JA_SPRDL123R0070_Redacted.pdf

SPRDL1-23-R-0070 (JA-00643)

Previous J&A: SPRDL1-19-R-0243

The Mechanical Transmission part number EP-0001543, NSN 2520-01-514-0890 is a component of the RTCH powertrain. It takes the engine output and transfers it to the axles to propel the machine in either forward or reverse motions.

The Hydraulic Motor part number MP-0000201G, NSN 2540-01-520-7864 is the top handler slewing motor. Hydraulic Motor part number EP-0023636, NSN 2540-01-520- 7862 is the top handler spreader motor. These components provide precise control for the top handler for extension, retraction, and movement. The top handler is the main attachment for the RTCH, enabling the engagement of International Standards Organization (ISO) containers.

The Parts Kit, Forklift part number EP-0020139, NSN 3930-01-550-5631 is the forklift attachment for the RTCH. This attachment has a hydraulically actuated fork and a supporting structure, allowing the RTCH to engage loads such as pallets and flat racks.

The Material Hoisting Unit part number EP-0008993, NSN 3950-01-542-2909 is the lifting and elevating structure of the RTCH. It is a hydraulically extendable, multi-section boom that connects the RTCH to the top handler.

The Hydraulic Pump part number EP-0011189, NSN 4320-01-480-4880 is a pump that directs hydraulic flow for the steering and top handler functions of the RTCH. The Hydraulic Pump part number EP-0003049, NSN 4320-01-480-4889 serves the radiator fan and front axle cooling. The Hydraulic Pump part number EP-0003050, NSN 4320- 01-480-4877 serves the boom and brake system.

The seven Flow Control Valves (see below chart) include a variety of control valves that direct hydraulic flow to actuate several different functions in the RTCH.

Component Part Number National Stock

Number Application in the end item

Flow Control Valve EP-0002496 4820-01-480-4846 Radiator Fan Control Flow Control Valve EP-0002254 4820-01-480-4860 Boom Servo Flow Control Valve EP-0002521 4820-01-480-4892 Steering Control Flow Control Valve EP-0003162 4820-01-546-0523 Blocking Valve Flow Control Valve EP-0003155 4820-01-480-5342 Bogie Wheel Flow Control Valve EP-0002494 4820-01-480-5338 Cab Movement Flow Control Valve EP-0002224 4820-01-550-5635 Boom Folding

The Distribution Box part number EP-0008641, NSN 6110-01-550-5639, part number EP-0008498, NSN 6110-01-550-8342, and part number MP-0003217, NSN 6110-01- 550-5629 are weather resistant enclosures that house electronic components that control different functions of the RTCH. The enclosures house components such as switches, circuit breakers, connectors, and cables.

The Boom Section, Outer part number MP-0001950G, NSN 3830-01-480-2863, Boom Section, Inner part number MP-0002302G, NSN 3830-01-480-3144, and Boom Section

Inner part number MP-0002302G, NSN 3830-01-546-0710 are the individual components of the RTCH lifting and elevating boom. These components are made of structural steel and have precise tolerances that allow the telescoping action of the boom.

The Turret Ring Assembly part number MP-0001603G, NSN 3830-01-558-5074 is a structural component that connects the RTCH boom to the top handler, enabling rotation of the top handler through its prescribed range of movement. This component is made of structural steel and has precise tolerances that allow connection of these components.

The twelve Cylinder Assemblies (see below chart) are actuated by hydraulic pressure and assist in performing a variety of machine functions. In general, the parts of a hydraulic cylinder include the cylinder barrel, the base or cap, the cylinder head, the piston, the piston rod, the seal gland, and the seal gland.

