JA_SPRDL124R0135_Redacted.pdf
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- Redacted Justification & Approval (J&A) Federal contract opportunity
- Solicitation number
- SPRDL1-24-R-0135
About this file
This Justification and Approval (J&A) document from the Defense Logistics Agency - Land Warren (DLA-WRN) seeks to award a new firm-fixed-price contract to Renk America, LLC for Interface Units, Input-Output (NSN 5998-01-619-6960). The contract is for 153 units with a 100% option, totaling 306 units, to be used on the Multiple Launch Rocket System (MLRS), Bradley Family of Vehicles, and Paladin Integrated Management systems. The procurement is a sole-source action under 10 U.S.C. 3204(a)(1), as Renk America is the only approved source with the technical capability to provide this specialized electronic modular device.
Market research was conducted through various channels including SAM.gov, SBA site, GSA, and web searches, which confirmed limited alternative sources. Two interested vendors (Connected Company, Inc. and BHPE, LLC) were identified, but neither could provide a directly comparable component. The previous contract was with L3 Technologies, and this procurement continues the pattern of sole-source awards due to the complex technical specifications and the government's lack of proprietary technical data. The contracting officer determined that reverse engineering the component would be cost-prohibitive, taking significant time and resources that would outweigh potential competitive savings.
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Text version
SPRDL1-24-R-0135 (JA-00829)
Previous J&A: N/A
JUSTIFICATION AND APPROVAL
FOR OTHER THAN FULL AND OPEN COMPETITION
SPRDL1-24-R-0135
1. Contracting Agency: Defense Logistics Agency - Land Warren (DLA-WRN).
2. Description of Action: DLA-WRN proposes to award a New Firm-Fixed-Price contract to Renk America, LLC, Commercial and Government Entity (CAGE) 02978, or an offeror providing the product of the approved source for National Stock Number (NSN) 5998-01-619-6960, Interface Unit, Input-Output, using Army Working Capital Funds.
3. Description of Supplies/Services: The National Stock Number (NSN) 5998-01- 619-6960, part number 12446418 (CAGE: 02978) / 12446418 (CAGE: 19207), Interface Unit, Input-Output, is used on the Multiple Launch Rocket System (MLRS), Bradley Family of Vehicles (FoV), Paladin Integrated Management (PIM). The deliverable for this contract is for a base quantity of 153 each, with an option quantity of 100% each, making a total quantity of 306 each. The total maximum value of this contract is
. Purchase Request Order Number EH4C0189EH is associated with this procurement.
The Interface Unit, Input-Output NSN 5998-01-619-6960 is an electronic modular device that is used on the MLRS, Bradley Fighting Vehicle System (BFVS) and PIM. The TCM- EA connects to the Interface Unit (IU) on "All" Transmission Models. Electronic Clutch Actuator (ECA), Electronic Control Box (ECB) and 800 / 800B Hydro-Mechanical Power Transmissions (HMPT) .
Acquisition Method Code (AMC):
3 – Acquire, for the second or subsequent time, directly from the actual manufacturer.
Acquisition Method Suffix Code (AMSC):
B - Acquisition of this part is restricted to source(s) specified on "Source Control", "Altered Item" or "Selected Item" drawings/documents.
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 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 Renk America’s Interface Assembly is used in the Transmission Electronic Control System with Electronic Brake Coolant and Third Range Time Delay Valve. The IU accepts throttle inputs, manages pressure applied to
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. 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:
As stated in Section 5 above, there is no TDP available to support a competitive procurement. Due to the costs associated with developing a competitive TDP that cannot be recovered, also stated in Section 5, the Government is not actively pursuing the development of a competitive TDP for future procurements.
8. Market Research:
A Sources Sought Notice was posted to SAM.gov on 04 June 2024 and was open for 16 days which resulted in the following interested vendors:
The vendor, BHPE LLC (CAGE: 0EFR2) did not provide any documentation explaining their experience, qualifications, or capabilities in being able to fill this contract.
The vendor, Connectec Company’s (CAGE: 0EFR2) – Service-Disabled Veteran Owned Small Business (SDVOSB) response provided a company capabilities summary;
however, no specific component was offered to determine if it would be comparable to
NSN 5998-01-619-6960.
The contract specialist informed all interested vendors to contact the CMO to apply to become an additional approved source through the SAP. The contract specialist provided the point of contact for the SAP to the interested vendors.
