JA_SPRDL124R0178_Redacted.pdf

This is a Justification and Approval (J&A) document for a sole-source contract award (SPRDL1-24-R-0178) by the Defense Logistics Agency – DLA Land Warren (DLA-WRN) to Eaton Aerospace LLC for the procurement of linear directional control valves used in the M1 Abrams Family of Vehicles. The contract is for 73 valves with an estimated maximum value that is redacted. The acquisition method code is "3 - Acquire, for the second or subsequent time, directly from the actual manufacturer," and the acquisition method suffix code is "R - data or rights," indicating the Government lacks data rights to enable competitive procurement from additional sources.

The justification for sole-source authority is based on 10 U.S.C. § 3204(a)(1) and FAR 6.302-1, citing that only Eaton can satisfy requirements. The Valve is a highly specialized internal component of the Pump, Axial, Pistons assembly integrated into the M1 Abrams tank's drive flange and fuel housing system. Eaton has been the sole contractor since 1989, with over 1,400 units issued on contracts, and holds exclusive technical data and design rights. Substitute valves require prior U.S. Army Tank-Automotive & Armaments Command (TACOM) approval, and only Eaton has demonstrated the capability to manufacture, test, and obtain Government approval for this component. The Government estimated that developing a competitive Technical Data Package would cost $7,847,500 and require over 10 years to offset through 25 percent savings in competitive procurement. The contract will include small business subcontracting plan requirements and FAR clauses to maximize small business utilization. Market research was conducted through a Sources Sought Notice posted August 29, 2024, and online searches that confirmed no alternative commercial or non-developmental items exist that can meet M1 Abrams-specific requirements without custom redesign. One interested contractor (BHPE LLC) was directed to contact the TACOM Ombudsman. Procurement history shows two prior sole-source contracts: SPRDL1-22-C-0062 awarded September 2, 2022, to Jamaica Bearings (Eaton Distributor) for $143,819.80, and SPRDL1-20-P-0162 awarded July 20, 2020, for $240,000.00. The contracting officer determined the anticipated cost is fair and reasonable based on detailed cost analysis, and no certified cost or pricing data submission is required as the item is a commercial product.