JA_SPRDL1-22-R-0143_Redacted.pdf

SPRDL1-22-R-0143 (JA-00530)

Previous J&A: SPRDL1-20-C-0139 other adequate, economical description of the material for a competitive solicitation. AMCS 3, 4, or 5 are valid.

4. Authority Cited: The statutory authority permitting other than full and open competition for this effort is 10 United States Code (U.S.C.) 3204(a)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1, Only One Source and No Other Supplies of Services Can Satisfy Agency Requirements.

5. Reason for Authority Cited: This item is a specifically designed turbo supercharger for application to the M113. Only RR and GARRETT turbo superchargers passed all unique characteristics in the areas of performance, design, construction, operations in various environmental conditions, and vehicle system testing as described in the Item Product Function Specification. These tests are critical to ensure that the M113 vehicles would be mission capable and operationally ready during all warfare environments. If an untested and/or unapproved turbo supercharger is installed in the vehicle, the turbo supercharger could malfunction and result in degraded engine performance or in engine failure jeopardizing the safety of the crew in/during battlefield situation. This kind of condition would force the Army unit to deadline the vehicle impacting the Operational Readiness (OR) Rate, until the malfunctioning/failed turbo supercharger is either repaired or replaced.

RR developed, tested, and obtained the US Government's approval of this item for application to the M113’s 6V53T engine at their own cost, and the part they use/selected is manufactured by GARRETT, PN 466176-1. RR has the requisite technical and engineering expertise to perform all efforts required to provide the supplies identified in this J&A. RR/GARRETT has demonstrated the unique and proven manufacturing capabilities to establish and maintain the processing control required to repetitively produce this item. The use of incorrect material and/or fabrication of this item could result in malfunctioning of the turbo supercharger. A malfunction of this item would significantly degrade vehicle mobility and may jeopardize safety. The Government did not fund their efforts in developing and testing this item. The Government did not appropriate funds for Technical Data Package (TDP) preparation.

RR is the owner of their drawings, and the Government does not have rights to proprietary information, which is required to produce a competitive TDP.

The Government does not have rights to the TDP or specifications. As a result, the Government would have to reverse engineer the turbo supercharger to develop a competitive TDP. Ground Vehicle Systems Center (GVSC) Engineering estimates the following cost and time summary to reverse engineer a turbo supercharger for use on a 6V53T engine.

Reverse Engineering Activity Delay Costs Project definition 3 Months $35K Reverse engineer and create drawings 12 Months $500K Obtain prototypes 12 Months $175K Engine and vehicle tests 15 Months $1M Engineering Change Proposals (ECPs) and

Technical Manual (TM) changes 6 Months $75K Refurbish engine and vehicle 0 Months $500K Total Estimated Time to Reverse Engineer 4 Years $2.3M

The Government may not be able to recover, through subsequent competition, the duplication of costs involved in either procuring the proprietary data or reverse engineering the item to create a competitive TDP within a reasonable timeframe. It is estimated that 25% savings could be achieved by adding another supplier. With an expected annual demand average of 30 units per year, at the current cost of and assuming the 25% savings achieved through competition, the annual savings would take years to offset the estimated $2,300,000 cost of reverse engineering the item and validating the design.

6. Efforts to Obtain Competition:

a. Effective competition: Due to the reasons cited in section 5 above, the Government is not pursuing competition for this item.

b. Subcontracting competition: Unless the contract is awarded to a small business, the solicitation and resulting contract will include FAR clauses 52.219-8, "Utilization of Small Business Concerns"; 52.244-5, "Competition in Subcontracting"; 52.219-16, "Liquidated Damages--Subcontracting Plan";" and Defense Federal Acquisition Regulation Supplement (DFARS) 252.219-7003, "Small Business Subcontracting Plan (DoD Contracts)," to maximize small business opportunities and utilization.

7. Actions to Increase Competition: There are no plans to increase competition for future procurements due to the reasons cited above.

There is no competitive TDP available to support a competitive procurement. RR developed, tested, and obtained the US Government's approval of this item for application to the M113’s 6V53T engine at their own cost. This is a Non-Developmental Item and is purchased from a manufacturer’s part number. RR is the sole owner of their technical data. Due to the costs associated with developing a competitive TDP that cannot be recovered also stated in section 5, the Government is not actively pursuing the development of a competitive TDP for future procurements. The Government would not be able to recover the $2.3M to reverse engineer the superchargers.

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 06 September 2022 and was open for 15 days. No response received.

