SPRBL115R0037Redacted.pdf

DEFENSE LOGISTICS AGENCY

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRBL1-15-R-0037

1. Contracting Activity: DLA Land at Aberdeen (DSCC-ZLAA) 6001Combat Drive Room C1-301 Aberdeen Proving Ground, MD 21005-1846

2. Description of Action:

This Justification and Approval supports an acquisition using other than full and open competition procedures for a five (5) year Firm-Fixed-Price (FFP), Indefinite-Delivery Indefinite-Quantity (IDIQ) contract, with no options for two Depot Level Reparable spare parts in support of the Single Channel Ground and Airborne Radio System (SINCGARS) Airborne Radios. These parts are manufactured by Bowmar LLC (Bowmar), 8000 Bluffton Rd. Fort Wayne, IN 46809-3018, CAGE Code 99479 and CMC Electronics Inc.

(CMC Electronics), 600 Dr. Frederik Philips Boulevard, Ville Saint Laurent, Quebec, Canada H4M 2S9, CAGE Code 90073. Bowmar and CMC Electronics are identified as the approved sources on the applicable Source Control Drawing (SCD) for these parts.

These parts have also been previously supplied to the Government by Exelis, Inc.

(Exelis), 7310 Innovation Blvd, Fort Wayne, IN 46818-1370, CAGE Code 31550.

Exelis is the original equipment manufacturer of the SINCGARS Radio System.

The parts included in this procurement, along with their 5-year best estimated and total maximum quantities are shown in the table below.

NSN Item Name Part Number AMC

AMSC

5-year Best Estimated Quantity

Total Maximum Quantity

5895-01-371-0450 Keyboard, Data Entry A3106254-2 4B 113 135 5895-01-349-8108 Keyboard, Data Entry A3106254-1 4B 885 1090

The total 5-year estimated value for these two NSNs is and the estimated contract maximum value is Army Working Capital Funds (AWCF) will be used for this acquisition.

Both NSNs are designated for military unique/non-commercial use; as such, Federal Acquisition Regulation FAR Part 15, Contract by Negotiations Procedures will be used.

3. Description of Supplies/Services:

These spare parts are procured in support of the SINCGARS Airborne Radios.

SINCGARS is a family of Very High Frequency-Frequency Modulation (VHF-FM) combat net radios designed to provide the primary means of command and control for combat, combat support, and combat service support units. The SINCGARS family of

SPRBL1-15-R-0037 J&A Source Selection Information, See FAR 2.101 & 3.104 1 | P a g e radios has the capability to transmit and receive voice and digital data, and is consistent with North Atlantic Treaty Organization (NATO) Interoperability requirements.

SINCGARS is the primary soldier-to-soldier communications system and is one of the five major communications/data elements that provide seamless digital communications to the Army end user. SINCGARS helps ensure reliable communications between users, by providing resistance to jamming via an Electronic Counter-Countermeasures (ECCM) capability using single channel offset or frequency hopping.

The two NSNs being procured are critical application, high reliability, electroluminescent panel and keyboard assemblies designed solely for use with the Airborne SINCGARS Radio RT-1476A/ARC-201A(V) and Radio Control Set C-11466A/ARC-201A(V).

These systems are designed to maintain full operational capability in a nuclear environment, to include withstanding free field electromagnetic pulses. Failure of these parts could result in the inoperability of the SINCGARS radio and cause significant equipment damage or endanger the life of the Warfighter.

4. Authority Cited:

The statutory authority permitting other than full and open competition is 10 U.S.C.

2304(c)(1), as implemented by FAR 6.302-1, "Only One Responsible Source and no other supplies or services will satisfy Agency requirements."

5. Reason for Authority Cited:

The Government requires these parts to be form, fit and function compatible with the existing SINCGARS radio system. The Government does not possess a complete Technical Data Package (TDP) for manufacture of these parts and only possesses an SCD. SCD A3106254, Revision H, dated 01 October 2010, does not contain all of the detailed technical data necessary to manufacture these two NSNs. Additionally, only the vendors listed on the SCD are approved by U.S. Army Communications - Electronics Command to manufacture these NSNs for use in the SINCGARS radio system, and substitute items shall not be used without prior approval by U.S. Army Communications - Electronics Command. Note: an SCD is prepared when a) the performance requirements can be met by one or more sources; b) the item is for a critical application; and c) tests have demonstrated the item meets stated requirements.

The only known manufacturing sources of supply for the spare parts described above are Bowmar and CMC Electronics who are original equipment manufacturers of these parts.

