JA_SPRDL124R0137_Redacted.pdf

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Attached to
Redacted Justification and Approval (J&A) Federal contract opportunity
Solicitation number
SPRDL1-24-R-0137
Issued by
Defense Logistics Agency Land and Maritime

About this file

This document is a Justification and Approval (J&A) for a non-competitive procurement by the Defense Logistics Agency (DLA) Land Warren. The procurement involves a Five-Year Indefinite-Delivery/Indefinite-Quantity (IDIQ) contract with JLG Industries, Inc. for diesel engines (NSN 2815-01-577-1838) used in the All-Terrain Lifter Army System (ATLAS) II Forklift. The contract will guarantee a minimum of six and a maximum of 156 diesel engines, with the total estimated contract value redacted. The procurement is being conducted as a sole-source action under FAR 6.302-1, citing JLG Industries as the only responsible source due to their unique qualifications and prior performance history with the specific diesel engine.

The document details that the diesel engine is critical for the 10K ATLAS Forklift, a self-deployable, 10,000-pound vehicle designed for loading and unloading munitions and other military logistics equipment. Market research was conducted, including a Sources Sought Notice on SAM.gov, but no alternative sources were found suitable. The justification emphasizes that developing competitive technical data or reverse engineering would be cost-prohibitive, with estimated costs in the millions of dollars. The procurement history shows multiple previous sole-source contracts with JLG Industries dating back to 2010, further supporting the selection of this vendor as the sole source for the diesel engine.

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SPRDL1-24-R-0137 (JA-00855)

Previous J&A: SPRDL1-23-R-0080

"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 known funding efforts in progress at this time to develop the competitive technical data required to make the Diesel Engine fully competitive. No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints.

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 9 June 2024 and was open for 17 days. One response was received, with the assessment of the response below:

MTP Drivetrain Services requested information on 28 June 2024 on how to submit an offer for this requirement. The contract specialist informed MTP Drivetrain Services that they could contact the Competition Management Office to apply to become an additional source through the Source Approval Program (SAP). The contract specialist provided the point of contact for the SAP to the vendor.

The DEVCOM Ground Vehicle System Center Construction Equipment-Material Handling Equipment (GVSC CE-MHE) project engineer performed internet searches on 6 June 2024 searching for diesel engines that could meet the ATLAS II specifications.

1. Keyword used: “Part Number 2000328”

Website location: https://www.wbparts.com/rfq/2815-01-577-1838.html

Findings: The keyword used for this search was the part number featured in this procurement. The result was the actual engine that is approved for the ATLAS II application.

2. Keyword used: “Diesel engine for Rough Terrain”

Website location: https://www.nationwideheavytruckparts.com/truck-engines-for-sale/?make=cummins

Findings: This market search resulted in selection of used diesel engines for sale. There was a variety of makes and models. These engines are not a candidate for the ATLAS II because they are larger size and not specified for the ATLAS II application.

3. Keyword used: “Rough Terrain forklift diesel engine”

Website location: https://www.machinerytrader.com/listings/for-sale/caterpillar/rough-

SPRDL1-24-R-0137 (JA-00855)

Previous J&A: SPRDL1-23-R-0080 terrain-forklifts/13052

Findings: This search resulted in a listing of used Caterpillar rough terrain forklifts for sale. These trucks were not representative of the Army ATLAS II forklift.

9. Interested Sources: One response from a vendor was received in response to the Sources Sought Notice posted on SAM.gov and was determined unacceptable for this procurement. See the Market Research in Section 8 for the vendor inquiry details.

10. Other Facts: Procurement History:

Contract SPRDL1-24-C-0023 Award Date: 18 December 2023 Contractor: JLG Industries, Inc., CAGE Code: 1YHH8 Contract Value: $1,212,024 Competitive Status: Sole-Source Authority: FAR 6.302-1, Only One Responsible Source

Contract SPRDL1-19-D-0020 Award Date: 1 February 2019 Contractor: JLG Industries, Inc., CAGE Code: 1YHH8 Maximum Three-Year Value: $7,572,265.16 Competitive Status: Sole-Source Authority: FAR 6.302-1, Only One Responsible Source

Contract SPRDL1-11-C-0010 Award Date: 8 November 2010 Contractor: JLG Industries, Inc., CAGE Code: 1YHH8 Contract Value: $1,250,435.48 Competitive Status: Sole-Source Authority: FAR 6.302-1, Only One Responsible Source

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