JA_SPRDL1-24-R-0184_Redacted_final.pdf

DDEFENSE LOGISTICS AGENCY

LAND AND MARITIME

P.O. BOX 3990

COLUMBUS, OHIO 43218-3990

SPRDL1-24-R-0184 (JA-00891)

Previous J&A: SPRDL1-22-R-0102

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRDL1-24-R-0184

1. Contracting Agency: Defense Logistics Agency - Land Warren (DLA-WRN).

2. Description of Action: DLA-WRN proposes to award a new Firm-Fixed-Price contract to an offeror providing the product of DRS Network & Imaging Systems LLC (DRS), Commercial and Government Entity (CAGE) 32865, the approved source for the following items using Army Working Capital Funds:

National Stock Number (NSN) 5855-01-625-8679, Nomenclature Reticle Assembly, Optical Instrument (also known as the Drivers Vision Enhancer (DVE)

NSN 5895-01-691-4051, Camera Set (also known as the DVE Ultrawide Camera)

NSN 6150-01-500-6953, Sidecar (R) Module Cable Assembly.

3. Description of Supplies/Services:

The DVE (used on the M109A7, M992A3, and Bradley A4 vehicles) is made up of three cameras that sit on the front of the vehicle that allow the occupants to see what is outside of the crew compartment without the need for opening hatches/doors.

The Camera Set is a component of the Joint Assault Bridge (JAB) Vision System. The DVE Ultrawide Camera, is the launch camera for the bridge. It is a fish-eye infrared camera that provides a 114-degree Horizontal Field of View and 98-degree Vertical Field of View. The purpose of the DVE Ultrawide camera is to provide the operator with near the bank vision capability for placing the bridge. This camera is angled downward to look at the area immediately in front of the vehicle. The extra wide angle of this lens makes it possible to see the entire area where the launcher foot will land.

The Sidecar (R) Module Cable Assembly is a critical component of the M1A2 Abrams Family of Vehicles. This is part of a network of sidecar cables that "daisy chains" all the Sidecar modules together within the Embedded Diagnostics (ED) system and provide the means for ED system power and communication to the MPC850 Diagnostics Processor.

The total estimated maximum value of this contract to include all options is $15,000,101.11

PRON Item Name NSN P/N Quantity (each) without option

Option Maximum Dollar Value

EH4C0879EH Reticle Assembly, Op

(DVE)

5855-01-625-

1004063-

255 100% $

EH4C0941EH Camera Set

(DVE

Ultrawide)

5895-01-691-

1004062-

10 N/A $

EH4C0785EH Sidecar (R) Module Cable Assembly

6150-01-500-

12992347-

254 100%

Total Maximum Dollar Value $

Acquisition Method Code (AMC) for all three parts:

3 - Acquire, for the second or subsequent time, directly from the actual manufacturer.

Acquisition Method Suffix Code (AMSC) for all three parts:

C - This part requires engineering source approval by the design control activity to maintain the quality of the part. Existing unique design capability, engineering skills, and manufacturing knowledge by the qualified source(s) require acquisition of the part from the approved source(s). The approved source(s) retain data rights, manufacturing knowledge, or technical data that are not economically available to the Government, and the data or knowledge is essential to maintaining the quality of the part. An alternate source must qualify in accordance with the design control activity's procedures, as approved by the cognizant Government engineering activity. The qualification procedures must be approved by the Government engineering activity having jurisdiction over the part in the intended application. If one source is approved, AMCs 3, 4, or 5 are valid. If at least two sources are approved or if data is adequate for an alternate source to qualify in accordance with the design control activity's procedures, AMCs 1 or 2 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 the Federal Acquisition Regulation (FAR) 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. Reason for Authority Cited:

DVE: The DVE is connected to a display that relays visuals to the occupants, allowing them to see what is outside of the vehicle without exposing them to environmental or enemy threats. The M109A7, M992A3, and Bradley A4 vehicles have unique testing requirements. This includes mechanical vibration testing stated in International Standards Organization specification (ISO)1940-1:2003 and high vibration testing that replicates the M109A7 blast overpressure. This unique testing also includes qualification and bench testing from voltage converters stated in International Electrotechnical Commission (IEC) specification 60034-18-41. Both vehicles generate high voltage, and all electrical components must withstand this testing. Another unique test specific to the M109A7 and M992A3 vehicles and other military vehicles is the military standard environmental testing (MIL-STD-810G). DRS is qualified to meet these requirements to provide this DVE. DRS has the capability to manufacture this DVE, perform failure analysis, develop inspection and acceptance criteria for components in the DVE. The rigorous vibration, environment, and electrical testing are very strenuous on every part in the M109A7 and M992A3 vehicles and makes it difficult for vendors to pass these requirements. DRS has supplied the DVE for all of production on M109A7/M992A3 and Bradley A4. For other vendors to submit parts and pass these tests would drive up costs and the timeline, shown in reverse engineering section.

