JA-SPRDL1-25-R-0018_Redacted.pdf

SPRDL1-25-R-0018 (JA-00866)

Previous J&A: SPRDL1-19-R-0057

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRDL1-25-R-0018

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

Description of Action: DLA-WRN proposes to award a New Firm-Fixed-Price contract to an offeror providing the part of Borg-Warner Commercial and Government Entity (CAGE) 4W602 for National Stock Number (NSN) 2950-01-434-3229 NSN 2950-01-432-0369, Turbo Supercharger, using Army Working Capital Funds.

Description of Supplies/Services: NSN 2950-01-432-0369, part number:

655595-3 / 194669 and NSN2950-01-434-3229, part number: 655595-4 / 194670 Turbo Supercharger, are used on the M88 Family of Vehicles (FOV). The deliverable for this contract is for a five-year Long-Term Contract (LTC) as follows: NSN:

2950-01-432-0369; minimum quantity of 12 each and a maximum quantity of 778 each and NSN: 2950-01-434-3229; minimum quantity of 12 each and a maximum quantity of 664 each. The five-year maximum value for both NSNs is as follows: NSN 2950-01-432-0369,$ and NSN 2950-01-434-3229, The total value of this contract is estimated at $ .

Acquisition Method Code (AMC):

1 - Suitable for competitive acquisition for the second or subsequent time.

Acquisition Method Suffix Code (AMSC):

R - The data or the rights to use the data needed to purchase this part from additional sources are not owned by the Government and it has been determined that it is uneconomical to purchase them.

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 Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. Reason for Authority Cited: The M88A2 is a recovery vehicle whose primary role is to extricate combat/tactical vehicles that have been damaged, stuck, overturned, or inoperable, as well as the vehicles crew. Recovery missions can take place during training exercises or while under fire in a combat zone. The M88A2’s secondary role is to aide in the repair or replacement of damaged parts during maintenance operations. It is commonly used to remove/install engines and/or transmissions for the Abrams Family of Vehicles (FOV), Bradley FOV, other M88 FOV and M113 Armored Personnel Carrier.

Soldiers would not be able to perform the maintenance required without the hoisting capabilities of the M88A2. The Air Cooled, V-engine configuration, Diesel, Super turbocharged (AVDS)-1790 8CR-SERIES Engine is the heart of the M88A2 Recovery Vehicle Platform and makes recovery operations possible. The turbochargers are an integral part of the AVDS-1790-8CR engine used in the M88A2. A turbocharger operates at extremely high RPMs (60,000-270,000 depending on size) to create positive intake pressure. Due to this, the turbocharger is an intricate piece with precision tolerances and balancing to ensure it does not break due to high RPM and resonance.

Note, the M88A2’s AVDS-1790-8CR engine variant differs from the M88A1’s AVDS- 1790 2-SERIES by 200 hp. (850 hp. vs. 1050 hp.) and the turbochargers are not interchangeable.

Only Borg-Warner as the turbocharger Original Equipment Manufacturer (OEM) and L3 as the Engine OEM have the performance, technical and manufacturing knowledge to provide the turbocharger suited for the AVDS-1790 8CR engine. The Government does not own the data to assemble a Technical Data Package (TDP), and the above sources are the only qualified suppliers based on history. There is no build to print drawings available for the turbochargers and the manufacturing knowledge is proprietary to the qualified sources. As such, to develop TDPs to seek competitive bids would require reverse engineering. A prohibitive amount of time and money would be necessary to reverse engineer, procure and test prototypes, and release the design.

Due to the criticality of the turbocharger and lack of technical data perspective manufacturers will need to successfully meet the (hr) durability qualification test adapted from the North Atlantic Treaty Organization (NATO) Laboratory Test for Gas Turbine Engines per MIL-DTL-62177, Allied Engineering Publication while operating on an AVDS-1790 8CR Engine. This test is required for components that are critical for engine/vehicle operation and crew safety. Malfunction of the AVDS Engines due to poorly manufactured turbos could result in

. The approved source has proven that they are able to deliver turbos of sufficient quality in support of the AVDS diesel Engines. If another possible source of supply for this item was identified a reverse engineering effort to develop the technical data with subsequent qualification testing would be required. A cost estimate breakdown is as follows:

Reverse Engineering Effort: Cost$ Time (Mo.)

Obtain sample set of four turbos (two per bank):

Obtain 2 AVDS-1790 8CR Engines:

Technical data development:

Install two engines with prototype turbos:

Design activity:

Prototyping, Integration, Test:

NATO 400 hr. dyno test:

Vehicle Level Qualification RAM Testing of 5,000 miles:

Full Load Cooling Test:

Grand Total

The Government would not be able to recover, through subsequent competition, the additional costs involved in reverse engineering the items to create new and competitive turbocharger packages for 194670/655595-4 and 194669/655595-3 in a reasonable amount of time. At the current average usage rate of units each year respectively a current unit cost of , and assuming 10% savings achieved through additional competition, a $ in annual savings respectively can be expected. With a combined savings of $ it would take over years to offset the estimated cost of reverse engineering the items and qualifying another source.

Per the item manager the current issuable stock on hand for NSN 2950-01-434-3229 and 2950-01-432-0369 is and respectively. Based on the current annual usage rate ( respectively) there is a of Non-Mission Capable Supply shortages for the field. The delay of to develop build to print TDPs and validate another source of supply for the turbos would result in and of not only the M88A2 vehicle platform but also the multiple other platforms that rely on it for the services it performs. Therefore, development of competitive TDPs and validation of another source is not feasible without having a severe impact on the Army’s mission readiness and the safety of the warfighter.

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. 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 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 Notice was posted to SAM.gov on 17 October 2024 and was open for 14 days. Responses were received. Details of the responses are referenced in Section 9. Interested Sources.

Market research was performed by Ground Vehicle Systems Center (GVSC) Sustainment Engineering on 18 July 2024 by reviewing vendor catalogs and available product literature published by similar manufacturers, distributors and dealers to see if any other sources exist and to determine if commercial items or non-developmental items are available to meet Government's needs or could be modified to meet the Government's needs. While other contractors manufacture similar items, no other manufacturers have successfully passed the hr. NATO durability testing. Additional sources will be considered for qualification testing via the Source Approval Request (SAR) process.

GVSC Engineering completed web based market research on 18 July 2024, searching for companies that manufacture turbochargers for diesel engine applications.

Key Word Search Criteria: Diesel engine turbo charger manufacturer

Website: https://kcturbos.com/pages/kc-flagship-turbos

Findings: This manufacturer does manufacture turbochargers, but they are application specific thus one suitable for the AVDS-1790 8CR would need to be developed.

Website: http://www.myholsetturbo.com/genuine.html

Findings: No solutions found specific to AVDS-1790 8CR. One suitable for the AVDS- 1790 8CR would need to be developed.

9. Interested Sources: To date additional sources have expressed interest as listed above in Section 8.

The following entities expressed interest and responded to the sources sought posting:

Per Engineering, the only viable one will be EOS who is the approved spares supplier for Renk America and are not a manufacturing source. The other sources turbos would need an Engineering effort to integrate them on the 1790 engine. All interested sources were informed how to become an approved source per the sources sought notice.

Contractor: S I T Corporation

CAGE: 1MQB3

Contractor: Contract Support LLC

CAGE: 9XDU3

Contractor: EOS Inc

CAGE: 85VY7

Contractor: BHPE LLC

CAGE: 9SWS7

10. Other Facts: Procurement History:

NSN: 2950-01-434-3229

Contract Number: SPRDL1-19-C-0168 Award Date: 16 May 2019 Contractor: S I T Corporation (Authorized Distributor of Borg-Warner Turbo Systems) Contract Value: $1,976,000.00 Competitive Status: FAR 6.302-1 Only One Responsible Source

Contract Number: SPRDL1-16-C-0070 Award Date: 8 December 2015 Contractor: Southeast Power Systems of Orlando Inc (Authorized Distributor of Borg- Warner Turbo Systems) Contract Value: $350,257.30 Competitive Status: FAR 6.302-1 Only One Responsible Source

Contract Number: SPRDL1-14-C-0144 Award Date: 28 August 2014 Contractor: Octal Corporation (Authorized Distributor of Borg-Warner Turbo Systems) Contract Value: $211,096.10 Competitive Status: FAR 6.302-1 Only One Responsible Source

NSN: 2950-01-432-0369

Contract Number: SPRDL1-19-C-0168 Award Date: 16 May 2019 Contractor: S I T Corporation (Authorized Distributor of Borg-Warner Turbo Systems) Contract Value: $1,976,000.00 Competitive Status: FAR 6.302-1 Only One Responsible Source

Contract Number: SPRDL1-16-C-0228 Award Date: 26 September 2016 Contractor: S I T Corporation (Authorized Distributor of Borg-Warner Turbo Systems) Contract Value: $517,308.00 Competitive Status: FAR 6.302-1 Only One Responsible Source

Contract Number: SPRDL1-15-C-0093 Award Date: 12 March 2015 Contractor: Octal Corporation (Authorized Distributor of Borg-Warner Turbo Systems) Contract Value: $573,755.00 Competitive Status: FAR 6.302-1 Only One Responsible Source

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: Division Chief, Sustainment Engineering Signature:

4/2/2025

Signed by:

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: Division Chief - Sourcing Division Signature:

3/31/2025

Signed by:

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 an other than commercial product.

Name: Jeffrey Mahlmeister Title: Contracting Officer Signature:

3/31/2025

Signed by: MAHLMEISTER.JEFFREY.J.

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

Name: Jeffrey Mahlmeister Title: Contracting Officer Signature:

3/31/2025

Signed by: MAHLMEISTER.JEFFREY.J.

Approval Authority for Acquisitions Greater than $750,000 But Less Than $15M

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

a. Noun: Turbo Supercharger

b. NSN: 2950-01-432-0369, 2950-01-434-3229

c. Minimum Quantity: 12 Each, 12 Each

d. Estimated Minimum Value:

e. Option Percentage: N/A (Five-Year LTC)

f. Maximum Quantity: 778 Each, 664 Each

g. Estimated Maximum 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 provision that the property herein described has otherwise been authorized acquisition.

Signature:

X Competition Advocate

WIEBUSCH.JAMI

E.1251897324

Digitally signed by

WIEBUSCH.JAMIE.

Date: 2025.04.14 12:48:42 -04'00'