JA_SPRDL123R0130_Redacted.pdf

SPRDL1-23-R-0130 (JA-00659)

Previous J&A: SPRDL1-22-R-0008

The Valve, Linear, Directional Control, is manufactured solely by Parker, who owns all the data rights and possesses the specific technical expertise and proper facilities to manufacture the valve. Additionally, Parker has an extensive history of manufacturing this item and is familiar with the specific configuration required for this vehicle. The valve was tested by Parker during product development and underwent extensive integration testing by Oshkosh as part of the entire crane assembly. Should the Government purchase directional control valves that have not undergone proper verification, mission failures and potential loss of mission critical functions to the vehicle would likely occur.

Since the Government does not own any of the technical data, the Government would have to reverse engineer the Valve, Linear, Directional Control, to identify all aspects of the part. A reverse engineering effort would include work to clarify and define a valve with the same fit, form, and function as the original, then, design the new valve and develop a prototype. Next, Reliability, Availability, and Maintainability (RAM) testing would have to be completed with the valve integrated onto the winch assembly. Testing would include accelerated life testing, cold and hot environments, salt spray, and maximum load operation testing. To neglect testing would be a high risk as premature failures of this item in the field could result in a mobility failure which could jeopardize the Army’s mission in a potentially adverse operational environment. After the validation, a Technical Data Package (TDP) would have to be built so the part could be competitively sourced.

The Ground Vehicle Systems Center (GVSC) Heavy Tactical Vehicle Sustainment Engineering Team has used historical data from past reverse engineering efforts on a butterfly valve to estimate that reverse engineering the Valve, Linear, Directional Control, would cost a minimum of $1,250,000 for:

- Part research and design, development, and prototype;

- RAM testing, design validation and vehicle integration testing; and

- TDP development, to procure competitively.

A detailed breakdown of cost impacts is shown below.

Action Cost Part research, design, & prototype

$500,000

RAM Vehicle Testing $500,000 Develop TDP $250,000 Total Development Cost $1,250,000

The Government would not be able to recover, through subsequent competition, the duplication of costs involved in either procuring the proprietary data or reverse engineering the item to create a competitive build to print TDP within a reasonable time frame. At the current average usage rate of 203 units each year, a current unit cost of

, and assuming 25% savings achieved through competition, the in annual savings would take over years to offset the estimated $1,250,000 cost of reverse engineering the item and validating the TDP.

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.

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 Notice was posted to SAM.gov on 25 May 2023 and was open for 15 calendar days. No responses were received.

The Ground Vehicle Systems Center (GVSC) Tactical Vehicle Sustainment Engineer performed the following internet searches on 6 April 2023 to find suitable competition for the Valve, Linear, Directional Control.

Keywords: directional control valve, winch control valve, hydraulic directional control valve

Websites: https://continentalhydraulics.com/products/valves/directional-control-valves/pneumatic-hydraulic/ https://www.grainger.com/search/hydraulics/hydraulic-valves/hydraulic-manual-spool-monoblock-valves?tv_optin=true&searchQuery=hydraulic+control+valve&searchBar=true&suggest ConfigId=6&tier=Not+Applicable https://summit-hydraulics.com/product-category/valves/hydraulic-control-valves/

Findings: Directional control valves offered by Continental, Chief, and Summit Hydraulics were reviewed. In summary, there is not enough information to determine whether these options will fit the HEMTT in the same manner as OEM sole-source part.

Due to the lack of a TDP or in-depth specifications of the sole-source part, the validity of the researched directional control valves for this procurement is extremely difficult to ensure.

Summary: Although several manufacturers make products that appear to be similar to the directional hydraulic control valve used on the HEMTT, the lack of a TDP or detailed drawings for the HEMTT control valve prohibit the engineer from knowing the exact specifications that must be met by a potential alternative. A wide range of directional control valve dimensions, pressure ratings, and flow ratings are available across the brands reviewed. The Government has not been given access to any of the technical data or specifications for the Valve, Linear, Directional Control, so it is not possible to make a direct comparison between the sole source valve and the commercially available valves. Additionally, the current directional control valve was designed by the OEM specifically to fit onto this vehicle, and integration/verification testing was conducted for this reason. This directional control valve is custom for the application.

Any other alternative would require integration and extensive testing to mitigate potential risks in the field, such as negative impacts to vehicle safety and operational readiness.

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

This NSN has been determined to be a commercial item based on market research which identified this product as a type customarily available in the commercial marketplace.

10.Other Facts: Procurement history is provided below:

Contract Number: SPRDL1-23-C-0017 Award Date: 9 December 2022 Contractor: Scott Industrial Systems (distributor of Parker products) Contract Value: $1,066,818.41 Competitive Status: FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements

Contract Number: SPRDL1-20-P-0013 Award Date: 28 October 2019 Contractor: Global Logistics (distributor of Parker products) Contract Value: $78,860 Competitive Status: Simplified acquisition procedures - limited to manufacturer part sources

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.

Name:

Title: Division Chief Email:

Name: Reinbolt, Adam R CIV DLA LAND AND MARITIME (USA) Title: Contracting Officer Email: adam.reinbolt@dla.mil Signature:

8/17/2023

X Adam Reinbolt Adam Reinbolt Contracting Officer Signed by: REINBOLT.ADAM.ROSS.1294337225