JA_SPRDL1-23-R-0056_Redacted.pdf

SPRDL1-23-R-0056 (JA-00598)

Previous J&A is not available pace with the manueuver force.

The HLC is a part of the HLA. The HLA enables the FEE, i.e. either the Full Width Mine Plow or the Combat Dozer Blade, to be attached to the front of the ABV to provide mine and obstacle clearing capability. Two HLCs raise and lower the respective FEE to the ground.

Pearson Engineering Limited (CAGE: K0824) is the original equipment designer and manufacturer of the HLA and the HLC. Pearson owns the complete Technical Data Package (TDP) for the HLC and has declined to sell the technical data package rights to the Government. The Government does not have the pertinent technical data. Pearson has demonstrated the ability to establish and maintain the processes required to successfully produce a finished item. This approved source has produced and qualified the subject parts and assemblies to Government specifications for the ABV.

Another contractor, other than the Original Equipment Manufacturer (OEM) (Pearson Engineering, Limited), would need a detailed TDP as well as comprehensive manufacturing information through the Reverse Engineering process. The cost of this process would not be recoverable through expected low volume subsequent competition within a reasonable time. The engineering estimate for the cost of developing an alternative source includes TDP development, reverse engineering, product tooling, manufacturing tooling, testing and qualification as detailed below:

Task Amount TDP Development $350,000 Product Tooling $400,000 Manufacturing Tooling $300,000 Testing & Qualification $350,000

TOTAL: $1,400,000

This estimate is based on historical costs of comparable component redesign efforts.

TDP Development: The estimated cost of TDP Development for the HLC is $350K, and includes obtaining the necessary parts and components, scanning into computer files, editing into 3D solid models, deriving 2D Computer Aided Design (CAD) drawings, and formulating any necessary Bill of Materials (BOM) with documented production and manufacturing processes.

Product Tooling: The estimated cost of Product Tooling is $400K, and includes making or buying durable tooling to make each part, consisting of options for metal work bending, welding, attaching, fabricating, and Additive Manufacturing (AM), as required.

Manufacturing Tooling: The estimated cost of Manufacturing Tooling is $300K, and includes processing and building assembly equipment, assembly fixtures and gauges, and installation attachments and tools.

Testing and Qualification: The estimated cost of Testing and Qualification is $350K, and

SPRDL1-23-R-0056 (JA-00598)

Previous J&A is not available includes a combination of bench test and/or vehicle test with adjudication. The bench test includes sub-system integration, operation within test parameters, and evaluation.

The vehicle test requires obtaining a vehicle and test location with operators whether civilian or military. It would include fit, function, and performance of the part for both moving and stationary durations. Qualification involves analyzing the test results compared to the requirements and standards and providing a sufficient report.

The dollar value of parts being procured, compared to the cost of developing a new TDP as described in the above paragraphs, does not justify the expense associated with a full and open competition. The cost of this process would not be recoverable through expected low volume subsequent competition.

The price of the HLC is $ each. The annual demand is 12 units per year for a cost of $ per year. The total estimated cost to secure and qualify a second source is $1,400,000. It would take years to payback the initial cost to secure a second source. Additionally, it would be almost two years before any product would be available from the second source, assuming all went according to plan.

Even if a 25% savings in total price could be achieved in the first year by qualifying and certifying a second source, the savings of $ would take years to offset the estimated $1.4M cost to develop and qualify that source.

6. Efforts to Obtain Competition:

a. Effective competition: Due to the reasons cited in Section 5 above, we are 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.

SOLE SOURCE: Notices required by FAR 5.201 will be posted.

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

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 09 February 2023, and was open for 20 days. No responses were received.

CCDC GVSC engineering performed Internet searches for suitable competition, described below:

Keywords: Cylinder Manufacturer; custom cylinders