JA SPE7L321R0034 - reviewed_Redacted.pdf

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Attached to
J&A SPE7L321R0034 (Redacted) Federal contract opportunity
Solicitation number
SPE7L321R0034
Issued by
Defense Logistics Agency Land and Maritime

About this file

This justification document approves a sole source contract award for power inverters to be used in military vehicles. The Defense Logistics Agency Land and Maritime requires 1,126 inverters from Military Battery Systems Inc., the only approved source, for an estimated total value between $750,000 and $1,126,000. Market research found no other interested and qualified sources despite a sources sought notice. The inverters convert 24-volt vehicle power to 110-volt AC for laptops, phones, tools and other devices. The awarded firm was determined to be the sole manufacturer in possession of the necessary technical data and rights to produce this specially-made military component.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L3-21-R-0034

DLA Land & Maritime Justification for Other Than Full & Open Competition

(AUG 2016)

[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 for 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

P/N

QUANTITY TOTAL VALUE AMSC

INVERTER,POWER,STAT 6130-01-661-1230 /

GEI-INV 400

1126/EA D

ESTIMATED BASE VALUE:

ESTIMATED TOTAL VALUE (BASE + 100% OPTION):

MAXIMUM CONTRACT VALUE:

This is a definite quantity contract for a quantity of 1126 EA and includes a 100% option to procure an additional 1126 each maximum.

Identify end item, weapon system, or class of item: This item is not Weapon System Coded. This is a power inverter that connects to military vehicles that can be used for multiple purposes. The initial application was for use in powering a rugged military laptop computer. However, the inverter can also provide warfighters power for a variety of devices such as other computers, tablets, cell phones, battery chargers, small tools, lighting systems and an array of other electrical devices. This power inverter converts the 24-volt DC (Direct Current) Power on a tactical vehicle into 110-volt AC (Alternating Current) power. Military vehicles all operate on a 24-volt electrical system whereas all commercial & passenger vehicles operate on a 12-volt system, creating a unique environment where a standard inverter would not mate with the common NATO electrical receptacle that is on US Military vehicles.

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 of supply, include source and CAGE code:

MILITARY BATTERY SYSTEMS INC CAGE 4M0Z6, part number GEI-INV 400, is the only approved source.

The use of the authority cited below:

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

The use of the authority cited is based on:

AMSC D. The data needed to acquire this part competitively is not physically available, it cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation.

The Government does not have rights to the technical data. Currently, MILITARY BATTERY SYSTEMS INC CAGE 4M0Z6 is uniquely qualified because it is the only known source with the data or rights to the data necessary to manufacture the item. On 10 December 2020, a referral was sent to Product Specialist to certify the accuracy of AMC/AMSC and the list of approved sources. replied on 11 December 2020, confirming that the AMC, AMSC, part number and approved source list was accurate and complete. Referral can be found in Records Management and as an attachment. (SEE ATT 1) This item is NOT designated as a critical safety item (CSI).

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

[X] The acquisition will be synopsized for 15 days prior to the solicitation opening on the beta.SAM.gov. At the completion of the synopsis period the acquisition will be solicited on the internet for 30 days via DLA Internet Bid Board System (DIIBS).

7. This is a definite quantity contract, for a quantity of 1126 each. Price analysis will be conducted using historical pricing, the Producer Price Index (PPI), and the learning curve analysis. The offeror(s) may be required to submit information other than the above data for determining price reasonableness. Based on the above techniques, Contracting Officer hereby determines that the anticipated cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

There is one approved source: MILITARY BATTERY SYSTEMS INC (4M0Z6), part number GEI-INV 400.

MILITARY BATTERY SYSTEMS INC has quoted on previous solicitations. A sources sought was posted to beta.SAM.gov on 10 December 2020 and closed on 16 December 2020. No companies expressed interest in the posting. 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. Previous awarded manufacturer did not indicate that this item was commercial on that solicitation. Item is specially made components for the military. The item has additional requirements beyond commercially available items. MILITARY BATTERY SYSTEMS INC (4M0Z6) states: “We do not sell this item to commercial customers, as a result we have no invoice sales history to share. This item consists of multiple commercial components that are purchased, combined, and then assembled into the finished product.” Therefore, the Contracting Officer determines this item to be non-commercial and the solicitation shall be issued pursuant to FAR Part 15 procedures.

A firm fixed price contract will be issued. Material Master does not show this NSN as commercial. This item is manufactured for military use only.

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

A market survey was conducted on/during 12/10/2020 thru 12/16/2020.

Total number of vendors contacted: Six. 0GD25, 0P327, 0REY5, 1N8T8, 4M0Z6, 7UL16 Technique used to conduct survey: E-mailed questionnaire.

Types of information requested: Size of company, type of company, commercial status of item, if catalog/price listing info was available, is NSN a stocked item, is vendor interested in submitting an offer, approximate delivery schedule, quantity sensitivity, FOB and inspection/acceptance terms.

APPROVAL REQUIREMENTS

[ XX ] Up to $750,000 Contracting Officer

Attachments:

ATT 1 Technical Response

File details come from the government source that posted it. Updated .