UNCLASSIFIED Air Force Sustainment Center Silicon Slopes HAFB

UNCLASSIFIED Air Force Sustainment Center Silicon Slopes HAFB Outreach Part II Jed Noorda Chief, Software Engineering Contracting jed. noorda@us. af. mil November 29, 2018 UNCLASSIFIED Delivering combat power for America!

UNCLASSIFIED Purpose To emphasize what we do at Hill AFB and explore the possibility of expanding your business. UNCLASSIFIED 2

UNCLASSIFIED Overview Introduction to Air Force Contracting PZI Contracting Overview Commodities Services Acquisition Culture Shifts UNCLASSIFIED 3

UNCLASSIFIED Air Force Acquisition Cumbersome/highly controlled process guided by law and Federal Acquisition Regulations (FAR) Intent of laws/regulations: Provide fair opportunity Encourage competition Verify that government gets what it pays for Contracting Officer has authority to bind the government (enter into, administer, and terminate contracts) Oversees contracting process, act as main interface between government and the contractor Negotiate Fair and Reasonable Price UNCLASSIFIED 4

UNCLASSIFIED Air Force Sustainment Center Air Force divided up into 10 major commands, Hill AFB falls under Air Force Materiel Command AFMC Divided up into 6 major centers Hill AFB falls under Air Force Sustainment Center Mission: The mission of the Air Force Sustainment Center is to Sustain Weapon System Readiness to generate Airpower for America UNCLASSIFIED 5

UNCLASSIFIED Ogden Air Logistics Complex The Ogden Air Logistics Complex provides logistics, support, maintenance and distribution for the nation's premier fighter aircraft. F-35 A-10 F-22 F-16 UNCLASSIFIED C-130 6

UNCLASSIFIED Hill AFB Contracting Directorate Installation Contracting Division Ogden Air Logistics Complex Support 75 th ABW and Tenant Organization Contracting Support Specialized Enterprise Contracting Support UNCLASSIFIED 7

UNCLASSIFIED Ogden Air Logistics Complex Over 8000 Employees across 7 different Maintenance Groups 309 th Aerospace Maintenance Regeneration Group (AMARG) 309 th Aircraft Maintenance Group (AMXG) 309 th Commodities Maintenance Group (CMXG) 309 th Electronics Maintenance Group (EMXG) 309 th Maintenance Support Group (MSXG) 309 th Missile Maintenance Group (MMXG) 309 th Software Maintenance Group (SMXG) UNCLASSIFIED 8

UNCLASSIFIED Air Force Depot Maintenance Core Logistics Capability (10 U. S. C 2464) Mandates Do. D maintain a core logistics capability that is government-owned and operated Measured in Direct labors hours Depot-Level Maintenance of Materials (10 U. S. C 2466) “ 50 -50 Rule mandates” that no more than 50% of the funds made available…may be used to contract to non-Federal Government Personnel Measured in Dollars SMXG acts as a contractor for the Air Force Design operational flight plan software program Government designs but may require augmented support to actually build or sustain UNCLASSIFIED 9

309 th UNCLASSIFIED Software Maintenance Group(SMXG) World-class software development organization that acts a contractor and has capability to provide Air Force with Organically developed products Provides critical system updates for military bombers, fighter jets, missile systems, satellite systems and others Provides "cradle-to-grave" systems support software engineering hardware engineering program management data management high quality and capability consulting solutions to the warfighter Commitment to safety, quality, schedule and cost. UNCLASSIFIED 10

UNCLASSIFIED SMXG Requirements Despite having capability to design, develop, and build software SMXG has many Commodity and Service requirements that require support from industry Examples of Software Commodities Red Hat Microsoft Visual Studios Vx. Works Example of Services Developers support for F-16 Operational Flight Programs Developers for Mission Planning Engineering Services Software Engineering Services in support of existing operational development systems UNCLASSIFIED 11

UNCLASSIFIED How We Acquire Commodities FAR 6. 101(b) requires contracting officers to provide for full and open competition…best suited to contract action…to fulfill Government’s requirements efficiently Utilize existing federal contracts to encourage competition Federal Supply Schedules (GSA) https: //www. gsaadvantage. gov/advantage/main/start_page. do NETCENTS-2 AFWay Federal Business Opportunities https: //www. fbo. gov/ UNCLASSIFIED 12

