Redacted JA Aluminum Powder.pdf

CUI//SP-SSEL

Control Number:

CUI//SP-SSEL

(Source Selection Information - See FAR 2.101 and 3.104-4)

1 SEP 2021

Justification Review Document For Sole Source - FAR Part 13.501*

(*Format follows FAR 6.303-2, but modified to reflect FAR subpart 13.5 procedures)

Program/Equipment: Aluminum Powder

Authority: 41 United States Code 1903 for urgency as implemented in Federal

Acquisition Regulation 13.501(a)(1)(ii), sole source under the simplified procedures for certain commercial items.

Amount:

Prepared by:

Typed Name: Sheila Peters DSN: 793-0703 Title: Contract Specialist Date: 24 Jan 2023 Email: sheila.k.peters2.civ@army.mil

Contracting Officer:

Typed Name: Elvia Jaggers DSN: 793-3271 Date Reviewed: 25 Jan 2023 E-Mail: elvia.jaggers.civ@army.mil

Technical Representative:

Requirements Representative:

CUI//SP-SSEL

(Source Selection Information - See FAR 2.101 and 3.104-4)

2 SEP 2021

Sole Source Justification and Approval

Under FAR 13.501

1. Contracting Activity: U.S. Army Contracting Command – Rock Island (ACC-RI, Rock Island Arsenal), Rock Island, IL 61299-6000

2. Description of Action: McAlester Army Ammunition Plant (MCAAP) requires an urgent, firm-fixed price contract with Toyal America Incorporated (large business, cage code 76424, UEI RWB3LLXVSLJ5). ACC-RI projected award for the second quarter (January 2023) using FY 23 funds from the Army Working Capital Fund. An acquisition plan is not required because this procurement does not meet the threshold at Defense Federal Acquisition Regulation Supplement 207.103(d)(i)(B).

3. Description of Supplies/Services: Aluminum Powder, Spherical Type IV in accordance with MIL-PRF-23950B Type IV as an ingredient used in the ordnance production of the high-energy Plastic-Bonded Explosive (PBX), PBXN-109, in accordance with MIL-DTL-82886A Table VI. PBXs are normally used for explosive materials that are not easily melted into a casting,or are otherwise difficult to form.

MCAAP requires 244,800 pounds of this material to keep two of their production lines running. The estimated total value is and options are not applicable.

4. Authority Cited: 41 United States Code 1903 for urgency as implemented in Federal Acquisition Regulation 13.501(a)(1)(ii), sole source under the simplified procedures for certain commercial items.

5. Reason for Authority Cited: As described in FAR 13.501(a)(1)(i), 41 U.S.C. 1903 for urgency, the Contracting Office may conduct sole source acquisitions only if the need to do so is justified in writing and approved at the levels specified in FAR 13.501(a)(2).

On 17 January 2023, MCAAP reported that based on current usage, they anticipate all of their supply of Aluminum Powder on hand will be completely exhausted by 10 March

The Aluminum Powder inventory is currently being consumed very quickly on the MCAAP production lines and if the urgent request is denied the result will be an exorbitant cost of lost revenue and delayed/missed required delivery dates. Therefore, awarding Aluminum Powder on an urgent basis is in the best interest of the Government and does not allow for normal contracting and production lead times.

CUI//SP-SSEL

3 SEP 2021

There is no alternate material that can be used in place of the Aluminum Powder and Toyal America, Inc. is able to deliver a conforming product within one week after contract award which will meet MCAAP’s requested delivery schedule starting on 21 February 2023.

The Government requires products produced from the Plastic-Bonded Explosive, PBXN-109s; approved vendors list in accordance with specification MIL-DTL-82886A Table VI. The Government established the approved vendors list due to the significant time and resources it must spend on the rigorous testing and the acceptance process for this plastic-bonded, castable material that uses an elastomeric polymer to incorporate solid powders and thereby produce a flexible, cured explosive. The

Toyal has 244,800 lbs in their inventory and can provide the qualified and approved product within one week after contract award. Toyal has been awarded four contracts for aluminum powder starting in 2014 as outlined in the procurement history below.

