FD20601800052_Redacted.pdf

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

I. CONTRACTING ACTIVITY

This Justification and Approval is to request authority for Other Than Full and Open Competition to support requirements generated for the Air Force Sustainment Center (AFSC), 638 Supply Chain Management Group (SCMG), 408 Supply Chain Management Squadron (SCMS) / GULB. The contracting activity for this requirement is Defense Logistics Agency (DLA) Procurement Operations Warner Robins, DLA/AW. The purchase request number supporting this contracting action is FD2060-18-00052.

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

Due to the circumstances described herein, the activity requests authority to procure the production of the redesigned legacy AN/ALQ-172 Line-Replaceable Units (LRU) using Other Than Full and Open Competition 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 a new Firm Fixed Price (FFP) seven year requirements type contract. The period of performance to include all deliveries is anticipated to be FY18-FY27. This sole source requirement will be procured from the following company:

Harris Corporation 77 River Rd Clifton, NJ 07014

CAGE: 28527

Large Business

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

AGENCY’S NEEDS

The purpose of this effort is for the production of the redesigned LRUs to replace legacy LRUs that are no longer sustainable due to obsolescence, Dimishing Manufacturing Sources and Material Shortages, and reliability issues due to the legacy technology of the LRUs. These LRUs are components of the AN/ALQ-172(V)2 and AN/ALQ-172(V)1 Countermeasure Set (CMS) applicable to the US Air Force (USAF) Global Strike Command B-52H strategic bombers (AN/ALQ-172(V)2), Air Force Special Operations Command MC-130H 'Talon II' transports (AN/ALQ-172(V)1) and AC-130 gunship platforms (AN/ALQ-172(V)1).

Under the contemplated contract, the initial items to be manufactured are the LRU-10 (NSN 5865- 01-668-8772EW) and LRU-12 (NSN 5865-01-669-5621EW). It is anticipated that additional

Only items assigned an AMC/AMSC restricted to Harris will be included in this contract. Any item determined to be competitively available after contract award may be deleted from the contract and competitively re-solicited.

IV. STATUTORY AUTHORITY PERMITTING OTHER THAN FULL AND OPEN

COMPETITION

10 U.S.C. 2304(c)(1) and 10 U.S.C. 2304(d)(1)(B), as implemented by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements, and FAR 6.302-1(a)(1)(2)(ii)(A)&(B).

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 AN/ALQ-172 is a highly specialized Electronic Warfare System on the B-52 aircraft as well as the various models of the C-130 aircraft used by Air Force Special Operations Command.

System design features include full automation, multiband coverage, simultaneous multiple threat recognition and jamming, digital computer control, "advanced" jamming techniques, a "high" effective radiated power value, threat re- programmability, a high-gain antenna array, a threat warning display, dual MILitary STanDard (MIL-STD)-1553 data bus interfaces and "extensive" built-in test capabilities. An automated diagnostics system allows flight-line crews to run a system self-test and obtain probable cause of failure down to the shop-replaceable unit level "in minutes." AN/ALQ-172(V)1 and (V)2 are fully automatic systems with the two variants differing from one another in the (V)2's use of phased- array antenna technology and its ability to counter emitters in addition to the baseline AN/ALQ-172(V) capability against pulsed, and continuous wave radar threats. The AN/ALQ-172 is integrated with the aircraft controls and displays and defensive subsystem to provide the aircrew with protection against radar-directed threats.

The LRU-10 is a common core Processor/Controller in the AN/ALQ-172(V). There is one located in the forward and one in the aft on the B-52 and C-130. It provides a portion of the AN/ALQ-172’s radar threat detection and electromagnetic countermeasure (ECM) response capabilities. The LRU-12 is a transmitter in the AN/ALQ-172 system. There is one located in the forward on the B-52 only.

The Government did not procure the legacy AN/ALQ-172 system-level data including hardware, software, and test interfaces between the system/LRU level test equipment and LRUs, and would still need to procure the other system and LRU-level data to support any full/open competition at the LRU-level. Successful production of any given LRU requires intimate knowledge of the overall system architecture and an appropriate testing environment because the AN/ALQ-172 system uses a “distributed processing” concept.

Harris was awarded sole source contracts FA8540-14-D-0002 (LRU-10) and SPRWA1-14-C- 0006 (LRU-12) in September 2014 to design Form, Fit and Function (FFF) replacements for the legacy LRUs. Harris submitted four prototypes for each LRU and the Government has approved them. Under the previous J&A for the above contracts, the Government contemplated procurement of LRU-level data packages. However, it was determined that the development/procurement of the system level data package including system/LRU Test Requirements Document (TRD) that would allow the Government to competitively procure each LRU as an individual asset is not feasible due to the cost and data rights the OEM owns. Due to the lack of overarching system and LRU-level Interface Control Documents (ICDs), the technical data produced under the LRU-10 and 12 contracts is not sufficient for future LRU competitive procurements but is sufficient to be used towards future organic test/verification efforts and/or shop replaceable unit (SRU) level competitive acquisitions. Moreover, the ATP being delivered to the Government will allow for future SRU level competitive spares buys.

Additionally, the Government approved ATP and QTP for the LRUs require a full hot mock-up of the AN/ALQ-172 system and an Enhanced Maintenance Test Station. The Government’s last attempts to purchase the system-level data including LRU interfaces and EMTS needed for the LRU level production from Harris was Nov. 2015, but Harris refused to sell the data to the Government. The Government does not possess any data for this system-specific test equipment.

The SRU-level data that shall be delivered at the end of each redesign will ensure that future reprocurement and repair of SRUs can be acquired competitively when required. Additionally, the Government can provide adequate SRU test equipment (such as the Versatile Depot Automatic Test Station) and test program sets (TPS) to qualify new sources whereas the required test equipment to qualify new sources for the LRUs cannot be provided.

