JA Redacted.pdf

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Attached to
Maintenance Kit, Vehicle Federal contract opportunity
Solicitation number
SPE7L122Q0010
Issued by
Defense Logistics Agency Land and Maritime

About this file

This justification document approves a sole source award for a maintenance kit to support a heavy equipment truck tractor. The Defense Logistics Agency Land and Maritime requires 81 kits with an estimated value of $750,000 to $15,000,000. The justification cites that DRS Sustainment Systems, Inc. is the only known source for these military-application replacement parts. The agency conducted market research including a sources sought notice from October 6-13, 2021 that received no responses. Previous procurements dating from 2018 have also been supplied solely by DRS. The contracting officer anticipates fair and reasonable pricing to be determined by analysis of historical prices and indices. On January 11, 2022, an awarded contract for an unknown amount was made to an unknown vendor under solicitation SPE7L122Q0010.

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Text version

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L122Q0010

DLA Land & Maritime Justification for Other Than Full & Open Competition (October 2020)

[X] ORIGINAL

[ ] ADDENDUM (attach copy of original J&A for add-ons or revisions)

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. The action being approved is the acquisition of supplies on other than a full and open competition basis.

3. The supplies required to meet the using activity’s needs are described as follows:

BRIEF DESCRIPTION NSN/PN QUANTITY EST. VALUE AMSC

Maintenance Kit, Vehicle 4910-01-626-0628/SW37194 81 Z

Identify end item, weapon system, or class of item:

VQA - Heavy Equipment Truck Tractor, M1070

ESTIMATED BASE VALUE:

ESTIMATED TOTAL VALUE WITH 100% OPTION:

4. The statutory authority permitting other than full and open competition is:

10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

5. If restricted to the only source(s) of supply, include source(s) and CAGE code:

• DRS Sustainment Systems, Inc. (98255); PN SW37194

The use of the authority cited below:

AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

The use of the authority cited is based on:

AMSC Z. This part is a commercial/non developmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid (When one or a limited number of sources are available, then a J&A is required. When an item is coded with AMSC “Z” and is listed on an interchange catalog or appears on a commercial cross reference list, this constitutes full and open competition and a J&A is not necessary).

This item is an AMC/AMSC of 3/Z. This item supports the Heavy Equipment Truck Tractor, M1070, IS NOT a critical application item, and IS NOT a critical safety item. DRS Sustainment Systems, Inc. (98255) has material available for these items; the Government knows of no other sources, nor is technical data available. This kit is a 5 year Maintenance kit with replacement parts the for M1000 trailer. The 5-year maintenance kit for the trailer is for military application only, and are the only known replacement parts that will ensure the military end item functions in accordance with military requirements.

The material master currently shows the items as commercial. Under the material master buyer/procurement data, it states: “this item is identified as a commercial item (to include commercial of a type).” On 12/8/2017, Product Specialist, completed an initial commerciality review for this NSN under PR 70933203, SPE7L318P5362. He found this NSN met the broad definition of commercial of a type, suitable to procure via FAR part 12 or 13.5, in accordance with the DOD Commercial Item Determination Handbook. All components in the kit are wither sold commercially or have evolved from items sold commercially to the public.

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

The acquisition will be synopsized for 1 day prior to the Solicitation opening. At the completion of the synopsis period, the Solicitation will be solicited on the internet for 13 days via the DLA Internet Bid Board System (DIBBS). A sources sought notice was posted on beta.SAM.gov from 10/6/2021 to 10/13/2021. No responses were received.

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.

A price analysis will be conducted using historical pricing, the Producer Price Index (PPI), and learning curve analysis. Since this is being solicited under FAR Part 13.5 procedures, certified cost and pricing data will not be required but other than certified cost and pricing data may be requested. Offerors may be requested to submit information other than certified cost and pricing data for determining price reasonableness. Based on the above techniques, the Contracting Officer anticipates that the cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

Market research consisted of review of past procurements, market surveys received from interested parties, and internet sources. A sources sought notice was posted on beta.SAM.gov from 10/6/2021 to 10/13/2021. No responses were received. On 10/29/2021, an NSN search was conducted in the GSA website without results.

Market research did not yield any readily available published catalog price lists, schedules or other form of commercial pricing that are regularly maintained and updated by a manufacturer or vendor that are available to the general public for inspection nor is there evidence of sale prices at which sales were made to a significant number of buyers constituting the general public for the kit as a whole.

The last 5 previous procurements going back to 4/18/2018 have been provided by Science Applications International (793343). Science Applications International acted as a distributor, and provided PN SW37194 from the approved source DRS Sustainment Systems, Inc. (98255).

Market Survey [10 U.S.C. 2304(f)(3)(D)]

A market survey was conducted on 10/6/2021

Techniques used to conduct survey: beta.SAM.gov and e-mail correspondence

Types of information requested: Business size, manufacturer or dealer, price breaks, commerciality, estimated delivery, and quantity sensitivity

Per the market survey submitted on 6/7/2021, a quote is anticipated from Science Applications International (79343).

11. The following actions are being taken to identify additional sources:

Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items and DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items

12. Previous Justification for Other than Full and Open Competition is attached:

Procurement history reflects awards dating from 10/30/2015 to 2/24/2021. See Attachment for the most recent Request for Proposal’s unredacted J&A.

ATTACHMENT(S):

1. Previous J&A (SPE7L321P1834)

2. PS Referral and technical certification

3. Market Survey Response from 5/7/2021 (Cancelled PR 87943207).

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

Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ X] $750,000 to $15,000,000 Competition Advocate

SHEARER.MARY

.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2021.11.23 12:47:51 -05'00'

WHITING.MONIC

A.L.1378381815

Digitally signed by

WHITING.MONICA.L.1378381815

Date: 2021.11.16 12:08:40 -05'00'

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