SDP JA Redacted.pdf

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

FOR OFFICIAL USE ONLY

March 2020 FOR OFFICIAL USE ONLY Page 2 of 6March 2020 FOR OFFICIAL USE ONLY Page 2 of 6

I. Agency and Contracting Activity.

Department of the Air Force, Air Force Installation Contracting Center (AFICC), 763d Enterprise Sourcing Squadron (763 ESS/ PKB), 510 POW MIA Dr., Scott AFB, IL. 62225. This is a Justification and Approval (JA) for Other than Full and Open Competition. Purchase Request (PR) numbers have been received to fund this requirement.

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

The individual Justification and Approval (JA) for Other Than Full and Open Competition is to award a new firm-fixed-price follow-on contract to Jeppesen Sanderson, Inc. (Jeppesen) 55 Inverness Drive East Englewood, CO 80112-5498.

III. Description of supplies/services required to meet agency needs (including the estimated value).

In the performance of this requirement, the contractor shall devlop and provide a web-based SDP takeoff performance system for the defined Mission Design Series (MDS) based on each aircraft manufacturer's performance algorithm, as well as real time derived data to make takeoff calculations. Aircraft requiring SDP subscriptions include C-5M, KC-10, KC-46, C-17, KC-135, C-130H, C-130J, C-37A, C-21A, RC-26B, E-3 and E-8C. The government may add new or delete MDS aircraft, as necessary, to the contract list.

The contractor shall have a program in place to provide a self-dispatching capability through fast and precise calculations.

The program shall provide flight crews a standalone, self-contained ability to calculate the takeoff analysis, landing analysis and weight and balance information integrated for use in an electronic flight bag (EFB) while disconnected from the internet. This capability must be tailored to each specific MDS defined in the PWS utilizing a combination of pre-loaded and real time information. These derived calculations correct for pressure variation, runway conditions, engine bleeds and Minimum Equipment List (MEL) items.

The contractor shall have a program in place to add new MDS aircraft when required. The program shall provide an initial airport analysis and SDP start-up service for the new MDS aircraft model. This service includes integration of the aircraft performance manual, running a Standardized Computerized Aircraft Performance (SCAP) module in multiple configurations against published climb gradients, obstacle, terrain and environmental data (initial airport analysis) for a government approved list of airports (initial airport surveillance list), design of engine-out graphic procedures and training on use of SDP service for each MDS. The contractor shall use data based on a Government approved Airplane Flight Manual (AFM), Technical Order (TO), or current versions of Original Equipment Manufacturer (OEM) supplied and updated by the Government for each MDS. The contractor shall also identify environmental data, which includes runway surface condition.

The runway surface conditions shall include wet (when available) and standard dry performance data, pressure corrections and wind corrections (where applicable) as determined by specific Government MDS Point of Contacts (POCs). The contractor shall deliver these services via a secure (username/password) web portal or other aircraft specific data delivery methods as specified in the PWS.

Estimated Price of Requirement

Base Period: 15 September 2021 - 14 September 2022

Option Year 1: 15 September 2022 - 14 September 2023

Option Year 2: 15 September 2023 - 14 September 2024

Option Year 3: 15 September 2024 - 14 September 2025

Option Year 4: 15 September 2025 - 14 September 2026

March 2020 FOR OFFICIAL USE ONLY Page 3 of 6March 2020 FOR OFFICIAL USE ONLY Page 3 of 6

6 month extension: 15 September 2026 - 14 March 2027

IV. Statutory authority permitting other than full and open competition.

10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1(a), required by FAR 6.303-2(b)(4), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

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

Air Force Instruction (AFI) 11-202, Vol. 3, Instrument Flight Rules, requires Air Force (AF) aircraft to "...vertically clear all obstacles along the planned route of flight with an engine out." Also, Federal Aviation Regulation (FAR) 121.189 requires that air transport category aircraft be at a height of 35 feet by the end of the takeoff surface. Special Departure Procedures (SDPs) are aircraft and location specific contingency procedures and routings that provide aircraft one-engine out departure guidance with verifiable terrain clearance at specified gross weights and takeoff conditions. Special Departure Procedures, a standard for air carriers, are essential to the safety of both departing aircraft and the surrounding communities to ensure obstacle clearance in the event of an engine failure and/or similar loss of aircraft performance. Federal Aviation Administration (FAA) Advisory Circular 120-91 Airport Obstacle Analysis covers many aspects of one engine inoperative departure planning.

This requirement is a follow-on to FA4452-16-C-0009, which was awarded on 14 September 2016 to Jeppesen using other than full and open competitive procedures under the authority of 10 USC 2304(c)(1) as implemented by FAR 6.302-1(a). The contract is currently in the last option period and will expire on 15 September 2021. Additionally, the contract has the six month option to extend services clause which has not yet been utilized. The previous contract was awarded for $8.3 million.

The follow-on is estimated to be to account for the addition of OPT for the KC-10, C-17, and KC-135, as well as the addition of the JSTARs aircraft.

Although Jeppesen is not the only source providing special departure support in the marketplace, they are currently the only source available that has developed and fielded the highly specialized SCAP software modules supporting all twelve aircraft identified in the PWS. Technical data rights, source code and SCAP software for SDPs generated for the United States Air Force (USAF) by Jeppesen remain the property of Jeppesen. Jeppesen has chosen to retain exclusive ownership of their specialized software source code for the noted SDPs and associated SCAP modules. If award were made to any other source, the Government would lose access to the software and data used to generate emergency routing procedures until the awardee develops and tests the software supporting all twelve aircraft identified in the PWS. Therefore, this acquisition is for continued performance of a highly specialized service. Due to the proprietary data rights being owned by Jeppesen, award to any other source would result in unacceptable delays and duplication of cost.

An unacceptable delay would result in an approximate delay of 19 months from utilizing another vendor, as SCAP module development and re-digitization takes approximately 16-18 months for the new vendor to manipulate the SCAP with their data, and government verification and testing takes approximately 1 month.

Additionally, there is a duplication of a cost if award to another vendor of approximately $350K or more in fulfilling the Air Force's requirements. As it pertains to SCAP module development and their associated costs, $350K was derived from historical previous SCAP module development an associated modifications. Updating a C-130J from an existing C-130H model cost $100,500; updating performance data from a previously developed KC-10 SCAP - $58,350; updating performance data from a previously developed KC-135R SCAP - $73,950; and recent SCAP mod updates for the C-17- $220,200 and $138,975 respectively. All of these minor SCAP module updates requiring less than 100 hours of labor (PWS para 1.5.14). A total SCAP build takes months, thus generating cost in excess of $300K to $350K. The duplication of cost is not expected to be recovered through competition.

Another contractor, AeroNavData, responded to the Sources Sought notice. It was confirmed in an email with Jeppesen representative Jeff Gonzales on 18 February 2021 that AeroNavData does not have access to the proprietary data currently

March 2020 FOR OFFICIAL USE ONLY Page 4 of 6March 2020 FOR OFFICIAL USE ONLY Page 4 of 6 used on the SCAP modules. The Mission Partner reviewed their response and found them incapable of meeting the requirements due to Jeppesen's proprietary data rights which leads to the unacceptable delays and duplication of cost identified above.

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 notice was posted to BetaSAM and GSA Oasis Pool 1(unrestricted) on 28 October 2020. The notice requested capability packages for the requirements outlined in the attached Performance Work Statement (PWS). Responses to the Sources Sought were to be received by 11 November 2020, however the closing date of the notice was extended to 09 December 2020 to encourage contractor participation.

The Sources Sought notice requested interested businesses submit a brief capability statement to include examples of experience in developing and providing textual and graphical aircraft SDPs, and development of aircraft operation configurations. A total of two companies responded to the Sources Sought notice. Both companies, AeroNavData and Jeppesen, are large businesses under the applicable NAICS code 541360. There were no other responses received via BetaSAM or Oasis Pool 1.

Both of the potential contractors were registered in the System for Award Management (SAM) and neither of them had active exclusions as of 30 December 2020.

An assessment of Jeppesen's capability to meet the SDP requirements was conducted on 17 December 2020. The Mission Partner, after reviewing Jeppesen's capability statement, determined that Jeppesen is technically capable of performing the PWS requirements.

An assessment of AeroNavData's capability to meet the SDP requirements was conducted on 17 December 2020. It was confirmed in an email with Jeppesen representative Jeff Gonzales on 18 February 2021 that AeroNavData does not have access to the proprietary data currently used on the SCAP modules. The Mission Partner, after reviewing AeroNavData's capability statement, determined that AeroNavData is technically incapable of performing the PWS requirements due to the significant delay and additional cost that it would take for AeroNavData to develop SCAP modules.