An 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 requirements. These components are critical to the overall functionality of the electronic warfare system in which it resides and have reached their repair service life resulting in more and more condemnations of assets due to the age of the system and 1980’s technology.

Any further delay is not acceptable to meet the Government’s requirements for LRU production assets because of the current usage/demand rates and the low mean time between failures (MTBF) of these LRUs. Also, AFGSC and AFMC are currently pursuing B-52 EW upgrade programs utilizing the redesigned LRU-10 beginning in FY20 which depend on timely fielding of the redesigned LRUs. Once the existing legacy LRU inventories are replaced during the envisioned contract period of performance, no further LRU procurement is anticipated.

Using another source for procurement would require a vendor to obtain all the redesigned LRUs to reverse engineer the LRUs and obtain several GFP items which are unavailable because they will remain dedicated under other Harris contract efforts. The time required to competitively award a contract, receive production of first articles, and complete the required production at a LRU level is estimated to take a minimum of five to six years per LRU based upon the experience with current OEM efforts and previous experience with ETMS and AN/ALQ-172 hot mock-up design and production. Due to the critical demand, limited schedule, and lack of future need, it is not in the Government’s best interest to develop another qualified source at the LRU level.

No commercial product data sheets, test data, qualification data, and support manuals are available for the LRU-10 and LRU-12, which is defined by a US Government Source Control Document (SCD).

Accordingly, Harris Corporation is the only firm capable of providing the supplies described in Section III above 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 its requirements.

VI. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS DEEMED PRACTICABLE

The Sources Sought Synopsis (SSS) Requests for Information (RFI # 5865-01-531-9953 and 5865-01-424-6013) were submitted to Federal Business Opportunities (FedBizOpps) on June 30, 2017 and closed on July 17, 2017. No responses to either SSS were received from any potential sources/vendors.

This requirement will be synopsized on the Federal Business Opportunities (FedBizOpps) web page as required by 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 for subcontracting possibilities.

Future additions to this LTC will be advertised in FedBizOpps, in accordance with FAR 5.201 to ensure that potential alternate sources are aware of the requirement and are provided an opportunity to express interest in supplying the applicable item.

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 15.403-4, the contractor will be required to provide certified cost or pricing data to be used in supporting the Government’s evaluation of the proposed cost. The proposed skill mix of labor, labor hours, types and quantities of material, other direct costs, and direct and indirect rates will be negotiated by the Government based on recommendations from the Defense Contract Audit Agency (DCAA) and expert technical personnel supporting the program. The contract price will be negotiated in accordance with the procedures in FAR Part 15. Based on the foregoing, the Contracting Officer hereby determines the anticipated cost to the Government will be fair and reasonable.

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 October 2017 as outlined by FAR 10.002 using the following methods: reviewing industry reports, trends and product developments; discussions with industry representatives; internet searches; and industry knowledge possessed by the AN/ALQ-172 Engineering staff.

Market research also consisted of reviewing previous contractor support efforts for the AN/ALQ- 172(V) system and contacting knowledgeable individuals, including the system engineer, equipment specialist, and program manager regarding market capability of other known possible sources. The team conducted a review of several industry-wide searches on the Internet, using the following AE-recommended component search engines. The key terms used in the search were: Transmitter, Processor, Controller, AN/ALQ-172:

http://www.aerospace-technology.com/contractors/index.html, http://www.globalspec.com/ProductFinder, http://www.eem.com/, http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm https://www.google.com

Research identified Harris as the only current qualified source available with the unique experience, expertise, and relationships to satisfy the Government’s requirements of these highly specialized items. Research revealed that there is no commercial application that can fulfill the AN/ALQ-172 LRU-10 or LRU-12 requirements.

Market Research in accordance with FAR Part 10 will be conducted prior to adding LRUs to the contract. Prior to issuing any solicitation for an additional LRU, DLA/AW will review the market research reports from the requiring activity as well as the AMC/AMSC assignments from the Screening Office and coordinate with the responsible Small Business Office and the Local Competition Advocate to validate that Harris is the sole source of supply with the required capability and technical data to support the requirement.

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

OPEN COMPETITION

None.

X. LIST OF SOURCES, IF ANY, THAT EXPRESSED INTEREST IN THE

ACQUISITION

None.

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

Procurement of LRU-10 and LRU-12 is expected to be complete within the confines of the single contract envisioned. No subsequent procurement is planned or expected. Therefore, no actions to remove or overcome barriers for future LRU-10 or LRU-12 procurement are needed. The technical data package under the LRU redesign projects which will be delivered to the Government will be adequate to qualify new sources for SRUs with a full and open competition strategy. Additionally, the Government can provide adequate SRU test equipment and TPS such as the Versatile Depot Automatic Test Station to qualify new sources whereas the required test equipment to qualify new sources for the LRUs cannot be provided. The Government will use these data packages to support organic supply chain activities, where appropriate, and to allow a full and open, robust competitive environment with special emphasis on small business opportunities. Competitive sourcing and organic repair opportunities are expected to exist for the SRUs and components for the lifetime of the redesigned LRUs.

XII. CONTRACTING OFFICER’S CERTIFICATION

As evidenced by his/her signature, the contracting officer has determined this document to be both accurate and complete to the best of his/her knowledge and belief. (FAR 6.303-2(b) (12))

XIII. TECHNICAL/REQUIREMENTS PERSONNEL’S CERTIFICATION

As evidenced by their signatures, the technical and/or requirements personnel have certified that any supporting data contained herein, which is their responsibility, is both accurate and complete. (FAR 6.303-2(c))