SPRAL1-20-Q-0005 - reviewed_Redacted.pdf

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Attached to
Transfer transmission Federal contract opportunity
Solicitation number
SPRAL1-20-Q-0005
Issued by
Defense Logistics Agency Land and Maritime

About this file

This justification document outlines a sole source award for transfer transmissions required by the Marine Corps. The Defense Logistics Agency Land and Maritime conducted market research which determined the item has only one manufacturer, Meritor Specialty Products, with CAGE code 56664. Previous procurements also solely utilized Meritor for this national stock number. As the Marine Corps does not own technical data for this part, full and open competition is not possible. The agency intends to award contract SPRAL1-20-C-0012 on April 1, 2020 for an unknown quantity of transfer transmissions at an unknown total value under the authority of 10 U.S.C. 2304(c)(1) to acquire goods from a limited number of sources. The contracting officer deemed pricing to be fair and reasonable based on prior contract history.

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JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

DLA Land and Maritime Justification for Other than Full and Open Competition

(May 2018)

[X] ORIGINAL

[ ] ADDENDUM (attach copy of original J & A for add-ons or revisions)

1. The Defense Logistics Agency, DLA Land and Maritime, is the contracting activity.

2. This acquisition has been solicited as a SAT buy. One quote was received which is over the SAT threshold. The Contracting Officer has determined to award this PR utilizing DAG 13-106 (J), SF26 Bilateral Award without resoliciting.

The action being approved is the acquisition of supplies/services for the Transfer, transmission (NSN 2520-01-561-1293). Other than a full and open competition basis FAR 6.302-1 and 10 U.S.C. 2304(c)(1) will be utilized since after market research (FAR 10) and Marine Corps technical data it was determined the current NSN has one source, Meritor Specialty Products (Meritor)(CAGE 56664). The previous buy solicited (SPRAL1-16-M-0079) did not require a J&A. The solicitation, as issued, identified two approved sources—Meritor and General Dynamics Land Systems (GDLS) (CAGE 1EFH8). When the PR received one quote over SAT, market research was performed, and it was learned that GDLS does not manufacture the NSN and, as such, should not have been listed in the solicitation as an approved source.

3. The supplies/services required to meet the using activity's needs are described as follows:

Brief Description NSN Quantity Price each AMSC Transfer transmission 2520-01-561-1293 16 Z

The Transfer transmission is that part of the mechanism of a vehicle which distributes engine torque from the transmission and provides a means to transfer it, usually, to the front and rear driving axles.

Identify end item, weapon system, or class of item:

The Transfer transmission is a part of the end item Mine Resistant Vehicle, model number C4FAA, NSN 2355-01-552-5565 and end item Mine Resistant Vehicle model number C4FAE, NSN 2355-01-579-8929. These Mine Resistant Vehicles are self-propelled vehicles designed for combat with a mine resistant "V" shaped hull.

ESTIMATED CONTRACT VALUE:

4. The statutory authority permitting other than full and open competition is:

[X] 10 U.S.C. 2304(c)(1) - Available from only one or a limited number of sources.

The Product Specialist was asked to certify the accuracy of the AMC/AMSC coding and approved source list. This review verified the NSN has one source: Merritor (CAGE 56664) and the AMC code is correct. The AMSC code will be changed to D. This review took place on 2/7/2020.

(May 2018)

5. If restricted to the only source(s) of supply, include source(s) and CAGE code: Meritor (CAGE 56664). Per the Product Specialist and the technical certification provided by LOGCOM, the Government does not have any technical data for this item, and Meritor is the only source known to possess the technical data needed to manufacture the item.

The use of the authority cited is based on:

[X] AMC 3. Acquire, for the second or subsequent time, directly from the manufacturer.

The use of the authority cited is based on:

[X] AMSC Z. This part is a commercial/nondevelopmental/off-the-shelf item. Commercial item descriptions, commercial vendor catalog or price lists or commercial manuals assigned a technical manual number apply. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources are available, AMCs 1 or 2 are valid (When one or a limited number of sources are available, then a J&A is required. When an item is coded with AMSC “Z” and is listed on an interchange catalog or appears on a commercial cross reference list, this constitutes full and open competition and a J&A is not necessary). As a result of market research conducted subsequent to the issuance of the solicitation, the item has been determined to be non-commercial. The AMSC will be changed to D for future procurements.

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

[X] Other: This PR was originally solicited as an SAT buy. One quote was received for a dollar amount totaling $327,754.72. The Contracting Officer has determined to work this purchase request utilizing DAG 13-106 (J)-SF26 Bilateral Award. The PR will not be resolicited.

A Source Sought Notice (SSN) has not been posted because the solicitation has closed and the Government does not intend to reopen the solicitation. Based on the technical certification that as provided by LOGCOM (Logistics Command) (see Attachment 1), SYSCOM (System Command) does not own the drawings for this Transfer transmission to allow for full and open competition to exist. The item needs to be procured from the manufacturers available, based on the tech data.

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

Procurement history exists for this NSN via Haystack and EProcurement. The history is below with the award date, contract number, quantity, unit price, total value, awardee and price reasonableness code (PRC):

PO Number CAGE Vendor Name Qty Unit Price Each Total Price Award Date PRC SPRAL116M0079 56664 Meritor Spec. Prod. 10 EA $12,698.00 $126,980.00 6/10/2016 BB SPRAL113C0043 1UYL6 HMS Systems 50 EA $11,049.62 $552,481.00 5/30/2013 BI

History indicates the Transfer transmission for the requirement was previously procured by DLA Land and Maritime (DLR Albany). To deem the price fair and reasonable a price analysis will be conducted.

(May 2018)

The value of this procurement is less than the Certified Cost and Pricing Data threshold of $2,000,000.00. Cost and price data is not required in accordance with FAR 15.403-1(c)(3)(i) which is any acquisition of an item that the contracting officer determines meets the commercial item definition in 2.101, or any modification, is exempt from the requirement for certified cost or pricing data.

8. Market Research/Efforts to Obtain Competition:

Describe the market research conducted and the results. E-mailed a market survey directly to GDLS on January 21, 2020 for the procurement of the Transfer, transmission with a required response date of COB: January 24, 2020.

Market Survey [10 U.S.C. 2304(f)(3)(D)]:

[X] A market survey was conducted on/during January 21, 2020 to January 24, 2020.

Total number of vendors contacted: 1 (one); GDLS (7W356), POC:

Names of vendors contacted and responding: GDLS (7W356)

Types of information requested:

The market survey included but not limited to information regarding commerciality, EDI, MIL- STD-129 capability, company size, FOB, Inspection and Acceptance, part number, quantity, delivery and OEM information.

Summary of information received:

GDLS provided the following information: This NSN is not commercial, they are a large business with an estimated 3,000 employees, they are a dealer, The quote provided by GDLS for solicitation SPRAL1-20-Q-0005 is also being used to provide market survey information. GDLS quoted their

. It quoted for the exact product (CAGE 1EFH8 part number 10006567), Information received regarding the commerciality of the item(s):

(May 2018)

In its response to the market survey, GDLS stated that the item is non-commercial. The Acquisition Specialist searched the internet and found only references to this part number in connection to the Government’s use on the Mine Resistant Vehicle (with the NSN listed) discussed in section 3 above. The Contracting Officer has determined this buy is not commercial.

This purchase request will be awarded utilizing FAR 15. The Product Specialist’s review of the Technical Certification on 2/7/2020 showed that the AMSC code should be changed to D.

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

[X] 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: (If none, so state) General Dynamics Land Systems (CAGE 7W356) quoted on the SAT solicitation (SPRAL1-20- Q-0005)

11. The following actions are being taken to identify additional sources:

[X] Solicitation contains DLA Procurement Note, L04 Offers for Part Numbered Items [X] Solicitation contains DLA Procurement Note, M06 Evaluation of Offers for Part Numbered Items

[X] Other: The Marine Corps does not intend to procure the technical data necessary to promote additional competition.

Attachments:

1. DLR Tech Data Certification

CONTRACTING OFFICER CERTIFICATION

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 $700,000, this signature serves as the approval.

Cletus M. Schafrath Date Contracting Officer

APPROVAL REQUIREMENTS

( X ) Up to $700,000 Contracting Officer

SCHAFRATH.CLETUS.M.10810246

Digitally signed by

SCHAFRATH.CLETUS.M.1081024606

Date: 2020.02.17 17:36:18 -05'00'

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