JA_SPRDL117R0447_Redacted.pdf

J&A SPRDL 1-17-R-0447

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRDL 1-17-R-0447

1. Contracting Agency: Defense Logistics Agency Land Warren

2. Description of Action: The proposed action is to award contract with option for Transmission Assembly with Container for the M915 and HEMTT trucks. Competition will be limited to part number 57K4461 (Government Drawing) which is Transmission Assembly with Container and consists of specified part numbers contained below in Table 1. Allison Transmission, Inc (cage code 73342) is the sole source for the Transmission for M915 and HEMTT trucks. Award is projected for the 2st quarter of FY18. This action will be funded using Army Working Capital Funds (AWCF).

3. Description of Supplies/Services: The contractor shall provide Transmission Assembly with Container per government drawing 57K4461. Drawing 57K4461 calls out part numbers 12478860 (Transmission Assembly) and 12436544-1 (Shipping and Storage Container). The Transmission A~th Container consist of purchased parts listed in Table 1. The unit value is --and the q~ contract is 9 each with option quantity 9 each. The value of the contract is - with option value for a total value of

Acquisition Method Code (AMC): 3 - Acquire, for the second or subsequent time, directly from the actual manufacturer.

Acquisition Method Suffix Code: (AMSC): C - This part requires engineering source approval by the design control activity in order 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.

T bl 1 P h d P rt a e - urc ase a num ers or e b f th T ransmIssIon A ssem IvwI on ainer bl 'th C t .

NOMENCLATURE P/N

Transmission E006799, Allison Transmission, Inc.

Cage 73342

Bracket Kit, Dipstick 29511834, Allison Transmission, Inc.

Cage 73342

Adapter 16 F50XS V0894, Parker-Hannifin Corporation Cage 30780

Tee, Pipe 8 16 16 GX6JX S, Parker-Hannifin Corporation Cage 30780

Transmitter, Oil Temperature 334AD, Stewart-Warner Corporation Cage 57733

Shipping and Storage Container 12436544-1, US Army TACOM, Cage 19207

4. Authority Cited: The statutory authority permitting other than full and open competition is 10 USC 2304(c) (1), as implemented by FAR 6.302-1, "Only one responsible source and no other supplies or services will satisfy agency requirements."

5. Reason for Authority Cited: Transmission Assembly, part number 12478860 and Shipping and Storage Container, part number 12436544-1 are for M915 and HEMTT trucks. Allison Transmission, Inc tested the transmission on the M915 and HEMTT trucks and tested packaged transmission in a container in the airdrop test.

Allison Transmission, Inc designed and tested the transmission and its components for M915 and HEMTT trucks and obtained the Government's authorization of the transmission for use on the M915 and HEMTT. Allison Transmission, Inc is the sole owner of technical data and manufacturer of the transmission.

The Government does not own technical data rights to the Transmission Assembly. The component drawing number 12478860 is not fully defined. No technical data exists that would define production specifications for the transmission and since the item was developed and tested at private expense of Allison Transmission, Inc and the data is considered proprietary to the supplier.

The non-availability of technical data requires that this item be procured on a non competitive basis from Allison Transmission, Inc for the replenishment of spare parts.

The acquisition data for part number 12478860 is owned and controlled by the Allison Transmission, Inc.

The Government does not own the patent rights or any other proprietary rights to the technical data that would be required to produce a competitive TDP. Allison

Transmission, Inc passed the requirements of the government qualification tests, to include performance, reliability and durability tests.

The Allison Transmission, Inc has the unique and proven qualities and capabilities, facilities, resources, and manufacturing and development experience, to produce and procure the item identified.

The Government did not buy the proprietary rights to produce a competitive TDP. No vendors other than The Allison Transmission, Inc. can meet the required performance standards. The suppliers has demonstrated the unique and proven manufacturing capabilities to establish and maintain the processing control required to repetitively produce this item. The authorized source tested the items in the vehicle to the vehicle specifications.

This is the only known source for the Transmission with Container used on M915 and HEMTT trucks to have the proper form, fit, and function for this application.

The Allison Transmission, Inc. has demonstrated the unique and proven manufacturing capabilities to establish and maintain the processing control required to repetitively produce this item. Without performing qualification testing, the government risks premature failure of this item, which could result in serious accidents involving fatalities.

6. Efforts to Obtain Competition: There are no known funding efforts in progress at this time to qualify other suppliers of this item nor will there be prior to the contract award due to funding constraints - no funds are available to qualify additional sources given the cost and time involved. At this time, there has not been any expressed interest by any known vendor to become qualified source to produce this item. Interested contractors can seek qualification through the Source Approval Program with the Competition Management Office.

7. Actions to Increase Competition: There are no known funding efforts in progress at this time to acquire the commercially controlled data needed to make part number E006799 fully competitive for the following reasons:

Using estimates, the delay to build prototype would take 12 months. Testing and design validation on M915 and HEMTT trucks is 12 months. The total cost would be $2,000,000. This estimation was based on similar projects. The cost to develop TOP is $500,000.

Using these cost and delay model estimates, the Government likely could not recover in following competition, the costs for the procurement to become competitive and the 24 months delay is unacceptable to meet Government requirements.

The amount of time and funding required to develop, test, certify, and release a reverse engineered competitive design is not justifiable.

J&A SPRDL1-17-R-0447

Qualification Testing of the new source to include material test, form, fit, function test, performance test and durability test would require 12 months and $1,000,000. This expense could not be recouped through following competition. Funds are not available for qualification testing of a new source. To neglect qualification testing would cause a serious risk as premature failures of the frame, structural, vehicular could harm the mission. The delay associated with these efforts is unacceptable in fulfilling TACOM requirements and would have a significant impact c;m TACOM's ability to support the soldier in the field.

8. Market Research: The government has no funding to qualify additional sources, and any qualification would be done at contractor's expense. Additional contractors can seek qualification through the Source Approval Program with the Competition Management Office. Given that no detailed technical data is available for the Transmission Assembly with Container NSN 2520-01-479-8832 market research results are very limited. However, in the preparation of this document computer based market research was conducted to determine whether additional sources exist. No additional sources have been identified at this time.

9. Interested Sources: A sources sought synopsis was issued in order to identify additional suppliers and was posted to FedBizOpps on 9-25-2017. To date, no other sources have written to express an interest in becoming an alternate source for this NSN. The notices required by FAR 5.201 will be published and any proposals received will be considered.

10. Other Facts:

a. Procurement History:

Contract: W56HZV09D0032ND01/0011AA Award Date: 2009 November 6 Contractor: Oshkosh Defense LLC Value: $178,685.3

Contract: W56HZV09D0032/0001 /0011 AA Award Date: 2009 January 8 Contractor: Oshkosh Defense LLC Value: $536,055.9

Contract: W56HZV07C0354//0002AA Award Date: 2007 April 17 Contractor: MTP DRIVETRAIN Value: $1,200,000

b. Acquisition Data Available: The Government does not own or have rights to the technical data for the Transmission with Container used on M915 and HEMTT trucks.

c. Unusual and Compelling Urgency: N/A

d. Subcontracting Competition:

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

[ x ] $150K to $650K

Name:

Title:

Date: 26 s~ 2017 Signature:~

Signature:

Team Leader

12. Requirement Certification: I certify thatthe supporting data under cognizance which are included in the justification are accurate and complete to the best of knowledge and belief.

Name:

Title:

Date: 19 S~mber 2017 Signature: •

Name:

Title:

Date:20S~ Signature: --

Name:

Title:

Date: 20 s~ Signature: ----

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.

Certified cost and pricing data will not be required as the estimated value falls under the threshold required by the FAR.

Name: Leah Bourdeau Title: Contracting Officer Date: 17 Oct 2017 Signature: /Is// LCB

J&A SPRDL 1-17-R-0447

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

Name: Leah Bourdeau Title: Contracting Officer Date: 17 Oct 2017 Signature: /Is// LCB

15. Legal Concurrence:

Signature:

Date: 10/20/2017