JA_SPRDL1-18-C-0162_Redacted.pdf

No prior J&A

SPRDL1-17-R-0103

DEFENSE LOGISTICS AGENCY

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

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)(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: CARRIER DRIVE ASSEMBLY

b. QUANTITY: 30 Ea OPTION QUANTITY: 30 Ea TOTAL QUANTITY: 60 Ea

c. NSN: 1005-01-221-7602

d. MPN: 7-317236502-5

e. VEHICLE SYSTEM: AH-64D/E APACHE ATTACK HELICOPTER

f. ESTIMATED UNIT PRICE: $33,224.21

g. ESTIMATED VALUE: $996,726.30

ESTIMATED OPTION VALUE: $996,726.30

ESTIMATED TOTAL VALUE: $1,993,452.60

h. PRON NUMBER: EH710085EH

i. TYPE OF FUNDS: AWCF

j. TYPE OF CONTRACT: Firm-Fixed Price

PART II - Technical Information and Certification

1. The US Army Tank-automotive and Armaments Command requires the acquisition of the above item. The approved source(s) for the above item are:

a. Contractor(s) Name: THE BOEING COMPANY Cage: 48T42

Part Number: 7-317236502-5

b. Meggitt Defense Systems Cage: 62228

Part Number: 014499-505

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. Boeing generated source control drawing 7-317236502 that defines the item and through which Boeing documents qualified item producers. Meggitt Defense Systems (Meggitt) is the only qualified producer of this item. The item’s detailed design information is considered proprietary to Meggitt.

Since Meggitt owns all of the proprietary data rights, the competitive data is not available for a competitive procurement process. 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 sources.

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 and acceptance testing would exceed three 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 $1,831,000 This overall cost will not be recovered through subsequent competition.

c. Demonstration of Approved Contractor's Unique Qualifications:

Boeing Company is the AH-64D/E original equipment manufacturer and is the world's leading aerospace company and the largest manufacturer of commercial jetliners and military aircraft combined.

Meggitt Defense Systems is the acknowledged world leader in design and manufacture of ammunition handling systems, and was a member of the government/industry team awarded the Collier Trophy for Aeronautical Excellence in the development of the Apache attack helicopter.

These two corporate entities developed the item identified without Government assistance. They have the qualities and capabilities to produce this item, and have 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 will not be recovered through subsequent competition. Equivalent products would have to be developed at significant cost and time. Product R&D would cost about $559,000 and take 3 years to develop. Materials are estimated at $284,000, but this could escalate. Product would have to be flight test qualified, and complete reliability testing to prove effectiveness at a cost of approximately $910,000. Drawing and TDP work is estimated at $78,000. Total Cost $1,831,000.

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:

A Sources Sought Notice was posted to FebBizOps for this requirement on 6 January, 2017. The Government did not receive any additional interested sources besides the two possible sources mentioned above.

Also, 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 7 November 2016 for this item and no commercial or non-developmental items are available to meet the Government needs or could be modified to meet the Government needs.

The item does not appear on the “TACOM Advanced Planning Briefing for Industry, Summary of Estimated Future Buys for FY 2017 & 2018”.

3. Sources Sought Notice:

FED BIZ OPPS Posting: Sources Sought Notice 2017-111 Item Name: Carrier Drive Assembly

NSN: 1005-01-221-7602

Part Number: 7-317236502-5 End Item: AH-64D/E Apache Attack Helicopter Please Note:

-This notice is Not an open solicitation i.e., Invitation for Bid (IFB) or Request for Proposal (RFP).

-Technical data is Not available for this item.

-Qualification testing and evaluation Is required to become an approved source.

-Source approval does Not guarantee business.

-Qualifying as an approved source Only provides the opportunity to compete on future solicitations.

Additional Information:

Source Approval Program https://www.tacom.army.mil/cmo/sap.html Source Approval Program – What is it?

https://www.tacom.army.mil/cmo/sap_what.html Source Approval Request (SAR) Package Requirements https://www.tacom.army.mil/cmo/sap_sar.html Point of Contact:

Title: Source Approval Officer Email: usarmy.detroit.tacom.mbx.lcmc-market-surveys@mail.mil

4. The POC for this action is Todd Brusven, General Engineer, DSN 793-2764, office symbol: RDAR-EIS-CM, e-mail address: todd.j.brusven.civ@mail.mil.

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

Name: Loren Morse Title: Chief, Medium Caliber Branch Signature: _/S/ Aaron M. Stetson______________ Date: __12-Jan-2017_____________________

PART III - Requirements Certification

1. Per FAR 6.303-2(b), I certify that data provided on PRON EH710085H as to required quantities and delivery schedules are accurate and complete.

Item Manager: Jonathan Kenyon Date: 13 January 2017

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

Name: //s// Jonathan Kenyon Title: Item Manager Date: 17 January 2017

Name: Kevin Collins Title: AA&C Team Leader Signature: //s// Kevin Collins Date: 7 February 2017

PART IV - Contracting Information

1. Description of Action: The required item will be solicited on Request for Proposal SPRDL1-17-R-0103. It is proposed to negotiate a Firm-Fixed-Price contract with The Boeing Company or Meggitt Defense Systems for their part number 7-317236502-5.

Boeing owns the source control drawing that documents the item’s requirements and qualified producers; Meggitt Defense Systems is the sole source owner of the item’s drawing package and technical data rights; and the Government does not own proprietary rights to the TDP that would be required to produce a competitive TDP.

2. Acquisition Method Code (AMC): AMC 3 – The required item will be acquired, for the second or subsequent time, directly from the actual manufacturer.

3. Acquisition Method Suffix Code (AMSC): AMSC 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).

4. 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.

5. 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.

6. The POC for this action is Katie Topalian, Ext. 586-282-3168.

7. Fair and Reasonable Determination: I hereby determine that the anticipated cost 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.

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

Name: Jamal M. Brooks Title: Chief, Weapons / Soldier Branch Signature: //s// Date: 03/13/2017

PART V - Legal Concurrence

Concur: /signed/ Eric Selke/ Date: 3/15/2017

PART VI - Approval Authority for Acquisitions Equal to or Greater Than $700,000.

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: CARRIER DRIVE ASSEMBLY

b. NSN: 1005-01-221-7602

c. Basic Quantity: 30 Ea

d. Basic Estimated Value: $996,726.30

e. Option Percent: 100%

f. Quantity with Option: 60 Ea

g. Estimated Value with Option: $1,993,452.60

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: 3 Apr 2017