Redacted JA SPRDL1-19-R-0318.pdf

DEFENSE LOGISTICS AGENCY J&A: SPRDL1-19-R-0318

First time procurement – No previous J&A is available.

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

SPRDL1-19-R-0318

1. Contracting Activity: The Contracting Activity for this action is the Defense Logistics Agency-Warren (DLA Land -WRN).

2. Description of Action: The proposed action is to award a new five-year, long-term contract for Backplane Assemblies. Competition will be limited to Borisch Manufacturing. (CAGE 01BB2). This action will be funded with Army Working Capital Funds (AWCF) and will be firm fixed price.

3. Description of Supplies/Services: The contract will provide the Backplane Assembly per part number listed in Table 1. Estimated unit value is and minimum five-year quantity of this contract is 104 EA with maximum quantity five-year multiplier 490 EA. Minimum estimated value of the contract is with maximum estimated value

PRON: EH9L0532EH

The Support Plate Assembly is used in the Improved Fire Control Electronic Unit (IFCEU), which is for the M1A2 ABRAMS FOV.

Table 1 – part number

NSN NOMENCLATURE Mfg. Part Number

5998-01-680-3839 Backplane Assembly BMC12388582-2

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

Acquisition Method Suffix Code: (AMSC): D - The data needed to acquire this part competitively is not physically available, it cannot be obtained economically, nor is it possible to draft adequate specifications or any other adequate, economical description of the material for a competitive solicitation.

4. Authority Cited: The statutory authority permitting this action is 10 U.S.C. 2304(c)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1, “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Reason for Authority Cited

This item, Backplane Assembly, is a critical component of the M1A2 Abrams Family of Vehicles. This item is a source controlled item (sole source) to Borisch Manufacturing (CAGE Code: O1BB2), who is the original equipment developer and manufacturer. The Government does not own proprietary rights to Borisch Manufacturing’s data that would be required to produce a competitive TDP. The current Backplane Assembly drawing/TDP, drawing No.

12388582-2, a source control drawing, does not contain adequate technical data and/or information necessary to support a full and open competition. Borisch Manufacturing is the original equipment manufacturer and the only known source that possesses the required technical knowledge and engineering expertise to successfully manufacture this item per the current TDP.

Borisch Manufacturing developed, tested and obtained the Government's approval of this item for the M1 Abrams’ Backplane Assembly at their own expense. The Government did not fund Borisch Manufacturing’s efforts in developing and testing this item. Additionally, the Government did not fund Borisch Manufacturing to prepare fully detailed TDPs. As such, Borisch Manufacturing is the sole owner of their drawings and technical data rights. The Government does not own proprietary rights to the Borisch Manufacturing data that would be required to produce a competitive TDP.

6. Efforts to Obtain Competition:

There are no current plans to acquire a competitive TDP because funds are not available to acquire the data necessary to support a competitive acquisition.

CCDC Armaments Center engineering estimates that the cost to develop a competitive technical data package (TDP) for this item through reverse engineering could run as high as $250,000 and require an estimated delay of at least 12 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 $100,000 and take about 6 months for the U.S. Army/CCDC Armaments Center engineers to develop government’s requirements for the prospective contractor to produce and qualify the items listed in section 3. Finally, it would cost $150,000 and take at least 6 months to conduct the actual Engineering analysis to determine if a 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 overall costs associated with developing a competitive TDP, to include reverse engineering, developing government’s requirements and engineering analysis would be at least $500,000.00 dollars, 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 24 months. A delay of this scale is not considered acceptable 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 availability and supportability of Abrams FOV.

Due to lack of funding and urgency of the item requirement, the Government would not be able to conduct reverse engineering effort at this time. These stated costs would be very difficult to be recouped through subsequent competition and the consequential time delay for this effort is unacceptable to meet the Government's requirements.

7. Actions to Increase Competition:

No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints. Currently, there has not been any expressed interest by any known vendor(s) to become qualified source(s) to produce this item.

Qualifying a new source would require a substantial expenditure of the limited funding that has been provided to support the Abrams Vehicles. New sources would require the development of extensive testing and processing procedures. The additional time required for these actions would prohibit delivery of this item in a time frame that would meet the Government’s requirements.

At this time, there are no current or planned efforts to qualify additional sources because there is no technical data available to produce a competitive TDP.

Any new vendor who decides to pursue the qualification process will be directed to the Competition Advocate’s Source Approval Program.

The Competition Management Office (CMO) will encourage interested parties to submit a Source Approval Request (SAR) for this time for future buys.

8. Market Research:

In July 2019, market research was performed by CCDC Armaments Center Engineering. An internet search was performed, similar weapon systems were examined, and equivalent parts were examined for potential compatibility. At that time, CCDC Armaments Center Engineering determined the Backplane Assembly, 12388582-2, is a unique military item. No commercial equivalent exists. Therefore, no commercial item will satisfy the Army's need for the Backplane Assembly. Interested contractors will be directed to the Competition Advocate Office’s Source Approval Program for information on becoming a qualified source of supply in the future.

A sources sought Synopsis was posted on Fed Biz Opps as Notice 2019-435 on June 2019.

Sources_Sought_N otice_2019-435.pdf

POC:

14. Contracting Officer Certification:

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Typed Name: _Cynthia M. Fellows_______ Date: _1 August 2019__________ Title: _Chief Acquisition Division A______ Signature: _Cynthia M. Fellows /s/_____

15. Legal Concurrence

Concur:

Date: 08/02/2019

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: Backplane Assembly

b. NSN: 5998-01-680-3839

c. MIN Quantity: 104 Max Quantity Multiplier Included: 490

d. MIN Estimated Value:

MAX Estimated Value:

e. Option Percent:

f. Quantity with Option: N/A

g. Estimated Value with Option: $ N/A

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 provision that the property herein described has otherwise been authorized for acquisition.

Signature:

Date:

SHEARER.MARY.E.125

0702449

Digitally signed by

SHEARER.MARY.E.1250702449

Date: 2019.08.05 11:43:06 -04'00'