JA Redacted M795 Metal Parts Ceiling Increase W15QKN19D0084 20250918.pdf

CUI

Control Number:

JUNE 2025

JUSTIFICATION REVIEW DOCUMENT

FAR Part 6 Justification and Approval for Other than Full and Open Competition

Program/Equipment: 155mm Artillery M795 Metal Parts Assembly (M795 Metal Parts)

Authority: Title 10 United States Code (U.S.C.) Section 3204(a)(1); as implemented by Federal Acquisition Regulation (FAR) 6.302-1(a)(2), Only one responsible source and no other supplies or services will satisfy agency requirements.

Amount:

Prepared By:

Phone:

Contract Specialist Date: 15 Sep 2025 Email:

Contracting Officer:

Phone:

Email: Date Reviewed: 16 Sep 2025

Technical Representative:

Chief, Artillery & Mortars Date Reviewed: 17 Sep 2025 Components Branch, PM CAS

Requirements Representative:

Chief, Artillery & Mortars Date Reviewed: 17 Sep 2025 Components Branch, PM CAS

JUNE 2025

FAR Part 6 Justification and Approval for Other than Full and Open Competition

1. Requiring Activity: The Office of the Project Manager Combat Ammunition Systems (PM CAS) Picatinny Arsenal, NJ

2. Contracting Activity: Army Contracting Command – New Jersey (ACC-NJ) Picatinny Arsenal, NJ

3. Description of Action: ACC-NJ, on behalf of PM CAS, seeks approval to increase the maximum value of Firm Fixed Price, Indefinite Delivery Indefinite Quantity Contract W15QKN-19-D-0084 with General Dynamics OTS (Wilkes Barre) (GD-OTS (WB)) of Wilkes Barre, PA. This contract is for the manufacture, assembly, inspection, package, and delivery of the 155mm Artillery M795 Projectile Metal Parts Assembly (M795 Metal Parts). The ordering period of the basic contract has expired, and the maximum ceiling is nearly consumed. However, GD-OTS (WB) is required to provide property management and production support of the Scranton Army Ammunition Plant (SCAAP), a Government Owned, Contractor Operated (GOCO) facility. Increasing the maximum contract value is essential to ensure adequate production support to maintain M795 Metal Parts. The proposed contract action will result in a modification to Contract W15QKN-19- D-0084, increasing the total maximum contract value by $15,000,000 from $891,165,000 to $906,165,000. Fiscal Year will be used for this acquisition.

4. Description of Supplies/Services: The M795 Metal Parts are compatible with all current and future 155mm howitzers. The M795 is a 155mm High Explosive projectile made from High Fragmentation Steel Alloy, has a finished weight of approximately 75 pounds, measures approximately 30 inches in length, and has a curved exterior. It features a welded rotating band and includes a lifting plug and flexible cover for storage and transport.

Under Contract W15QKN-19-D-0084, GD-OTS (WB) operates two M795 Metal Parts manufacturing facilities in northeast Pennsylvania; a privately owned facility in Wilkes Barre, PA, and SCAAP, a GOCO facility located in Scranton, PA. As the facility operator of SCAAP, GD-OTS (WB) is responsible for facility operation and maintenance in accordance with the SCAAP Maintenance Performance Work Statement (PWS) and the Contractor’s Maintenance Plan. GD-OTS (WB) must ensure that Government property is maintained in an active state to support continued utilization during the anticipated period of use. The Government has placed various orders under Contract W15QKN-19-D-0084, with deliveries extending through GD-OTS (WB) is required to ensure adequate equipment maintenance to sustain these deliveries.

Under facility use Contract W52P1J-19-D-0075, GD-OTS (WB) is responsible for maintaining Government Furnished Property (GFP) and managing utilities at SCAAP.

This includes the

GD-OTS (WB) is required to maintain a comprehensive Maintenance Plan that encompasses preventive maintenance, annual maintenance schedules, and detailed instructions for each active piece of equipment at the facility. The Maintenance Plan must be updated annually and supplemented with quarterly progress reports that outline completed inspections, maintenance work orders, and planned activities. Additionally, GD-OTS (WB) shall perform preventative maintenance, inspections, and servicing in accordance with equipment manuals and industry standards. All active equipment must be maintained in a safe, serviceable, and fully operational condition to ensure the facility’s continued functionality and efficiency.

to increase the maximum contract value as United States (U.S.) Army to Presidential Drawdowns supporting

The maximum contract value will be increased to Although the ordering period for the contract has expired, the Government still has Metal Parts scheduled for delivery through The chart below outlines the additional costs required to sustain operations at the SCAAP facility. With remaining on Contract W15QKN-19-D-0084, the ceiling increase will be limited to

W15QKN-19-D-0084 PWS Costs

Total Estimate

Quantity N/A

PWS Cost Per Part (Inclusive of Labor & Tooling) $ $ N/A

Total Cost $ *

* Slight delta due to rounding of values.

The Joint Program Executive Officer, Armaments and Ammunition has been designated as the Single Manager for Conventional Ammunition Executor and is responsible for the management of this item for all of the Department of Defense (DoD) and approved foreign military customers.

5. Authority Cited: Title 10 U.S.C. Section 3204(a)(1), as implemented by FAR 6.302- 1(a)(2), Only one responsible source and no other supplies or services will satisfy agency requirements.