While the Government has a build to print Technical Data Package (TDP) and/or a full specification that it can build to, it does not have the pertinent technical data to enable a competitive re-procurement. Additionally, the Government requires qualification prior to source approval.

DRS has proven that they can produce this part to meet Army Spec.12578492_A_1 which identifies the many requirements including, but not limited to Capabilities, Interface, Safety, Environment, and Personnel.

Due to the limited technical data available, Reverse Engineering (RE) is the only recourse for the Government to increase competition through development of a competitive build-to-print TDP. Due to the unique design and manufacturing requirements necessary to maintain part quality, the Government would need to identify and qualify an additional vendor(s) item.

A cost breakdown of these non-recurring engineering efforts, to include the time to complete, for the Reticle Assembly, Op (DVE), is shown in the table below:

Task Delay Cost Develop TDP $350K Obtain part samples $200K Reverse Engineer Design and Development

$1.250M

Fabricate and Install Components

$550K

Component testing $800k Vehicle testing $1.250M

TOTAL $4.4M

At the current usage rate of units per year, for the DVE, at the current procurement cost of $ , and assuming the 25% saving achieved through competition, the $ annual savings would take to offset the estimated $4.4M cost of reverse engineering the item.

Camera Set: The Camera Set is used on the JAB and assists the operator in deploying the system in the proper orientation. This includes mechanical vibration testing (ISO 1940-1:2003), qualification, and bench testing from voltage converters (IEC 60034-18- 41). All electrical components must withstand this testing. Another unique test specific to the JAB is the military standard environmental testing (MIL-STD-810G). DRS is qualified to meet these requirements to provide this Camera Set. DRS has the capability to manufacture this Camera Set, perform failure analysis, develop inspection and acceptance criteria for the components. The rigorous vibration, environment, and electrical testing are very strenuous on every part of the JAB and makes it difficult for vendors to pass these requirements. DRS has supplied the Camera Set for all of production on JAB. For other vendors to submit parts and pass these tests would drive up costs and the timeline, shown in reverse engineering section.

DRS has gone through the process to become the source for this part. They have designed and validated Camera Set (DVE ultrawide) to meet all requirements stated on the part drawing. There is substantial duplication of cost and unacceptable delays associated with attempting to validate additional sources DRS owns the intellectual property data rights to the pertinent technical data.

An unqualified Camera Set (DVE ultrawide) will impair the occupant’s ability to see their surrounding and safely assess possible threats.

To make this a competitive procurement, the Government would need to provide the TDP. The drawing is source-controlled to DRS and the Government is not able to purchase the source-controlled portion of the technical data and associated rights for the Camera Set (DVE ultrawide) from DRS. The below table shows the activities required, along with their associated delay and costs for the development and release of a competitive TDP. These are engineering estimates based on previous efforts of this nature performed by the Government. Due to the function of the part, on-vehicle testing is required. Testing would require scheduling a window of time at an Army test center and must meet all requirements on the part drawing.

A cost breakdown of these non-recurring engineering efforts, to include the time to complete, Camera Set, is shown in the table below:

Task Delay Cost Develop TDP $550K Obtain part samples $300K Reverse Engineer Design and Development

$1M

Fabricate and Install Components

$650K

Component testing $1M Vehicle testing $1M

TOTAL $4.5M

At the current usage rate of units per year, for the Camera Set (DVE Ultrawide), at the current procurement cost of , and assuming the 25% saving achieved through competition, the annual savings would take to offset the estimated $4.5M cost of reverse engineering the item.

Side Car Module: The Side Car Module is used to monitor and maintain the health of the M1A1 Abrams. It is a single onboard computer with a display that evaluates, stores, and communicates diagnostic data in real time. Data is stored to be later accessed by the maintainer, end user, or Original Equipment Manufacturer. The risk of not using the Sidecar(R) Module Cable Assembly from DRS could affect the functionality of the vehicle on-board diagnostic systems. Without power to the ED system, the MPC850 Diagnostics Processor will relay critical vehicle diagnostic information to the occupants, putting them at risk of vehicle malfunction and inability to perform critical mission functions.

To make this a competitive procurement, the Government would need to provide a complete TDP. The current drawing is source-controlled to DRS and the Government is not able to purchase the source-controlled portion of the technical data and associated rights for the Reticle Assembly, Op (DVE) from DRS. The below table shows the activities required, along with their associated delay and costs for the development and release of a competitive TDP. These are engineering estimates based on previous efforts of this nature performed by the Government. Due to the function of the part, on-vehicle testing is required. Testing would require scheduling a window of time at an Army test center and must meet all requirements on the part drawing.

To make this a competitive procurement, the Government would need to provide the TDP. The drawing is source-controlled to DRS and the Government is not able to purchase the source-controlled portion of the technical data and associated rights for the Sidecar (R) Module Cable Assembly from DRS. The below table shows the activities required, along with their associated delay and costs for the development and release of a competitive TDP. These are engineering estimates based on previous efforts of this nature performed by the Government. Due to the function of the part, on-vehicle testing is required. Testing would require scheduling a window of time at an Army test center and must meet all requirements on the part drawing.

A cost breakdown of these non-recurring engineering efforts, to include the time to complete, Sidecar (R) Module Cable Assembly, is shown in the table below:

Task Delay Cost Develop TDP $750K Obtain part samples $400K Reverse Engineer Design and Development

$800K

Fabricate and Install Components

$700K

Component testing $800K Vehicle testing $1M

TOTAL $4.45M

Assembly, at the current procurement cost of $ , and assuming the 25% saving achieved through competition, the $ annual savings would take to offset the estimated $4.45M cost of reverse engineering the item.

The Government based its duplication of cost estimate on engineering estimates for the following non-recurring engineering efforts:

TDP Development: Identification of relevant specifications, measuring parts, 3D modeling, and creating 2D part drawings

Obtain Part Samples: Procure from DLA or other source

Reverse Engineering: Measure part, determine necessary materials/components, etc.

Fabrication/Installation: Produce parts and install them on the test vehicle

Component Testing: Durability, environmental/corrosion, operational hours

Vehicle Testing: Scheduling time/vehicle, conducting test, collecting data.

6. Efforts to Obtain Competition:

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

8. Market Research: A Sources Sought Synopsis for all three parts was posted to SAM.gov on 4 October 2024 and was open for 30 days. No responses were received.

A web search technical study was performed 2 September 2024 by GVSC Engineering to review cost and competition consideration, along with determining commercial or non-developmental items which may be available to meet Government needs. Because these parts are source-controlled to DRS, we lack the complete set of technical data to perform more through search of other potential suppliers.

Keywords: Reticle Assembly, Driver's Vision Enhancer, Driver's Vision Enhancer Wide, Camera Set, Sidecar (R) Module Cable Assembly.

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

10. Other Facts: Procurement History:

1. Contract Number: SPRDL1-24-F-0143 Noun: Reticle Assembly, Op (NSN: 5855-01-625-8679) Award Date: 25 June 2024 Contractor: DRS Network & Imaging Contract Value: $921,224.50 Competitive Status: FAR 6.302-1 Only one responsible source and no other supplies or service will satisfy agency requirements.

2. Contract Number: SPRDL1-23-P-0033 Noun: Sidecar(R) Module Cable Assembly (NSN: 6150-01-500-6953) Award Date: 6 May 2023 Contractor: DRS Network & Imaging Contract Value: $69,013.56 Competitive Status: FAR 6.302-1 Only one responsible source and no other supplies or service will satisfy agency requirements.

3. Contract Number: SPRDL1-24-C-0003

Noun: Camera Set (NSN: 5895016914051) Award Date: 16 January 2024 Contractor DRS Network & Imaging Contract Value: $176,222.30 Competitive Status: FAR 6.302-1, "Only one responsible source and no other supplies or services will satisfy agency requirements."

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: Associate Director, Sustainment Engineering Email:

Signature:

1/15/2025

X

Signed by: USA

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: Supply Chain Integration Directorate – Director Email:

Signature:

1/15/2025

X

Signed by: USA

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 be required to submit certified cost or pricing data as this item has been determined to be other than a commercial product.

Name: Ralph McCarthy Title: Contracting Officer Email: ralph.mccarthy@dla.mil Signature:

1/15/2025

X Ralph McCarthy

Signed by: MCCARTHY.RALPH.FITZGERALD.1022173541

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Name: Ralph McCarthy Title: Contracting Officer Email: ralph.mccarthy@dla.mil Signature:

1/15/2025

X Ralph McCarthy

Signed by: MCCARTHY.RALPH.FITZGERALD.1022173541

Approval Authority for Acquisitions Greater Than $15M But Less Than $100M

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: Sensor, DVE

NSN: 5855-01-625-8679

Part Number: 1004063-201 Basic Quantity: 255each (100% option) Value: $

b. Noun: Sidecar (R) Module Cable Assembly

NSN: 6150-01-500-6953

Part Number: 12992347-048 Base Quantity: 254 each (100% option) Value:

c. Noun: Camera Set

NSN: 5895-01-691-4051

Part Number: 1004062-201 Base Quantity:10 each (no option) Value:

d. Total Estimated Contract Value: $

This action will be awarded under other than full and open competition pursuant to the authority of 10 U.S.C. 3204(a)(1) and subject to the availability of funds. This approval is subject to the proviso that the property herein described has otherwise been authorized for acquisition.

WIEBUSCH.JAM

IE.1251897324

Digitally signed by

WIEBUSCH.JAMIE.1251897324

Date: 2025.02.03 10:32:18 -05'00'

JOHNSON.ROBE

RT.D.1230338090

Digitally signed by

JOHNSON.ROBERT.D.12303380

Date: 2025.02.05 09:45:05 -05'00'