CUI//SP-SSEL

4 SEP 2021

6. Efforts to Obtain Competition: In accordance with FAR 5.202(a)(2), this action will not be synopsized.

7. Actions to Increase Competition: Currently, a competitive contract is in the process of being solicited and Valimet will be included in the follow-on procurement.

8. Market Research: Market research was conducted 17-24 January 2023 with MCAAP Toyal America, Inc. Toyal America, Inc. responded to the market research request on 18 January 2023 and stated that they have enough Aluminum Powder in their inventory to fulfill MCAAP’s urgent requirement of 244,800 pounds (6 truckloads) and they can begin shipping within one week after contact award which will allow MCAAP to stay in continuous production.

9. Interested Sources: To date, no other sources have written to express an interest.

In accordance with FAR 5.202(a)(2), this action will not be synopsized.

10. Other Facts:

a. Procurement history:

Contract: W52P1J-20-D-3014 Awardee: Toyal America Inc.

Award Date: 26 Aug 2020 Award Amount: $12,729,600.00 POP: 26 Aug 2020 – 25 Aug 2023 Method of Procurement: Unrestricted Contract Type: Firm-Fixed-Price Number of Offerors: 2 Source Selection Method: Low Price

(As a result of drastic changes in the economy, prices have increased and the remaining quantity on this contract will not be awarded. A long-term, competitive contract is in process).

Contract: W52P1J-17-D-3016 Awardee: Toyal America Inc.

Award Date: 1 Feb 2017 Award Amount: $16,800,00.00 POP: 1 Feb 2017 – 31 Jan 2020 Method of Procurement: Unrestricted Contract Type: Firm-Fixed-Price Number of Offerors: 2 Source Selection Method: Low Price

CUI//SP-SSEL

5 SEP 2021

Contract: W52P1J-15-D-3019 Contractor: Toyal America Inc.

Award Date: 1 Sep 2015 Award Amount: $5,772,100.00 POP: 1 Sep 2015 – 15 Feb 2017 Method of Procurement: Unrestricted Contract Type: Firm-Fixed-Price Number of Offerors: 2 Source Selection Method: Low Price

Contract: W52P1J-14-D-3007 Contractor: Toyal America Inc Award Date: 22 May 2014 Award Amount: $6,006,500.00 POP: 15 Mar 2018 – 14 Mar 2019 Method of Procurement: Unrestricted Contract Type: Firm Fixed Price Number of Offerors: 2 Source Selection Method: Low Price

CUI//SP-SSEL

6 SEP 2021

11. Technical Certification:

12. Requirements Certification:

13. Fair and Reasonable Cost Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable based on price analysis. Certified cost or pricing data is not required per FAR 15.403-1(b)(3).

Signature: ________________________________Date: 25 January 2023

Typed Name: Elvia Jaggers Title: Contracting Officer

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Signature: ________________________________Date: 25 January 2023

Typed Name: Elvia Jaggers Title: Contracting Officer

JAGGERS.ELV

IA.1231152403

Digitally signed by

JAGGERS.ELVIA.1231152403

Date: 2023.01.25 11:19:44 -06'00'

JAGGERS.ELV

IA.1231152403

Digitally signed by

JAGGERS.ELVIA.1231152403

Date: 2023.01.25 11:22:31 -06'00'

CUI//SP-SSEL

(Source Selection Information - See FAR 2.101 and 3.104-4)

7 SEP 2021

Approval

Based on the foregoing justification, I hereby approve the procurement of Aluminum Powder for on an other than full and open competition basis pursuant to the authority of 41 U.S.C. 1903 as implemented by FAR 13.501, subject to availability of funds, and provided that the services and property herein described have otherwise been authorized for acquisition.

Signature: ________________________________Date: 25 January 2023

Typed Name: Elvia Jaggers Title: Contracting Officer

JAGGERS.ELVIA

.1231152403

Digitally signed by

JAGGERS.ELVIA.1231152403

Date: 2023.01.25 11:23:13 -06'00'