The current Acquisition Method Reason Code (AMRC) for these spare parts are 4B. The assigned value “4” means that the part is to be acquired, directly from the actual manufacturer, rather than the prime contractor who is not the actual manufacturer for the first time. The assigned value “B” means that acquisition of this part is restricted to source(s) specified on "source control", "altered item" or "selected item"

SPRBL1-15-R-0037 J&A Source Selection Information, See FAR 2.101 & 3.104 2 | P a g e drawings/documents; Suitable technical data, government data rights, or manufacturing knowledge are not available to permit acquisition from other sources.

The Army has assigned these NSNs an essentiality code of “C” identifying this NSN as essential. This code identifies parts that are essential to the operation of the end item and the failure of this item will render the end item inoperable (unable to move, shoot, and or communicate). The Government requires this item to meet critical mission requirements in support of the critical worldwide missions. Failure to acquire this item will significantly impact the ability to support critical missions, and thereby increase the risk of serious injury and loss of life to the Warfighter.

6. Efforts to Obtain Competition:

Market research was conducted, the details of which are in the market research section of this document. This effort yielded one new potential source, Sun Display Systems, LLC (Sun Display). However, it has been determined by the Army engineer that Sun Display cannot meet the current Government requirements as described in the market research section of this document.

The Contracting Officer synopsized the proposed contracting action on the Federal Business Opportunities (FedBizOpps) website on August 14, 2015. The synopsis was posted for 15 days in accordance with FAR 5.203(a). In addition, Defense Logistics Agency Directives (DLAD) 52.217-9023 (June 2008), “Restriction of Alternate Offers for Source Controlled Items” has been included in the solicitation. This J&A will be made available for public inspection via FedBizOpps after award, in accordance with

FAR 6.305.

7. Fair and Reasonable Cost Determination:

As the Contracting Officer, I hereby determine that based on cost and price analysis, the anticipated price to the Government for this contract action will be fair and reasonable. Certified cost and pricing data will be obtained for this non-commercial item as required.

8. Market Research:

Market research was conducted by issuing a Sources Sought Announcement (SSA) on the Federal Business Opportunities (FedBizOpps) website on 11 December 2014 to determine whether any other source could manufacture these specific SINCGARS spare parts. Bowmar, CMC Electronics, Exelis, and Sun Display responded to this announcement and expressed interest in supplying these items to the Government.

Sun Display Systems submitted a Source Approval Request (SAR) package requesting to be designated, by the United States Government (USG), as an approved source for the two required items (NSN 5895-01-349-8108 and NSN 5895-01-371-0450) per CECOM

SPRBL1-15-R-0037 J&A Source Selection Information, See FAR 2.101 & 3.104 3 | P a g e

P/N A3106354-1 and A3106354-2, on the basis of having previously produced and delivered a similar item to the USG, which is NSN 7025-01-457-0153, per P/N 0N616804-1. However, the USG Engineer evaluation of the SAR resulted in a negative determination because the technical information and data that Sun Display Systems submitted were not adequate to demonstrate the proposed similar items provide equal life, performance, or compatibility to the SINCGARS radio system. The USG does not own a TDP for this item, and only possesses an SCD. A SAR can only be approved if the company produced an actual or similar non-USG specification item that provides equal life and performance to an item already operating in the field as verified to meet USG requirements by performing required tests, which results must be included with the SAR.

The technical information and data that Sun Display Systems submitted in their SAR package were not adequate to demonstrate meeting all technical requirements set forth in the SCD, and therefore Sun Display Systems was not approved to manufacture NSN 5895-01-349-8108 and NSN 5895-01-371-0450 for the USG. The Government Engineer informed Sun Display on January 21, 2015 that the SAR they submitted in response to this market survey was disapproved.

Exelis is the original equipment manufacturer of the SINCGARS Radio Systems and has previously supplied parts to the Government which were manufactured by either Bowmar or CMC Electronics.

9. Other Facts:

The most recent procurement of these items shows they were included on Army contract W15P7T-05-D-J101 awarded on 30 November 2004 to ITT Industries, Aerospace/Communications Division (now Exelis, a wholly owned subsidiary of Harris Corporation), 1919 W. Cook Road, Ft. Wayne, IN 46801. The agency has been unsuccessful in locating a J&A for this award.

10. Interested Sources:

Bowmar, CMC Electronics, Exelis, and Sun Display have expressed interest in this acquisition. However, the Government evaluation of the submitted data from Sun Display Systems resulted in a negative determination. Therefore, at this time, Sun Display Systems is not an approved source for these items.

11. Actions to Increase Competition:

The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future actions for this item to be fully competitive.

SPRBL1-15-R-0037 J&A Source Selection Information, See FAR 2.101 & 3.104 4 | P a g e