issued on this Requirements IDC for 5-years after contract award, anticipated to be 22 September 2021 through 20 September 2026. This J&A covers the 5-year ordering period of the Requirement IDC through completion of all awarded delivery/task orders.

In accordance with FAR 16.504(c) (1) (ii) (B) (1), Only one contractor is capable of providing performance at the level of quality required because the supplies or services are unique or highly specialized, and therefore a sole source Requirements type contract was determined to be the most effective and efficient vehicle to procure the supplies and services necessary given the Government cannot predetermine the precise quantities and services within a definitive period.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

10 U.S.C. 2304 (c)(1) as prescribed by FAR 6.302-1(a)(2), Only One Responsible Source and No Others Supplies or Services Will Satisfy Agency Requirements.

V. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE

QUALIFICATIONS OR NATURE OF THE ACQUISITION REQUIRES THE USE OF

THE AUTHORITY CITED ABOVE (APPLICABILITY OF AUTHORITY)

The agency’s minimum needs can only be satisfied by the unique services available from Lockheed Martin as they are identified on design requirements and the source controlled drawings. The AN/AAQ-13 LANTIRN Navigation Pod is a highly specialized system that is used solely on the USAF F-15E aircraft with an expected lifecycle through

As the Original Equipment Manufacturer (OEM) for the LANTIRN Navigation Pod, Lockheed Martin has the complete level III technical data package (TDP), engineering design studies and reports, component and assembly test requirements documentation, hardware and software design and integration expertise, engineering design models, and laboratory and test equipment needed to support this requirement. The Government does not possess level III drawings to support full sustainment.

The 566th EXMG performs limited organic repair of the LANTIRN Navigation Pod at Robins AFB, GA. The Government has repair Technical Orders (TOs) which enable the Depot to support repair requirements. This limited TDP is not adequate to support competitive acquisition and the Government is prevented from disclosing this technical data outside the Government.

The AAQ-13 LANTIRN Navigation Pod level III TDP is proprietary to Lockheed Martin. The Government contacted Lockheed Martin via a phone and later with a follow up email on 24 June 2019 about selling the TDP with all top level drawing revisions to the Government. Lockheed Martin responded they have no interest in selling the data rights at any cost. The proprietary technical data is required to perform the requisite evaluation and resolution of system maintenance deficiencies, resolution of parts obsolescence deficiencies, development of engineering change proposals, review of Government engineering change proposals, performance of sustainment studies, and performance of technical services in support of the analysis and resolution of system supportability deficiencies. Lockheed Martin is the design activity for many of the LANTIRN drawings and can make the required drawing updates.

The current sole source engineering services contract with Lockheed Martin is contact FA8523- 16-C-0011. This contract was awarded on 22 September 2016 and expires on 21 September 2021. This instant acquisition is necessary for continued sustainment support of a highly specialized item/system.

Award to any other source would result in substantial duplication of cost to the Government that is not expected to be recovered through competition and unacceptable delays in fulfilling the Air Force’s requirement.

Based on Government engineering expertise, the project engineer estimates a reverse engineering (RE) effort would take 4-5 years to complete at a cost of $26M based on similar RE projects.

The $26M estimate is based on development cost, cost associated with flight test, software development, and configuration. Based on the remaining 19 year life cycle, the Government estimates the total sole source cost to support the program is

Based on this estimate, it would not be in the Government’s best interest to invest $26M in a reverse engineering effort. A 4-5 year delay in fulfilling the Air Force’s requirements would be unacceptable.

. In addition, the Government’s ability to process new LANTIRN Time Compliance Technical Order generations or Technical Order updates would be diminished affecting the F-15E maintainers in the field. The expected life span of this program/systems is therefore a reverse engineering effort would be a substantial duplication of cost for a pod that has severe obsolescence and based on 1980’s technology.

Accordingly, Lockheed Martin is the only firm capable of providing the requirements described in Section III without the U.S. Air Force experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling this requirement.

VI. DESCRIPTION OF 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 FAR 5.202

APPLIES

A Sources Sought (SS) / Request for Information (RFI) synopsis was posted to beta.SAM.gov on 16 March 2020 with a response date of 25 April 2020 under Solicitation Number FA8540-20-R- 0004. The SS/RFI requested responses from interested vendors that possess the expertise, capabilities, and experience to meet qualification requirements for this effort. There were two (2) vendors that responded to the SS/RFI. The vendors were evaluated for their capability and determined to be not capable based on not having access to the proprietary data as well as the lack of proper facilities/equipment for repair.

