JA_SPRDL125R0176_Redacted.pdf
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- Redacted Justification and Approval (J&A)
- Solicitation number
- SPRDL1-25-R-0176
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This is a Justification and Approval (J&A) document for a single-source procurement by the Defense Logistics Agency - Land Warren (DLA-WRN) to award a firm-fixed-price, five-year indefinite delivery/indefinite quantity contract for transmission components under National Stock Number (NSN) 2520-01-714-0929. The contract will be awarded to Allison Transmission Inc, authorized distributors, or qualified companies meeting solicitation requirements, with funding provided through Army Working Capital Funds.
The procurement seeks a minimum guaranteed quantity of 12 transmissions per order with an estimated five-year maximum quantity of 321 units. The transmission is a containerized Allison 2500 SP 6-speed automatic unit with TC-221 torque converter designed for the Joint Light Tactical Vehicle (JLTV) Family of Vehicles. The Government lacks necessary intellectual property data rights and technical information to enable competitive re-procurement, as Allison declined to sell technical data. The justification cites 10 U.S.C. 3204(a)(1) under FAR 6.302-1 (Only One Responsible Source) as the authority for other than full and open competition. The J&A details three options the Government considered—Research and Development, reverse engineering, and vendor pricing—concluding that all would result in unacceptable delays and costs exceeding potential savings. A Sources Sought Notice posted April 24, 2025 received no responses, and strategic market research confirmed no other vendor can meet requirements without complete powertrain replacement and requalification. The Contracting Officer determined the anticipated cost to be fair and reasonable based on detailed cost and price analysis, with no certified cost or pricing data required as this is a commercial product.
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SPRDL1-25-R-0176 (JA-01059)
Previous J&A: N/A
(2) Reverse Engineering: To reverse engineer, validate the design, procure prototypes for testing and release a competitive data package would entail a significant amount of time, facility resources, man-hours, and funding. Based on past development experience the estimated cost to develop a reverse engineered competitive product is $ , with an estimated delay of no less than . The funding required would include $ for personnel to support reverse engineering and validation of the design as well as fund staff to develop the CAD models and drawings. Another $ would be required to develop prototypes, test and finalize the product to verify that the newly created item provides equivalent performance when compared to the original. If funding for reverse engineering became available, the process would consist of the following: to obtain existing parts, to tear down and understand the design, to iteratively develop drawings, prototypes and bench test, to perform system and vehicle level testing, and to write the TDP and provision the parts. To complete the reverse engineering process successfully, the Government would have to obtain a sufficient sample size of existing parts to provide a 95% probability and 90% confidence level in the actual size of the existing item to be studied. Once a large enough sample has been collected, the Government would then tear down and understand the design, conduct prototype development and produce the final TDP and associated provisioning documents at a cost of $ . A timeline of the estimated R&D process is shown for clarity.
JLTV Engineering estimates the following timeline for RE:
In addition to the cost and delay for an R&D action or reverse engineering effort, Joint Program Office JLTV estimates that it would take approximately to establish another source and procure these kits on a competitive basis. Specific events would include additional market research, solicitation, evaluation and awarding a contract. Finally, any new source of supply would require component, safety and system level testing that is estimated to take . These estimates are based on similar Government projects. These events combined are estimated to take an additional after development of the item.
Considering rebuild sites are also being established to rebuild this item the costs cited above appear to exceed any potential savings to be realized through a future competitive procurement process. Assuming the Government spent $ to obtain a military version of the item and realize a savings of 25%, the new cost of the Government owned transmission would be $ per unit. That is a savings of less
File details come from the government source that posted it. Updated .