Redacted JA Posting.pdf

CUI

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. Agency and Contracting Activity.

This Justification and Approval to request authority for Other Than Full and Open Competition (OTF&OC), supports requirements generated for the Air Force Life Cycle Management Center (AFLCMC), Agile Combat Support (ACS) Directorate, Electronic Warfare and Avionics System Program Office (AFLCMC/WNY). The contracting activity for this requirement is AFLCMC/WNKD. The purchase request number supporting this contracting action is FD2060- 23-30042.

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

Due to the circumstances described herein, the activity requests authority to acquire the engineering services listed in the document using OTF&OC as prescribed by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

This action will result in the award of a follow-on Indefinite Delivery Indefinite Quantity (IDIQ) ten-year contract with five (5) 12-month ordering periods and an option for an additional five (5) 12-month ordering periods. This contract will have Firm Fixed Price (FFP) and Cost Reimbursement No Fee (CRNF) pricing arrangements. Orders can be issued on this IDIQ contract for five years with an additional five years if the option is exercised. The ordering period is projected to be 02 April 2023 through 01 April 2033.

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

Peraton Inc.

12975 Worldgate Dr, STE 7322 Herndon, VA 20170-6008

CAGE: 0HD54

Large Business

This IDIQ contract 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 supplies/services required to meet agency needs (including the estimated value).

This requirement is in support of the AN/ALQ-161A system which is a Low Density, High Demand system, and highly specialized due to the complexity and large number (approximately

) of Line Replaceable Units (LRUs) supported. The AN/ALQ-161A system is the defensive integrated Radio Frequency (RF) Electronic Countermeasures system designed specifically for the B-1B bomber aircraft. The ALQ-161A system is designed to detect and counter all modes of radar based weapon systems; this includes detecting and jamming ground based, and airborne threats. It also provides a tail warning function to detect and countermeasure incoming missiles from the aft sector. The ALQ-161A system protects the B-1B and other aircraft in flight formation. The complexity of the ALQ-161A system requires a specialized skill set to meet the sustainment requirements.

The engineering services required to maintain and sustain the B-1B AN/ALQ-161A Defensive Avionics Subsystem (DAS) includes:

- Engineering support services for the AN/ALM-280, Enhanced Automated Special Test Equipment (EASTE)

- Engineering support services for the AN/ALQ-161A system software qualification and test for all ongoing and future AN/ALQ-161A deficiency analyses, technical inquiries, Preprocessor Flight Software (PFS) block cycle change programs, and laboratory maintenance/upgrade efforts

- Engineering support and configuration management support for the B-1B DAS sustainment efforts, along with maintaining the Electronic Warfare Avionics Integrated Support Facility (EWAISF) and Integration Facility for Avionics System Testing (IFAST) in order to accomplish Electronic Warfare Integrated Reprogramming (EWIR) hardware in the loop (HITL) test and evaluation including Operational Recon.

- Provide sustainment support to the Product Group Manager for the AN/ALQ-161A and AN/ALM-280 system. Participate in all phases of the multi-year sustainment efforts, including development of software solutions that can be fielded in a timely manner to support the United States Air Force (USAF) mission.

- To support planning, development, execution, post-test analysis, and, reporting of lab testing, including software configuration management functions.

- Provide engineering test support for other software system products which are directly impacted by or related to the PFS. These software products may include, but are not limited to, Emitter Identification Data, Emitter Reprogramming Software, AN/ALM-280 EASTE software, Common Aircraft Portable Reprograming Equipment software, LRU firmware, and system lab and data analysis tools.

The total estimated amount and nominal Contract Line Item Numbers (CLINs) schedule is as follows:

Basic Ordering Period (Apr 2023-Apr 2024):

Pricing Type Task Descriptions Estimated Cost

CLIN 0001 FFP Engineering Services

CLIN 0002 CRNF Material

CLIN 0003 CRNF Travel and Per Diem

CLIN 0004 FFP Data

CLIN 0005 FFP Over and Above

Sub-Total

Total

Ordering Period I

(Apr 2024-Apr 2025):

Pricing Type Task Descriptions Cost

CLIN 1001 FFP Engineering Services

CLIN 1002 CRNF Material

CLIN 1003 CRNF Travel and Per Diem

CLIN 1004 FFP Data

CLIN 1005 FFP Over and Above

Ordering Period 2

(Apr 2025-Apr 2026):

Pricing Type Task Descriptions Cost

CLIN 2001 FFP Engineering Services

CLIN 2002 CRNF Material

CLIN 2003 CRNF Travel and Per Diem

CLIN 2004 NSP Data

CLIN 2005 FFP Over and Above

Ordering Period 3

(Apr 2026-Apr 2027):