The requirement will be synopsized in accordance with FAR 5.201. It is anticipated that sources having an interest in subcontracting may be identified through synopsis. Any source who responds to the Government as a result of this synopsis will be identified to the prime contractor as a potential subcontracting possibility.

VII. DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The overall cost of this acquisition will be fair and reasonable to the Government. In accordance with FAR 15.403-3, the Contracting Officer will require the submission of other than certified cost or pricing data. Price analysis or cost analysis based on “information other than certified cost or pricing data” will be used to examine and evaluate the proposed prices to determine fair and reasonable pricing. Price analysis techniques include comparison of proposed prices to historical prices paid for a same or similar item; comparison with published price lists, offered catalog prices and prices obtained through market research for a same or similar item;

comparison of proposed prices with independent Government estimate; or analysis of data other than certified cost or pricing information.

VIII. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE

RESULTS, OR A STATEMENT OF THE REASONS MARKET RESEARCH WAS NOT

CONDUCTED

Market research was conducted beginning 9 January 2020 and completed April 2020 in accordance with FAR Part 10.001 and 10.002. The market research techniques used are as follows:

As described in Section VI above, a SS/RFI was posted to beta.SAM.gov advising industry of the pending acquisition and soliciting inquiries from interested vendors. The SS/RFI was posted on 16 March 2020 under Solicitation Number FA8540-20-R-0004. There were two (2) vendors that responded to the SS/RFI. The vendors were evaluated for their capability and determined to be not capable based on not having access to the proprietary data as well as the lack of proper facilities/equipment for repair.

The initial research was accomplished through internet databases and office knowledge, which provided a starting group of some companies who might be considered capable of satisfying the contract requirements.

First, FEDLOG ("\\uhhy-fs-201v\robins_applications\fed log\imd.exe") was queried to determine if there were other part number descriptors or other information that could be utilized for the search.

FEDLOG indicated that Lockheed Martin was the approved sole source of supply for the LANTIRN Navigation Pod AN/AAQ-13.

A search was performed on System for Award Management (SAM) (https://sam.gov/SAM/) (formerly CCR) for the OEM’s CAGE (04939) and was reviewed to find any applicable North American Industry Classification System (NAICS) (http://www.census.gov/eos/www/naics/) code listings that were applicable to the item being researched (the OEM is a large company and therefore conducts business in many areas).

Small Business Administration Dynamic Small Business Database (http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm) was searched centered on the NAICS code for engineering services (334511). The NAICS code search for 8(a) Certified or 8(a) Joint Venture, Small Disadvantaged Business and HUBZone certification resulted in no small businesses being identified

Internet site queries included the

The LANTIRN Navigation Pod does not fit the definition of a commercial item as defined in FAR Part 2.101. This item is defined as military unique and is not customarily used by the general public or by non-Governmental entities. The Government requires parts that meet an exact form, fit, and function as determined by the specific mission. There are no aircraft in the commercial market with the same or similar components.

The market research concluded Lockheed Martin is the only vendor capable of fulfilling the Government’s requirement.

IX. ANY OTHER FACTS SUPPORTING THE USE OF OTHER THAN FULL AND

OPEN COMPETITION

None.

X. LIST OF SOURCES THAT EXPRESSED, IN WRITING, AN INTEREST IN THE

ACQUISITION

See Section VI above.

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

While the current market research indicates a sole source environment for the LANTIRN Navigation Pod, the Government will continue to engage with the OEM on an annual basis, prior to each ordering period to determine the feasibility of procuring the TDP.

The plan to break barriers to competition in the prior J&A was to encourage Lockheed Martin to optimize the use of commercial practices and Commercial-Off-The-Shelf (COTS) items. The Government has held several meeting with Lockheed Martin Corporation to discuss their obsolescence plan going forward and verify that COTS items are being bought whenever possible. The availability of COTS items ensures the Government has options to present to the OEM that some LRUs can be repaired using commercial items instead of a specially manufactured part by the OEM. It has been determined that Lockheed Martin has maximized the usage of updated commercial practices and their COTS programs when suitable products are verified.

Based on fulfillment of the prior plan, the current J&A does not require higher level approval in accordance with DFARS PGI 206.304(a) (S-70) (ii).

XII. CONTRACTING OFFICER’S CERTIFICATION

As evidenced by my signature on the Coordination and Approval Document (CAD), I have determined this document to be both accurate and complete to the best of my knowledge and belief.

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

As evidenced by my (our) signatures on the CAD, I (we) have certified that any supporting data contained herein which is my (our) responsibility, is both accurate and complete.