The United States Army Combat Capabilities Development Command (DEVCOM) Engineering completed web-based market research on 13 June 2024. The Interface Assembly is part of the Transmission Electronic Controller and highly specific to the transmission. All market research indicated that the assemblies are specific to a brand of transmission, especially in the limited options of military grade transmissions. Allison Transmissions are used throughout the heavier combat vehicles in the fleet, but no indication that they have a controller available that is compatible with the transmission currently used on the platform. The Spanish supplier SAPA is looking to expand their
Previous J&A: N/A military offerings and is being tested on vehicles for compatibility, but again, they are not qualified and there is no indication that they have an interface assembly or controller that would be compatible. Extensive analysis, prototyping, and vehicle testing as described in Section 5 above would need to be done to ensure that the Bradley will properly meet performance specifications with a new supplier’s hardware. The cost of such analysis, prototyping, and testing would far exceed any cost savings realized by adding another source.
The Small Business Administration site was searched using the North American Industry Classification System 334418 and keyword: “Interface”. This search resulted in a potential of 15 small businesses who could manufacture/provide this item from the approved source. The 15 businesses are classified as the following (if applicable):
12 Small Business 01 HUBZone 01 8(a) 01 Women Owned
In accordance with FAR Part 8 Required Sources of Supplies and Services, a search was made to find required sources of supply for this requirement. The following is the result of this search:
Inventories from requiring agency: This item has been in excess from 2022 and planned to have excess through the planning period of 2024. Previous Long-Term Contract (SPRDL1-21-D-0021) requirement was canceled due to excess inventory.
A search of the Interagency Contract Directory did not show any contracts available for external agencies to order against. This item has procurement history:
SPRDL1-20-C-0021
L3 Technologies Q ty: 81 each
UNICOR / Federal Prison Industry does not have a majority stake in the Federal Supply Code 5998 and is not a mandatory source of supply.
A search on Ability One.gov was made for this item and the following no results were found, nor did it appear that Ability One has the capability to manufacture electronic components.
There are no opportunities listed under the Federal Supply Schedule from the General Services Administration (GSA) that could meet the current requirement. The GSA site was searched utilizing the NSN which showed no results. A second search was conducted utilizing the item name, which did show some results, however, these did not match the current requirement.
FedMall was also searched using the NSN which resulted in no results. The item name was also searched and did show some results, however, these did not match the current requirement.
A google search was conducted which resulted in the following:
NSN Purchasing – reflected the following contractors as manufactures of NSN: 5998- 01-619-6960;
Willard Marine Inc. – CAGE: 58367 Optex Systems, Inc. – CAGE: 0BK64
Two additional sites; Part Target and National Stock Number.org listed the NSN as available for purchase. The contractor listed was L3 Technologies – CAGE: 02978.
NSN Lookup shows this item being available from Renk America LLC – CAGE: 02978.
The Google searches did show some additional potential contractors who could manufacture/provide this item. If the items listed on these sites are surplus material, they would need to be reviewed and approved for use for this requirement.
9. Interested Sources:
Connected Company, Inc. – CAGE: 0EFR2, Small Business
BHPE, LLC – CAGE: 9SWS7, SDVOSB
10. Other Facts: Procurement History:
SPRDL1-20-C-0021
1. Awardee: L3 Technologies, Inc. CAGE: 02978 Period of Performance: 15 October 2019 – 14 July 2021
2. Competitive Status: Sole Source
3. Authority Cited: Title 10 U.S.C. Section 2304(c)(1), implemented by FAR 6.301-1
4. Previous J&A: J&A SPRDL1-19-R-0088
5. To date no other awards have been made under a Full and Open Competition for this item. All awards have been sole sourced.
6. The item history shows a five-year Long Tern Contract was being pursued in 2021, however, was cancelled in 2022 due to excess inventory of this item. This item was planned to be in excess through the planning period of 2024.
The Procurement Coordinator confirmed that this item is still needed and did not see excess of this item at this time.
7. (a) This item has been sole sourced to L3 Technologies, Inc. L3 has fully developed, tested this item for the USG and is the approved manufacturer. The USG does not own the proprietary rights to the Technical Data; therefore, this item will be to be provided by the approved source.
(b) Due to the limited technical data available to the USG, it is more advantageous to the Government to procure this item from the approved source. If the Government
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