Component Part Number National Stock Number

Application in the end item

Cylinder Assembly EP-0002125 3040-01-659-9993 Bogie Wheel Deployment Cylinder Assembly MP-0002713G 3040-01-657-2938 Boom Support Folding Cylinder Assembly MP-0002717G 3040-01-658-4960 Top Handler Leveling Cylinder Assembly MP-0002714G 3040-01-659-9847 Cab Lowering Cylinder Assembly MP-0002716G 3040-01-659-9987 Boom Extension Cylinder Assembly MP-0001570G 3040-01-660-0326 Side Shift Cylinder Assembly MP-0002718G 3040-01-660-0327 Lift Cylinder Assembly MP-0002715G 3040-01-660-0328 Cab Side Shift Cylinder Assembly MP-0002721G 3040-01-665-7501 Rear Steering Cylinder Assembly MP-0002719G 3040-01-659-9988 Folding Boom Locking Cylinder Assembly MP-0002722G 3040-01-659-9996 Tilt Cylinder Assembly MP-0002720G 3040-01-665-5578 Front Steering

The Cab Assembly part number MP-0029790, NSN 2510-01-685-0698 is a replacement steel cab for the RTCH. It serves as a weather resistant operator enclosure with glass windows on four sides and the roof.

The Electronic Component part number 12J1171, NSN 5998-01-487-1975 is the electronic module assisting for engine control.

Acquisition Method Code (AMC): 3 - Acquire, for the second or subsequent time, directly from the actual manufacturer. This AMC applies to all 38 NSNs on this procurement.

Acquisition Method Suffix Code (AMSC): R - The Government does not own the data or the rights to the data needed to purchase this part from additional sources. It has been determined to be uneconomical to buy the data or rights to the data. It is uneconomical to reverse engineer the part. This code is used when the Government did not initially purchase the data and/or rights. If only one source has the rights or data to manufacture this item, AMCs 3, 4, or 5 are valid. If two or more sources have the rights or data to manufacture this item, AMCs 1 or 2 are valid. This AMSC applies to all 38 NSNs on this procurement.

4. Authority Cited: The statutory authority permitting other than full and open competition for this effort is 10 United States Code (U.S.C.) 3204(a)(1) as implemented by the Federal Acquisition Regulation (FAR) 6.302-1, only one responsible source and no other supplies or services can satisfy agency requirements.

5. Reason for Authority Cited: The replacement spare parts required for this procurement are not suitable for full and open competition because the Government does not own any technical data on these components. Ownership and control of the Technical Data Package (TDP) remains with original equipment manufacturer (OEM).

The Government’s identification data for these components is limited to the national stock number (NSN), part number, and supplier (CAGE) code. The technical data for these components is not fully defined.

The Government procured the RTCH through a performance specification. Items procured through a non-developmental approach, which maximize the use of off-the-shelf technologies, rely on commercial sources for spare parts. The selection of the subcomponents that make up the end item is left to the end item manufacturer as part of their internal design effort. For example, the Inner and Outer Boom Sections are integral structural parts of the RTCH Boom. The various Flow Control Vales in the list have the required fluid flow characteristics needed for the diverse applications they have within the RTCH. This is the main reason TDPs are rarely procured for material handling equipment and why there is no TDP for the end item or its subcomponents.

IRTC, the approved contractor source of supply, is the OEM of the RTCH. The contractor passed the unique testing of the Production Qualification and Verification tests for the RTCH, including the demonstration of supplying components that fully met the RTCH performance requirements. The tests included reliability demonstrations, operating in cold and other environmental conditions, and performance suitability in an operational scenario. These tests were important and critical in that they demonstrated to the Army that the RTCH components were ready for fielding and incorporation into the Army’s supply distribution mission.

The contractor has other capabilities in that they have full knowledge and understanding of the critical relationships between the components and the end item. The RTCH components have interfaces with the machine structure, providing the needed safety factors that ensure mission effectiveness and protect the safety of the Soldier. This knowledge assures the Government that replacement components will be easily incorporated into the machine, reducing time for other adjustments and troubleshooting.