UNCLASSIFIED How We Acquire Services FAR 6. 101(b) requires contracting officers to provide for full and open competition…best suited to contract action…to fulfill Goverment’s requirements efficiently Utilize existing federal contracts to encourage competition One Acquisition Solution for Integrated Services (OASIS) NETCENTS-2 (For services) Federal Business Opportunities UNCLASSIFIED 13

UNCLASSIFIED SMXG Culture Shift Despite SMXG considering itself to be a world-class development organization, it still uses many out of date development methods SMXG working to become a more “Agile” organization Faces many challenges due to existing bureaucracy, infrastructure, and network limitations, etc. Currently benchmarking other organizations in government (including Air Force) and industry who have successfully implemented Agile concepts UNCLASSIFIED 14

UNCLASSIFIED Air Force Acquisition Culture Shift 13 Jun 2018 Air Force Guidance for Rapid Acquisition Activities from SAF/AQ Dr. William Roper “…make rapid Acquisition out new Air Force Standard…” Rapid Acquisition Activities Guidance: 1. 4. 1 …Contracting officers are encouraged to be aggressive using vehicle types, incentives, and penalties to encourage timeliness. ” Dr. Roper encouraged the use of Other Transaction Authority contract vehicles UNCLASSIFIED 15

UNCLASSIFIED Other Transaction Authority(OTA) Other Transactions legally binding instruments that is not standard procurement contract Not generally subject to the laws and regulations governing contracts, grants, or cooperative agreements Generally used on research and prototype projects Introduced to DOD in 1989, not widely used, however DOD entities are starting to use it now UNCLASSIFIED 16

UNCLASSIFIED Why OTA? Acquisition Agility: OTA empowers Do. D to structure business arrangements to specific needs and circumstances Access to Innovation: The vast majority of American industry does not want to do business with the government. OTAs can limit or eliminate those barriers to participation Tech Transition: OTA provides a streamlined and effective means to transition from Research and Development to production UNCLASSIFIED 17

UNCLASSIFIED When to Use OTA may be used for basic, applied and advanced research, and prototype projects: Basic, applied, and advanced research For prototype projects directly relevant to: Enhancing mission effectiveness of military personnel and the supporting platforms, systems, components, or materials proposed to be acquired or developed; or Improvement of platforms, systems, components, or materials in use by the armed forces UNCLASSIFIED 18

UNCLASSIFIED Who is eligible for an OTA? Any company may participate in an OT, but there are some additional conditions for traditional defense contractors OTs are to be competed to the maximum extent practicable, but standard competition processes are not necessary OTs may not be protested under FAR-based criteria Any small business, non-traditional defense contractor, or partnership thereof may receive an OT award without restriction Non-traditional defense contractors are those that are not performing, and have not performed for at least one year from the time of a solicitation, work for Do. D that is subject to full coverage under government cost accounting standards Commercial divisions of traditional defense contractors may be considered non-traditional under OTA UNCLASSIFIED 19

UNCLASSIFIED Air Force Acquisition Culture Shift (Revisited) Air Force has seen some success with OTA Project Kessel Run This is new process which has not been fully implemented within SMXG yet SMXG is pushing to find the right areas where OTAs could meet requirements SMXG working to overcome other barriers such as being limited to on base computer networks. UNCLASSIFIED 20

UNCLASSIFIED Questions? UNCLASSIFIED 21

UNCLASSIFIED Backups UNCLASSIFIED 22

Air Force Sustainment Center How to Do Business with Hill Air Force Base Mary Ann Flinders, Small Business Specialist AFSC/SB Hill AFB

UNCLASSIFIED Agenda Items Air Force Sustainment Center (AFSC) Organization Role of the Hill AFB Small Business (SB) Office • Small Business Administration (SBA) Procurement Center Representative (PCR) Breakdown of Acquisition Offices and What they Buy Dollars awarded in FY 2018 Acquisition Processes Getting Started Resources Q&A/Wrap-Up UNCLASSIFIED

