JA_SPRDL1-15-R-0328_Redacted.pdf

DEFENSE LOGISTICS AGENCY J&A : SPRDL1-15-R-0328

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

SPRDL1-15-R-0328

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: Wiring Harness

b. QUANTITY: 149

OPTION QUANTITY: 149

c. NSN: 5995-01-504-8162

d. MPN: 12992490

e. VEHICLE SYSTEM: M1 Abrams Tank

f. Acquisition Method Code: 3 - Acquire, for the second or subsequent time, directly from the actual manufacturer.

g. Acquisition Method Suffix Code: H - The Government physically does not have in its possession sufficient, accurate, or legible data to purchase this part from other than the current source(s).

h. ESTIMATED UNIT PRICE: $ 796.93

i. ESTIMATED VALUE: $ 118,742.57

ESTIMATED OPTION VALUE: $ 118,742.57

ESTIMATED TOTAL VALUE: $237,485.14

j. PRON NUMBER: EH55122EH

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

l. TYPE OF CONTRACT: Firm Fixed Price

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):

a. Contractor(s) Name: DRS Test & Energy Management LLC Cage:24290 Part Number: 12992490

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

a. Status of the Acquisition Data:

The unique military grade of the Wiring Harness Assembly is an integral part of the Ethernet Board/Fire Control which is used on the M1 Abrams Tank.

The Technical Data Package (TDP) acquisition production specification data is not fully defined and not suitable for full and open competition. The unique military grade wiring harness assembly were developed, designed, built, and tested at DRS Test and Energy Management LLC’s expense. Thus, DRS Test and Energy Management LLC owns the proprietary rights to the technical/design data for these items.

DRS Test and Energy Management LLC is the only contractor who has the required technical and engineering knowledge, production facility expertise, internal configuration control, overall management capability and quality testing capabilities necessary to produce this item.

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:

ARDEC-RI engineers estimate that the cost to develop a competitive package for these items through reverse engineering could run as high as $500,000 and require an estimated delay of at least 20 months to include fabrication and testing of the prototype hardware, and releasing a validated TDP. Since there are no procedures in place to determine whether other sources are qualified to meet the government’s requirements, it would then take an additional $550,000 and take at least 18 months for the U.S.

Army/ARDEC engineers to develop government’s requirements for the prospective contractor to repair the items listed in section 3. Finally, it would cost $850,000 and take at least 24 months to conduct the actual Engineering analysis to determine if the new source has become approved in accordance with the newly competitive TDP. This would include the cost for any additional test equipment or fixtures, higher level assemblies and or end item systems, required to test this part and any costs for test facilities as applicable.

The aggregate costs associated with developing a competitive TDP, to include reverse engineering, developing government’s requirements, and engineering analysis would be at least $1.9 million ($1,900,000) which would not be recovered through subsequent competition.

The aggregate delay in the acquisition process for the development of a competitive TDP is at least 62 months. A delay of this scale is unacceptable in fulfilling the army’s requirements and would have significant detrimental impact on the army’s ability to support the soldier in the field and will jeopardize the Fire Control function of the M1 Tank.

c. Demonstration of Approved Contractor's Unique Qualifications:

DRS Test and Energy Management LLC has the requisite technical and engineering expertise to perform all efforts required to provide the Wiring Harness Assembly. DRS Test and Energy Management has demonstrated the unique and proven manufacturing capabilities to establish and maintain the processing control required to repetitively produce these items.

In addition to being the sole owner of the drawings and technical data rights, DRS Test and Energy Management LLC is the only contractor who has the required technical and engineering knowledge, production facility expertise, internal configuration control, overall management capability, and quality testing capabilities necessary to produce, and deliver this item.

d. Efforts to Qualify Additional Suppliers for future procurements:

There are no efforts to obtain competition for this action on the prime contractor level due to the duplication of costs and unacceptable delays the Government would incur as described in section b “Efforts to Develop a Competitive Package”. This action will be synopsized upon approval of this J&A as required by FAR 5.201. Interested contractors can seek qualification through the Source Approval Program within the Competition Management Office. An email address was provided in the synopsis. The requirement was synopsized in FedBizOpps to maximize subcontracting opportunities as required by FAR 5.201.

e. Market Research:

This item appears on the Advanced Procurement Planning List (APPL), dated 03 June 2015. However, this item should not be part of the APPL. This drawing belongs to DRS

Test & Energy Management LLC. The correct AMRC code is 3H which is depicted as part of this J&A.

On June 25, 2015, ARDEC-Rock Island engineer conducted internet based market research of the entire World Wide Web for Wiring Harness Assembly. The results of this search did not yield any information about new production sources for this item.

There are no other commercial or non-developmental items available to meet the Government's need or that could be economically modified to meet the Government's need that can operate on the Fire Control function as part of the M1A1 ABRAMS TANK.

On 26 June 2015, A Sources Sought Synopsis was requested. To date, no additional contractors have expressed an interest in this item. Interested contractors should contact the source approval program with the competition advocate’s office.

3. The POC for this action is

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

Name:

Title: APO, Abrams Matrix Support ARDEC-RI Signature:

Date: 29 Jun 2015

PART III - Requirements Certification

1. Per FAR 6.303-2(b), I certify that data provided on PRON EH55E122EH as to required quantities and delivery schedules are accurate and complete.

Item Manager:/ Date: 07/07/2015

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

Name:

Title: M1A1 Supply Team Leader Signature:

Date: 7 Jul 15

PART IV - Contracting Information

1. Description of Action: The required item will be solicited on Request For Proposals SPRDL1-15-R-0328. It is proposed to negotiate a Firm-Fixed-Price contract with DRS Test and Energy Management for their part number 12992490. The Technical Data Package is source controlled, with only one approved source – DRS Test and energy Management.

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

5. Fair and Reasonable Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. The appropriate forms of Cost and/or Price Analysis will be utilized to determine fair and reasonable pricing. As the estimated dollar amount is under $700,000.00 Certified Cost and Pricing Data in accordance with FAR 15.403 will not be required.

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

Name: Marlene J. Scheele Title: Contracting Officer Signature: /s/ Date: 8 Jul 15

PART V - Legal Concurrence

Concur:

Date: 07/08/2015

PART VI - Approval Authority for Acquisitions Equal to or Greater Than $650,000.

APPROVAL OF JUSTIFICATION

FOR OTHER THAN FULL AND OPEN COMPETITION

Based on the foregoing Justification, I hereby approve the procurement of the following:

a. Noun:

b. NSN:

c. Basic Quantity:

d. Basic Estimated Value: $

e. Option Percent:

f. Quantity with Option:

g. Estimated Value with Option: $

This action will be awarded under other than full and open competition pursuant to the authority of 10 USC 2304(c)(1) and subject to the availability of funds. This approval is subject to the proviso that the property herein described has otherwise been authorized for acquisition.

Signature:

Date: