OPSEC022-23-MM_JA-00393_Redacted 6 APR 2023.pdf

JA-00393 - N/A - Previous J&A: N/A

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

JA-00393 - N/A

1. Contracting Agency: Army Contracting Command-Detroit Arsenal (ACC-DTA).

2. Description of Action: ACC-DTA proposes to award a new Firm-Fixed-Price, 18 months Requirements contract by limiting competition to HDT Expeditionary Systems, INC. (HDT), Cage 92878 and its authorized distributors, for National Stock Number (NSN) 4520014927585, Parts Kit, Heating Element, using Army Working Capital Funds

(AWCF).

3. Description of Supplies/Services: The NSN 4520014927585, P/N 5000-30012, Parts Kit, Heating Element, is a

The Parts Kit, Heating Element, is

4. Authority Cited: The statutory authority permitting other than full and open competition for this effort is 10 United States Code (U.S.C.) 2304(c)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1(a)(2)(ii)(A), “Substantial duplication of cost to the Government that is not expected to be recovered through competition”.

5. Reason for Authority Cited:

The Government does not own the technical data package (TDP) and does not have the necessary intellectual property data rights to the pertinent technical data to enable a competitive procurement.

HDT is the owner of the drawings and technical data needed to fabricate this hardware.

HDT is the manufacturer of this particular heater, which was designed for this particular application.

HDT has designed, built, and successfully completed testing of the heater

Equipment Capabilities, limitations and vulnerabilities

Equipment Capabilities, limitations and vulnerabilities

Readiness and vulnerability assessment

Readiness and vulnerability assessment

Equipment Capabilities, limitations and vulnerabilities

Ground Vehicle System Center's (GVSC) engineering utilized a Subject Matter Expert (SME) to determine the reverse engineering costs which is estimated at $4.3M.

6. Efforts to Obtain Competition:

Effective competition: Due to the reasons cited in section 5 above we are not pursuing full and open competition for this item. The notices required by FAR 5.201 will be published, and any bids or proposals received meeting the aforementioned will be considered.

Subcontracting competition: HDT is a large business and 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: There are no plans to increase competition for future procurements due to the reasons cited above.

Detailed Budget Data

Detailed Budget Data

Equipment Capabilities, limitations and vulnerabilities candace.m.griffey Sticky Note Accepted set by candace.m.griffey

8. Market Research: A Sources Sought was posted to SAM.gov on 04 October 2021 and was open for 15 days. The Government received one response from B&H International LLC (CAGE 768R4) and after review of its response, it was deemed ineligible. In B&H International LLC’s response to the Source Sought, it had stated that it had similar capabilities on contract W91CRB-20-C-5017. The contract was for an item that had a NAICS Code as 333314 Optical Instrument and Lens Manufacturing which is not relevant with this item. No additional sources expressed interest in the RFI.

GVSC conducted a general internet search on the Bing search engine updated March 2022. A similar search was conducted on the IHS Haystack website which yielded numerous results of a variety of space heaters, exterior heaters, and winterization kit heaters.

HDT Parts Kit, Heating Element currently supports. All products were determined to be not applicable for this specific TDP. In conclusion, the vendors found in the current market do not have a suitable Parts Kit, Heating Element. The evaluated vendors are not suitable to provide a Parts Kit, Heating Element replacement within the applications that the item is required to function in.

As of 15 December 2021, the Government contacted HDT to request consideration for the U.S. Government to purchase the intellectual property. As of 15 December 2021, the Government received an email from HDT stating they do not wish to sell the TDP at this time.

9. Interested Sources: To date no additional sources have expressed interest in this item.

10. Other Facts: Procurement History:

Contract Number: W56HZV-16-D-0099 Contractor: Windward Enterprises, LLC Award Date: 19 JUL 2016 Contract Value: $1,836,202.50 Competitive Status: Authority For Using Other Than Full and Open Competition (10 U.S.C. 2304(c)(1))

Contract: W56HZV-13-C-0026

Contractor: Windward Enterprises, LLC Award date: 11 JUL 2012

Contract Value: $491,874

Competitive Status: Authority For Using Other Than Full and Open Competition (10

U.S.C. 2304(c)(1))

Equipment Capabilities, limitations and vulnerabilities

Equipment Capabilities, limitations