Pricing Type Task Descriptions Cost

CLIN 3001 FFP Engineering Services

CLIN 3002 CRNF Material

CLIN 3003 CRNF Travel and Per Diem

CLIN 3004 NSP Data

CLIN 3005 FFP Over and Above

Ordering Period 4

(Apr 2027-Apr 2028):

Pricing Type Task Descriptions Cost

CLIN 4001 FFP Engineering Services

CLIN 4002 CRNF Material

CLIN 4003 CRNF Travel and Per Diem

CLIN 4004 NSP Data

CLIN 4005 FFP Over and Above

Ordering Period 5

(Apr 2028-Apr 2029):

Pricing Type Task Descriptions Cost

CLIN 5001 FFP Engineering Services

CLIN 5002 CRNF Material

CLIN 5003 CRNF Travel and Per Diem

CLIN 5004 NSP Data

CLIN 5005 FFP Over and Above

Ordering Period 6

(Apr 2029-Apr 2030):

Pricing Type Task Descriptions Cost

CLIN 6001 FFP Engineering Services

CLIN 6002 CRNF Material

CLIN 6003 CRNF Travel and Per Diem

CLIN 6004 NSP Data

CLIN 6005 FFP Over and Above

Ordering Period 7

(Apr 2030-Apr 2031):

Pricing Type Task Descriptions Cost

CLIN 7001 FFP Engineering Services

CLIN 7002 CRNF Material

CLIN 7003 CRNF Travel and Per Diem

CLIN 7004 NSP Data

CLIN 7005 FFP Over and Above

Ordering Period 8

(Apr 2031-Apr 2032):

Pricing Type Task Descriptions Cost

CLIN 8001 FFP Engineering Services

CLIN 8002 CRNF Material

CLIN 8003 CRNF Travel and Per Diem

CLIN 8004 NSP Data

CLIN 8005 FFP Over and Above

Ordering Period 9

(Apr 2032-Apr 2033):

Pricing Type Task Descriptions Cost

CLIN 9001 FFP Engineering Services

CLIN 9002 CRNF Material

CLIN 9003 CRNF Travel and Per Diem

CLIN 9004 NSP Data

CLIN 9005 FFP Over and Above

FY2023 - FY2033

GRAND TOTAL

The total estimated contract value of this acquisition is . The basis for the estimated cost was derived from historical on previous contract and additional cost for field service support associated with sustainment of the ALQ-161A.

Orders can be issued on this IDIQ contract for five years with an additional five years if the option is exercised. The ordering period is projected to be 02 April 2023 through 01 April 2033.

The orders will be funded with Operation and Maintenance 3400 funds. This J&A covers the ordering period of the IDIQ through completions of all 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 IDIQ 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 of supplies and services within a definite period.

IV. Demonstration that the contractor's unique qualifications or the nature of the acquisition requires use of the authority cited above (applicability of authority).

The agency’s minimum requirements can only be satisfied by the unique services available from Peraton who acquired a division/portion of Harris Corporation (formerly Exelis, previously EDO Corporation); the original designer of the AN/ALQ-161 and AN/ALM-280 system who possesses the specialized knowledge, skills, and abilities to support and sustain the AN/ALQ- 161A and AN/ALM-280 systems.

The sustaining engineering post-production maintenance support requires utilization of the following unique Peraton proprietary diagnostic tools:

Electronic Combat Analysis System - ALQ-161 performance baseline by Original Equipment

Manufacturer (OEM) Robust Automated Scoring System (RASS) - OEM proprietary output file format Truth Data Capture Utility - unique interface between Combat Electromagnetic Environment

Simulator (CEESIM) and ALQ-161A Air Force Simulator - unique generator of inputs to ALQ-161A during test.

Lab Quantitative Performance Measurement (LQPM) Central Integrated Test System (CITS) Emulation software

Peraton is the only vendor who possesses AN/ALQ-161A and AN/ALM-280 proprietary technical data and tools and has the unique ability to provide software sustainment and updates, deficiency analysis, recommendations for deficiency corrective actions, and test support. There are no other vendors that have the necessary system knowledge and familiarity with the organizational test processes to meet the services requirements.

The last sole source AN/ALQ-161A and AN/ALM-280 sustainment contract with Peraton was FA8523-15-C-0007. This contract expired 29 Mar 2019. Other contracts that supported AN/ALM-280 EASTE and PFS qualification and test support are orders against IDIQ FA8523- 18-D-0005 as follows: AN/ALM-280 EASTE and PFS CONTRACT HISTORY

Contract Number Contractor Award Date Completion Date FA8523-18-F-0047 Peraton 19-Sept-18 02-Apr-19 FA8523-19-F-0038 Peraton 03-Apr-19 02-Apr-20 FA8523-20-F-0020 Peraton 03-Apr-20 02-Apr-21 FA8523-21-F-0016 Peraton 02-Apr-21 01-Apr-22

The Government has ownership of the AN/ALQ-161A Operating System Software (only) which does not control the ALQ-161A Threat Programs. The contractor has been training the organic team to support the EASTE software to account for an 80% organic effort. The proprietary tools accounts for the 20% contractor support. Peraton owns proprietary rights to the CITS Emulation software, Avionics Simulator, Subsystem Box, LQPM, and Rapid Analysis Scoring Software RASS. All of these software systems control and operate the ALQ-161A System. Without the software programs, the AN/ALQ-161A system will not operate and its capability cannot be assessed. In addition, a complete data documentation would be required to support laboratories in use of Peraton proprietary diagnostic tools. Specialized skills and experience are required to operate these diagnostic tools.

The available technical data for the AN/ALQ-161A is not sufficient, accurate, or legible to support a Full and Open Competition. The Government requested a Rough Order of Magnitude (ROM) for technical data with full data rights on October 2021 which the Peraton declined to provide. In addition, the Government requested a ROM for the combined ALQ- 161A/EASTE/EWAISF follow-on effort and proprietary data on 14 November 2022. Peraton declined and stated they will not sell or provide the Government or any supplier with any technical data.

Peraton has the detailed knowledge, skills and abilities required to operate and maintain several EWAISF unique systems, including but not limited to the LRU cooling system, EWAISF ASQ- 184 Controls and Displays Mockup, Ground Facility Recording System II, RF Leakage Array, LRU Forced Air Cooling Array, and Aircraft 1122 Switch Array. Many of these unique systems are one-of-a-kind, stored in-house, and have been designed, built, maintained, and upgraded (as required) by Peraton since the 1980s.

A new vendor would be required to develop a full, formal AN/ALQ-161A technical data package (TDP) to become qualified. The cost to develop a complete TDP is estimated to be approximately $32.2M and take more than 48,000 dedicated man-hours to develop. The estimates were based on engineering project data for other work efforts to reverse engineer replacement subassemblies within hardware LRU(s). To prevent degradation in support, any effort to qualify a new source would be extensive and would have to be accomplished while continuing on-going sustainment support from Peraton. Training a new source to perform the services is estimated to cost in excess of $25M and would require three plus (3+) years to complete, assuming the new source is proficient in Electronic Warfare theory. Furthermore, a Test and Evaluation program would have to be developed to determine if the new vendor can meet the Government requirements and standards to support the AN/ALQ-161A program. An estimated total cost of $57.2M and 3+ years for training and TDP development would be required to potentially compete this requirement and would result in a substantial duplication of cost that would not be recovered through competition. Even at a 20% savings via competition (est $1.3M per year), it would take 44 years to recoup the investment. Based on the current life cycle timeline of the AN/ALQ-161A, it is estimated to remain on the B-1B until 2040. Based on engineering analysis and market research, a return on investment (ROI) in qualifying a new vendor could not be reached by 2040.

Accordingly, Peraton is the only firm capable of providing the services described in Section III above without the USAF experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements.

V. 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 Request for Information (RFI) was posted to Sam.gov on 01 December 2021 with a response date of 03 January 2022 under Solicitation #RFI21-EASTE-IVV. The RFI requested responses from interested vendors that possess the expertise, capabilities, and experience to meet qualification requirements for this effort. Three vendors, including the incumbent responded to the RFI. All vendors were evaluated for their capability and Peraton was determined the only capable vendor. The other two vendors did not have the knowledge and expertise of the system and access to the proprietary data and information of the AN/ALQ-161A system design, therefore were determined not capable.

In accordance with FAR 5.201, a Notice of proposed Contract Action (NOCA) was posted on Sam.gov 30 August 2022. It was anticipated that sources having an interest in subcontracting would be identified through this synopsis, however no vendors responded to the posted NOCA.

VI. 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 15.403-4, the contractor will be required to provide certified cost or pricing data to be used to support the Government's evaluation of the proposed cost. The proposed skill mix of labor, labor hours, types and quantities of material and other direct costs, and direct and indirect rates will be negotiated by the Government based on recommendations from the Defense Contract Management Agency and expert technical personnel supporting the program. The contract price will be negotiated in accordance with the procedures in FAR Part 15 ensuring the ultimate cost to the Government is fair and reasonable.

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

Market research was conducted 17 January 2022 through 15 February 2022 in accordance with FAR Part 10.001 and 10.002. The Market Research Report was completed on 16 February 2022.

