A11_ARMS_20161_Justification_&_Approval_(Approved_7Feb18).pdf

SOLICITATION: SPRBL1-18-R-0004

Justification and Approval For Other than Full and Open Competition

1. Contracting Activity: DLA Land at Aberdeen Attn: DSCC-MLAB 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 for a five (5) year Firm-Fixed-Price (FFP), Indefinite Delivery, Indefinite Quantity (IDIQ) contract for the production and delivery of the Electronic Components Assembly NSN 5998-01-591-2293, the Pan and Tilt Assembly NSN 5855-01-591- 0050 and the Controller Electrical NSN 6110-01-591-0045 in support of the AN/VAS-5A and AN/VAS-5B Driver’s Vision Enhancer (DVE) systems. These parts are manufactured by Moog CAGE Code: 80175. and are further described in Section 3, Description of Supplies/Services.

These are commercial parts and Federal Acquisition Regulation (FAR) Part 15 and Part 12 procedures will be used for this procurement.

The Army manages these repairable parts therefore, Army Working Capital Funds (AWCF) will be used for this effort. The resultant contract will have an estimated five-year dollar value of $8,857,922.00 and a maximum contract value of $12,000,000.00. The guaranteed amount for this contract is $10,000.00 and will be placed at the time of contract award.

3. Description of Supplies:

Nomenclature & Part Number NSN Est. 5-yr Qty Est. 5-yr Value AMRC Electronic Components Assembly

I-12150-BLK

5998015912293 655 $3,835,527 3P

Pan & Tilt Assembly

7-12150-BLK

5855015910050 685 $2,959,805 3P

Controller Electronical

CM550

6110015910045 601 $604,331 3P

These items support the sustainment of the DVE end item system. The DVE is an un-cooled thermal imaging system used by personnel operating a multitude of Combat Vehicles and Tactical Wheeled Vehicle platforms including, the Armored Knight, Anti-Surface Vessel (airborne radar), Abrams, High Mobility Artillery Rocket System, Heavy Tactical Vehicle, Light

Tactical Vehicle, Logistics Vehicle System Replacement, Medium Mine Protected Vehicle, Mine Resistant Ambush Protected (military vehicle), Medium Tactical Vehicle, Medium Tactical Vehicle Replacement, Paladin, Recovery, and Stryker. The DVE system consists of a Sensor, a Pan & Tilt Assembly, Controller Module, Display Screen, and Cable Assembly.

4. Authority Cited: The statutory authority permitting other than full and open competiton 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 only approved manufacturer with the comprehensive knowledge and expertise necessary to produce the required parts for this action is Moog, CAGE 80175, the Original Equipment Manufacturer (OEM), located at 3650 Woodhead Drive, Northbrook, IL 60062-1817. Moog designed and developed the items and is the only known source with the knowledge of the design that can meet the Government’s requirements. The Acquisition Method Reason Code is 3P meaning acquire for the second or subsequent time directly from the actual manufacturer and the rights to use the data needed to purchase these parts from additional source(s) are not owned by the Government and cannot be purchased, developed, or otherwise obtained. It is uneconomical to reverse engineer these parts. The Government does not possess the detailed Technical Date Package (TDP) that describes all required form, fit, and function characteristics of the DVE components. Without the TDP or data rights, the Government is unable to solicit these parts from sources other than Moog. The DVE System is expected to remain in the field for the minimum of another 20 years. Due to the 20-year life of the system, the high field density, and the variety of platforms and vehicle installation kits, the only way to maintain the DVE in operational condition is to maintain standardized parts to ensure effective operation of the DVE and enable interchangeability of maintenance support.

6. Efforts to Obtain Competition: In an effort to locate potential sources capable of producing equivalent parts, a Sources Sought Announcement was posted to Federal Business Opportunities (FBO) on 16 November 2016 with responses due 17 January 2017. A synopsis was posted to FBO on 13 September 2017 in accordance with FAR 5.201. Market Research was conducted as described in the market research section below.

The Contracting Officer anticipates that the cost to the Government for this requirement will be fair and reasonable based on competitively established prices and comparison of proposed prices with an Independent Government Estimate. Additionally, certified cost or pricing data will not be obtained in accordance with FAR 15.403-1(b) (3).

7. Actions to Increase Competition: Pursuant to Justification and Approval for other than full and open compition in the previous procurement of the DVE System, all actions to increase competition and overcome barriers identified in the previous J&A have been met. The Government will continue to conduct market research to ascertain if changes occur in the marketplace that would enable future acquisitions for these items to be through competition. The solicitation was published on the FBO website on 21 November 2017 with an original response date of 9 January 2018, which was amended to January 19, 2018.

8. Market Research: Market Research was conducted by the CECOM Engineer and DLA Land at Aberdeen. The Engineer posted a Sources Sought Announcement (SSA) to FBO on 16 November 2016 seeking sources of supply for the Electric Components Assembly, Pan & Tilt Assembly, and Controller Electronic . In January 2017, responses were received from Moog, DRS Network & Imaging Systems (DRS) and BAE Systems Electronic Systems (BAE). BAE responded stating they no longer manufacture the DVE System and provided the Original Equipment Manufacturer (OEM) for each part of the DVE System. This was verified by the Engineers who confirmed that Moog is the manufacturing source for these parts. Moog and DRS expressed interest in supplying the DVE System. The Engineer agreed with their capabilities in supplying the part; Moog as the OEM and DRS as a distributor. The Contracting Officer and Engineer called Eric Eanottie, DRS’ Program Manager to verify that DRS is not the manufacturer of the Electric Components Assembly, Pan & Tilt Assembly, and Controller Electronic. Mr. Eanottie confirmed Moog’s assertion that Moog is the sole manufacturer.

Unbeknown to the Government, under the previous contracts Moog was the manufacturer/sub-contractor for DRS and BAE.

The Contract Specialist conducted internet searches in WebFLIS, Army i2Log, Federal Procurement Data System, ILS Mart and historical acquisition history. These parts were previously purchased on contract W15P7T-09-D-M402 and W15P7T-09-D-M403. Historically these parts were procured from DRS and BAE. Market research performed for this requirement determined both previous awardees purchased these parts from Moog Inc. Under the previous contract, Moog was the manufacturer for BAE and maintained an outstanding record for meeting the Government’s delivery requirements for new production. Based on this market research, the Government’s technical experts determined that only Moog can meet the Government’s requirements.

9. Interested Sources: Besides the OEM Moog, DRS, CAGE 1V3E4, has expressed interest in supplying these parts. DRS is an authorized distributor for Moog and was one recipient of the previous award.

10. Other Facts: Per a Justification and Approval for other than full and open competition, fully executed 19 July 2017, the Electronic Component Assembly was purchased on contract SPRBL1-17-C-0001 from Moog, the sole source manufacturer. In an effort to remove barriers to competition as stated in this previous Justification and Approval, market research was conducted.

This research revealed no other sources interested in manufacturing these parts and that Moog is the manufacturer of the Electric Components Assembly, Pan & Tilt Assembly, and Controller Electronic.

a. Additional Procurement History: The previous awards of the DVE System were five

(5) year Indefinite Delivery/Indefinite Quantity (IDIQ) type contracts as part of a multiple award effort to BAE and DRS.

W15P7T-09-D-M402 awarded 22 May 2009 to 21 May 2014 DRS Systems, INC.

5 Sylvan Way Ste 305 Parsippany, NJ 07054-3818

W15P7T-09-D-M403 awarded 22 May 2009 to 21 May 2014 BAE Systems Information And Electronic Systems 6500 Tracor Lane Austin, TX 78725-2151

b. Acquisition Data Availability: CECOM ILSC requested a quote for the TDP purchase from Moog who responded that they are not interested in selling the TDP at this time. The Government possesses the overall performance specification for the DVE system, but does not possess the detailed technical data that describes all required form, fit, and function characteristics.

Since the issuance of the previous contracts as a multiple award contract, research has shown that the previous recipiants are now distributors of Moog and not actual manufacturers of the DVE System. The items for this requirement are Moog sole sourced items and therefore an award of multiple contracts is not practical as individual contract(s) will be awarded to Moog or distributors. Moog is the manufacturer of these parts and possesses all engineering data related to the listed DVE items. Moog is responsible for their own TDP through the life of the system.

c. Subcontracting Competition: The Government will seek to maximize subcontracting competition with the inclusion of terms and conditions which will require large business concerns to submit a small business subcontracting plan for acquisitions meeting the $700,000 threshold.

11. Technical Certification: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

James McArthur Date: _________________________

Industrial Engineer Signature: _____________________

12. Requirements Certification: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Mariano Meaux

Item Manager

Date: ________________________

Signature: _____________________

13. Procuring Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Mimi Kirkland Date: ________________________

Procuring Contracting Officer Signature: _____________________

Approval

I have reviewed and hereby approve this Justification for Other than Full and Open Competition.

Date: ________________________ Signature: _________________________________ Bradley Holtzapple

( ) 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

February 1st, 2018