JA SPRDL124D0055 redacted.pdf

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Redacted Justification and Approval (J&A) Federal contract opportunity
Solicitation number
SPRDL1-23-R-0147
Issued by
Defense Logistics Agency Land and Maritime

About this file

This document is a Justification and Approval (J&A) for a sole source procurement of seven FMTV (Family of Medium Tactical Vehicles) Axle Assemblies under Solicitation Number SPRDL1-23-R-0147. The Axle Assemblies must meet specific performance requirements including input torque, revolutions per minute, and number of pinion cycles, as well as incorporate ABS, Central Tire Inflation System, and brake proof pressure checks per industry standards. The J&A states that Meritor Heavy Vehicle Systems is the Original Equipment Manufacturer for these Axle Assemblies and the only source capable of meeting the requirements. Reverse engineering the axles would take an estimated 36 months and $5M, which would not be recouped through subsequent competition in a reasonable timeframe. The J&A provides procurement history, current usage rates, and potential cost savings for each of the seven NSNs. It concludes that no suitable alternative sources were identified through market research, and that a delay in procuring these axles would negatively impact FMTV force readiness.

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SPRDL1-23-R-0147 (JA-00691)

Previous J&A Not Available

Axle Assembly must provide the appropriate performance, such as input torque for the given Revolutions Per Minute (RPM) and number of pinion cycles. Axle Assemblies will include ABS, Central Tire Inflation System (CTIS), and perform brake proof pressure check per Society of Automotive Engineers (SAE) J2318. The CTIS would also meet environmental requirements for cold (-50 degrees Fahrenheit) and hot (120 degrees Fahrenheit) temperatures. Furthermore, each Axle Assembly will provide the appropriate nominal axle load rating and overall axle ratio. For example, Meritor part number RP15611NFDF32 780 with input torque of 2,402 LB-FT would have 425 RPM and 11,257 number of pinon cycles. Additionally, Meritor part number RP15611NFDF32 780 would have a nominal axle load rating of 19,000 LBS and an overall axle ratio of 7.80:1 as called out on the top level, source controlled, Government drawing 12422746-

002. Having these parts made by an unqualified source would run the risk of the axles not being able to support the weight of the platform or provide the required platform mobility. Meritor Heavy Vehicle Systems has designed, built, and successfully completed testing of these components to meet the performance requirements listed on the top level, source controlled, Government drawings. Meritor Heavy Vehicle Systems is the Original Equipment Manufacturer (OEM) for these Axle Assemblies and directly coordinated with BAE Systems (FMTV OEM at that time) for design, integration, testing, and validation. Meritor Heavy Vehicle Systems retains the technical expertise of these Axle Assemblies along with a proven track record to deliver as they have been awarded numerous contract orders for these axles for the past several years.

Due to the limited technical data available for these Axle Assemblies, Reverse Engineering (RE) is the only recourse for the Government to increase competition through development of competitive build-to-print TDPs. A significant amount of time and money would be necessary to reverse engineer, procure and test prototypes, and release these designs. The cost to Reverse Engineer these seven axles is estimated at $5M and would take an estimated 36 months (three years) to complete.

Reverse Engineering (RE): To reverse engineer, validate the designs, procure prototypes for testing, and release competitive data packages would entail a significant amount of time, facility resources, man-hours, and funding. Based on previous development experience and coordination with FMTV Engineering Subject Matter Expert, the estimated cost to develop reverse engineered, competitive products is $5M and would take an estimated 36 months (three years) for all axles. Required funding would include $2.5M for personnel to support RE and validation of the designs, fund staff to develop the Computer Aided Design models and drawings, and fund staff to update and produce the associated provisioning documents. Another $2.5M would be required to develop prototypes, test, and finalize the products to verify that the newly created items provide equivalent performance when compared against the originals.

Testing would include performance requirements, durability miles, and environmental testing. To complete the RE process successfully, the Government would have to obtain a sufficient sample size of existing parts to provide a 95% probability and 90% confidence level in the actual size of the existing items to be studied. Once large enough samples have been collected, the Government would then tear down and understand the designs, conduct prototype development, and produce the final TDPs and associated provisioning documents.

The Government would not be expected to recover in a reasonable amount of time, through subsequent competition, the duplication of costs involved in reverse engineering the seven Axle Assemblies, to create new and competitive TDPs.

1) NSN 2520-01-504-8155: At the current average usage rate of 28 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

2) NSN 2520-01-661-7745: At the current average usage rate of 15 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

3) NSN 2520-01-504-8154: At the current average usage rate of 12 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

4) NSN 2520-01-504-8169: At the current average usage rate of 18 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

5) NSN 2520-01-569-5872: At the current average usage rate of 18 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

6) NSN 2520-01-573-2772: At the current average usage rate of 36 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

7) NSN 2520-01-504-8157: At the current average usage rate of 12 units each year, a current unit cost of $ , and assuming 25% cost savings achieved through competition, annual savings would be $ .

The $ in total annual savings would take over years to offset the estimated $5M in cost to RE the items and qualify another source.

