JA_6.302-2_SPRDL116R0096_Redacted.pdf

DEFENSE LOGISTICS AGENCY J&A: SPRDL1-16-R-0096

The item being procured is normally purchased competitively, therefore no previous J&A is available.

DEFENSE LOGISTICS AGENCY

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

The Defense Logistics Agency (DLA Land – 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)(2), as implemented by FAR 6.302-2, "Unusual and Compelling Urgency."

PART I - Description of Item Required:

a. NOUN: Armored Periscope Assembly

b. QUANTITY: 370 (see below for computation) OPTION QUANTITY: 0ea

c. NSN: 1240-01-319-5340

d. MPN: 12357841

e. VEHICLE SYSTEM: M1 FOV

f. ESTIMATED UNIT PRICE: $ 1,313.19

g. ESTIMATED VALUE: $ 485,880.30

ESTIMATED OPTION VALUE: $ 0.00

ESTIMATED TOTAL VALUE: $ 485,880.30

h. PRON NUMBER: EH6V0015EH

i. TYPE OF FUNDS: AWCF

j. TYPE OF CONTRACT: Firm Fixed-Price

k. ACQUISITION METHOD CODE: 1-- Suitable for competitive acquisition for the second or subsequent time.

l. ACQUISITION METHOD SUFFIX CODE: G--The Government has rights to the technical data, the data package is complete, and there are no technical data, engineering, tooling or manufacturing restrictions. (This is the only AMSC that implies that parts are candidates for full and open competition. Other AMSCs such as K, M, N, Q, and S may imply limited competition when two or more independent sources exist yet the technical data package is inadequate for full and open competition.)

PART II - Statement of Urgency

1. TACOM has an urgent need for the items described above. They must be procured by the quickest means possible since full and open competition will not achieve the required delivery date. The rationale for citing urgency follows:

a. Describe the Urgent Requirement:

This item has experienced several delays in awarding existing contract for 678ea. This is the result of issues with the technical data, that were addressed with engineering during the acquisition of this item by the Army Contracting Command. There are currently over 600 backorders, of which 201 are high priority which have built up while the issues with the technical data were being resolved. Lack of this item has caused production delays at Anniston, and further delays could result in a line stoppage.

b. Justify the proposed delivery schedule:

Urgent requirements are for the following Anniston production programs:

EH14MAC681EHH3: 22 vehicles EH15MFM083HH3: 31 vehicles EH14MCM449EHH3: 39 vehicles EH15MFM024EH3: 22 vehicles

This is the tall commander’s periscope, one per vehicle.

c. Describe the extent and nature of the harm to the Government if the proposed delivery date is not met:

1. What is the serious injury (financial, harm to soldier, etc.) to the Government if the required delivery dates are not met?

Lack of this item will result in depot line stoppage. This line stoppage will result in high financial cost to Department of the Army and the Department of Defense due employees at Anniston Army Depot not being able to work on planned program demands for its customers. Lack of this item may result in delay/hindering of the fielding of the Abrams FOV. This item is already in a critical stock position with multiple backorders awaiting fulfillment.

2. What impact would this have on the Army’s mission?

With ever increasing unrest in the world, it is ever more important that we have a tank fleet that would be able to protect American Interests around the world. Without serviceable tanks we would lose our Heavy Armor capability of our Armed and the units will not be able to complete the required tasks as part of their training cycle.

Delayed fielding of vehicles will reduce training capability and ulitmately reduced combat readiness/effectiveness. Unfilled requirements have a negative impact on FORSCOM mission as well. They are still required to complete their mission even if they are short on supply and/or weapon systems.

All Armored Brigade Combat Teams (ABCTs) in the Defense Department utilize the Abrams tank, and a lack of vehicles could have devastating results. Our main threats in the world today have Heavy Armor. The Abrams tank also functions as a deterrent, in addition to its offensive capabilities. Lack of this item will result in depot line stoppage and has already resulted in unmet production shedules. This line stoppage would result in delayed fieldings and additional costs when the line is re-activated.

3. What financial impact would this have on the Government and how was this dollar value assigned? Explain the basis for cost estimates.

Lack of this item will result in depot line stoppage. This line stoppage will result in high financial cost to Department of the Army and the Department of Defense due employees at Anniston Army Depot not being able to work on planned program demands for its customers. Lack of this item may result in delay/hindering of the fielding of the Abrams FOV. This item is already in a critical stock position with multiple backorders awaiting fulfillment.

4. Consider and address whether any other items that we currently have in stock could fill this requirement and alleviate the immediate need.

c. Urgent circumstances requiring the inclusion of an option: No option required.

d. Net Requirement:

1. Number of existing high priority (1-3) backorders: 201

2. Number of anticipated high priority (1-3) demands from the current date through the anticipated award date if normal acquisition methods are used: 26

3. Number of anticipated high priority (1-3) demands expected from the end of the ALT through production lead time if normal acquisition methods are used: 143

TOTAL REQUIREMENT (sum of 1-3): 370

4. Current serviceable stock on hand: 0

5. Expected receipts from procurement from current date through the end of PLT: 0

6. Expected receipts from repair from current date through the end of PLT: 0

TOTAL AVAILABLE ASSETS (sum of 4-6): 0

7. If high priority requirements are greater than assets this figure represents current and anticipated high priority backorders:

NET REQUIREMENT (Total Requirements -Total Assets): 370

2. The POC for this action is Shannon Fields, 282-4120

3. Requirements Certification - I certify that my supporting data included in this document are accurate and complete to the best of my knowledge and belief.

Signature: /s/Todd Hawotte, 586-282-2758

Name: Todd C Hawotte Title: Group Chief (Acting), Armored Maneuver Group Office: AMSTA-LCG-AA Date: 06 January, 2016

PART III - Contracting Information

1. Description of Action: Only one offer to provide the required item will be solicited under Request for Proposals SPRDL1-16-R-0096. DLA Land - Warren proposes to negotiate a firm fixed-price contract with the only successful supplier of record, Optex Systems, Inc. (CAGE 0BK64), for part number 12357841.

Per the Item Manager, ACC-Warren has run into significant delays handling a regular procurement of this item under PRON EH4V0007EH, issued 24 Oct 13 for 678 each.

Planning was initiated under W56HZV-14-R-0075 and later replaced by W56HZV-16-R-

0015. There were delays in obtaining a technical data package suitable for web publication (i.e., completion of STA255 security form and addition of distribution statements to drawings, to insure that the proper security methods are utilized for distribution of the technical data). The most recent solicitation was issued 5 Nov 15 and closed 7 Dec 15.

The current long term replenishment contract is being procured by the Army Contracting Command and is currently under evaluation. Award is expected to be made in March 2016, per the Army contract specialist. This procurement is competitive and will require a first article test involving an additional 210 days of production lead-time, which would push initial production delivery out to 420 days after contract award. Optex Systems Inc, would not be required to complete First Article Testing for the urgent procurement and would be capable of providing deliveries 180 days after award of the DLA Land Warren contract. The quantity represented in this urgent J&A represents the minimum requirement to meet backorders and expected requirements until delivery begins on the Army contract.

2. Extent of Competition: Due to the urgency of this requirement, no further action will be taken to increase competition on this buy. No market survey will be conducted.

Further, the procurement will not be synopsized due to the urgency of the requirement.

Optex Systems is the only successful supplier of record for this item, and thus the only source known to not require First Article Testing.

At the present time DLA Land – Warren is soliciting only the urgent requirement. The Integrated Logistics Support Center is closely monitoring the status of the normal replenishment buy being handled by ACC-Warren.

Future buys of this item will be competed, since the technical data package is fully competitive.

3. The POC for this action is Contract Specialist, Shirley Gharagozloo, Combat Branch

(ZGAA-A), (586) 282-3169.

4. Fair and Reasonable Determination: I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. Notwithstanding the urgent nature of this procurement, 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.

Certified cost and pricing data will not be obtained based on the estimated dollar value falling below the $700,000 certification threshold.

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

Signature: Morris A. Belleville /S/

Name: Morris Belleville Title: Contracting Officer Office: ZGAAA Date: 01/26/2016

Concur: Darin R. Morency Date: January 26, 2016