4.1 JA SPE7L423R0003--REDACTED.pdf

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Attached to
ELECTRONIC COMPONENT Federal contract opportunity
Solicitation number
SPE7L424C0001
Issued by
Defense Logistics Agency Land and Maritime

About this file

This document is a justification for a sole source federal contract award. The contract is for an electronic component used in tactical vehicles and is needed by the Defense Logistics Agency Land and Maritime. The justification cites that the government does not have full technical data rights to permit competitive bidding due to the item being source controlled. Only two companies, BAE Systems Land and Oshkosh Defense, are capable of manufacturing the item, and market research found no other potential sources. The justification was approved by the contracting officer based on the lack of available technical data and the determination that the anticipated cost to the government would be fair and reasonable through a price analysis of historical costs and industry data.

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Text version

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

SOLICITATION SPE7L423R0003

DLA Land & Maritime Justification for Other Than Full & Open Competition (November 2021)

The use of authority cited above is supported by the following Acquisition Method Code (AMC) and Acquisition Method Suffix Code (AMSC):

AMC 1: Suitable for competitive acquisition for the second or subsequent time.

AMSC B: This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application. Although, by DoDSTD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in Government possession and cannot be economically obtained.

If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

Product Specialist, Blair Gosche, certified the following on 3/8/23:

This item is an AMC/AMSC of 1/B, is not critical application item and is not a Critical Safety Item (CSI). This Electronic Component is for the FAMILY OF MEDIUM AND LIGHT TACTICAL VEHICLES (FMTV). BAE SYSTEMS LAND (076M6), BAE SYSTEMS TACTICAL (0FW39) and OSHKOSH DEFENSE (75Q65) are the only sources capable of making this item. Although the Government possesses the drawings in the solicitation, on 3/8/23, the product specialist conformed that the “top drawing is source controlled.” Therefore, the Government does not have full data rights to permit competitive manufacture.” The approved sources are the only sources known to possess the required drawings. There are not currently any 339’s out to the Engineering Support Activity (ESA) and current information indicates that the item is not commercial or commercial-of-a-type. Technical Data Certification is attached.

6. Efforts to ensure that offers are solicited from as many sources as practicable are:

The acquisition will be synopsized for 15 days prior to the solicitation opening. At the completion of the synopsis period, the Purchase Request (PR) will be solicited on the internet for 30 days via the DLA Internet Bid Board System (DIBBS).

7. I hereby determine that the anticipated cost to the Government will be fair and reasonable.

A price analysis will be conducted using historical pricing, the Producer’s Price Index (PPI), and a learning curve analysis. Cost or pricing data in accordance with FAR 15.403-4 will be requested if the offer exceeds the $2M threshold for obtaining cost data, however, it is anticipated that this procurement will not exceed that threshold.

Offerors may be requested to submit information other than cost or pricing data for determining price reasonableness. Based on the above techniques, the Contracting Officer anticipates that the cost to the Government will be fair and reasonable.

8. Market Research/Efforts to Obtain Competition:

Market research consisted of review of past procurements, market surveys received from interested parties, and internet sources.

Procurement history:

The PO History shows multiple prior awards:

A sources sought notice was posted on SAM.gov from 2/28/2023 to 3/7/2023. No responses were received.

Market Survey [10 U.S.C. 3204(e)(2)(D)]:

A market survey was conducted on: 3/14/2023

Techniques used to conduct survey: SAM.gov and e-mail correspondence

Types of information requested: Business size, manufacturer or dealer, price breaks, commerciality, estimated delivery, and quantity sensitivity

Total number of vendors contacted: 2

BAE SYSTEMS LAND (076M6)

OSHKOSH DEFENSE (75Q65)

Names of unresponsive vendors:

OSHKOSH DEFENSE (75Q65) was emailed on 3/14/23 with market survey. No response was received.

Names of vendors and summary of information from responses:

BAE SYSTEMS LAND (076M6)

Large Manufacturer Item is not commercial Cannot provide pricing list or catalog F.O.B Origin is acceptable Item is not quantity sensitive

Cannot provide quantity price breaks Approx delivery is 210 days ARO

Commercial determination:

BAE SYSTEMS LAND (076M6) In the market survey, BAE advised they are the manufacturer for this item and do presently have a commercial distribution network that is not exclusive to dealers. BAE also advised this item is has not been determined commercial by the military or Department of Defense (DoD). The COTS field, generated by the Product Specialist, in the Product Master in SRM, was left blank. A Google search found no listing of sales to the private sector supporting the commerciality of this item. Product Specialist was consulted and after evaluation determined that part number 12422551-003 is not commercial. The Contracting Officer determines that this item is non-commercial, thus FAR 15 procedures will be utilized.

9. Additional facts supporting other than full and open competition are:

Based upon the technical certification on file in DLA Land and Maritime VEP technical data is not available and cannot be developed to permit full and open competition. The data presently available reflects the minimum needs of the Government.

10. A listing of sources, if any, indicating an interest in the acquisition is:

BAE SYSTEMS LAND (076M6)

11. This item is subject to the following methods of locating additional sources:

The Solicitation contains the DLAD Procurement Note for Source Controlled Items thereby not allowing for alternate offers.

L22 RESTRICTION OF ALTERNATE OFFERS FOR SOURCE CONTROLLED ITEMS (SEPT 2017)

12. Previous Justification for Other than Full and Open Competition IS attached:

The J&A from previous procurement SPE7L320R0036 was found in Records Management and is attached to this document (Att1).

I hereby certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. If not exceeding $750,000, this signature serves as the approval.

Contracting Officer Date

APPROVAL/CERTIFICATION

I have reviewed and approve this justification:

APPROVAL REQUIREMENTS

[X] Up to $750,000 Contracting Officer

Attachment(s):

1. Memorandum for Record Technical Data Supporting Certification

2. Previous Procurement J&A SPE7L320R0036

TUBBS.JOHN.

D.1076026684

Digitally signed by

TUBBS.JOHN.D.1076026684

Date: 2023.03.27 09:39:20 -04'00'

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