SPE7LX23R0073 JA Redacted.pdf

PDF 545 KB Posted

Attached to
CHAIN ASSEMBLY, TIRE
Solicitation number
SPE7LX24D0023
Issued by

About this file

This document is a justification for other than full and open competition from the Defense Logistics Agency Land and Maritime. It concerns a solicitation for chain assemblies for tires that support Army MRAP vehicles. Peerless Chain Company, Pewag, Inc., and Oshkosh Defense, LLC are the only approved sources capable of manufacturing the item because the government does not own the technical data rights. Market research found no other potential sources. The justification was made that the anticipated costs to the government would be fair and reasonable based on historical pricing and other techniques. Efforts to obtain competition included posting a sources sought notice on SAM.gov and conducting a market survey by email, which yielded no other sources. As a result, the item was determined to be non-commercial and the solicitation will be issued under FAR Part 15 procedures.

View the file

On GovTribe

Work with this file

  • Download the original file
  • Contacts named in this file
  • Similar government files
  • Ask GovTribe AI about this file

Text version

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

AMSC R: The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights. If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid.

Product Specialist, , confirmed the following on 1/6/2023:

This item is an AMC/AMSC of 1/R. This item supports all Army MRAP WSDCS. Peerless Chain Company (46156), Pewag, Inc. (4N506), and Oshkosh Defense, LLC. (45152) are the only sources capable of making this item. The Government DOES NOT HAVE the data or drawings for full and open competition; the approved source(s) are the only source(s) known to possess the required drawings. The drawing type is a source-controlled drawing, and the Engineering Support Activity (ESA) has only approved the contractors listed on the drawing; no other contractor can make this item. A contractor can submit a Source Approval Request (SAR) package to be added to the drawing as an approved source, but this item cannot go out under full and open competition at this time. There ARE NOT currently 339’s out to the ESA (Engineering Support Activity).

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 Price Index (PPI), and learning curve analysis. Cost or pricing data in accordance with FAR 15.403-4 will be requested if the offeror’s proposal 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.

An internet search of the NSN number and nomenclature was conducted to search for possible new sources. The search did not yield any new sources for this item. The only sources found were the approved sources listed in section 5.

Procurement history:

A sources sought notice was posted on SAM.gov from 4/25/2023 to 5/2/2023. No responses were received.

Market Survey [10 U.S.C. 2304(f)(3)(D)] A market survey was conducted on: 4/21/2023

Techniques used to conduct survey: e-mail correspondence.

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

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

Total number of vendors contacted: 4

Names of unresponsive vendors: 1

Oshkosh (75Q65)

Names of vendors and summary of information from responses:

Peerless Chain Company (46156) Large Business – Distributor with 55 employees.

Interested in long term contract

Item is not commercial.

VSE, Corp. (31902)

Large Business – Distributor with 2,200 employees.

Item is not commercial.

Pewag, Inc. (4N506) Large Business – Manufacturer with 50 employees.

Item is commercial.

9. Commercial determination:

For the reasons stated below, the NSN covered by this initiative will be Non-Commercial based on the definition of a commercial item located at FAR 2.101 and will be procured under FAR Part 15. The following Non-Commerciality determinations have been made. COTS field in the MM03 query in SAP does not indicate these are commercial Items.

Review of the Material Master database indicated that this NSN has limited sources. Review of the OEM’s website neither shows evidence that this item is available on the commercial market nor is it of a type customarily used by the general public or non-governmental entities for purposes other than government or military purposes as defined in FAR 2.101. Market research via internet resources for commercial sale offerings yielded no results to show that this item has been offered for sale, lease or license to the general public as defined in FAR 2.101, “Commercial Item.”

Market research did not yield any readily available published catalog price lists, schedules or other form of commercial pricing that are regularly maintained and updated by a manufacturer or vendor that are available to the general public for inspection.

Additionally, there is no evidence of sale prices at which sales were made to a significant number of buyers constituting the general public. General public is interpreted as individuals using such parts in a manner other than a governmental or military capacity. Therefore, the Contracting Officer determines this item to be non-commercial, and the solicitation shall be issued pursuant to FAR Part 15 procedures.

File details come from the government source that posted it. Updated .