Updating a C-130J from an existing C-130H model cost $100,500; updating performance data from a previously developed KC-10 SCAP - $58,350; updating performance data from a previously developed KC-135R SCAP - $73,950; and recent SCAP mod updates for the C-17- $220,200 and $138,975 respectively. All of these minor SCAP module updates requiring less than 100 hours of labor (PWS para 1.5.14). A total SCAP build takes months, thus generating cost in excess of $300K to $350K and significant delay of 16-18 months.

Additional potential sources, identified through previous market research, that provide some type of SDP service are CAVU Companies, and MDA, both small businesses. The Contract Specialist reached out to both companies, however neither of these potential sources responded to the Sources Sought notice. Additional research found that CAVU only supports the Boeing 767 and some Learjet and King Air military variants.

This sole source requirement will be synopsized in accordance with (IAW) FAR 5.201(a).

A NOCA will be publicized quarter 4 of fiscal year 2021.

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

For the proposed sole source acquisition, the contracting officer will enter price negotiations in accordance with (IAW) FAR 15 to ensure the final price will be fair and reasonable. Certified Cost or Pricing Data is not required for this effort. FAR 15.403-1(b)(3) states Certified Cost or Pricing Data is not required when a commercial item is being acquired. Other than Certified Cost or Pricing data will be obtained from Jeppesen to determine the price to be fair and reasonable. The government will evaluate the offeror's proposed price for price completeness and reasonableness.

March 2020 FOR OFFICIAL USE ONLY Page 5 of 6March 2020 FOR OFFICIAL USE ONLY Page 5 of 6

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, market research was conducted by issuing sources sought notices, advising industry of the pending acquisition and soliciting inquiries from interested parties. Sources Sought notices were posted to BetaSAM and GSA Oasis Pool 1, on 28 October 2020. Additional market research was conducted using a variety of techniques including discussions with the requiring activity and review of the current contract for SDP support.

The Contract Specialist reached out to the current contractor, Jeppesen , to make them aware of the posting on BetaSAM and Oasis Pool 1. Jeppesen provided a response via BetaSAM on 11 November 2020. Their response was deemed capable by the Mission Partner on 17 November 2020.

The Contract Specialist did further market research by reviewing the previous market research report (MRR) for contract FA4452-16-C-0009 which indicated that Jeppesen was the only company capable of performing the SDP requirement.

That MRR also identified Cavu company (large), AeroNavData (large) and MDA Systems as potential sources. The Contract Specialist reached out via email to Cavu, AeroNavData, and MDA Systems to identify interest and capability. Although Cavu did show interest in the requirement at first, they chose not to provide a capability statement since they cannot perform the services described in the PWS in a timely manner as stated in their email on 16 November 2020. MDA Systems also stated that they would not be providing a capability statement due to the time constraint that exists to fulfill this requirement. AeroNavData provided a response to the Sources Sought on 09 December 2020. However, the Mission Partner determined that the contractor was not technically capable of meeting the requirements due to an inability to provide the SCAP module on time. Although AeroNavData could provide the SCAP module, it would take approximately 16-18 months for them to develop the specifics required in the SCAP module. This delay is unacceptable due to the Government's continuation of need in September 2021.

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

None.

X. List of any 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.

The previous J&A states that the purpose of the contract is to provide time for the market to mature to the point this requirement may be able to be awarded competitively. Since the contract was awarded, the market has had five years to mature and has proved to be the same.

AeroNavData's response noted their capability to support the requirement, however all of AMC MDS's would have been without SDPs for a conservatively estimated 16-18 months while AeroNavData developed SCAP modules. There would also be an additional cost of developing their own SCAP modules of $350K+ that would be associated if AeroNavData were to perform the services required. If Jeppesen would eventually sell the data rights to their proprietary software, this is something that would overcome barriers to competition. We will continue to look at the market for future acquisitions. The Air Force also is not capable of performing this service in house, as found in the current contract's Market Research.

As described in section III above, the planned acquisition is an effort to continue legacy support with a POP of up to 66 months, inclusive of the Option to Extend Services clause. The options are included to allow sufficient time for technical and market maturation that may improve the competitive environment for military SDP services. In accordance with FAR 17.207(c)(3) the contracting officer may exercise options only after determining that the exercise of the option is the most

March 2020 FOR OFFICIAL USE ONLY Page 6 of 6 advantageous method of fulfilling the Government's need, price and other factors considered. As such, AMC/A3 and 763 ESS will keep dialog open with industry and prior to exercising option periods will consider if a competitive environment exists.

Although, due to the unique nature of the USAF SDP service, proprietary Jeppesen source code and software generated, it will be difficult to reduce the current barriers to competition.

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.