JA SPRDL1-20-R-0094 Redacted.pdf

DEFENSE LOGISTICS AGENCY J&A: SPRDL1-20-R-0094

Previous J&A: (SPRDL1-15-C-0030) is available

5. Reason for Authority Cited: This item, Power Supply, is a critical component of the M1A2 Abrams Family of Vehicles (FOV). This item is a source-controlled item (sole source) to Natel Engineering, now called NEO Technology Solutions (CAGE Code: 09059), who is the actual (or original equipment) developer and manufacturer. The Government does not own proprietary rights to Natel Engineering’s data that would be required to produce a competitive TDP. The current Direct Current (DC) Power Supply drawing/TDP, drawing No. 12549922-3, a source control drawing, does not contain adequate technical data and/or information necessary to support a full and open competition. Natel Engineering is the original equipment manufacturer and the only known source that possesses the required technical knowledge and engineering expertise to successfully manufacture this item per the current TDP. Natel Engineering developed, tested and obtained the Government's approval of this item for the M1 Abrams’ DC Power Supply at their own expense. The Government did not fund Natel Engineering’s efforts in developing and testing this item. Additionally, the Government did not fund Natel Engineering to prepare fully detailed TDPs. As such, Natel Engineering is the sole owner of their drawings and technical data rights. The Government does not own proprietary rights to the Natel Engineering data that would be required to produce a competitive TDP.

6. Efforts to Obtain Competition: There are no current plans to acquire a competitive TDP because funds are not available to acquire the data necessary to support a competitive acquisition.

Combat Capabilities Development Command (CCDC) Armaments Center engineering estimates that the cost to develop a competitive technical data package (TDP) for this item through reverse engineering could run as high as $250,000 and require an estimated delay of at least 12 months to include fabrication and testing of the prototype hardware, and releasing a validated TDP.

Since there are no procedures in place to determine whether other sources are qualified to meet the government’s requirements, it would then take an additional $75,000 and take about six months for the U.S. Army/ CCDC Armaments Center engineers to develop government’s requirements for the prospective contractor to produce and qualify the items listed in section 3.

Finally, it would cost $600,000 and take at least six months to conduct the actual Engineering analysis to determine if a new source has become approved in accordance with the newly competitive TDP. This would include the cost for any additional test equipment or fixtures, higher level assemblies and or end item systems required to test this part and any costs for test facilities as applicable.

The overall costs associated with developing a competitive TDP, to include reverse engineering, developing Government’s requirements and engineering analysis would be at least $925,000.00 which would not be recovered through subsequent competition.

The aggregate delay in the acquisition process for the development of a competitive TDP is at least 24 months. A delay of this scale is not considered acceptable in fulfilling the Army’s requirements and would have significant detrimental impact on the Army’s ability to support the soldier in the field and will jeopardize the availability and supportability of Abrams FOV.

Due to lack of funding and urgency of the item requirement, the Government would not be able to conduct reverse engineering effort at this time. These stated costs would be very difficult to be recouped through subsequent competition and the consequential time delay for this effort is unacceptable to meet the Government's requirements.

7. Actions to Increase Competition: No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints. Currently, there has not been any expressed interest by any known vendor(s) to become qualified source(s) to produce this item.

Qualifying a new source would require a substantial expenditure of the limited funding that has been provided to support the Abrams Vehicles. New sources would require the development of extensive testing and processing procedures. The additional time required for these actions would prohibit delivery of this item in a time frame that would meet the Government’s requirements.

At this time, there are no current or planned efforts to qualify additional sources due to the fact that there is no technical data available to produce a competitive TDP.

Any new vendor who decides to pursue the qualification process will be directed to the Competition Advocate’s Source Approval Program.

The Competition Management Office (CMO) will encourage interested parties to submit a Source Approval Request (SAR) for this time for future buys.

8. Market Research: In December 2019 market research was performed by CCDC Armaments Center Engineering. An internet search was performed, similar weapon systems were examined, and equivalent parts were examined for potential compatibility. At that time, CCDC Armaments Center Engineering determined the DC Power Supply, 12549922-3, is a unique military item. No commercial equivalent exists. Therefore, no commercial item will satisfy the Army's need for the DC Power Supply.

Sources Sought Notice has been submitted to Fed Biz Opps on 09 December 2019

Sources Sought Notice#: 2020-050 Component: Power Supply

NSN: 6130-01-492-7549

PN: 12549922-3

End Item: M1A2 Abrams Tank

Sources Sought Notice 2020-050.pdf

Beta.Sam.Gov Link:

https://beta.sam.gov/opp/dbfd884f8c9c44f7b904d5a40439bafb/view?keywords=2020- 050%20Power%20Supply&sort=-relevance&index=opp&is_active=true&page=1

9. Interested Sources: To date, no other sources have written to express an interest in qualifying as a source of supply. Sources Sought Notice 2020-050 was posted to Beta.Sam.Gov on 09 December 2019. Any responses received will be evaluated by the appropriate office.

10. Other Facts: (a) Procurement History: Contract SPRDL1-15-C-0030 was awarded 26 November 2014 for this same item. Previous J&A is available. This action was restricted to Natel Engineering (CAGE 09059).

11. Technical Certification:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name:

Title: Chief, Large Caliber Systems Branch Signature:

Date: 12/18/2019 Email:

12. Requirements Certification:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.

Typed Name:

Title: CM&R PSID Director Signature:

Date: 8 Jan 2020

13. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. Normal acquisition procedures will be followed to determine that the contract price is fair and reasonable. The appropriate forms of cost and/or price analysis will be utilized, and negotiations will be conducted if necessary. Due to the estimated dollar value, certified cost and pricing data will be required in accordance with FAR 15.403.

Typed Name: Morris Belleville Title: Contracting Officer Signature: Morris A. Belleville /S/ Date: 01/16/2020

14. Contracting Officer Certification:

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

Typed Name: Morris Belleville Title: Contracting Officer Signature: Morris A. Belleville /S/ Date: 01/16/2020

15. Legal Review:

Concur / Non-Concur:

Name:

Title: Legal Advisor Signature:

Date: 1/21/2020

Approval Authority for Acquisitions Equal to or Greater Than $700,000.

APPROVAL OF JUSTIFICATION

FOR OTHER THAN FULL AND OPEN COMPETITION

Based on the foregoing Justification, I hereby approve the procurement of the following:

a. Noun: Power Supply

b. NSN: 6130-01-492-7549

c. Basic Minimum Quantity: 80 each

d. Basic Maximum Quantity: 340 each

e. Basic Minimum Estimated Value:

f. Basic Maximum Estimated Value:

g. Option Percent: Not Applicable

h. Quantity with Option: Not Applicable

i. Estimated Value with Option: Not Applicable

This action will be awarded under other than full and open competition pursuant to the authority of 10 USC 2304(c)(1) and subject to the availability of funds. This approval is subject to the provision that the property herein described has otherwise been authorized for acquisition.

Signature:

Date:

DLA Land and Maritime Competition Advocate

SHEARER.MARY.E.125

0702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2020.01.23 08:36:38 -05'00'