JA SPE7MX22RX019_Redacted.pdf

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7MX22RX019

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

In accordance with FAR 6.302-1(c)(1)(ii)(B) and FAR 6.303-2(b)(5), the following provides a demonstration of the unique qualifications of the sources listed above to justify the use of 10 USC 2304(c)(1). Per the technical review conducted for these NSNs on 3/3/2021, the source listed above is the only source to possess the requisite rights to technical data necessary to manufacture these items to military specifications. Both items have been modified from their commercial counterparts to meet the specification of the Governmental end item. The servo valve is a four-way configuration valve modified from the commercial three-way configuration valve. The servo valve highest WSDC is the AWACS, which also comes from a previously existing commercial aircraft Boeing 707. The transducer motional is also a modification from its commercial counterpart. The highest WSDC Hercules was originally developed for the military, but it is widely used now in the commercial marketplace. The specifications for the Government were not found with other sources. Attachment 1 contains the Government’s Product Specialist certification indicating that all means to obtain a technical data package adequate for manufacturing these items have been exhausted. The Contracting Officer has relied upon the Product Specialist’s technical review of these NSNs and determined the only source capable of supplying these items to the Government is Hydro-Aire (81982). The Product Specialist has certified that the Government does not possess and has exhausted all means to obtain the data necessary to solicit these items under full and open competition. Additionally, the Product Specialist has reviewed the technical data available and confirmed the only source capable of supplying these items to the Government is Hydro-Aire (81982).

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

[ X ] The acquisition will be synopsized for 14 days on or about 1/14/2022.

[ ] Dealers of the manufacturers will be solicited. – Not possible. The Original Equipment Manufacturer (OEM) Hydra-Aire will quote directly to the Government.

[ X ] Other. (Explain) - Sources sought was posted from 8/19/2021 to 8/26/2021.

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

Certified Cost and Pricing data is not required, as the acquisition is being solicited using FAR Subpart 13.5- Simplified Acquisition Procedures for Certain Commercial Items. The buyer only intends to award the NSN if a fair and reasonable price determination can be made. The basis for the Government’s fair and reasonable price determination is anticipated to be price analysis, which is likely to include the analysis of other than cost or pricing data. Such data may take the form of informal cost or price breakdown, pricelists, internet pricing data, or any other documentation that adequately explains the price. These items have been historically sourced by the OEM with only one exception, in which dealer Aero Precision Industries LLC (0ZTJ5) was awarded contract SPE7M0-14-V-8798.

The Price Reasonable Code (PRC) of such buy is BB, indicating the price was determined reasonable based on price competition between dealers. The Contracting Officer could not find the pricing documentation or the abstract of award in file. All other contracts have a PRC of BG, indicating the use of contract history to analyze the price, BI, indicating the use of price analysis to determine reasonableness, and BJ, indicating price was determined reasonable using any other reasonable basis (FAR 13.106-3(a)(2)(vii)) when using simplified acquisition procedures only.

8. Market Research/Efforts to Obtain Competition:

Market Research consisted of a sources sought posting, market surveys [10 U.S.C. 2304(f)(3)(D)] and email interchanges with the sole source OEM Hydro-Aire. The sources sought was posted on SAM.gov from 8/19/2021 to 8/26/2021. The Contracting Officer sent market surveys to all previous awardees and vendors that has participated in buys since 2015. The market survey sought information on size of business, nature of business (dealer or manufacturer), technical description, commerciality, delivery, price ranges, lead times, certified cost and pricing data and interest in a long-term-contract. The Government emailed directly the following four vendors, from which only two responded:

Lockheed Martin Commercial variant of the military C-130J:

Military application AWACS, which is also the highest WSDC:

Item NSN 6695-01-483-3092 transducer, motional: This item converts pressure into electrical signals. OEM Hydro-Aire identified the commercial part number that is counterpart of the military NSN 6695-01-483-3092 transducer, motional part number. OEM Hydro-Aire explained that the transducer works as a wheel speed transducer that produces a sinusoidal output signal that is fed into the electronic Brake Control Unit of an aircraft.

Commercial wheel speed transducer PN 140-265, used on Embraer’s ERJ170/190 family of aircrafts, is a 90 teeth per revolution device, same resolution as PN 140-207 used for the C-130J Hercules aircraft. 06F AIRCRAFT, HERCULES C-130 is the highest WSDC of the NSN.

All aircraft brake control systems utilize some means for indicating wheel speed as an input parameter for antiskid control. Crane/OEM Hydra-Aire explained they utilize mainly axle mounted variable reluctance wheel speed transducers for this purpose. The wheel speed transducer used for commercial applications has same function, similar size, similar output signal. Functionality and output of the wheel speed transducer is equivalent to the military transducer. Both generate a sinewave output of 90 pulses per revolution as a function of wheel speed.

Magnet wire and coupling assembly are the same. Assessment of commerciality made by OEM Hydro-Aire is attached. The assessment includes a side-by-side comparison of the military and commercial part numbers, along with diagrams of both showing the similarity in form and function. Images of the military end item related to the highest WSDC Hercules is below, along with the commercial end item using the commercial version of the transducer. Hercules has multiple commercial variants used as cargo aircrafts.

Military C-130J Hercules aircraft:

Commercial version of Hercules:

Commercial Embraer’s ERJ170/190, end item of the commercial version of the transducer:

9. Additional facts supporting other than full and open competition are:

[ X ] Based upon the technical certification on file in DLA Land and Maritime – VEP technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government.

10. A listing of sources, if any, indicating an interest in the acquisition is: (If none, so state) OEM Hydra-Aire (81982).

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

[ X ] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items [ X ] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items [ ] VE Bailment Program [ ] Source Development Review [ ] Reverse Engineering

[ X ] Other – The Contracting Officer looked for previous buys that could have a previous Justification for Other than Full and Open Competition document. There are no previous large buys. Last contract SPE7M820D60WJ is under the Simplified Acquisition Threshold (SAT) and does not require a justification document. Consequently, there are no previous justifications in existence.

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. If not exceeding $750,000, this signature serves as the approval.

Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

Competition Advocate Signature Date

APPROVAL REQUIREMENTS

[ ] Up to $750,000 Contracting Officer

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

[ ] $15,000,000 to $100,000,000 Head of Contracting Activity (HCA)

[ ] over $100,000,000 Senior Procurement Executive (AQ) (DLA General Counsel signature line required when sending to AQ)

Attachments:

1) Technical certification

2) Commercial assessment by Hydro-Air

BROOKINS.NORM

A.V.1402247289

Digitally signed by

BROOKINS.NORMA.V.14022472

Date: 2022.01.03 07:10:40 -05'00'

SHEARER.MAR

Y.E.1250702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2022.01.03 15:51:54 -05'00'