SPRDL118R0577_Redacted.pdf

J&A SPRDL1-18-R-0577

Previous J&A SPRDL1-17-C-0057 is available and included separately

Justification and Approval for Other Than Full and Open Competition

1. Contracting Activity: DLA Land, Warren, is the responsible contracting activity for this action.

2. Description of Action: The proposed action is to award a contract, on a limited source basis, to DATA DEVICE CORPORATION (Cage Code 19645) and SENSITRON SEMICONDUCTOR (Cage Code 13409) for the manufacturing of new “CIRCUIT CARD ASSY, POWER CONTROL MODULE, 2 AMP” (per TACOM source control drawing 12473752), commonly referred to as the CCA Power Control Module. The type of funds to be used are Army Working Capital Fund (AWCF). The type of contract is Firm Fixed Price.

3. Description of Supplies/Services: The item to be acquired under the proposed contract is a new CCA Power Control Module, used on the M1 Abrams tanks. This component interfaces with the Analog Input Module, Hull Power Distribution Unit, Hull Remote Switching Module and Turret Remote Switching Module of the M1 Abrams tank to provide controlled load switching, load protection, load status power functions, vehicle switch/cable disconnect monitoring, and harness/physical address encoding data functions

The total estimated contract value is for up to 374 CCA Power Control Modules.

For this contract, the deliverables are as follows:

a. NOUN: CIRCUIT CARD ASSY, POWER CONTROL MODULE, 2 AMP

b. NSN: 5998-01-553-3342

c. TACOM P/N: 12473752/19207/3/2

1. DATA DEVICE CORPORATION (Cage Code 19645)

MANUFACTURER P/N: RP-3T002MO-600

2. SENSITRON SEMICONDUCTOR (Cage Code 13409)

MANUFACTURER P/N: SRPC2D28-501

d. QUANTITY: 187 ea

e. OPTION QUANTITY : 187 EA

f. ESTIMATED UNIT PRICE:

g. ESTIMATED VALUE:

h. ESTIMATED TOTAL VALUE:

i. PRON: EH8E1088EH

Acquisition Method Code (AMC): 1. Suitable for competitive acquisition for the second or subsequent time.

Acquisition Method Suffix Code (AMSC): B. This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

4. Authority Cited: The statutory authority permitting other than full and open competition is Title 10 United States Code (U.S.C.) Section 2304(c)(1), as implemented by FAR 6.302-1), “Only one responsible source and no other supplies or services will satisfy agency requirements.”

5. Reason for Authority Cited: This CCA Power Control Module is a critical item of the electrical power system in the M1 Abrams tanks. This item shall meet the requirements of Specification SC-SA15155 and be fabricated in accordance with Source Control Drawing 12473752. Only the CCA Power Control Module described on this drawing, when produced by the Manufacturers identified on this drawing, is approved for use in the M1 Abrams by U.S.

ARMY-TANK AUTOMOTIVE COMMAND (TACOM). A substitude item can not be used without prior approval and testing by TACOM. It is imperative to ensure that this product demonstrates compliance to design requirements, qualification requirements, qualification tests (including testing for compliance with the Electromagnetic Interference (EMI) requirements using the methods described in MIL-STD-462), and conditions required in verifying that this item meets its required performances, as specified on Source Control Drawing 12473752 and Specification SC-SA15155. This is a survivability item that is critical for the soldiers’ safety.

DATA DEVICE CORPORATION and SENSITRON SEMICONDUCTOR have developed tested and obtained Government approval for this item for application in the M1 Abrams tank at their own cost. The Government did not fund their efforts in developing and testing this item.

Only DATA DEVICE CORPORATION and SENSITRON SEMICONDUCTOR have the capability to manufacture this CCA Power Control Module, perform failure analysis, develop inspection and acceptance criteria for components, and repair/rebuild and test the item. Installing hardware that has not undergone similar verifications could lead to a failure of the tank’s electrical power system. Under battlefield conditions, such a failure can render the tank unable to proceed with its mission function and may endanger the life of the crew.

Currently, the CCA Power Control Module is sole sourced to DATA DEVICE CORPORATION and SENSITRON SEMICONDUCTOR manufacturers. These two vendors are the only approved sources to make this CCA Power Control Module for the USG because they are the sole owners of the technical data package (TDP). The USG does not own the technical data of the CCA Power Control Module, nor does the USG have proprietary rights to the technical data, which is necessary to develop a competitive TDP. Due to the limited availability of performance and technical data on this item, Reverse Engineering is the only option for the USG to develop a competitive TDP, needed to increase competition. Reverse Engineering is a multi-layered process. It requires the procurement and testing of prototypes and the release of the design.

These efforts involve a significant amount of time and money; the USG does not have the funding required to develop and qualify additional sources for this product. Even if a reverse-engineering effort was affordable, this process would incur excessive lead-time delay.