Using a contractor without the unique qualification listed here introduces risk to the Government. A component not ready to perform would prevent the end item from returning to full mission capable status. This would seriously impact the Army’s capability to move shipping containers as part of its supply distribution mission.

Associated with this lack of capability would be a shortage of supplies like food, water, and spare parts that are to be delivered to Soldiers deployed in the field.

The components covered by this procurement are designed and developed by the component manufacturer. Procuring proprietary data is estimated to be in the many millions of dollars as the typical business case for a product like this includes the expectation of a revenue stream for the manufacturer that includes worldwide sales of complete components and spare parts for many years. Qualifying additional sources is viewed as more of a schedule delay issue for this type of product and will be addressed below. The cost of procuring proprietary information is not expected to be recovered through subsequent competition because the TACOM LCMC demands for these components are in small quantities and are driven by field demands. This estimate is based on a general knowledge of the materials handling industry. There are funding constraints in that scarce resources are better directed towards hardware procurement rather than procuring technical data for commercial products. GVSC engineering estimates 18 to 24 months would be associated with attempting to procure the required proprietary data or to qualify additional sources. This delay is unacceptable to meet the Government’s needs as it would prevent needed replacement components to be delivered to field users and would impact the mission as machines would be non-mission capable. The end item is a vital part of the Army’s supply distribution mission.

Currently, these components are not good candidates for reverse engineering. They are assemblies designed by an established commercial vendor. It is estimated as a high-risk proposition since the components are already in the market and the reverse engineering process would be replicating the effort associated with the original design of the components. The reverse engineering effort would take approximately 12 months or more at a cost of $1M dollars per component. In addition, the reverse engineered component would have to establish reliability comparable to the already existing design.

This evaluation process would need another 12 months and an estimated additional $500K dollars per component. The following chart shows a typical breakdown of reverse engineering activities.

Reverse Engineering Activity Cost Design and Build $450K Form, Fit, Function, Installation Analysis $350K Component Qualification Testing $500K Documentation $200K Total $1.5M

As an example, GVSC engineering recently undertook a project to reverse engineer three electronic components for the same end item. The engineering cost to reverse engineer those components was $1.2M dollars, with an additional $300K dollars needed for component verification at Aberdeen Test Center. These costs would not be recovered by subsequent competition within a reasonable time as the Army’s demand for these components are small and variable. The risk for the Government is high as there are limited resources to commit to this type of effort. For a contractor, there is high risk in that a long-detailed effort is required without the assurance that there would be enough demand for the final product.

For example, for the Forklift Parts Kit, at the current average usage rate of 1 unit each year (per Demand Planner), a current unit cost of and assuming a 25% savings achieved through competition, the in annual savings would take over to offset the estimated $1.5M dollar cost of reverse engineering the item and qualifying another source.

6. Efforts to Obtain Competition:

a. Effective competition: Due to the reasons cited in section 5 above, the Government is not pursuing competition for this item.

b. Subcontracting competition: Unless the contract is awarded to a small business, the solicitation and resulting contract will include FAR clauses 52.219-8, "Utilization of Small Business Concerns"; 52.244-5, "Competition in Subcontracting"; 52.219-16, "Liquidated Damages--Subcontracting Plan";" and Defense Federal Acquisition Regulation Supplement (DFARS) 252.219-7003, "Small Business Subcontracting Plan (DoD Contracts)," to maximize small business opportunities and utilization.

SOLE SOURCE: Notices required by FAR 5.201 will be posted.

7. Actions to Increase Competition: There are no known funding efforts in progress at this time to develop the competitive technical data required to make any of the RTCH spare parts fully competitive. No contractors are in the process of being qualified at this time, nor will be prior to the contract award due to funding constraints and low demands for many of the items.

8. Market Research: A Sources Sought Notice was posted to SAM.gov on 28 March 2023 and was open for 15 days. No responses were received from any potential vendors.

