JA_SPRDL124R0079_Redacted.pdf

SPRDL1-24-R-0079 (JA-00786)

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRDL1-24-R-0079

Contracting Agency: Defense Logistics Agency – Land Warren (DLA-WRN).

Description of Action: DLA-WRN proposes to award a New Firm-Fixed-Price contract to DRS NIS, LLC, Commercial and Government Entity (CAGE) 32865, for National Stock Number (NSN) 2510016818841, Driver’s Switch and Indicator Panel (DSIP) Assembly, using Army Working Capital Funds.

Description of Supplies/Services: The NSN 2510016818841, part number 12582707, DSIP Assembly, is used in the Bradley A4 Vehicles and Armored Multi- Purpose Vehicle (AMPV). The DSIP Assembly provides the driver access to some of the hull electrical systems. The DSIP controls the master power, engine accessories, engine control module, Chemical, Biological, Radiological, and Nuclear system, ramp, horn, and provides fire suppression, starting status, warnings, and caution indicators.

The deliverable for this contract is for a base quantity of 148 each, with an option quantity of 148 each, making a total quantity of 296 each. The total maximum value of this contract is .

Acquisition Method Code (AMC):

Acquire, for the second or subsequent time, directly from the actual manufacturer.

Acquisition Method Suffix Code (AMSC):

B - This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-

100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoD- STD-100 definition, altered and selected items shall have an adequate Technical Data Package (TDP), data review discloses that required data or data rights are not in Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

4. Authority Cited: The statutory authority permitting other than full and open competition for this effort is 10 United States Code (U.S.C.) 3204(a)(1) as implemented by the Federal Acquisition Regulation (FAR) 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

5. Reason for Authority Cited: The DSIP Assembly is used in the AMPV and Bradley A4 Vehicles. DRS has demonstrated their system has met the Army requirements to include integration and interoperability with the vehicle through component and system level testing. As detailed in the following paragraphs, DRS is the only contractor that can provide the DSIP Assembly. Procurement from any other source will result in substantial duplication of cost that is not expected to be recovered through competition.

DRS developed, tested, and obtained the U.S. Government's approval of this item for application to the Bradley Family of Vehicles and AMPV. DRS has demonstrated the unique and proven manufacturing capabilities to establish and maintain the processing control required to repetitively produce this item. The use of incorrect material and/or fabrication of this item could result in further downtime. The Government did not fund their efforts in developing and testing this item. The Government did not appropriate funds for a complete TDP preparation. The Government does not have drawings and specifications for various down parts, such as the test requirement document of the DSIP Assembly. The Government is missing the document necessary to test and verify the design functionality of the DSIP. As a result, DRS is the only approved source of supply listed on the drawing.

Due to the lack of performance and technical data available on DSIP Assembly, Reverse Engineering is the only recourse the Government could entertain to increase competition through development of a competitive TDP. A significant amount of time and money would be necessary to reverse engineer, procure and test prototypes, and release the design. The nature of this hardware requires significant qualification testing and system level testing. Engineering conducted parts procurement history and utilized a Subject Matter Expert (SME) to determine the reverse engineering costs by reviewing the costs for the design effort for the current DSIP. The SME estimate is based on previous experience evaluating the initial development costs of this item and other comparable vehicle electronics systems. Developing the hardware design and requirements is estimated to be $1,000,000. The cost for integrating and fabricating the hardware on two vehicles for testing is $500,000. Reliability and Maintainability (RAM) component and vehicle testing cost consists of a Mobility RAM testing and Full testing. Per the Product Assurance & Test group, the total RAM testing on both Bradley and AMPV vehicles was calculated to cost $5,122,168. Developing and validating the TDP will cost $400,000.

The estimated cost to reverse engineer the DSIP is $7,022,168 to perform the various reverse engineering tasks such as requirement development, hardware design, integration & fabrication/installation, RAM components testing and development/validation of the TDP. The reverse engineering would be done at the Government’s expense and would utilize both Government and Contractor support.

The Government would not be able to recover, through subsequent competition, the duplication of costs involved in reverse engineering the item to create a competitive TDP or qualify additional source(s) within a reasonable time frame. At the current average , a current unit cost of $ , and assuming 25% savings achieved through competition, the $ in annual savings would take over years to offset the estimated $7,022,168 total cost of reverse engineering

Approval

Approval Authority for Acquisitions Greater than $750K but Less Than $15M

APPROVAL OF JUSTIFICATION

FOR OTHER THAN FULL AND OPEN COMPETITION

Based on the foregoing Justification, I hereby approve the procurement of the following:

a. Noun: DSIP Assembly

b. NSN: 2510-01-681-8841

c. Base Quantity: 148 Each

d. Option Quantity: 148 Each

e. Basic Estimated Value: $

f. Option Percent: 100%

g. Quantity with Option: 148 Each

h. Estimated Value with Option: $

This action will be awarded under other than full and open competition pursuant to the authority of 10 U.S.C. 3204(a)(1) and subject to the availability of funds. This approval is subject to the proviso that the property herein described has otherwise been authorized for acquisition.

X__ __________

Competition Advocate

WIEBUSCH.JAM

IE

Digitally signed by

WIEBUSCH.JAMIE

Date: 2024.08.30 13:59:55 -04 00'