Defense Logistics Agency Land Warren (DLA) Contract Specialist performed internet searches on 15 September 2022 for suitable competition, using the following terms “NSN 2950-01-220-3253” and “Part Number 98242252”. The following potential distributors, with sales in the past ten years were identified: Garrett Transportation/ Turbo supercharger, Rolls-Royce, America, MTU Detroit Diesel Inc, Maven Engineering Corporation, Johnson & Towers, LLC, Fuel Systems, S.I.T. Corporation, Coordinated

Defense Supply Systems Inc. and D&W Diesel, Inc.

D&W Diesel, Inc. (CAGE IS9F5), a distributor for Garrett turbo superchargers (CAGE 08179), PN 466176-1, was contacted to verify current availability, limited stock is available. NOTE: Garrett was purchased by Honeywell in 2004. Once their supply is depleted, D&W cannot guarantee from Garrett/Honeywell that they will be able to produce more units. Because this component was first introduced in 1985, it may be deemed obsolete once the present stock is sold. The product is manufactured by Garrett/Honeywell and is sold under part number 466176-1. D&W Diesel recently sold this item in July 2022 (a single unit) to a turbo specialty shop in Florida, the end user is not known. Additionally, D&W Diesel stated that there is little demand for this item because most of the engines and vehicles it was installed on would be out of service due to age.

Rolls-Royce, America (CAGE 72582), was contacted to verify current availability, limited stock is available. Rolls-Royce, America purchased MTU in 2014. MTU is an original equipment manufacturer of PN 8924252. Rolls-Royce, America stated that it was still a valid part number although they have not sold the item to the United States Government (USG) since 2020. Additionally Rolls-Royce, America will not provide copies of invoices to their distributors, as they are privately owned companies and do not disclose details of the agreements with those companies.

A commerciality narrative was provided by both, Rolls-Royce and D&W Diesel, to the DLA Land Warren Contracting team affirming the commercial nature of this product:

“This product is of a type customarily used by the general public or by nongovernmental entities for purposes other than Government purposes and has been sold, leased or licensed to the general public, or has been offered for sale, lease or license to the general public.”

A web search technical study was performed by GVSC Engineering in July 2022 to review cost and competition consideration, along with determining commercial or non-developmental items which may be available to meet Government needs. Web search results are as follows:

1.) From commercial market turbosupercharger Turbo Model TV7301 PNs: 8924252, 466176-0001,466176-5001s, Engine 6V92TAB, 6V53T http://www.rl-turbo.com/2015/0424/934.html

2.) From updated version subparts Turbo PN: 466176-5005S

3.) Marked as a Bradley part and used with different exhaust manifold and adapter on the outlet on M551 version.

Newer V-band type exhaust mount.

PNs: 5101431 and 405681-1

4.) From China https://rl-turbocharger.en.made-in-china.com/product/feBEHgPdZvrX/China- Turbocharger-TV7301-08924252-8924252-R8924252-466176-5001s-466176-0001- 466176-1-for-Detroit-6V92tab.html

5.) Possible latest design and production from Cummins/Holset

6.) Possible latest design and production from BorgWarner These last parts would require special size matching of the inlet and outlet turbine/impeller since the supercharger throws off the basic design tools.

The items found during the web search have not been tested or qualified in the specific vehicle configuration and the Government has no plans or funding to pursue qualifying or testing them. RR and Garrett are the only approved sources by the Government.

Other potential sources are specialty supercharger rebuilding shops, that use a core and repair and custom refit close tolerance parts and bearings. Since this procurement is for new turbo superchargers, these sources would be unable to support this requirement.

9. Interested Sources: To date no additional sources have expressed interest in this item.

10. Other Facts: Procurement History:

SPRDL1-20-C-0139, awarded on 10 April 2020 to D&W Diesel Inc (CAGE 1S9F5), approved sources identified as MTU (CAGE 72582) and Garrett Turbochargers (CAGE 08179) for a total value of . Competitive status of this award was FAR 6.302-1 only one responsible source and no other supplies or services will satisfy requirements.

SPRDL1-17-D-0035, awarded on 10 May 2017 to D&W Diesel Inc (CAGE 1S9F5), approved source identified as MTU (CAGE 72582) and Garrett Turbochargers (CAGE 08179) for a total potential value of . Competitive status of this award was FAR 6.302-1 only one responsible source and no other supplies or services will satisfy requirements.

11. Technical Certification: I certify that the supporting data under my cognizance which is included in this justification is accurate and complete to the best of my knowledge and belief.

Name:

Title: Division Chief – Sustainment Engineering, Email: