JA - SPRDL124R0074 Redacted.pdf

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Attached to
Redacted Justification & Approval (J&A) Federal contract opportunity
Solicitation number
SPRDL1-24-R-0074
Issued by
Defense Logistics Agency Land and Maritime

About this file

This is a Justification & Approval (J&A) document for other than full and open competition from the Defense Logistics Agency Land and Maritime (DLA-WRN) for a sole-source award to Oshkosh Defense LLC. The requirement is for axle assemblies (NSN 2530-01-593-0997) used on the Heavy Equipment Transporter (HET) A1 vehicle, with a minimum guaranteed quantity of 3 units and maximum quantity of 81 units over a 5-year period.

The J&A cites that only Oshkosh can provide these axles as they own all technical data rights and have the specific expertise to manufacture them. Market research found no viable alternatives, and reverse engineering would cost approximately $3.5 million and take 42 months. A Sources Sought notice posted on SAM.gov in March 2024 received no responses. Previous contracts for this item were also sole-sourced to Oshkosh, including contract SPRDL1-19-D-0129 valued at $10.2 million awarded in June 2019. The procurement will be conducted under FAR 6.302-1 authority for only one responsible source. The contract will be a firm-fixed price, Indefinite Delivery Indefinite Quantity (IDIQ) type using Army Working Capital Funds.

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JA-00768 SPRDL1-24-R-0074 (JA-00768)

Previous J&A: SPRDL1-18-R-0481 components, specifications, and certifications of this component are unknown. Oshkosh is the only vendor who possesses the technical data and expertise to manufacture this axle.

The Government does not have rights to the T D P or specifications to enable competitive re-procurement. The axle is manufactured solely by Oshkosh, who owns all the data rights to the axle assembly. Only Oshkosh has the specific technical expertise and proper facilities to manufacture the axle. Additionally, Oshkosh has the experience to build the axle assemblies that allow the HET A1 to perform its mission. Oshkosh has manufactured axle assemblies that have successfully operated in the field and have met all mobility requirements outlined in the Army Technical Purchase Description. Unlike other commercially produced axles, this axle has been designed specifically for use on the HET A1. Oshkosh and the Government conducted developmental and operational testing during the vehicle’s design and initial production phases, which proved that Oshkosh could manufacture an axle that meets the Government’s performance and reliability, availability, and maintainability (RAM) requirements. If the Government were to purchase axle assemblies that have not undergone proper verification, mission failures and potential loss of mission critical functions to the vehicle could occur. Without this proper verification, it is likely that the axle assembly would not fit or function properly, which could result in failure, Due to the lack of technical data available for the axle, reverse engineering is the only recourse for the Government to increase competition through development of a competitive build-to-print TDP. The Ground Vehicle Systems Center (GVSC) Heavy Tactical Vehicle Sustainment Team has estimated the effort that would be required to reverse engineer this axle based on conversations with Subject Matter Experts in Reverse Engineering, Test & Evaluation, and Quality Engineering. The reverse engineering process consists of procuring samples of the current part, tearing down the samples to understand and characterize the assembly’s components, dimensions, and materials, and designing the reverse engineered part. Several prototypes would need to be fabricated. The process to reverse engineer the part and fabricate prototypes would cost an estimated minimum of $1 million with a lead time of 12 months, of which $100,000 would be used to procure samples, $700,000 would be used to characterize the part and develop the new design, and $200,000 would be used to fabricate prototypes. In addition, the prototype would have to undergo design validation and vehicle integration testing, which would cost an additional estimated minimum of $1.5 million with an additional lead time of 24 months. The prototype testing would consist of a form, fit, and function test, a performance test, RAM testing, accelerated life testing, cold and hot environment testing, salt spray testing, and maximum load operation testing. To procure this axle competitively, a complete TDP would need to be developed, which would cost an estimated minimum of $1 million with an additional lead-time of six months.

In total, reverse engineering, design validation, performance testing, and developing the TDP would require at least 42 months and an estimated minimum of $3.5 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

JA-00768 SPRDL1-24-R-0074 (JA-00768)

Previous J&A: SPRDL1-18-R-0481

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 1 March 2024 and was open for 15 days. No responses were received.

Market research was conducted by the GVSC Heavy Tactical Vehicle Sustainment Team during February of 2024 to find suitable competition for the Oshkosh Axle Assembly. Axles are identified by characteristics such as weight rating and wheel end hardware, as well as interfaces with suspension and wheel/tire assemblies. The materials, dimensions, mounting details, and performance requirements are not available for this assembly. Due to the lack of a TDP or in-depth technical specifications of the sole-source part, the validity of researched axles is difficult to evaluate. Other manufacturers offer similar axles, but the form, fit, and/or function of alternatives are not identical to the sole-source part.

Keywords searched: axle assembly, military axle, HET axle, heavy truck axle.

https://www.meritor.com/products/axles https://www.rockwellaxles.com/rockwell_axle_specs.htm https://spicerparts.com/parts?category=1 https://www.hendrickson-intl.com/search?ti=product&st=axle

Commercial axles offered by Meritor, Rockwell, DANA/Spicer, and Hendrickson 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. For this assembly, Oshkosh purchases a commercial axle from a supplier but modifies it for military use.

The modification, which involves adding components to increase performance and properly interface with military suspensions, is proprietary to Oshkosh and is not known by the Government.

Additionally, a visual comparison of the axle from the Army technical manual to the researched alternatives was conducted, but none of the commercially available parts appear to be identical in mounting, size, or shape. Due to internal components, even a part that appeared the same externally could vary in performance, capability, or manufacturing.

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

10. Other Facts: Procurement History:

Contract Number: SPRDL1-19-D-0129 Award Date: 18 June 2019 Contractor: Oshkosh Defense, LLC (CAGE 75Q65) Contract Value: $10,200,704.70 Competitive Status: FAR 6.302-1 only one responsible source

Contract Number: SPRDL1-18-C-0072 Award Date: 20 November 2017 Contractor: Oshkosh Defense, LLC (CAGE 75Q65)

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