Prototypes, provided by a new manufacturer, need to be tested in conjunction with the overall electrical system of the M1 Abrams tank. The cost to reverse-engineer this unique component is estimated at $701K and 53 months to complete. Reverse Engineering the TDP includes, but is not limited to the following:

Reverse Engineering Activity Delay Costs

Obtain existing part samples 4 months $1.36K

Hardware design, integration and fabrication/install 20 month $250K

Component and vehicle system testing 20 months $250K

Documentation (drawings/ECP/Tech Manuals) 9 months $200K

Total Estimated Time to Reverse Engineer 53 months $701K

The Government would not be able to recover, through subsequent competition, the additional costs involved in either procuring the proprietary data or reverse engineering the item to create a competitive package. At the current usage rate of 54 units per year, at the current unit cost of

, and assuming the 10% saving achieved through competition, the $ annual savings would take 186 years to offset the estimated $701K cost of reverse engineering the item and qualifying another source.

6. Efforts to Obtain Competition:

a. Effective Competition: Per section 7, potential vendors can submit requests to become a source through the Source of Approval Process at any time. Per section 9, a Sources Sought Notice was posted. Based on the detailed rational provided in paragraph 5 above, the Government has no plans to obtain additional competition for this proposed contractual action.

b. Subcontracting Competition: FAR clause 52.244-5, Competition in Subcontracting, will be included in the contract.

7. Actions to Increase Competition: As stated in section 5 above, there is no complete TDP available to support a competitive procurement. The Government does not own the TDP necessary to procure this item as full and open competition. This item is source controlled to DATA DEVICE CORPORATION and SENSITRON SEMICONDUCTOR. They are the owners of the respective technical data and are the only approved sources of supply for this item.

Due to the costs associated with developing a competitive TDP that cannot be recovered, also stated in section 5, the Government is not actively pursuing the development of a competitive TDP for future procurements. The Government would not be able to recover the cost to reverse engineer the CCA Power Control Module within a justifiable time frame.

The CCA Power Control Module appears on the Competition Advocate Shopping List (CASL) dated 16 January 2018. The CASL contains TACOM-Warren’s projected buy list of sole source items for the next three years. This list is updated twice a year and advertised in the FedBizOpps; it is available to interested contractors on the TACOM-Warren Business Opportunities website under the Future and Potential Buys link. Contractors interested in becoming a source for this item need to meet the requirements of the Source Approval Program.

This is done at the contractor’s expense, to include vehicle level qualification testing. The TACOM Life Cycle Management Command, Competition Management Office (CMO), is the lead proponent for the Source Approval Program. While interested contractors can contact the CMO for assistance with the Source Approval Program, Engineering requires successful vehicle level qualification testing to support the approval of a new source of supply and the Government has no plans or funding to complete qualification testing at this time. To date, no other sources have approached this office with questions or comments on how to become a qualified source to produce this item.

8. Market Research: Market research was performed by TARDEC Engineering on 15 June 2018 by reviewing vendor catalogs and available product literature published online to determine if commercial items or non-developmental items are available to meet Government's needs, or could be modified to meet the Government's needs. While many types of CCA Power Control Modules are produced by several manufacturers, those are not tailored (form, fit, and function) to be specifically used in the M1 Abrams tanks. In addition, the subassembly of this CCA Power Control Module is of modular design such that another component of the same modular design with the same functional, physical, and performance characteristics can be interchangeable without alteration of the component itself (or of the adjoining components) and without subsequent alignment or calibration. To date, no other CCA Power Control Module manufacturer was found to have completed the necessary testing to become a qualified source as described in section 5. TARDEC Engineering searched out DATA DEVICE CORPORATION (http://www.ddc-web.com ) and verified it is a world leader in the design and manufacture of high-reliability solid-state power controller products for aerospace and defense vehicles.

SENSITRON SEMICONDUCTOR is a division of RSM Electron Power, Inc., manufacturer of power rectifiers and power hybrids for military and aerospace applications https://www.arrow.com/en/manufacturers/sensitron-semiconductor .

Ph: 1-800-356-4USA and 1-631-586-7600.

Sources Sought Synopsis posted to Fed Biz Opps:

Sources Sought Notice#: 2018-604 Item Name: CIRCUIT CARD ASSY

NSN: 5998-01-553-3342

Posted Date: Friday June 15, 2018

Date: 25 June 2018 Email:

12. Requirements Certification:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name:

Title: Item Manager, Abrams Signature: //S//

Date: 6/27/2018

Type Name:

Title: C, Abrams Group Signature: //s// Date:27 Jun 18

13. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable.

DLA Warren will use the appropriate acquisition procedures and price and/or cost analysis to determine that the contract price is fair and reasonable. NSN: 5998-01-553-3342 has been determined to be a non-commercial item through market research and procurement history.

Certified Cost or Pricing Date will not be requested as the dollar value is not expected to exceed $2,000,000 in accordance with FAR 15.403-4(a)(1).

The POC for this action is Suzanne Maginn, ZGCT – (614)692-7055

Typed Name: Suzanne Maginn Title: Contract Specialist Signature: //S// Suzanne Maginn

Date: 8/17/18

14. Contracting Officer Certification:

This certification shall be made by the contracting officer who will sign the contract resulting from this justification and approval. Include the following statement:

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

Typed Name: Robert T. Harris M.S.

Title: Contracting Officer

Signature: //S// Robert T. Harris M.S.

Date: 8/17/2018

15. Legal Concurrence:

Concur: // // Date: 08/21/2018