JA_SPRDL118-R-0558.pdf

SPRDL1-18-R-0558

DEFENSE LOGISTICS AGENCY LAND WARREN

JUSTIFICATION FOR OTHER THAN

FULL AND OPEN COMPETITION

5153.9005 -- Format for a Justification and Approval for Other Than Full and Open Competition for contract actions greater than $250,000

• Contracting Activity: DLA Land, Warren, is the responsible contracting activity for this action.

• Description of Action: The proposed action is to award a contract on a sole source basis to Donaldson Company, CAGE CODE 18265, for their part number SFD18022, the manufacturing of new "AIR CLEANER, INTAKE", NSN 2940-01-649-3319, per TACOM source control drawing 12580254. The type of funds to be used are Army Working Capital Fund (AWCF). The type of contract is Firm Fixed Price.

Description of Supplies/Services: The item to be acquired under the proposed contract is a new Intake Air Cleaner, NSN 2940-01-649-3319, for the M109A7 Self-Propelled Howitzer (SPH) and the M992A3 Carrier Ammunition Tracked (CAT).

The total estimated contract value is $ for up to 72 Intake Air Cleaners. For this contract, the deliverables are as follows:

a. NOUN: AIR CLEANER, INTAKE

b. NSN: 2940-01-649-3319

c. TACOM PIN: 19207-12580254

d. MANUFACTURER: Donaldson Company, Inc (CAGE CODE 18265)

e. MFR PIN: SFD180022

f. QUANTITY: 36 ea.

g. OPTION QUANTITY: 36 ea.

h. ESTIMATED UNIT PRICE:

i. ESTIMATED VALUE:

j. ESTIMATED OPTION VALUE:

k. ESTIMATED TOTAL VALUE:

l. PRON NUMBER: EH66E640EH

• Acquisition Method Code (AMC): 3. Acquire, for the second or subsequent time, directly from the actual manufacturer.

• Acquisition Method Suffix Code (AMSC): B. This part must be acquired from a manufacturing source(s) specified on a source control or selected item drawing as defined by the current version of DoD-STD-100. Suitable technical data, Government data rights, or manufacturing knowledge are not available to permit acquisition from other sources, nor qualification testing of another part, nor use of a second source part in the intended application.

Although, by DoD-STD-100 definition, altered and selected items shall have an adequate technical data package, data review discloses that required data or data rights are not in

Government possession and cannot be economically obtained. If one source is available, AMCs 3, 4, or 5 are valid. If at least two sources exist, AMCs 1 or 2 are valid.

• Authority Cited: The statutory authority permitting other than full and open competition is Title 10 United States Code (U.S.C.) Section 2304(c)(l ), as implemented by FAR 6.302-l (a)(2)(ii)(A), "Only one responsible source and no other supplies or services will satisfy agency requirements."

Reason for Authority Cited: This item is depicted on a source control drawing. The Government does not have drawings that are suitable for competitive procurement. The drawings were not defined for the following reason. Donaldson developed, tested, and obtained the Government's approval of this air cleaner assembly, a key component of the M109A7 and M992A3 Cummins VTA-903T 600 hp diesel engine at their own costs.

Donaldson obtained the Government's approval prior to the sole source drawing release of this air cleaner assembly. The Government did not fund their efforts in development and qualification testing of this item. Additionally, the Government did not fund them to prepare fully detailed Technical Data Package (TDP) after approval. As such, Donaldson is the sole owner of their drawings and technical data rights. The Government does not own the proprietary rights or patent rights to their data which would be required to produce a competitive TDP.

Reverse Engineering Activity Delay Costs

Obtain existing part samples 4 months

Hardware design, integration and fabrication/install 20 month

Component and vehicle system testing 20 months

Documentation (drawings/ECP/Tech Manuals) 9 months

Total Estimated Time to Reverse Engineer 53 months

The Government would not be able to recover, through subsequent competition, the additional costs involved in either procuring the proprietary data or reverse engineering the item to create a competitive package.

• Efforts to Obtain Competition:

• Effective Competition: Potential vendors can submit requests to become a source through the Source of Approval Process at any time. A Sources Sought Notice was posted. Based on the detailed rational provided the Government has no plans to obtain additional competition for this proposed contractual action.

• Subcontracting Competition: FAR clause 52.244-5, Competition in Subcontracting, will be included in the contract to assure that the prime contractor obtains as much competition as possible in its subcontracting.

Actions to Increase Competition: There is no complete TDP available to support a competitive procurement. The Government does not own the TDP necessary to procure this item as full and open competition. This item is source controlled to Donaldson Company. This vendor alone is the owner of the respective technical data and is the only approved source of supply for this item. Due to the costs associated with developing a competitive TDP that cannot be recovered, the Government is not actively pursuing the development of a competitive TDP for future procurements. The Government will not be able to recover the cost expanded to reverse engineer this Intake Air Cleaner Assembly within a justifiable time frame. At this time, this procurement cannot be placed on hold until an additional source is qualified. If this procurement is delayed until another source is qualified, it may affect the M109A7- PIM and/or M992A3-CAT soldier support in the field. Any interested vendor can request qualification testing of this item and will be considered as a source of supply for future procurement(s). However, interested vendors must successfully complete qualification testing prior to consideration of future procurement(s) of this item. To date, no other sources have approached this office with questions or comments on how to become a qualified source to produce this item.

Market Research: In April 2018 an internet market survey was conducted. This market research was conducted to determine if commercial items or non-developmental items were available to meet Government needs or could be modified to meet Government needs. This air cleaner is unique to the M109A7 and M992A3 and was specially designed for it.

• Interested Sources: No other sources have written to express an interest in qualifying as a source of supply as of today. Any responses received will be evaluated by the appropriate office.

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

The POC for this action is Name:

Title: Engineer, Light Combat Sustainment Engineering

Signature:

Date: 8/9/18

PART III - Requirements Certification

• Per FAR 6.303-2(b), I certify that data provided on PRON EH66E640EH as to required quantities and delivery schedules are accurate and complete.

Item Manager:

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

Name:

Title: Item Manager Signature: //s//

Date: 8/9/18

PART IV - Contracting Information

• Description of Action: The required item will be solicited on Request for Proposals SPRDL1- 18-Q-0558. It is proposed to negotiate a Firm-Fixed-Price contract with Donaldson Company, Cage Code 18265 for their part number SFD18022. The Donaldson Company is the sole owner of their drawings and technical data rights. The Government does not own proprietary rights to the TDP that would be required to produce a competitive TDP.

• 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.

• 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 ng office as an alternate source.

The POC for this action is

• 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. Due to the estimated dollar value, certified cost and pricing data will be required IAW FAR 15.403

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

Name:

Title: Contracting Officer Signature:

Date: 9 August 2018

PART V - Legal Concurrence

Concur/n Date:

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

APPROVALOF JUSTIFICATION

FOR OTHER THAN FULL AND OPEN COMPETITION

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

• Noun: Air Cleaner, Intake

• NSN: 2940-01-649-3319

• Quantity: Basic: 36; Option: 36

• Estimated Value:

• Estimated Total Quantity: 72

• Estimated Total Value :

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.