AFSC/SB Organization Contact Information UNCLASSIFIED Air Force Sustainment Center (AFSC) Small Business Office (SBO) AFSC/SB Director* Ms. Tracy Nicholson DSN 339 -2601 Com (405) 7392601 AFSC/SB-OL: R Director Dr. Angela Dial DSN 468 -7073 Com (478) 9267073 Ms. Cassandra Tharpe Small Business Professional DSN 468 -5872 Com (478) 9265872 Mr. Randy Miller Source Development Specialist DSN 468 -5871 Com (478) 9265871 Ms. Jennifer Ford Small Business Professional DSN 468 -9526 Com (478) 9269526 * Dual Hatted 3 UNCLASSIFIED AFSC/SB Director* Ms. Tracy Nicholson DSN 339 -2601 Com (405) 7392601 Ms. Laurel Chambers Source Development Specialist DSN 339 -7243 Com (405) 7397243 Ms. Darla Deangelis Small Business Professional DSN 339 -2604 Com (405) 7392604 Vacant TBD Copper Cap Intern DSN 339 -3647 Com (405) 7393647 AFSC/SB-OL: H Director Mr. James Dean DSN 777 - 4893 Com (801) 777 -4893 Mr. Michael Cottam Source Development Specialist DSN 777 -2211 Com (801) 7772211 Ms. Mary Ann Flinders Small Business Professional DSN 777 -9993 Com (801) 7779993 Ms. Kathy Wiser Small Business Professional DSN 777 -3447 Com (801) 7773447

Activities Supported FY 18 $13. 9 B ($1. 78 B to SB) UNCLASSIFIED Tinker Robins Hill OC-ALC 72 nd ABW 848 th SCMG WR-ALC 78 th ABW 638 th SCMG OO-ALC 75 th ABW 748 th SCMG E-3 Propulsion B-1 B-2 B-52 C/KC-135 KC-46 CLS HF Global ATCALS F-15 E-8 C-17 U-2 C-5 C-130 C 2 ISR SOF/PR Support Equipment Vehicles Automatic Test Sets Electronic Warfare $616 M to SB 26 UNCLASSIFIED A-10 F-22 MAPA Space & C 3 I Munitions AFNWC FY 17 Results: $4. 0 B (AFSC $1. 4 B; AFLCMC $2. 5 B AFNWC $54 M) F-16 FY 18 Results: $5. 64 B (AFSC $843 M; AFLCMC $4. 8 B) FY 18 Results: $4. 26 B (AFSC $634 M; AFLCMC $2. 67 B; AFNWC $958 M) $461 M to SB $709 to SB

UNCLASSIFIED Hill AFB Small Business Office Our Role Ensure SB maximum practicable opportunity to participate in Hill AFB acquisitions Carry Out Policy & Directives Set/Achieve Program Goals Advise, Assist, Educate Acquisition personnel on SB matters Participate in Acquisition Activities Market Research/Source Development Acquisition Strategy Meetings Industry Days Make Set-Aside Recommendations Outreach Events; SB Meet and Greets UNCLASSIFIED 27

UNCLASSIFIED Hill AFB Small Business Office Contact Information: James Dean (JD) – Director Mike Cottam Mary Ann Flinders Kathy Wiser Small Business Phone: 801 -777 -4143 Email: AFSC. OL. SB@hill. af. mil Website: http: //www. hill. af. mil/Home/Small-Business-Office UNCLASSIFIED 28

UNCLASSIFIED SBA Procurement Center Representative Mr. Brent Owens Small Business Administration (SBA) Procurement Center Representative (PCR) located at Hill Air Force Base Responsibilities Perform market research Provide training/outreach; promotes SBA programs Review acquisitions; make set-aside recommendations; review subcontracting plans Review bundling cases Support 8(a) business development Works with Certificate of Competency (COC) requests Works on size status challenges 29 UNCLASSIFIED

