JA-00851_EH4C0722EH_Redacted.pdf

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Manifold Hydraulics, NSN: 4730-01-422-2572
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W912CH-25-C-0090
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This is a Justification and Approval (J&A) document for a non-competitive procurement by the Army Contracting Command - Detroit Arsenal. The contract is for a hydraulic filter manifold valve assembly (Part Number 12364578) to be awarded to Pall Aeropower Corporation for the M88A2 vehicle platform. The total estimated contract value is $319,796.70 for 15 units with an option for an additional 15 units. The government determined that no other vendors can currently manufacture this specific component due to complex technical requirements, lack of a complete Technical Data Package (TDP), and extensive reverse engineering costs estimated at $3.0M and 36 months.

Market research was conducted with Parker Hannifin, Eaton, and Donaldson, but none could meet the exact specifications or temperature requirements. The government cited 10 U.S. Code 3204(a)(1) as justification for sole-source procurement, noting that developing a competitive source would require substantial time and expense that would outweigh potential cost savings. Previous contracts with Pall Aeropower from 2015 and 2017 totaled $212,099.80, and the current procurement continues the established relationship for this specialized hydraulic component.

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Equipment Capabilities, Limitations, and Vulnerabilities.

W912CH-24-R-0115 (JA-00851) - Previous J&A: SPRDL1-17-C-0210, SPRDL1-15-P-0033

6. Efforts to Obtain Competition:

a. Effective competition: Due to the reasons cited in section 5 above, the Government is not pursuing competition for this item. The notices required by FAR 5.201 shall be published, and any bids or proposals received shall be considered.

b. Subcontracting competition: The solicitation and resulting contract will include all required FAR and Defense Federal Acquisition Regulation Supplement (DFARS) subcontracting clauses to maximize small business opportunities and utilization.

7. Actions to Increase Competition: For future procurements, the Government will continue efforts to obtain the TDP/Specifically Negotiated License and conduct continuous market research which will aid in increasing competition or finding another source.

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 05 August 2024 and closed 20 August 2024. The Contract Specialist received one response to the Sources Sought Notice to include BHPE LLC (9SWS7). Contract Specialist followed up with BHPE LLC, requesting additional market research information, to date no response has been received. Contract Specialist sent the Sources Sought Notice to Pall Aeropower Commercial and Government Entity (CAGE) 18350 on 19 August 2024.

The Contract Specialist received the Sources Sought Notice from Pall Aeropower on 24 September 2024.

Web-based market research was completed by GVSC Heavy Combat Sustainment Engineering on 22 August 2024 by reviewing the available products and capabilities of vendors with expertise in the field of hydraulics. Review of the following companies was performed:

Parker Hannifin at https://ph.parker.com/us/en/series/hydraulic-filters

Eaton at https://www.eaton.com/us/en-us/catalog/filters-strainers/mdd.html?wtredirect=www.eaton.com/Eaton/ProductsServices/Filtration/Hydra ulicandLubricationOilFilters/MediumPressureFilters/In- LineDuplexFilters/SeriesMDD/index.htm

Donaldson at https://www.donaldson.com/en-us/engine/filters/products/hydraulics/assemblies/

Upon review it was determined that while the aforementioned vendors all have the capability to manufacture hydraulic filter manifolds like P/N 12364578, they do not have the exact component needed and not all could operate in the temperature requirements of the vehicle platform. The existing manifold is a vendor design and only the vendor

W912CH-24-R-0115 (JA-00851) - Previous J&A: SPRDL1-17-C-0210, SPRDL1-15-P-0033 has the dimensional/manufacturing knowledge to produce parts for it. The government does not have a complete TDP for a new vendor to build to. New vendors would require extensive analysis, prototyping, and vehicle testing as described in section 5 above to ensure that the M88A2 will properly meet performance specifications with a new supplier’s hardware. It must be ensured that the new hydraulic filter manifold fits all the components perfectly and performs just as the one supplied by existing qualified vendors. The knowledge of the manufacturing standards and dimensions is not currently held by the government and is owned by the vendor. The cost of such analysis, prototyping and testing would far exceed any cost savings realized by adding another source. Further the government does not own the technical data to source an additional manufacturer. GVSC Engineering also contacted the current source-controlled vendor and verified they still produce the filter manifold assembly.

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

10. Other Facts: Procurement History:

(1) Contract Number: SPRDL1-17-C-0210 Award Date: 31 May 2017 Contract Value: $174,250.00 Contractor: Pall Aeropower Corporation (18350)

(2) Competitive Status: N/A

(3) Authority Previously Cited: N/A

(4) N/A; Previous J&A not available

(5) No history of full and open competition

(6) No unusual patterns revealed

(7) N/A; Previous J&A not available

(1) Contract Number: SPRDL1-15-P-0033 Award Date: 08 May 2015 Contract Value: $37, 849.80 Contractor: Pall Aeropower Corporation (18350)

(2) Competitive Status: N/A

(3) Authority Previously Cited: N/A

(4) N/A; Previous J&A not available

(5) No history of full and open competition

(6) No unusual patterns revealed

(7) N/A; Previous J&A not available

11. Technical Certification: I certify that the supporting data under my cognizance which is included in the justification is accurate and complete to the best of my knowledge and belief.

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