6. Reason for Authority Cited: As described at FAR 6.302-1(a)(2), when the supplies or services required by the agency are available from only one responsible source, or, for DoD, National Aeronautics and Space Administration, and the Coast Guard, from only

9. Market Research: In accordance with DFARS 205.205-71, DFARS 206.302-1(d), and DFARS PGI 206.302-1(d), a sources sought notice W15QKN-25-X-17PX was posted to SAM.gov website on 3 June 2025 to identify potential sources capable of manufacturing and delivering M795 Metal Parts. A total of 10 responses were received by the response date of 15 July 2025, three large businesses and seven small businesses. Responses were received from (large), (small), (small), (small), (small), (large), (small), (large), (small), and

(small). Preliminary technical information submitted by all respondents provided sufficient information to be analyzed, as detailed below.

a. is a current supplier of M795 Metal Parts with a continued ability to exceed the contractual requirements for monthly deliveries with production at and their facilities. As the current operating contractor of is the only contractor that can perform at at the

Government’s facility until the contract expiration is the only low risk solution to meet the immediate delivery requirements and add additional capacity to in a timely manner. is assessed as low risk, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

b. is a current supplier of M795 Metal Parts, with the expertise needed to expand M795 Metal Parts production .

. The overall approach proposed to M795 Metal Parts production is feasible. There is high expectation is able to successfully achieve delivery of conforming M795 Metal Parts. is assessed as low risk for the production of M795 Metal Parts;

results in an overall assessment of medium risk.

c. has no verifiable expertise in producing M795 Metal Parts.

Additionally, the facilities/equipment identified within the Market Research response and their associated lead times are unrealistic. is assessed as high risk, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

d. failed to meet the Government's requirements in several critical areas. They did not demonstrate the capability to produce a minimum of 5,000 M795 Metal Parts per month, nor did they provide information on sustaining quantities, surge capacities, necessary equipment, or lead times. The company lacked evidence of manufacturing experience with artillery metal parts or similar items and provided insufficient details on facilities, personnel, and essential production processes. While were

JUNE 2025

submitted, there was no evidence of a .

Additionally, did not address whether they supply a commercially available product capable of meeting the Government's needs. proposed solution for M795 production is assessed as high risk, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

e. proposes a solution to manufacture a minimum of 5,000 M795 Metal Parts per month within of contract award, with the capability to expand production to

. Achieving these production levels

. While has no prior experience producing M795 metal parts, their expertise in the provides transferable skills in forging, heat treating, and machining, which can supplement with their subject matter expertise. has outlined a comprehensive process map for M795 production, accounting for all major operations and supported by a strong management team. Although , the proposed timeline allows for integration into the existing facility. approach leverages proven manufacturing processes and is supported by their ISO 9001:2015 certification, ensuring compliance with quality standards. proposed solution for M795 production is assessed as medium risk, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

f. provided limited support for projected monthly delivery capabilities, proposing an units per month

. However, their approach , posing significant risks to and

. While demonstrated extensive manufacturing experience with similar artillery metal parts, including the they noted , a comparable item.

Their facilities and personnel are related to 155mm production but required to meet the Government’s technical data package. Although is ISO 9001:2015 certified, proposed solution for M795 production is assessed as high risk, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

g. response fails to adequately address the Government's requirement to produce at least 5,000 M795 Metal Parts per month.

The submission lacks clarity on whether additional facilitization or capital investment is needed, and to meet performance specifications and did not provide a timeline or Integrated Master Schedule. While they demonstrate limited

JUNE 2025

manufacturing experience through their partner , they lack understanding of key contractual requirements such as Contract Data Requirements List (CDRL) submittals, First Article Acceptance Test (FAAT), and prove-out requirements. proposes a

. Additionally, response shows a lack of understanding of TDP requirements, including the need for and the incorrect assumption of a . Although they provided , their approach remains high-risk and insufficient to meet the Government's needs, and accordingly, their capability to operate the Government's facility is evaluated at the same risk level.

h. provided support for projected monthly delivery capabilities of M795 Metal Parts, ranging from parts per month to parts per month . While the company demonstrated relevant manufacturing experience, their response lacked evidence of understanding contractual requirements such as CDRL submittals, FAAT, and prove-out requirements. Their facilities, personnel, and capabilities appear sufficient for most M795 processes, . The company is ISO 9001:2015 certified, providing evidence of quality assurance, but their approach carries notable risks in meeting the Government’s requirements. is assessed as medium risk, and accordingly, their capability to operate the

i. failed to address the Government’s requirements for the M795 Metal Parts Market Survey. offered delivery of to

. is assessed as high risk, and accordingly, their capability to operate the

j. proposed a production capacity M795 Metal Parts per month, , which is highly aggressive and carries significant risk of delays. Their manufacturing methods, , are unproven for producing conforming M795 projectiles, and their response

. lacks prior experience as an artillery metal parts producer or systems contractor, and their previous efforts, . While their proposed facility is adequately described, it does not meet all TDP requirements, including

. Additionally, did not provide ISO 9001:2015 certification for themselves or their manufacturing partners, raising concerns about their ability to meet quality assurance standards. is assessed as high risk, and accordingly,