Redacted_J&A_W56HZV-17-C-0061_Redacted.pdf

CMO Control Number: 2016-101

Department of the Army Justification and Approval for Other Than Full and

Open Competition Justification

1. Contracting Activity: Army Contracting Command (ACC) – Warren is the procuring activity for this action.

2. Description of Action: Approval is being sought for a new Firm Fixed Price Contract, with MOOG Inc., (CAGE code 94697) utilizing Procurement-Marine Corps (PMC) funds. PM-LAV intends to procure the initial spares parts required to support fielding for the PM-LAV Anti-Tank (AT) system. The action will be funded with FY16 PMC Funds.

3. Description of Supplies/Services: The below components are required to maintain acceptable readiness levels for fielding and support the United States

Marine Corps (USMC) Anti-Tank Weapon System (ATWS).

Part Number Item Description Qty Estimated Unit Cost

Extended Cost:

CB48072-001 ASSY, AZIMUTH DRIVE 5 $66,945.00 $334,725.00

CB48074-001 ENCODER,ASSEMBLY

AZ

5 $58,130.00 $290,650.00

CB48075-001 ENCODER ASSEMBLY EL 5 $55,010.00 $275,050.00

CB48073-001 ASSY,ELEVATION DRIV 6 $67,053.00 $402,318.00

CB48076-001 GYRO ASSEMBLY 2 $39,623.00 $79,246.00

FAMOGO1AZ1 CABLE, FLEX EL DRIVE 22 $10,831.14 $238,285.08

CB51557-001 PRELOAD,ACTUATOR

ASSY

2 $21,988.50 $43,977.00

C1131/28 BOOT, TOGGLE 3 $1,961.33 $5,883.99

CB47394-001 TOW INTERFACE UNIT 5 $55,234.00 $276,170.00

CB52609-001 MAST POSITIONER ACT 1 $12,087.00 $12,087.00

CB54769-001 CABLE BELLOWS 4 $2,261.25 $9,045.00

CB48795-001 CROSS SHAFT ASSEMBL 1 $162,093.00 $162,093.00

CB47721-001 CABLE WATM001 7 $11,080.00 $77,560.00

CB47723-001 CABLE WATM006 7 $8,624.86 $60,374.02

CB47724-001 CABLE WATM007 7 $7,149.29 $50,045.03

CB47725-001 CABLE WATM008 7 $6,591.86 $46,143.02

CB47726-001 CABLE WATM009 7 $6,870.29 $48,092.03

CB47727-001 CABLE WATM011 7 $4,853.29 $33,973.03

Part Number Item Description Qty Estimated Unit Cost

Extended Cost:

CB47728-001 CABLE WATM013 7 $6,498.71 $45,490.97

CB47729-001 CABLE WATM014 7 $6,176.71 $43,236.97

CB51101-001 CABLE WATM010 7 $6,545.43 $45,818.01

CB47395-001 ELECT CONT UNIT ASY 6 $38,588.00 $231,528.00

CB47396-001 POWER DIST UNIT 6 $76,561.00 $459,366.00

CB47397-001 TOW CONT & DISPLAY

ASSY

7 $62,875.00 $440,125.00

CB47398-001 BATTLE OVERRIDE ASSY 4 $13,359.00 $53,436.00

CB65926-001 MC100,MOTOR

CONTROL

5 $36,976.00 $184,880.00

The estimated total contract value for all of these parts is: $3,949,598.15

4. Authority Cited: The statutory authority permitting this action is 10 U.S.C.

2304(c)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1 (a)(2), “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.” Specifically, FAR 6.302-1(a)(2)(iii)(A) and (B) provides that supplies may be deemed to be available only from the original source when it is likely award to any other source would result in (A) Substantial duplication of cost to the Government that is not expected to be recovered through competition or (B) Unacceptable delays in fulfilling the agency’s requirements.