If the procurement of the FMTV Axle Assemblies is delayed until the TDPs are developed by the Government and made suitable for a competitive procurement, the Government would experience an unacceptable delay of a minimum of three years in fulfilling this requirement. The three-year delay is a result of the time required to Reverse Engineer the seven axles of equivalent performance explained previously in this document. Further delay in providing these NSNs will negatively impact the FMTV force readiness as without these Axle Assemblies the FMTVs would be unable to perform their missions in adverse battlefield demands and conditions.

1) NSN 2520-01-504-8155:

2) NSN 2520-01-661-7745:

3) NSN 2520-01-504-8154:

4) NSN 2520-01-504-8169:

Keyword(s): Axle Assembly, Automotive, Driving; FMTV axle; Military axle; Heavy duty axle.

Links used to conduct market research are listed below:

https://www.boyceequipment.com/rockwell-5-ton-axles https://www.boyceequipment.com/rockwell-25-ton-axles https://www.dexteraxle.com/Products/Heavy-Duty-Products https://www.nafaxles.com/products/rigid-axles/ https://www.dexko.com/products/heavy-duty-axle http://www.axnheavyduty.com/--2/front-steer-axle-1609683

Findings: The results of this search did not produce any new companies that would provide direct replacement Axle Assemblies for the FMTV that are 100% new and could be installed in the FMTV without considerable time and effort to adapt the new components. Additionally, internet searches did not produce any new companies nor products that meet the exact performance specs of the existing Axle Assemblies.

Numerous internet searches led back to Meritor Heavy Vehicle Systems or surplus suppliers selling Meritor Heavy Vehicle Systems products. The Boyce Equipment 2.5 Ton and 5 Ton axles are rebuilt Rockwell axles that do not meet the axle ratio requirement and do not include CTIS. Dexter, Dexko, and AXN axles do not meet the axle ratio requirement, do not meet input torque for given RPM and number of pinion cycles, and would be a different integration compared to existing axles. NAF axles don’t meet the axle ratio requirement, do not meet input torque for given RPM and number of pinion cycles, and do not include CTIS.

Summary: As a result of the Market Research, it was concluded that no suitable alternative solution was discovered, and that extensive integration and testing would be required of any other manufacturer’s part.

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

10. Other Facts: Procurement History:

NSN: 2520-01-504-8155

Contract Number: SPRDL1-18-D-0091 Award Date: 23 June 2018 Contractor: Badger Truck Center (06YZ5) Contract Value: $1,959,695.10 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: W56HZV-08-C-0147 Award Date: 21 November 2007 Contractor: BAE Systems Tactical (0FW39) Contract Value: $766,960 Competitive Status: FAR 6.302-1, Only One Responsible Source

NSN: 2520-01-661-7745

Contract Number: SPRDL1-21-D-0007 Award Date: 03 November 2020 Contractor: Wheeler Fleet Solutions, Co (55683) Contract Value: $1,390,631.58 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-18-P-0519 Award Date: 22 August 2018 Contractor: Badger Truck Center (06YZ5) Contract Value: $210,388.86 Competitive Status: FAR 6.302-1, Only One Responsible Source

NSN: 2520-01-504-8154

Contract Number: SPRDL1-18-D-0033 Award Date: 07 March 2018 Contractor: Wheeler Fleet Solutions, Co (55683) Contract Value: $935,854.80 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-09-C-0010 Award Date: 09 March 2009 Contractor: HDT Vehicle (1SER6) Contract Value: $484,990.80 Competitive Status: FAR 6.302-1, Only One Responsible Source

NSN: 2520-01-504-8169

Contract Number: SPRDL1-18-D-0091 Award Date: 21 June 2018 Contractor: Badger Truck Center, Inc (06YZ5) Contract Value: $3,072,249.45 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-09-C-0013 Award Date: 09 April 2009 Contractor: Wheeler Brothers (55683) Contract Value: $511,669

NSN: 2520-01-569-5872

Contract Number: SPRDL1-18-D-0091 Award Date: 21 June 2018 Contractor: Badger Truck Center, Inc (06YZ5) Contract Value: $923,727.75 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-17-C-0177 Award Date: 03 May 2017 Contractor: Badger Truck (06YZ5) Contract Value: $484,990.80 Competitive Status: FAR 6.302-1, Only One Responsible Source

NSN: 2520-01-573-2772

Contract Number: SPRDL1-19-D-0004 Award Date: 30 January 2019 Contractor: Worldwide Equipment, Inc (3HVN9) Contract Value: $7,279,260.60 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-18-C-0320 Award Date: 22 June 2018 Contractor: Wheeler Bros (55683) Contract Value: $970,039.58 Competitive Status: FAR 6.302-1, Only One Responsible Source

NSN: 2520-01-504-8157

Contract Number: SPRDL1-18-D-0144 Award Date: 24 September 2018 Contractor: Drive Line Inc (0GE52) Contract Value: $1,544,958.30 Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-09-C-0005 Award Date: 2 March 2009 Contractor: HDT Vehicle Contract Value: $303,154.25

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: DEVCOM GVSC Sustainment Engineering Division Chief Email:

File details come from the government source that posted it. Updated .