Redacted_JA_Mathworks.pdf

J&A- 20-0193

DEPARTMENT OF THE NAVY

NAVAL AIR WARFARE CENTER AIRCRAFT DIVISION

21983 BUNDY ROAD, BLDG 441

PATUXENT RIVER, MD 20670-1127

J&A _20-0193

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 a sole source, single award indefinite delivery, indefinite quantity (IDIQ) contract utilizing firm fixed price orders to purchase MATHWorks products and services over a five year period from MATHWorks, Inc., 1 Apple Hill Drive, Natick, Massachusetts 01760-2098. This IDIQ contract will be centrally managed by the NAWC-AD Digital Analytics Infrastructure and Technology Advancement Group (DAiTA) and be utilized as the sole contractual vehicle to provide MATHWorks products and services to the Department of the Navy (DoN).

3. Description of Supplies/Services.

This acquisition is for MATHWorks products and services including MATLab and Simulink software, toolsets, training, software maintenance and updates, and consultation services. This contract will encompass all products, upgrades, and services offered by MATHWorks, Inc.

during the five year ordering period.

The MATHWorks software products, such as MATLab, Simulink, and associated toolsets, provide engineers in the Research, Development, Test and Evaluation (RDT&E) community tools for technical analysis, modeling, and simulation in support of DoN programs. Specifically, MATLab is used for performing mathematical calculations, analyzing and visualizing data and writing new software programs; and Simulink is used for modeling and simulating complex dynamic systems, such as an aircraft flight control system. There are also over 75 additional toolsets for specialized functions, such as processing images and signals, and analyzing system data. This requirement was previously satisfied under contract N68936-16-D-0005 that expired in June 2019, under a sole source purchase order N0042119P0801 for NAVAIR only requirements that expires 31 May 2020 and a variety of individual contracts at the other DoN sites.

As shown in the table below, the total estimated value of this acquisition is $49.51M inclusive of all orders over the five year ordering period.

Due to the number of customers using this contract, the appropriation types are currently unknown.

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. Ref: FAR 6.302-1(a)(2)(ii )

5. Rationale Justifying Use of Cited Statutory Authority.

MATHWorks is currently in use throughout NAVAIR, including its subordinate commands (e.g., NAWC-AD, NAWC-WD). This product is also utilized by numerous other Navy organizations, warfare centers, and laboratories (e.g., NAVSEA Dahlgren, Panama City, NUWC, NAVWAR). These users are supported either through the NAVAIR centrally managed licenses available on NMCI, hosted on the RDT&E networks, or through individual licenses installed locally. The central management of a single DoN based Enterprise License structure and associated infrastructure will ensure compatibility of the most recent software available across all DoN users. These licenses are procured and the price is based on license utilization rates as defined in an over-arching Enterpise License Agreement (ELA), which does not require the purchase of a fixed number of licenses or usage sites. While MATHWorks software products are commercially available through retailers, training and consulting services are not authorized under the retailer agreements and are only available directly through MATHWorks, Inc.

Additionally, while retailers sell maintenance agreements, these maintenance services are still provided directly by the OEM. MATHWorks resellers require the purchase of a fixed number of licenses and limits the installations/users based on the licensed sites or approved maximum number of users. Only MATHWorks offers the flexible utilization based Enterprise Licensing structure that does not limit how many installations, users or sites that is required to support the Navy requirements. Furthermore, access to the technical support, training, and consulting services are critical due to the highly dynamic nature and revolutionary way that NAVAIR utilizes these products. These activities are only available from MATHWorks, Inc. Without this support, the software alone will not satisfy the following requirements: supporting emerging analysis, calculation, modeling, and simulation. In addition, the flexible utilization based Enterprise License structure and cost model provides cost savings versus buying fixed licenses for all potential users or users that may only require access to the software on an extremely limited basis. Given the extensive use of the MATHWorks tool within NAVAIR and at other Navy sites, to pursue an alternate contracting approach would result in a significant delay to this procurement and would also have an adverse impact on technical analysis, modeling, and

2020 2021 2022 2023 2024 Grand Total 7,752,343.00$ 8,527,578.00$ 8,953,957.00$ 9,401,655.00$ 9,871,737.00$ 44,507,270.00$ 1,000,000.00$ 1,000,000.00$ 1,000,000.00$ 1,000,000.00$ 1,000,000.00$ 5,000,000.00$ 8,752,343.00$ 9,527,578.00$ 9,953,957.00$ 10,401,655.00$ 10,871,737.00$ 49,507,270.00$

Training / Consulting Total

Software Licenses simulation efforts in support of DoN programs. The estimated procurement delay would be in excess of twelve months to conduct appropriate analysis of separate software tools for functionality, network, server and license deployment requirements, software approval and accreditation requirements. The technical impact would span several years to achieve the same level of technical proficiency on the product and to migrate all previous developed tools, models, and simulations into an alternate package and validate their performance.

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

A sources sought was issued on Federal Business Opportunities (FBO) website on 26 February 2020 until 12 March 2020. The sources sought was to request information to identify other potential vendors as part of the market research activities and satisfy the requirement of DFARS PGI 206.302-1. Only MATHWorks expressed an interest in this requirement and no other responses were received as a result of the request for information. No additional market research was conducted because it is not practical for the reasons identified in paragraph 5 above for any company other than MATHWorks to provide the required products and services.

7. Determination of Fair and Reasonable Cost.

In accordance with FAR 15.402, the Contracting Officer shall ensure all supplies and services provided under this contract are procured at a fair and reasonable price. The Procuring Contracting Officer (PCO) will utilize historical pricing data from the current contract, the commercial price list for software products and the expertise of the Government requirement owners to establish the Government’s position for the basic ceiling value of the contract. The PCO will utilize cost and price analysis techniques and the data listed above as the basis for negotiating a fair and reasonable price for the supplies and services at the individual order level.

8. Actions to Remove Barriers to Future Competition.

To remove barriers to future competition for MATHWorks products due to the reliance on reseller agreements from MATHWorks, Inc and to create additional potential sources the Government will continue to evaluate the state of the industry with regards to whether alternate software packages will meet the performance requirements in the future.

Because this effort is a follow-on for supplies and services previously awarded on a non-competitive basis, in accordance with DFARS PGI 206.204(a) (i), the prior J&A was provided to the approval authority for review. Approval of this J&A signifies the approval authority has made the determination required by DFARS PGI 206.304(a) (ii).

CERTIFICATIONS AND APPROVAL

TECHNICAL/REQUIREMENTS CERTIFICATION

I certify that the facts and representations under my cognizance which are included in this Justification and its supporting acquisition planning documents, except as noted herein are complete and accurate to the best of my knowledge and belief.

Technical Cognizance:

5/4/2020

CONTRACTING OFFICER CERTIFICATION

I certify that this Justification is accurate and complete to the best of my knowledge and belief.

5/4/2020

Signature Name (Printed) Phone No. Date

APPROVED

Upon the basis of the above justification, I hereby approve the solicitation of the proposed procurement(s) described herein using other than full and open competition, pursuant to the authority of 10 U.S.C. 2304(c)(1), Only one responsible source and no other supplies or services will satisfy agency requirements.

DateDirector, Procurement Group Naval Air Systems Command