Market research techniques used are as follows:

RFI: As described in Section V above, a RFI was posted to Sam.gov advising industry of the pending acquisition and soliciting inquiries from interested vendors. The RFI was posted on 01 December 2021 under Solicitation Number RFI21-EASTE-IVV; Three (3) vendors, including the incumbent responded to the RFI. Of the three vendors, Peraton was determined to be the only capable vendor.

Queries were conducted within Government data bases and various internet searches (as listed in the tables below) were performed using keyword “ALQ-161” to search for potential vendors.

Search Site Term Remove Term # Results # Vendors http://www.gsaadvantage.gov ALQ-161 No results No results http://www.testmart.com ALQ-161 No results No results http://www.thomasnet.com ALQ-161 No results No results https://www.sam.gov/ ALQ-161 5 0 http://www.google.com ALQ-161 -.mil -.gov 217,000 10

GSA Advantage: No results or summary was identified.

Testmart: No results or summary was identified.

Thomasnet: No results or summary was identified.

SAM.gov: The sam.gov webpage identified five (5) solicitations/pre-solicitations for the ALQ- 161A, and no contracts related to the AN/ALM-280 in the past year.

Google: Google identified 217,000 results for the search term “ALM-280” and 5,460 results for the search term “ALQ-161A.” Of those results, ten (10) companies were found to provide potential sources of supply requiring further investigation. None of the companies meet the ALQ-161A requirements, therefore were not capable.

Small Business Market: The Small Business Administration Dynamic Small Business Search (DSBS) database was searched for software, systems and engineering services etc., but again yielded no results related to the need. Market research efforts were focused on the critical experience with AN/ALQ-161A and AN/ALM-280 required to successfully provide software sustainment and updates, deficiency analysis, recommendations for corrective actions, and qualification and test support. The small business search was focused using key words along with the North American Industry Classification System (NAICS) code for Engineering Services: 541330. The NAICS code was used in conjunction with “ALM- 280,” “ALQ-161,” “Electronic Warfare,” and “test” to ensure a sufficient and accurate small business search was performed.

Search Site Term NAICS # Results # Vendors http://www.sba.gov ALQ-161 No results No results http://dsbs.sba.gov electronic warfare 541330 82 2 http://dsbs.sba.gov ALQ-161 541330 1 1

83 total small business vendors were found through searches but only fifteen (15) sources were evaluated from the internet search of large companies (10), small business companies (3), and responses to the RFI (2), As a result, only Peraton possesses the current capability to accomplish the performance requirements of this acquisition.

Commerciality of the effort: The AN/ALM-280 EASTE and ALQ-161A does not fit the definition of a commercial item as defined in FAR Part 2.101. This system is defined as military unique and is not customarily used by the general public or by non-Governmental entities. No other commercial providers have the necessary system knowledge and familiarity with the organizational test processes to meet the services requirements.

Conclusion: There are no companies capable to perform the services required to sustain the AN/ALQ-161A and AN/ALM-280 EASTE other than Peraton. Competitive markets are unable to support this effort since the software is proprietary. Peraton Inc. is the only capable source identified with proprietary data, intimate knowledge and experience with the theory and operation of the AN/ALQ-161A RFS/ECMS, CEESIM operation and local test process.

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

None

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

See Section V above

X. 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.

The AN/ALQ-161A was developed by the Peraton predecessor companies. The AN/ALQ-161A will require sustainment support until retirement of the B-1B. The B-1B is projected to remain in service until 2040. Presently, Peraton remains the only company that possesses proprietary AN/ALQ-161A TDP, tools, knowledge, skills, and abilities to meet the Government requirements to sustain the AN/ALQ-161A system and support of the EWAISF equipment.

To remove or overcome barriers to competition, the Government will continue to pursue obtaining the proprietary data every five years as a contract renewal stipulation. Market research functions will be conducted to determine if market conditions have changed and to determine if any barriers to future competition can be eliminated.

The prior plan was to continue pursuing purchase of data rights and establishing an 80% Organic and 20% Contractor Software Development on the ALQ-161A/AN-ALM-280. Peraton has consistently declined to sell the Government data rights. The 80/20 objective has been met and will continue throughout this contract. The 579th SWES maintains the knowledge, skills and abilities to support 80% of the ALQ-161A/AN-ALM-280 EASTE Software Development.

Peraton maintains the unique knowledge, skills and ability of the ALQ-161A/AN/ALM-280 EASTE required to provide 20% EASTE support. Since the prior plan was completed, higher level approval in accordance with DFARS PGI 206.304(a)(S-70(ii) is not required.

XI. Certification by the Contracting Officer.

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.

XII. Certification by the technical/requirements personnel.

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