UNCLASSIFIED Breakdown – Hill AFB Offices Hill Air Force Base (HAFB) Air Force Sustainment Center(AFSC) Three divisions AFSC-Hill 75 th Air Base Wing (75 th ABW) AFSC-Hill 309 th Maintenance Wing (309 th MXW) AFSC-748 th Supply Chain Management (SCM) Tenant Organizations with procurement responsibilities: • Air Force Life Cycle Management Center (AFLCMC) • Air Force Nuclear Weapons Center (AFNWC) • Defense Logistics Agency (DLA) UNCLASSIFIED 8

UNCLASSIFIED 75 th Air Base Wing (ABW) Mission Operations Support/Infrastructure Activities Examples of What they Buy: § Janitorial (Ability One) § Information Technology § Hazardous Waste Permits § Cable/Satellite TV § § Paints and Adhesives Construction- MACC III and SABER III § All Terrain Vehicles § Paving § Office Furniture § Architect & Engineering § Grounds Maintenance § Refuse 31 UNCLASSIFIED

UNCLASSIFIED 309 th Maintenance Wing (MW) Mission Maintain, Wing Repair, Overhaul, Develop Breakdown 309 th SMXG – Software Maintenance Group 309 th EMXG – Electrical Maintenance Group 309 th CMXG – Commodities Maintenance Group 309 th AMXG – Aircraft Maintenance Group 309 th MXSG – Maintenance Support Group 309 th MMXG – Missile Maintenance Group 309 th AMARG – Aircraft Maintenance & Regeneration Group 32 UNCLASSIFIED

UNCLASSIFIED Examples: 309 th MW – What They Buy § Logistics & Consulting § Utility Vehicles § Fasteners § Test Stands § Grinder Rebuild § Bearing Repair Engineering and Technical Services § PMEL (Precision Measurement Equipment Laboratory) Support DOCATs 3 (Contract Field Team Support) § § Tools & Consumables § Ground Support Equipment § MRO (Maintenance Repair 33 UNCLASSIFIED § B-2 Aircraft Composites § Business Services § Software contracts, agreements/licenses § Computer hardware § Information Technology Support § Cables/Test sets § Protective Clothing § Equipment Relocation § Modular Office Furniture § Engineering Services (OASIS)

748 th UNCLASSIFIED SUPPLY CHAIN MANAGEMENT (SCM) Mission Provide Spare Systems • • • 34 UNCLASSIFIED Supply Chain Management Support parts, repairs, services supported include: Landing Gear F-16, A-10, Mature and Proven Aircraft (MAPA), T-38 Secondary Power Systems Radar Systems Space/C 3 I Systems Intercontinental Ballistic Missile (ICBM)

UNCLASSIFIED 748 th SCM- What They Buy Examples: Repair Spare Parts/Components Parts Secondary Test Power Commodities Stations Engineering Services NOTE: Source Qualification - Requirements based on specific military specifications Only qualified sources may compete Becoming qualified equals an investment on the part of industry, including time and resources 35 UNCLASSIFIED

UNCLASSIFIED Air Force Life Cycle Management Center (AFLCMC) Mission Deliver War-winning expeditionary capabilities to the warfighter on time and on cost Systems supported A-10 aircraft T-38 aircraft F-22 aircraft F-16 A/B/C/D fighter aircraft Airmunitions (includes the JDAM, Paveway, and Maverick missile programs, CAD/PAD, and components) Mature and Proven Aircraft Division Space and C 3 I Systems (includes a diverse portfolio of weapon systems and services that enhance operational capabilities for customers ranging from the National Command Authority to the battlefield commander) 36 UNCLASSIFIED

UNCLASSIFIED AFLCMC- What They Buy Examples: Logistics Database System Application Engineering Services Software Maintenance Help Desk, Depot Maintenance, Special Projects Provide maintenance for Uninterruptible Power Supplies and batteries F-16 maintenance/sustainment/wiring harnesses/kits Manufacturing/kitting of fuselage structural components Cartridge Actuated Devices/Propellant Actuated Devices Components Flares Bomb Bodies Rockets Pepper Spray 37 UNCLASSIFIED

UNCLASSIFIED Air Force Nuclear Weapons Center (AFNWC) Mission Deliver a safe, secure, responsive, on-time and on-target nuclear deterrent force to the warfighter as the Nation's Nucleus for ICBM development, acquisition and sustainment Systems ICBM Supported Special Projects Office Ground System Propulsion Subsystem Re-Entry Subsystem Guidance/Test/SELECT UNCLASSIFIED 38

UNCLASSIFIED AFNWC- What They Buy Examples: Systems Engineering and Integration Aging Surveillance Analysis Depot Level Maintenance Storage/Transportation Propulsion Test Set Personal Alarm System Emergency Response Advisory & Assistance Services Support Fuzes Transporter Erector Replacement Program Sustainment – Ground Operational Equipment Electromagnetic Pulse Simulator Power Amplifiers UNCLASSIFIED 39

UNCLASSIFIED Defense Logistics Agency (DLA) Mission Department of Defense’s Combat Logistics Support Agency (tenant organization) • Manage Depot level reparables • Maintain/Improve Parts Support to Customers • Provide Best-Value Integrated Logistics Solutions • Reduce Cost • Support – spare parts purchase for AFSC, 748 th SCMG • Local purchase/emergency buys UNCLASSIFIED 40

UNCLASSIFIED DLA- What They Buy Examples: DLA Aviation (Hill AFB) Repair Parts Engine Components Air Frames Flight Safety Equipment Maps aircraft programs supported: DLA’s Global Supply Chains (Not at Hill AFB) Food Clothing/Textiles Fuel/Energy Construction & Equipment Medical Maritime Ship Major 41 UNCLASSIFIED F-16, C-130, A-10, C-5, B 1, and T-38 and submarine parts Land Army/USMC vehicles/equipment www. dla. mil/HQ/Small. Business. aspx

UNCLASSIFIED Acquisition Process ■ Acquisition Planning & Market Research Customer identifies need; obtains funding § Acquisition team established § § Market research • Request For Information (RFI)/Sources Sought (Fed Biz Ops)/Industry Day/Capability Briefings/Historical Information/Internet Searches § Type of Acquisition • Socio Economic Programs: Women Owned, 8(a), Hub. Zone, Service Disabled Veteran Owned • Small Business Set-Aside • Full and Open/Unrestricted • Sole Source ■ Solicitation Posted/Issued through Fed. Biz. Opps (FBO) Applies to opportunities over $25 K; under $25 K, obtain 2 bids § Submit bids/proposals electronically § Bids/proposals evaluated § Oral presentations (if required) § § UNCLASSIFIED Negotiations 42 (if required)

Simplified Acquisition Threshold and Set-Asides UNCLASSIFIED Simplified Acquisition Threshold (SAT) Acquisitions under $250 K $10, 000 - $250 K: Automatically reserved for SB Over $250 K Rule of Two: Set Aside – reasonable expectation offers obtained from two responsible SB’s Types of Set-Asides 8(a) Set Aside Certified by Small Business Administration (SBA) Sole Source (under $4 M services, under $7 M supplies) Competitive (2 or more bidders, over above dollar thresholds) UNCLASSIFIED 43

UNCLASSIFIED Set-Aside Programs cont’d Women-Owned (WOSB) – Economically Disadvantaged Women. Owned (EDWOSB) Self-Certify or third party certifier Documentation submitted to SBA Repository Set-aside 2 or more responsible WOSB’s or EDWOSB’s NAICS listed on SBA Website Service Disabled Veteran Owned (SDVOSB) Self-Certify, Veteran’s Administration certification Set-aside 2 or more responsible SDVOSB Historically Underutilized Business Zone (Hub. Zone) Certified by SBA Set-aside 2 or more responsible Hub. Zone’s Small Business Self-Certify Comply with NAICS and Size Standard 44 UNCLASSIFIED

UNCLASSIFIED Solicitation Vehicles ■ ■ ■ Invitation for Bid (IFB) § Sealed, Competitive bids, Public bid opening § Government requirements clearly/accurately described § Bids evaluated – no discussions Request for Quote (RFQ) § Used in Simplified Acquisition Procedures (<$250 K) § Request price, delivery schedule, payment terms, and other terms and conditions § Vendors respond to RFQs with quotes § Quotes are not offers and cannot be accepted to form a binding contract § Government’s offer - Purchase order; contract established when supplier accepts offer Request for Proposal (RFP) Used in negotiated acquisitions over $250 K § Communicate government requirements § Provide anticipated terms and conditions § UNCLASSIFIED 45