5. Reason for Authority Cited: MOOG Inc. is the Original Equipment Manufacturer (OEM) and the sole source provider of these components. MOOG maintains all the drawings and Technical Data Package (TDP) and possess the unique combination of data, knowledge, technical expertise, facilities, and other requisite resources to fully support these components.

In order to compete the procurement of the MOOG initial spare parts, a contractor would need to know the LAV Anti-Tank Weapon System design specifications to include the commonality and functionality requirements, the forecasted reliability predictions, and the demonstrated reliability of the integrated system in order to replicate the initial spares requirement as cited above.

Furthermore the contractor would need to assess the maintainability aspects of the current system and would need to duplicate them in a proposed design.

Therefore, it is very evident in order to duplicate the Anti-Tank Weapon System, to include the initial spare requirements (reliability and maintainability) would require an extensive reverse engineering effort which will greatly impact and the contract shall include the following provisions: FAR 52.244-5, “Competition in Subcontracting” and FAR 52.219-8, “Utilization of Small Business Concerns”.

7. Actions to Increase Competition: No action is planned to increase competition for any subsequent acquisition. The technical data is proprietary and will remain so for the foreseeable future. The Government does not own rights to MOOG’s technical data and on March 24, 2014, MOOG Refused to sell the technical data.

Also, it is forecasted that future spare parts procurements of the initial spare parts will be in the quantity range that would make the cost of reverse engineering unreasonable. Although the procurement of the initial spare parts is noncompetitive, the contract contains the FAR clause at 52.244-5, Competition in Subcontracting.

8. Market Research: A sources sought notice was posted to FBO on 01 March 2016. Moog responded to the notice on 31 Mar 2016 and expressed interest in providing the required ATWS initial spare parts. Pursuant to FAR 10.002(b) (2) Knowledge Individuals within the Program Manager’s Office for Light Armored Vehicles were contacted to discuss the availability of an alternate source to provide the MOOG spare parts. As a result of these discussions, it was determined that no other source currently exists in the market place that possess the requisite knowledge and expertise to provide the required spare parts.

Additionally, a Google search was conducted on 01/12/2016, which resulted in no additional sources available in the marketplace to provide the MOOG initial spare parts.

9. Interested Sources: No other sources have expressed an interest in this acquisition. However, all notices required by FAR 5.201 shall be published, as appropriate, in conjunction with this acquisition.

10. Other Factors:

a. Procurement History. Award of sole-source Contract W56HZV-15-C-0213 on 13

Aug 2015. To MOOG Inc. for Line Replaceable Units (LRUs) to support the ATWS program in the amount of $2,279,999.28. FAR 6.302-1, “Only One Responsible

Source and No Other Supplies and Services Will Satisfy Agency Requirements”.

11. Technical Certification: I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief.”

Name: Bamidele J Abogunrin

Title: Program Manager, Light Armored Vehicles

Date: 29 Apr 2016

Signature: Please reference signed PDF version in PCF cabinet dated 29 Apr

12. Requirements Certification: I certify that the supporting data under my cognizance that is included in this justification is accurate and complete to the best of my knowledge and belief:

Name: Bamidele J Abogunrin

Title: Program Manager, Light Armored Vehicles

Date: 29 Apr 2016

Signature: Please reference signed PDF version in PCF cabinet dated 29 Apr

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.

The contractor’s proposal will be reviewed using price analysis to determine that the overall price is fair and reasonable. Certified pricing data will be obtained since the value of the procurement exceeds the $750,000 dollar threshold for obtaining cost or pricing data pursuant to FAR 15.403-4(a)(1). The anticipated cost for this effort is $3,949,598, Name: Patricia Pierce

Title: Contracting Officer

Date: 03 May 2016

Signature: Please reference signed PDF version in PCF cabinet dated 03 May

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

Name: Patricia Pierce Title: Contracting Officer

Date: 03 May 2016 Signature: Please reference signed PDF version in PCF cabinet dated 03 May