JA-00537 EH2L0091EH FINAL_Redacted.pdf

CUI

CMO Control Number: 2023-XXX

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

JA-00537 - W56HZV-23-R-0023

1. Contracting Agency: Army Contracting Command-Detroit Arsenal (ACC-DTA) is the responsible contracting activity for this action.

2. Description of Action: ACC-DTA proposes to award a new three-year Firm-Fixed Price (FFP) Requirements Long Term Contract (LTC) to J-TEC ASSOCIATES, INC. (J TEC), Commercial and Government Entity (CAGE) Code: 14741, for the procurement of SENSOR, CROSSWIND, using Army Working Capital Funds (AWCF).

3. Description of Supplies/Services: The supplies to be acquired under the proposed contract are new crosswind sensors, National Stock Number (NSN): 1230-01-241-0438, Manufacturer Part Number: DDG0111, Government Part Number: 9338559-1, Nomenclature: SENSOR CROSSWIND to be used on the Abrams tank.

crosswind at the vehicle's posItIon. ince a moving vehIc e a so genera es crosswind,

• • • • engagement hit performance.

4. Authority Cited: The statutory authority permitting other than full and open competition for this effort is 10 United States Code (U.S.C.) 3204(a)(1) as implemented by FAR 6.302-1 (a)(2)(ii)(B), Supplies may be deemed to be available only from the original source in the case of a follow-on contract for the continued development or production of a major system or highly specialized equipment, including major components thereof, when it is likely that award to any other source would result in (B) Unacceptable delays in fulfilling the agency's requirements.

5. Reason for Authority Cited:

Background

The crosswind sensor is an instrument that converts crosswind into a proportional analog voltage. As part of the Sensors and Electronics installation, under the Fire Control, it assists the Abrams tank in targeting and hitting the desired target. This sensor helps take into account any potential projectile deflection from the wind.

The Government does not possess the necessary technical data and associated intellectual property rights to enable competitive re-procurement. On 9 November 2022, the Contract Specialist (CS) asked J-TEC if they would sell the TOP to the Government and at what price. J-TEC connected their parent company, Rayser Holdings, Inc.

(Rayser), with the CS. Rayser informed the CS they are currently not interested in selling the TOP. On 19 January 2023, the CS inquired of Rayser whether they would consider licensing the technical data to the Government. Rayser also declined this offer.

J-TEC is the only approved source of supply for the crosswind sensor source-controlled drawing (SCD) for 9338559-1. J-TEC manufactures the item and has passed all the requirements of the Government qualification testing. Only J-TEC has the capability to manufacture, perform failure analysis, develop inspection and acceptance criteria for components, repair/rebuild and test the crosswind sensor to meet the United States Government requirements.

DEVCOM-AC (Picatinny Arsenal) has design control over the crosswind sensor SCD, giving the Government the ability to specify features that are needed to ensure the crosswind sensor will properly fit and operate in the tank. J-TEC is the only company to have met and passed all the testing requirements for the unit.

9. Interested Sources: To date no additional sources have expressed interest in this item.

10. Other Facts:

a) Procurement History:

(1) Contract SPRDL1-18-D-0055 was awarded to J-TEC ASSOCIATES, INC.

(14741) on 14 June 2018; total contract value: $3.8M. Contract W56HZV-13-C-0395 was awarded to J-TEC ASSOCIATES, INC. (14741) on 17 September 2013; total contract value: $223K.

(2) All previous contract actions were awarded using other than full and open competition.

(3) All previous contract actions were awarded under the authority of 10 U.S.C.

2304(c)(1), as implemented by FAR 6.302-1, “Only One Responsible Source and no other supplies or services will satisfy agency requirements."

(4) Paragraph 2 of the previous J&A (signed 9 May 2016) stated the TDP acquisition production specification data is not fully defined because the items were developed and tested at the J-TEC’s expense. The data is considered proprietary to the contractor and the Government did not fund the contractor to prepare the TDP. The costs associated in developing a competitive TDP and the aggregate delay in the acquisition process, would not be recovered through subsequent competition. There are also specific qualifications and capabilities that J-TEC has to produce the Crosswind Sensor where there are currently no other contractors in the process of being certified as a qualifying source. To facilitate this process would require a substantial expenditure, which would not be recovered through subsequent competition. In addition, new sources would require the development of extensive testing and processing procedures, which would delay and prohibit delivery of items in a time frame meeting the Government’s requirements.

(5) No prior contracts for the Crosswind Sensor utilized full and open competition.

(6) There are no unusual patterns identified in the procurement history.

(7) All previous justifications for the Crosswind Sensor cite FAR 6.302-1 “Only One Responsible Source and no other supplies or services will satisfy agency requirements." There are no changes to these circumstances.

b) Other Facts: None.

11. Technical 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.