UNCLASSIFIED Contract Award Methods ■ Government Purchase Card(GPC) Program § $60 M annually in purchases; 80, 000 transactions annually § 1700 Card holders; § Micropurchase under $10, 000; 3 bids or price determined reasonable (FAR 13. 203(a)(2)) § GSA Schedule/Mandatory Sources - GPC used up to $25, 000 ■ Examples of common GPC transactions: § Adhesives, primers, paint § Fitness equipment § Tools and Misc Parts; non-complex, low dollar ■ Indefinite Delivery Indefinite Quantity (IDIQ) Single and Multiple Award/Direct Award 46 UNCLASSIFIED

Contract Award Methods UNCLASSIFIED cont’d ■ Strategic Sourcing - Mandatory Schedule Examples: § Office Supplies (Federal Strategic Sourcing Initiative (FSSI) through Air Force Advantage) § Client Computing (Information Technology Commodity Council (ITCC) & AFWay) § Cellular Services & Devices (ITCC & AFWay) § Digital Printing & Imaging (ITCC & AFWay) § Netcentric (IT) Products, NETOPS & Infrastructure Solutions, Application Services, Enterprise Integration & Service Management (NETCENTS 2) 47 UNCLASSIFIED

UNCLASSIFIED Federal Regulations Familiarize Yourself with Do. D Contracting Regulations! § Federal Acquisition Regulation (FAR): https: //farsite. hill. af. mil/ Governs federal procurement process § 53 Sections § Defense Federal Acquisition Regulation (DFAR) § Additional Agency supplements, i. e. , Air Force FAR Supplement (AFFARS) § UNCLASSIFIED 48

UNCLASSIFIED Getting Started Preparation Know/Identify your product or service Federal Supply Codes (FSCs)/Product Service Codes (PSCs): http: //www. outreachsystems. com/resources/tables/pscs/ NAICS: www. census. gov/eos/www/naics SBA Size Standards Information: https: //www. sba. gov/tools/size-standards-tool Obtain Data Universal Numbering System (DUNS) Code http: //www. dnb. com/geta-duns-number. html Registration Registers in System for Award Management (SAM) www. sam. gov you for Central Contractor Registration (CCR) required for procurement and financial transactions Contractor and Government Entity Code (CAGE) – SAM system will provide one Note: Register in SAM and select small business; a sub-set of your SAM data will be sent to SBA for size validation and inclusion in SBA’s Dynamic Small Business Search (DSBS): http: //dsbs. sba. gov/dsbs/search/dsp_dsbs. cfm UNCLASSIFIED 49

UNCLASSIFIED Finding Opportunities Identify Air your target market Force, Army, Navy, etc. Procurement Federal Opportunity Lists: Business Opportunities (FBO): https: //www. fbo. gov/ GSA Federal Supply Schedule (FSS) Lists: http: //www. gsa. gov/portal/content/197989 Federal Procurement Data Systems (FPDS): https: //www. fpds. gov/fpdsng_cms/ Tells who is winning, what agencies are purchasing UNCLASSIFIED 50

UNCLASSIFIED Subcontracting ■ Explore Subcontracting SBA SUB-Net (provides information on subcontracting opportunities posted by prime contractors, non-federal agencies): https: //eweb 1. sba. gov/subnet/client/dsp_Landing. cfm § Prime Contractors and Subcontractors with Subcontracting Plans: https: //business. defense. gov/Acquisition/Subcontracting/Sub contracting-For-Small-Business/ § UNCLASSIFIED 51

UNCLASSIFIED Resources Procurement Technical Assistance Centers (PTAC) http: //goed. utah. gov/contracting/PTAC/ Small Business Administration www. sba. gov Do. D Small Business Offices http: //www. acq. osd. mil/osbp/offices/index. shtml Small Business Development Centers (SBDC) www. sba. gov/sbdc UNCLASSIFIED 52

UNCLASSIFIED Questions? ? ? Be Patient Be Persistent Ask Questions Network GOOD UNCLASSIFIED 53 LUCK!!