JA_SPRDL1-24-R-0100_Redacted.pdf
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- Redacted Justification & Approval (J&A)
- Solicitation number
- SPRDL1-24-R-0100
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This is a Justification and Approval (J&A) document for a sole-source contract award.
The Defense Logistics Agency - Land Warren (DLA-WRN) is awarding a firm-fixed-price contract to The Boeing Company, Commercial and Government Entity (CAGE) 8V613, for the procurement of Resolver Assembly units (NSN 5990-01-670-7515, part number 7-617221366-101) used on the AH-64E Apache Attack Helicopter Area Weapon System. The contract calls for a one-time buy of 47 units. The award is justified under 10 U.S.C. § 2304(a)(1) (only one responsible source) via FAR 6.302-1, as Boeing is the original equipment manufacturer and exclusive source capable of producing these components. The Government lacks the complete Technical Data Package (TDP) and intellectual property rights necessary to enable competitive procurement. Reverse engineering to develop a competitive TDP would require a minimum timeframe (redacted) and would create unacceptable delays given the current stock on hand and monthly demand requirements. Market research, including a Sources Sought Notice posted to SAM.gov on April 18, 2024, identified no viable commercial alternatives or competing manufacturers. Previous sole-source delivery orders were awarded on July 2, 2019 (77 units), February 11, 2022 (62 units), and June 26, 2023 (80 units), all under BOA Contract SPE4A1-19-G-0013. The contract will include FAR clauses requiring small business subcontracting plan provisions to maximize small business utilization. Fair and reasonable pricing will be determined through cost and price analysis; certified cost or pricing data is not required as the procurement value is below the applicable threshold.
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SPRDL1-24-R-0100 (JA-00804)
Previous J&A: SPRDL1-23-R-0009 pertinent technical data to enable competitive re-procurement.
. Boeing is the original equipment manufacturer (OEM) and the only source that has ever manufactured the Resolver Assembly. They have the requisite manufacturing facilities, component sourcing, tooling, trained personnel, technical information and acquired expertise to produce this item. Boeing has the exclusive business arrangements with the qualified sources for the component parts. Boeing has demonstrated the ability to successfully produce and deliver Resolver Assembly units to meet United States Government (USG) requirements.
Due to the limited technical data available, Reverse Engineering is the only recourse for the Government to increase competition through development of a competitive build-to-print TDP. The time required to increase competition through reverse engineering for this item creates an unacceptable delay. The U.S. Army Combat Capabilities Development (DEVCOM) Armaments Center (AC) project engineer estimated it would take a minimum of to reverse engineer a complete TDP suitable for full and open competition. The estimate is comprised of the following tasks and estimated durations:
Task Contract for Reverse Engineering Services Statement of Work (SOW) Engineering product and material development and prototyping Establish individual component wear limits and overhaul tolerances Technical Performance Design Qualification Testing/Reliability Testing Airworthiness Qualification and Flight Test /delay awaiting flight test Develop quality assurance provisions and detail drawing preparation USG TDP review and approval current stock on hand is . The delay spent reverse engineering a competitive TDP, plus the additional to start receiving deliveries from a competitive procurement,
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. SOLE SOURCE: Notices required by FAR
5.201 will be posted.
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 are no plans to increase competition for future procurements due to the reasons cited above. No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints. TACOM will continue to monitor
8. Market Research: A Sources Sought Notice was posted to SAM.gov on 18 April 2024 and was open for 15 days. Response received. Assessment of response provided below.
BHPE LLC (CAGE 9SWS7) responded on 23 April 2024 to the Sources Sought Notice expressing interest in quoting this Resolver Assembly since they thought this was a solicitation notice and didn't understand it was current a Sole Source item. Contract Specialist contacted BHPE LLC to inform them no solicitation was released and explained the Sources Sought Notice and the process if contractors were interested in becoming an alternate source for future requirements of this Resolver Assembly.
Boeing is the OEM of the AH-64E aircraft and is an active and responsive source for this Resolver Assembly component designed specifically for the AH-64E, which is still in production. Market research found no commercial alternatives or other military hardware that could be adapted for use on the AH-64E.
Additional market research consisted of reviewing catalogs and other generally available product literature published by manufacturers, distributors, and dealers, or available on-line. An internet search was performed on 18 April 2024 by the DEVCOM AC Project Engineer and the results for alternate items for consideration as substitutes yielded no viable alternatives. Internet search engine queries for alternate sources included search terms "PN 7-617221366-101", "NSN 5990-01-670-7515" and "AH-64 Gun Turret Elevation Resolver Assembly".
The searches did identify wholly independent aftermarket parts distributors that offered to supply quotes. These distributors would in fact need to acquire resolver assemblies from the OEM, Boeing, to fill any quotes and are not considered responsible sources or realistic alternatives.
There are no plans to increase competition for future procurements due to the reasons cited above. No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints. TACOM will continue to monitor
9. Interested Sources: To date no additional sources have expressed interest in this item.
10.Other Facts: Procurement History:
The following buys were solicited and awarded as Other Than Full and Open Competition under FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.
Delivery Order SPRDL1-23-F-0023 issued off the Blanket Ordering Agreement (BOA) Contract SPE4A1-19-G-0013, awarded on 26 June 2023 to The Boeing Company for a quantity of 80 each Resolver Assembly units with a total dollar value of .
Delivery Order SPRDL1-22-F-0036 issued off the Blanket Ordering Agreement (BOA) Contract SPE4A1-19-G-0013, awarded on 11 February 2022 to The Boeing Company for a quantity of 62 each Resolver Assembly units with a total dollar value of .
Delivery Order SPRDL1-19-F-0365 issued off the Blanket Ordering Agreement (BOA) Contract SPE4A1-19-G-0013, awarded on 02 July 2019 to The Boeing Company for a quantity of 77 each Resolver Assembly units with a total dollar value of .
11. Technical Certification: I certify that the supporting data under my cognizance which is included in the justification is accurate and complete to the best of my knowledge and belief.
Name:
Title: Branch Chief, Mobile Direct Fires Branch Signature:
7 / 2 / 2 0 2 4
X
12. Requirement Certification: I certify that the supporting data under my cognizance which is included in the justification is accurate and complete to the best of my knowledge and belief.
Name:
Title: Procurement Branch Chief, ILSC Signature:
7 / 2 / 2 0 2 4
X
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.
This determination will be based on the results of a detailed cost and / or price analysis.
The contractor will not be required to submit certified cost or pricing data as the expected value of this procurement is below the required threshold. This item has been determined to be non-commercial.
Name: Nichols, Timothy A CIV DLA LAND AND MARITIME (USA) Title: Contracting Officer Email:
Signature:
7 / 3 / 2 0 2 4
X T i m o t h y A . N i c h o l s
S i g n e d b y : N I C H O L S . T I M O T H Y . A .
14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.
Name: Nichols, Timothy A CIV DLA LAND AND MARITIME (USA) Title: Contracting Officer Email:
Signature:
7 / 3 / 2 0 2 4
X T i m o t h y A . N i c h o l s
S i g n e d b y : N I C H O L S . T I M O T H Y . A
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