SPRBL1-18-Q-0037_Redacted_045.pdf

SOLICITATION: SPRBL1-18-Q-0037

Source Selection Information - See FAR 2.101 and 3.104

DEFENSE LOGISTICS AGENCY

JUSTIFICATION AND APPROVAL FOR OTHER THAN

FULL AND OPEN COMPETITION

1. Contracting Activity: DLA Land at Aberdeen

ATTN: DSCC-ZLAB

6565 Surveillance Loop, Building 6001, Room C1301 Aberdeen Proving Ground, MD 21005-1846

2. Description of Action:

This Justification and Approval supports a solicitation using other than full and open competition procedures for a Firm-Fixed-Price, One-Time Spot Buy contract for Part Number 95-8001, NSN 2815-01-419-8704. This requirement is for the procurement, packaging, and delivery of the diesel engines used on the 2KW Military Tactical Generator. The estimated value of this acquisition is Army Working Capital Funds (AWCF) will be used for this effort.

3. Description of Supplies/Services:

The L48AE-DEG Diesel Engine is a vital component of the 2KW Military Tactical Generator (MTG). This engine is required to meet specific performance and interface requirements necessary for the operation of the 2KW MTG. The diesel engine is what powers the 2KW MTG. It is a one cylinder, four cycle, fuel injected, naturally-aspirated unit which occupies the front half of the generator set. The engine is also equipped with a fuel filter, lubricating oil strainer, and a foam covered, dry-paper air filter. It is equipped with a safety device that automatically stops it during conditions of low engine oil pressure. Used for the majority of military missions or activities requiring mobile electric power, The L48AE-DEG Diesel Engine is essential for the operation of the 2KW MTG. The specific item to be included in this solicitation is detailed in the table below:

Nomenclature Drawing NSN Qty Est. Value AMC/

AMSC

Engine, Diesel 95-8001 2815-01-419-8704 689 3B

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 Requirements."

5. Reason for Authority Cited:

The Government does not possess complete technical data that completely defines the form, fit, and function (F3) of the item being procured. The Acquisition Method Code (AMC)/Acquisition Methods Suffix Code (AMSC) for this item is 3B. In accordance with DFARS PGI 217.7506, an AMC of 3 represents that the items should be acquired “for the second, or subsequent time, directly from the actual manufacturer.” An AMSC of B means that “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.” Drawing 95- 8001 is source controlled, and the sole approved source of supply listed on the drawing is part number L48AE-DEG.

While the is the only the engine specified by the source control drawing 95-8001 that is qualified to be used with the MEP-531 and MEP-501 Military Tactical Generator sets, the current purchase must be made from Dewey Electronics because Dewey Electronics owns the only remaining stock of cylinder heads used in the manufacture of the engine. In late 2012 Dewey Electronics was notified by Yanmar that Yanmar will no longer produce the cylinder head for the L48AE-DEG engine and offered the remaining cylinder head stock to Dewey for one final purchase. Dewey Electronics was the only company known to have purchased a supply of the L48AE-DEG engine head castings. Dewey Electronics will provide the cylinder heads to Yanmar in order for Yanmar to manufacture the 689 engines required and then Dewey Electronics will supply the Yanmar engines to the Government.

6. Efforts to Obtain Competition:

Market research was conducted, details of which are in the market research section of this document. This effort yielded only one source that could meet the requirement. The complete technical data package was not available for purchase. In accordance with FAR 12.603 and FAR 5.201, the solicitation was issued using combined synopsis/solicitation procedures for the acquisition of this commercial item.

7. Fair and Reasonable Cost Determination:

As the Contracting Officer, I hereby determine that the anticipated price to the Government for this contract action will be fair and reasonable, based on the use of some combination of cost/price analysis, or a comparison of proposed prices with an Independent Government Estimate. In accordance with FAR 15.403(c)(3), certified cost or pricing data is not required on commercial items. If appropriate, the Contracting Officer will request other than certified cost or pricing data to support a fair and reasonable price determination.

8. Market Research:

On 16 January 2018, technical experts supporting the Integrated Logistics Support Center (ILSC) published a Sources Sought Announcement to find potential sources capable of producing the parts needed to support this requirement. The Market Survey was posted to the Government Point of Entry (FedBizOpps) on January 16, 2018, identifying the diesel engine the Government intended to solicit. The announcement received two responses in total.

Dewey Electronics stated they could provide the required diesel engine.

The second response was Mastry Engine Center LLC. Mastry responded, “we are a Yanmar owned company and we are in contact with Yanmar about it waiting for answers.” The company never provided any additional information to this posting. The Integrated Logistics Support (ILS) Manager and Engineer contacted the company almost two months after email receipt; however, they were not able to provide any further information. The Contract Specialist contacted Mastry Engine Center and determined that Yanmar no longer produces the L48AE-DEG engine. On July 13, 2018, Robert Brewer, contracting officer, spoke with

, Industrial Sales Manager at Mastry Engine Center. stated the replacement engine for the L48A-DEG is L48V6EA1C1AA-1 and provided a drawing of this engine. The replacement part is larger than the current approved part; thus, will not fit into existing systems as required.

Additionally, the Contract Specialist conducted an internet search of the IHS Haystack Gold Database and Army i2Log, and found no additional sources to manufacture this item.

9. Interested Sources:

The following sources expressed interest in supplying this item.

Contractor: CAGE Code: Address:

Dewey Electronics 47496 27 Muller Rd, Oakland, NJ 07436

Mastry Engine Center, LLC 040W0 2801 Anvil St N Saint Petersburg, FL, 33710-2909

Solicitation SPRBL1-18-Q-0037 was released on 20 July 2018 and closed on 09 August 2018.

Dewey Electronics Corporation, CAGE 14058, responded to the solicitation and was the only quote received.

10. Other Facts:

Procurement History: The Government previously procured the required NSN in June 2016 under contract SPRBL1-16-P-0009. The requirement was solicited as a sole source item, pursuant to the authority at FAR 6.302-1 and was awarded to Dewey Electronics. This

Approval

Based on the foregoing justification, I hereby approve the award of a Firm-Fixed-Price, One- Time Spot Buy contract for up to for the L48AE Diesel Engine, P/N 95-8001, National Stock Number: 2815-01-419-8704 on an other than full and open competition basis pursuant to the authority of 10 U.S.C. 2304(c)(1), subject to the availability of funds, and provided that the supplies herein described have otherwise been authorized for acquisition.

Date: _______________________ Signature: ____ _ Bradley Holtzapple Competition Advocate DLA Land and Maritime

( ) Up to $700,000 Contracting Officer ( X ) $700,000 - $13,500,000 Competition Advocate ( ) $13,500,000-$93,000,000 Head of Contracting Activity ( ) Over $93,000,000 Senior Procurement Executive

8/28/2018 9 Date: