1E. LSJ - ACT-I_FINAL SIGNED_Posted_RedactedVersion.pdf

OPOAM 3008.405-6(a)(2) Limited-Sources Justification (LSJ)

For orders or BPAs exceeding the Simplified Acquisition Threshold

LSJ No: FY21-020 - 1 -

LSJ No.: FY21-020

This acquisition is conducted under the authority of the Multiple-Award Schedule Program, 41 U.S.C. 152(3), Competitive Procedures, and 40 U.S.C. 501, Services for Executive Agencies.

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), Office of Procurement Operations (OPO), Cybersecurity and Infrastructure Security Agency Acquisitions Division (CISAAD), in conjunction with the Cyber Security and Infrastructure Security Agency (CISA), Cybersecurity Division (CSD) Office of Strategy, Performance, & Resources (SPR) proposes to award an order or BPA pursuant to FAR 8.405-6, Limiting Sources.

2. Nature and/or description of the action being approved.

DHS/OPO intends to award a sole source contract with Advanced Concepts and Technologies International (ACT I) to provide Budget, Acquisition, Procurement and Contract Management Support Services with a two-month base and two two-month options for a total of six (6) months February 1, 2021 through July 31, 2021 pursuant to

FAR 8.405-6.

3. Description of Supplies/Services.

CISA/CSD/SPR requires continued budget, acquisition, procurement, and contract management support services in order to support organizations within CISA/CSD as well as their senior leaders with their budget and acquisition requirements. Currently the work is being performed under Task Order No. HSHQDC-16-F-00092 with ACT I, which is set to expire on January 31, 2021. Due to a series of protests (pre-award, post award), the recompeted contract award date is being delayed and the only option for the program is to issue a sole source to the incumbent (ACT I) to prevent a gap for these critical services until a new award can be made. Total value is $3,713,629.83 as detailed below:

Period Unit Price Total 2 Month Base 2 Months (Optional) 2 Months (Optional) Total: $3,713,629.83

4. Authority and supporting rationale.

8.405-6(a)(1)(i)(A) An urgent and compelling need exists, and following the ordering procedures would result in unacceptable delays.

LSJ No: FY21-020 - 2 -

This acquisition is being conducted under the authority of the Multiple-Award Schedule Program, 41 U.S.C. 152(3), Competitive Procedures, and 40 U.S.C. 501, Services for Executive Agencies, in accordance with FAR 8.405-6, Limiting Sources.

The newly formed CISA/CSD organization is the nation’s risk advisor, working with partners to defend against today’s threats and collaborating to build a more secure and resilient cyber landscape. As the new CISA/CSD organization continues to be developed and built, reorganizations occur, priorities shift and new requirements emerge. It is more critical than ever to maintin a continuity of service in our procurement, acquisition and budget support. Due to the unforeseen protests, the recompeted award is being postponed, which will create a gap in current support. The Government requires subject matter experts and analysts that assist in sustaining the business support operations in the areas of project management, contract management and analysis, acquisition and procurement planning and execution, budget formulation, finance execution, strategic acquisition and contract management, and special financial project support. The primary activities of this current requirement include, but are not limited to, acquisition and program management support in accordance with DHS Management Directive (MD) 102-01, procurement planning, and budget formulation and execution of CISA/CSD requirements. Although much headway has been made on the re-competition of this follow-on requirement, including acquisition plan approval and solicitation development, an extension bridge on the current task order is still necessary to ensure continued operations for these critical budget and acquisition services supporting CISA/CSD. A lapse in service will jeopardize the execution of the entire CISA/CSD budget for FY21 as over a hundred of CSD procurements will be delayed in processing and will cause additional cascading contract support gaps in service, resulting in an impact to the CISA mission that would be difficult to recover. In addition, the processing of the budget would be delayed to the point that funding may be at risk. Overall, utilizing full and open competition for this requirement is not possible due to the urgent and compelling needs of the Government because it would cause a service disruption to budget and acquisition processes, which would be detrimental to CISA/CSD in fulfilling mission requirements.

The six-month sole source award (split into one 2-month base and two 2-month options) must be issued on a sole-source basis because it is an urgent and compelling follow-on to the current task order with ACT I. Market research was conducted for this sole source and found that no other vendor except the incumbent can continue to provide the services on a short-term basis considering the current status of the recompete and the required EOD process. The original task order was competitively awarded to ACT I from a fair opportunity using the General Services Administration’s (GSA) One Acquisition Solution for Integrated Services (OASIS) Small Business (SB) Indefinite Delivery / Indefinite Quantity (IDIQ) Government-wide Acquisition Contract (GWAC) vehicle.

The six-month sole source is urgent and must remain with ACT-I in order to continue providing these comprehensive budgeting, finance and acquisition support services until

LSJ No: FY21-020 - 3 -the new order is awarded and the new contractor is onboarded to provide these critical services. This extension bridge covers EOD and a transition-in period is currently planned.

5. Determination by the ordering activity contracting officer that the anticipated order represents the best value consistent with FAR 8.404(d).

The Contracting Officer determines that the total cost will be fair and reasonable based on analyzing ACT-I proposed labor rates against an average of three similar GSA schedule vendors’ rates, as well as examining the escalation of the rates compared to the current ACT-I contract’s period of performance. Furthermore, the Contracting Officer will analyze whether the total proposed cost, as a function of the labor rates as applied to the labor mix proposed (i.e., hours and labor categories), is fair and reasonable. The technical expert has also reviewed and determined that the proposed level of effort and labor mix are adequate to satisfy the requirement. This order will be placed in accordance with FAR 8.404, “Use of Federal Supply Schedules,” and the General Services Administration (GSA) has already negotiated fair and reasonable pricing rates.

6. A description of the market research conducted among schedule holders and the results, or a statement of the reason market research was not conducted.

Market research was conducted on the GSA Professional Services Schedule (PSS) and while several vendors were identified as being able to perform the services covered by this justification under normal circumstances, this requirement cannot be competed amongst all GSA PSS vendors due to the short timeframe for a new award. The incumbent vendor’s institutional knowledge and support of the program is key to ensuring there is no gap in service.

7. Any other facts supporting the limited-sources justification.

Two JEFOs were approved for the extension of HSHQDC-16-F-00092. The first JEFO that was approved (JEFO FY20-0079) was approved for six-months; this was split out into three-months funded (5/1/20 – 7/31/20) and three months of option periods (8/1/20 – 10/31/20). During that first three-month period, the new competition received a pre-award protest. At that point, due to the delays caused by the protest, it became evident that a further extension beyond 10/31 was needed. Due to that, it was decided to instead put in place a new longer-term justification via JEFO FY20-00234, which was for an additional three-month option and two one-month options for a total of five (5) months from September 1, 2020 through January 31, 2021. As mentioned, the recompete was awarded to allow transition, but due to another protest, the program requires continuation of these critical services as OPO takes corrective action and re-awards. The Program Office, along with OPO, is recommending three two month options to allow for the corrective action pursuant to the most recent protest to be completed.

LSJ No: FY21-020 - 4 -

The current requirement is in the process of being prepared for a full and open re-compete.The solicitation was released on May 6th and we received a pre-award protest on May 26th; GAO decided the protest in the Government’s favor on July 24th, 2020. The award occurred on October 31st but was protested on November 11th. The Government does not expect to be able to successfully complete its corrective action as of the date the current task order is set to expire. This sole source request covers the program’s requirement and transition period if another GAO protest occurs. This is necessary to ensure continued operations for these critical budget and acquisition services supporting CISA/CSD, along with time for the protest completion, evaluation and award, and transition to a new vendor.

8. A statement of actions, if any, the agency may take to remove or overcome any barriers that led to restricted consideration before any subsequent acquisition for the supplies or services is made.

The sole source request includes a two-month base with two two-month options for a total of six (6) months. It is expected that current requirements for this sole source will be part of the upcoming competitive award, which will remove barriers that lead to the current exception to fair opportunity. The anticipated award date for the competitive action is February 2021.

9. DHS intends to post this requirement on Fedbizopps pursuant to FAR 8.405-6(a)(2)(i) and FAR 8.405-6(a)(2)(ii).