DLA0343.pdf

DEFENSE LOGISTICS AGENCY J&A: SPRDL1-11-R-0139

CMO Control Number: [Completed by Comp. Mgt. Office]

SPRDL1-11-R-0139

DEFENSE LOGISTICS AGENCY

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

The Defense Logistics Agency – Warren (DLA-Warren), is the procuring activity for this action. 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."

PART I - Description of Item Required:

a. NOUN: Cap Assembly, Head

b. QUANTITY: 305

c. NSN: 1005-01-220-8534

d. MPN: 7-0906-3

e. VEHICLE SYSTEM: Armament Subsystem, 30mm, M139 for the AH-64 Apache

f. ESTIMATED UNIT PRICE: $ 494.00

g. ESTIMATED VALUE: $150,670.00

h. PRON NUMBER: M112V069M1

i. TYPE OF FUNDS: Army Working Capital Fund (AWCF)

j. TYPE OF CONTRACT: Firm Fixed Price (FFP)

PART II - Technical Information and Certification

1. The US Army TACOM LCMC requires the acquisition of the above item. The only approved source(s) for the above item is (are):

Contractor(s) Name: GE Aviation Systems LLC

2720 W WASHINGTON AVE

Yakima, WA 98903-2513 Cage: 97415 Part Number: 7-0906-3

2. Reasons the item is not suitable for full and open competition:

a. Status of the Acquisition Data:

The Technical Data Package (TDP) acquisition production specification data is not fully defined, since the item was developed and tested at the above source’s expense. Therefore, such data is considered proprietary to the above source. Since the above source owns all of the proprietary data rights, the competitive data is not available for a competitive procurement process.

THE INFORMATION PROVIDED IS ONLY AN ESTIMATE OF THE ADDITIONAL COST ASSOCIATED

WITH QUALIFYING A NEW SOURCE OR QUALIFICATION PROCEDURE. THERE IS NO

SUPPORTING DATA PROVIDED FOR THIS ENGINEERING ESTIMATE AS IT IS BASED ON

ENGINEERING JUDGMENT AND EXPERIENCE.

Additionally, the Government did not fund the supplier to prepare a fully detailed TDP after approval. As such, the supplier is the sole owner of the drawings and technical data rights, and the Government does not own proprietary rights to the TDP that would be required to produce a competitive TDP.

The lack of data makes it necessary to procure this item on a non-competitive basis from the listed source.

b. Efforts to Increase Competition or Qualify a New Source in Relation to this Procurement:

The costs associated with engineering and testing are not expected to be recovered through subsequent competition. The application development, including any reverse engineering; or vehicle operational acceptance testing would exceed two years; The delay associated with these efforts is unacceptable in fulfilling TACOM’s requirements and would have significant detrimental impact on TACOM’s ability to support the soldier in the field.

Previous experience, by knowledgeable individuals in Government, estimate the overall cost of developing a competitive package, including any reverse engineering; or procuring the proprietary data; or qualifying additional sources to be in excess of $153,000.00. This overall cost will not be recovered through subsequent competition.

c. Demonstration of Approved Contractor's Unique Qualifications:

GE Aviation Systems LLC, located in Yakima, Washington, As a leading supplier of integrated systems and technologies for combat aircraft, military transport, helicopters, land vehicles and unmanned aerial vehicles (UAVs), GE is enabling armed forces around the world to improve reliability and enhance operational performance Focused on defense technology, the Company develops, manufactures and supports a broad range of systems for mission critical and military sustainment requirements, as well as homeland security.

GE Aviation Systems LLC developed the item identified without Government assistance. GE Aviation Systems LLC has the qualities and capabilities to produce this item, and has successfully delivered this item in the past.

d. Efforts to Qualify Additional Suppliers for future procurements:

No contractors are in the process of being qualified at this time nor will be prior to the contract award due to funding constraints. The funding associated with qualifying a new source is not expected to be recovered through subsequent competition. Equivalent products would have to be developed at significant cost and time. Product R&D would cost about $30,000 and take 1.5 years to develop. Materials are estimated at $100,000, but this could escalate. Product would have to be tested at different conditions over time to prove effectiveness at a cost of approximately $20,000. Drawing and TDP work is estimated at $3,000. Total Cost $153,000.

New sources would require the development of extensive testing and processing procedures. The additional time required for these actions would prohibit delivery of the items in a time frame that would meet the Government’s requirements.

There has not been any expressed interest by any known contractors to become a qualified source to produce this power supply. Interested contractors can seek qualification through the Source Approval Program with the Competition Management Office.

e. Market Research:

Market research consisted of catalogs and other generally available product literature published by manufacturers, distributors, and dealers or available on-line. An internet search was performed on 14 April 2011 for this item and no commercial or non-developmental item is available to meet the Government needs or could be modified to meet the Government needs.

This procurement will be synopsized in FedBizOps and interested suppliers may apply to the Competition Management Office.

This item does appear on the TACOM Rock Island Competition Advocate’s Shopping List (CASL) dated 05 May 2009 for GE Aviation Systems LLC. This item also does not appear on the TACOM Warren CASL or the Advanced Procurement Planning List dated 06 Dec 2010.

On 23 May 2011, A Sources Sought Synopsis has been requested. To date, no additional contractors have expressed an interest in this item.

3. The POC for this action is , General Engineer; Phone

4. Technical Certification: I certify that my supporting data are accurate and complete to the best of my knowledge and belief.

Name:

Title: Chief, Artillery & Mortar Systems Branch Signature: _ /s/ _____________ Date: ___08 June 2011_________________

PART III - Requirements Certification

1. Per FAR 6.303-2(b), I certify that data provided on PRON M112V068M1 as to required quantities and delivery schedules are accurate and complete.

Name:

Title: Item Manager Signature: __/s/ _____________ Date: ____1 Jun 2011____________

2. Requirements Certification - I certify that this data is accurate and complete to the best of my knowledge and belief.

Name:

Title: Supervisory Group Leader Signature: //signed// Date: 2 June 2011

PART IV - Contracting Information

1. Description of Action: The required item will be solicited on Request for Proposals SPRDL1-11-R-0139.

It is proposed to negotiate a Firm-Fixed-Price contract with GE Aviation Systems LLC for their part number 7-0906-3. GE Aviation Systems LLC is the sole owner of the drawings and technical data rights and the Government does not own proprietary rights to the Technical Data Package.

2. Efforts to Obtain Competition: Although this procurement will be restricted to the above source(s), every effort will be made to obtain potential sources by synopsis through the FedBizOpps system.

3. Interested Sources: To date, no other sources have expressed a written interest in the acquisition of this item. Should potential sources respond to the synopsis in FedBizOpps, they will be evaluated by the appropriate engineering office as an alternate source.

4. The POC for this action is Robert Harrison, OFFICE SYMBOL: ZG-AE, Phone: (586) 282-3200.

5. Fair and Reasonable Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. Normal acquisition procedures will be followed to determine that the contract price is fair and reasonable. The appropriate forms of cost and/or price analysis will be utilized, and negotiations will be conducted if necessary. Due to the value of the procurement, certified cost and pricing data is not required, if necessary other than certified cost or pricing data will be used to support price reasonableness in accordance w/ FAR 15.403-3.

6. Contracting Officer Certification: I certify that this J&A is accurate and complete to the best of my knowledge and belief.

Name: Morris Belleville Title: Chief, Rock Island Branch Signature: Morris A. Belleville /S/ Date: 06/02/2011

PART V - Legal Concurrence

Concur: _// //__________________ Date: __06/06/2011_____________