On 01 March 2023 market research was conducted by the lead GVSC project engineer, for publicly available sources of axle assemblies. This research included searching for published material of newly built replacement units and other product information. The websites consulted were in Parts Target, ISO Group, and Aero Base Group (https://www.parttarget.com/2530-01-654-0360_2530016540360_EP-0000103.html, https://www.iso-group.com/NSN/2530-01-654-0360, https://aerobasegroup.com/part-number/ep-0000266_01-656-8150, and https://www.iso-group.com/NSN/2530-01-656- 8150). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Axle Assembly Vehicular, part number MP-0029790, with NSN 2520-01-654-0360, and Axle Assembly Non-Driving, part number EP-0000266, with NSN 2520-01-656-8150. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023 market research was conducted by the lead GVSC project engineer, for publicly available sources of boom sections. This research included searching for published material of newly built replacement units and other product information. The websites consulted were in WB Parts, Parts Target, and ISO Group (https://www.wbparts.com/rfq/3830-01-480-2863.html, https://www.parttarget.com/3830- 01-480-2863_3830014802863_A35001-0100.html, https://www.wbparts.com/rfq/3830- 01-546-0710.html, https://www.iso-group.com/NSN/3830-01-480-3144). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Boom Section, Outer part number MP-0001950G, with NSN 3830-01-480-2863, Boom Section, Inner part number MP-0002302G, with NSN 3830-01-480-3144, and Boom Section Inner part number MP-0002302G with NSN 3830-01-546-0710. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023, market research was conducted by the lead GVSC project engineer, for publicly available sources of mechanical transmissions. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts (https://www.wbparts.com/rfq/2520-01-514-0890.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Mechanical Transmission part number EP-0001543 with NSN 2520-01-514-0890. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023 market research was conducted by the lead GVSC project engineer, for publicly available sources of distribution boxes. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts and Aero Base Group (https://www.wbparts.com/rfq/6110-01-550-5629.html, https://aerobasegroup.com/nsn/6110-01-550-8342). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Distribution Box part numbers EP-0008641 with NSN 6110-01- 550-5639, and EP-0008498 with NSN 6110-01-550-8342, and part number MP- 0003217 with NSN 6110-01-550-5629. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023 market research was conducted by the lead GVSC project engineer for publicly available sources of Forklift Parts Kits. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts (https://www.wbparts.com/rfq/3930-01-550-5631.html).

The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Parts Kit Forklift part number EP-

0020139 with NSN 3930-01-550-5631. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023 market research was conducted by the lead GVSC project engineer for publicly available sources of Material Hoisting Units. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts (https://www.wbparts.com/rfq/3950- 01-542-2909.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Hoisting Unit, Material part number EP-0008993 with NSN 3950-01-542-2909. Therefore, there are no other commercial or non-developmental item available to meet Government needs or that could be economically modified to provide the parts required.

On 01 March 2023 market research was conducted by the lead GVSC project engineer, for publicly available sources of hydraulic pumps. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts and ISO Group (https://www.wbparts.com/rfq/4320-01- 480-4880.html, https://www.iso-group.com/NSN/4320-01-480-4889). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Hydraulic Pump part number EP-0011189 with NSN 4320-01-480-4880, and part number EP-0003049 and NSN 4320-01-480-4889.

Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 02 March 2023, market research was conducted by the lead GVSC project engineer, for publicly available sources of flow control valves. This research included searching for published material of newly built replacement units and other product information. The websites consulted was WB Parts (https://www.wbparts.com/rfq/4820- 01-480-4846.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Flow Control Valves part numbers EP-0003155, EP-0002496, EP-0002254, EP-0002521, EP- 0002494, EP-0003162, and EP-0002224, with NSNs 4810-01-480-5342, 4820-01-480- 4846, 4820-01-480-4860, 4820-01-480-4892, 4820-01-480-5338, 4820-01-546-0523, and 4820-01-550-5635. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 02 March 2023, market research was conducted by the lead GVSC project engineer, for publicly available sources of hydraulic motors. This research included searching for published material of newly built replacement units and other product information. The website consulted was Parts Target and WB Parts (https://www.parttarget.com/2540-01-520-7862_2540015207862_9238990687.html, https://www.wbparts.com/rfq/2540-01-520-7864.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Hydraulic Motor part number EP-0023636 with NSN 2540-01- 520-7862, and part number MP-0000201G with NSN 2540-01-520-7864. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 02 March 2023 market research was conducted by the lead GVSC project engineer for publicly available sources of Turret Ring Assemblies. This research included searching for published material of newly built replacement units and other product information. The website consulted was ISO Group https://www.iso-group.com/NSN/3830-01-558-5074). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Turret Ring Assembly part number MP-0001603G and NSN 3830- 01-558-5074.

Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 02 March 2023 market research was conducted by the lead GVSC project engineer for publicly available sources of Cylinder Assemblies. This research included searching for published material of newly built replacement units and other product information.

The website consulted was WB Parts (https://www.wbparts.com/rfq/3040-01-298- 2938.html, https://www.wbparts.com/rfq/3040-01-257-9988.html, https://www.wbparts.com/rfq/3040-01-306-0326.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Cylinder Assembly part number MP-0002713G and NSN 3040- 01-657-2938, part number MP-0002717G, NSN 3040-01-658-4960, part number MP- 0002714G, NSN 3040-01-659-9847, part number MP-0002716G, NSN 3040-01-659- 9987, part number MP-0002719G, NSN 3040-01-659-9988, part number MP- 0002125G, NSN 3040-01-659-9993, part number MP-0002722G, NSN 3040-01-659- 9996, part number MP-0001570G, NSN 3040-01-660-0326, part number MP- 0002718G, NSN 3040-01-660-0327, part number MP-0002715G, NSN 3040-01-660- 0328, part number MP-0002720G, NSN 3040-01-665-5578, and part number MP- 0002721G, NSN 3040-01-665-7501. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

On 02 March 2023 market research was conducted by the lead GVSC project engineer for publicly available sources of Electronic Components. This research included searching for published material of newly built replacement units and other product information. The website consulted was WB Parts (https://www.wbparts.com/rfq/5998- 01-487-1975.html). The results of this search did not produce any new information or product catalogs from any company that provides a direct replacement for Electronic Component part number 12J1171 and NSN 5998-01-487-1975. Therefore, there are no other commercial or non-developmental items available to meet Government needs or that could be economically modified to provide the parts required.

9. Interested Sources: To date no additional sources have expressed interest in this item.

10. Other Facts:

(1) Procurement History

Contract Number: SPRDL1-20-D-0048, and the follow-on modification P00003 Award Date: 22 January 2020 and 12 November 2020 (respectively) Contractor: Independent Rough Terrain Center (CAGE 1NWY2) Contract Value: $7,491,749.93 (Three-Year Ordering Period) Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-17-D-0126 Award Date: 01 September 2017 Contractor: Kalmar RT Center, (now doing business as (NDBA) Independent Rough Terrain Center (CAGE 1NWY2) Contract Value: $4,136,186.11 (Three-Year Ordering Period) Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-14-D-0011 Award Date: 28 January 2014 Contractor: Kalmar RT Center, (NDBA Independent Rough Terrain Center (CAGE

1NWY2)

Contract Value: $8,211,055.45 (Three-Year Ordering Period) Competitive Status: FAR 6.302-1, Only One Responsible Source

Contract Number: SPRDL1-11-D-0003 Award Date: 14 June 2011 Contractor: Kalmar RT Center, (NDBA Independent Rough Terrain Center (CAGE

1NWY2)

Contract Value: $14,133,093.05 (Two-Year Ordering Period) Competitive Status: FAR 6.302-1, Only One Responsible Source

(2) The above buys were solicited and awarded under Other Than Full and Open Competition.

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

Name:

Title: Division Chief Email:

Signature: