W58RGZ23B0024 JA_Final Redacted.pdf

Justification Review Document for Other Than Full and Open Competition FAR Part 6

Program/Equipment: AMCOM Logistics Center (ALC), Spares buy for the Wheel, Landing Gear, for Apache, AH-64 Model D/E

Authority: Title 10 United States Code (U.S.C.) Section 3204(a)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1(a)(2)(iii), “Only one responsible source and no other supplies or services will satisfy agency requirements.”

Prepared by:

Contracting Officer:

Technical Representative:

Requirements Representative:

Reviews

I have reviewed this justification and find it adequate to support other than full and open competition.

Program Manager (1)

Date:

(1) Add Program Executive Officer signature block when item is Program Executive Officer managed.

Legal Counsel

Typed Name:

Justification and Approval for Other than Full and Open Competition – FAR Part 6

1. Contracting Activity: Army Contracting Command-Redstone Arsenal (ACC-RSA), CCAM- ALA, Redstone Arsenal, AL 35898-5000.

2. Description of Action: U.S. Army Aviation and Missile Command (AMCOM) Logistics Center (ALC) requests approval to award a new, limited competitive requirement for the procurement of the Wheel Landing Gear, for the Apache AH-64.

The result contract will be a single award, Firm-Fixed Price (FFP), spares buy contract for 740. The projected award date is September 2023. Army Working Capital Funds (AWCF) will be utilized.

3. Description of Supplies/Services: ALC has a requirement for contractor to provide the Wheel Landing Gear on the AH-64. The following information is provided for the Wheel Landing Gear:

Procurement Request Order Number (PRON): AX2F6104AX Noun: Wheel, Landing Gear

NSN: 1630012905740

Order Qty: 740 Total Estimated Dollars:

4. Authority Cited: Authority: Title 10 U.S.C. Section 3204(a)(1), the supplies needed by the Army are only available from a limited number of responsible sources and no other type of supplies will satisfy the needs of the Army.

5. Reason for Authority Cited: The proposed acquisition requires the use of the cited statutory authority because this spare part is procured to an approved part number and is a military unique requirement. The data needed to produce the Wheel Landing Gear is proprietary and the Government does not have unrestricted rights to this data sufficient to compete this requirement.

The Government can neither obtain this proprietary technical data, nor can it reverse engineer the part without causing unacceptable delays.

The following contractors have access to this necessary proprietary data to produce the spares buy:

6. Efforts to Obtain Competition:

a. A Sources Sought announcement was publicized on sam.gov on 22 November 2022, additional details can be found below in paragraph nine.

b. Subcontracting Competition: In accordance with FAR 19.702 and FAR 19.704, a

Subcontracting Plan is required for large businesses on acquisitions that exceed $750K.

According to FAR 19.704, the contractor must include FAR 52.219-8, entitled “Utilization of Small Business Concerns,” in all subcontracts that offer further subcontracting opportunities and shall require all subcontractors, except small businesses, that receive subcontracts in excess of to adopt a plan that complies with the requirements of the clause at FAR 52.219-9, “Small Business Subcontracting Plan”. In accordance with DFARS 219.708(b)(1)(A), the solicitation and resulting contract will include DFARS clause 252.219-7003, entitled “Small Business Subcontracting Plan (DoD Contracts)” to ensure that all subcontracts are awarded on a competitive basis to the maximum extent possible. The following approved sources for this requirement are large businesses and will be required to comply with these requirements if awarded this proposed contract:

7. Actions to Increase Competition:

As previously stated, Technical data is currently not available to the Government to support full and open competition. Only the sources as indicated in paragraph five above, are authorized to compete for this requirement. There is a reasonable basis to conclude that the Government’s minimum needs can only be satisfied by these four vendors. As a result, there are currently no actions that the Government can take to increase competition, and the Government does not anticipate being able to compete this action on a full and open basis in the future.

8. Market Research: In accordance with FAR 10.002(b), meaningful market research for the Gearbox Assembly, AI was conducted by the Logistics Management Specialist, in February 2023. Research methods included the following:

(a) Discussion of the Lead Inventory Management Specialist’s knowledge of the wheel landing gear. This is a one-time buy for 740 of the Wheel, Landing Gear, National Item Identification Number (NIIN) 01-290-5740, in support of the Apache (AH-64) Helicopter. This is a consumable item, and this buy is to provide pipeline support in order to transfer management of this item to Defense Logistics Agency

(DLA);

(b) Discussion with following knowledgeable Government employees regarding the commercial nature of this procurement: Supply Planning Team Lead , Supply Planner , and Demand Planning Branch Chief

. The personnel listed above confirmed that this requirement cannot be met with commercial items. They also discussed the Inventory Management Processing Code 5A/1A relationship between the 5A Prime NIIN 01-290-5740 and the 1A related NIINs 01-164-3801 and 01-250-9860. The Prime NIIN 01-290-5740 is a 5A prime shell NIIN only, and the two related 1A NIINs. When we start a new contract, the buy must be dropped under the prime NIIN. The two 1A NIINs have different manufacturers, so whoever bids and wins the contract, that is the NIIN that we will use.

Currently, our spares due ins are against NIIN 01-164-3801. These are also casting and forging items, so the Production Lead Time is long;

(c) The review of Government and commercial databases for relevant information

(Logistics Modernization Program (LMP), Internet Parts Locator (IPL), Electronic

Document Access (EDA), and Army Aviation Sustainment Gateway (ARISE) and the Small Business Administration (SBA) and found sources that are capable of providing information for the Wheel, Landing Gear. Research from these databases revealed this item as Non-Critical Safety Item. Also, this requirement cannot be met with commercial items;

(d) The review of source lists for identical or similar items obtained from

Government, professional, and industry sources In Feb 2023, the Government reviewed the Logistics Modernization Program (LMP) and the Electronic Data Access (EDA) module within the Procurement Integrated Enterprise Environment (PIEE). The vendor CAGE codes that were listed in the Material Master data in LMP were reviewed for all three NIINs in this family. In EDA, the most recent Indefinite Delivery Indefinite Quantity contract (SPRRA1-17-D-0250) and delivery orders (0001 and SPRRA119F0182) for NIIN 01-164-3801 were reviewed, these contracts were awarded to

(e) Discussion of interchange meetings and conferences with potential offerors. This market research review included attendance by Government Technical personnel at Technical Conferences including Annual AAAA, AMCOM Industry Days, Advanced Planned Briefings for Industry (APBI) Oct 2022. Leaders from Apache Project Management Office attend these conferences annually. These conferences allow companies in the Aviation enterprise the opportunity to showcase the products with the technical capability, resources for knowledge needed to support the Apache Weapon System;

(f) Publication of a formal request for information in the form of a sources sought notice was issued on 20 Nov 2022 as detailed below in paragraph nine.

The results of the research confirmed that there are only four source capable of providing the Wheel, Landing Gear as previously detailed in paragraph five. As previously noted, the Sources Sought announcements were published on 20 November 2022 , and produced no new sources. Based upon this market research, it has been determined that the Government’s needs cannot be satisfied with commercial items, commercial items with customary or reasonable modifications, or non-developmental items.

a. 9. Interested Sources: Effective competition. In accordance with DFARS 205.205- 71, DFARS 206.302-1(d), and DFARS Procedures, Guidance and Information (PGI) 206.302-1(d), a Sources Sought announcement was publicized on sam.gov on 22 November 2022. No additional sources expressed interest in competing for this requirement.

10 Other Facts: This procurement represents the fourth time that the AMCOM ALC has procured the Wheel Landing Gear; it has also been previously procured through a delivery orders from DLA. The following table has the details of the previous procurements:

Contract Qty Unit Price

W58RGZ14D0032 900

W58RGZ10D0234 1200

W58RGZ07D0017 850

11. 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.

Signature: Date:

12. Requirements 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.

Typed Name: Title:

13. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. It is anticipated that there will be competition among the four eligible contractors, therefore price reasonableness will be based on competition in accordance with FAR 15.305(a)(1). It is not anticipated that cost or pricing data will be required IAW the exception at FAR 15.403-1(b)(1).

Signature: Date:

Typed Name: Title:

14. Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Approval

Based on the foregoing justification, I hereby approve a competition limited to for the Spares procurement of the Wheel, Landing Gear with an estimated total dollar value of on an other than full and open competition basis pursuant to the statutory authority permitting other than full and open competition authorized by Title 10 United States Code (U.S.C.) Section 3204(a)(1) as implemented by Federal Acquisition Regulation (FAR) 6.302-1(a)(2)(iii), “Only one responsible source and no other supplies or services will satisfy agency requirements,” subject to availability of funds, and provided that the services and property herein described have otherwise been authorized for acquisition.