JA_SPRDL124R0069_redacted.pdf

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Redacted Justification and Approval (J&A) Federal contract opportunity
Solicitation number
SPRDL1-24-R-0069
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 by the Defense Logistics Agency (DLA) for steering gears. The procurement is for Oshkosh Defense, LLC to supply steering gears (NSN 2530-01-580-3591, P/N 3847755) for the Heavy Expanded Mobility Tactical Trucks (HEMTT) A4 vehicle. The contract includes a guaranteed minimum quantity of 39 and a maximum quantity of 975 steering gears, with a five-year indefinite delivery, indefinite quantity (IDIQ) contract term.

The justification highlights that Oshkosh is the sole source due to proprietary technical data and expertise in manufacturing the specific steering gear configuration. Market research, including internet searches and a Sources Sought Notice, found no alternative vendors capable of providing a compatible steering gear. The government determined that reverse engineering would cost an estimated $1.6 million and take 26 months, making it economically unfeasible to pursue competitive procurement. The contract is valued at $468,540.60 and will be awarded under the authority of 10 U.S.C. 3204(a)(1) for other than full and open competition.

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SPRDL1-24-R-0069 (JA-00778)

Previous J&A: SPRDL1-23-R-0127 developed, which would cost an estimated minimum of with an additional lead-time of three months.

In total, reverse engineering, design validation, performance testing, and developing the TDP would require at least 26 months and an estimated minimum of $1.6 million. To neglect design validation and integration testing would be a high risk as premature failures of this item in the field could jeopardize the Army’s mission in a potentially adverse operational environment. Ultimately, there is a vital need for correct and approved components to be contractually obtained under this procurement to maintain readiness and avoid vehicle dead-lining due to supply shortages.

Action Cost Delay Sample Procurement Part RE Fabricate Prototypes RAM Vehicle Testing Develop TDP Total $1,630,000.00 26 months

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 units each year, a current unit cost of

, and assuming % savings achieved through competition, the in annual savings would take over to offset the estimated $1,630,000 cost of reverse engineering the item and qualifying another source.

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. Sole Source 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 (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 4 March 2024 and was open for 15 days. No responses were received.

SPRDL1-24-R-0069 (JA-00778)

Previous J&A: SPRDL1-23-R-0127

The GVSC Heavy Tactical Vehicle Sustainment Engineer performed the following internet searches on 1 March 2024 to find suitable competition for the Oshkosh steering gear.

Oshkosh does not give any characteristics or specifications on the HEMTT A4 steering gear, P/N 3847755 (CAGE 75Q65). No information is available about the specific configuration used on the HEMTT A4 application. The part configuration details include information about mounting locations on the vehicle and tolerances. A specification sheet would be needed that shows materials, dimensions, performance requirements for internal components, and mounting details for the assembly on the vehicle chassis.

Due to the lack of a TDP or in-depth technical specifications of the sole-source part, the validity of the researched steering gears is difficult to evaluate.

Steering gears offered by RH Sheppard, Bosch, ZF, and Knorr-Bremse were reviewed.

There is not enough information to determine if these options will fit on the vehicle and operate in the same manner as the sole-source part. Several manufacturers offer remanufactured steering gears, but this procurement is for new steering gears.

A visual comparison of the steering gear from the Army technical manual to the researched alternatives was conducted, but none of the commercially available parts appeared to be identical in mounting locations, size, or shape. Due to the internal components, even a part that looked the same may vary in performance, capability, or manufacturing.

When, or if, the technical information for the steering gear is made available to the Government, additional and specific market research can be conducted, and competitive procurement can be considered.

Keywords: steering gear, HEMTT steering gear, heavy truck steering gear, Oshkosh steering gear.

Websites: https://www.boschautoparts.com/p/steering-gear;

https://www.rhsheppard.com/products-services/products/commercial-steering/iron-castings/m110/; https://www.knorr-bremsecvs.com/en/products_1/steering/standard_page__broad_6.jsp;

https://www.bendix.com/en/products/steering/steering_1.jsp;

https://www.zf.com/products/en/cv/products_64219.html;

https://www.haldex.com/en/na/power-steering-gears/

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

10. Other Facts: Procurement History:

Contract Number: SPRDL1-24-C-0002 Award Date: 15 December 2023 Contractor: Oshkosh Defense, LLC (CAGE 75Q65)

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