250 - FY26 IBM Consolidated EFO - fully signed.pdf

IN REPLY REFER TO:

CUI

Controlled by: NAVFAC EXWC CUI Category: PROCURE Limited Dissemination Control: FED ONLY POC: Lorraine Aguon, 805-396-9133

CON73

8 May 26

CUI

DEPARTMENT OF THE NAVY

NAVAL FACILITIES ENGINEERING AND EXPEDITIONARY WARFARE CENTER

1000 23RD AVENUE

PORT HUENEME CA 93043-4301

Justification for an Exception to Fair Opportunity

1. AGENCY AND CONTRACTING ACTIVITY:

This is a Justification for an Exception to Fair Opportunity. The requiring activity is the Naval Facilities Engineering Systems Command (NAVFAC) Information Technology Center (NITC). The contracting activity is the Naval Facilities Engineering and Expeditionary Warfare Center (NAVFAC EXWC).

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED:

This is a limited source action to be awarded as a new task order issued under the National Aeronautics and Space Administration (NASA), Solutions for Enterprise-Wide Procurement (SEWP) Enterprise Software Initiative (ESI) Government-Wide Acquisition Contract (GWAC) to an authorized reseller of IBM commercial products and services for IBM Consolidated Products license and maintenance renewal. The task order will be issued as firm fixed price.

3. DESCRIPTION OF REQUIRED SUPPLIES/SERVICES:

The proposed acquisition is for IBM MAXIMO, IBM Accelerated Value Program (AVP), and Cognos Analytics (CA) software subscription renewal licenses and maintenance. NAVFAC has established the commercial-off-the-shelf (COTS) Maximo software by IBM, Inc. as its enterprise asset management, transportation management, and utilities management system and has tailored the COTS Maximo to incorporate Navy business processes.

The resulting system is referred to as Maximo Enterprise/Navy Enterprise Transportation that is currently in active sustainment phase and utilized by all nine (9) Facilities Engineering Commands (FECs) world-wide. It is a high-visibility, high-availability system.

The IBM MAXIMO software comprises the enterprise asset management, transportation management, and utilities management systems with the flexibility to use mobile phones in the field without internet access.

The IBM AVP, in support of MAXIMO, is the premium suite of offerings that allow customization of the support services for continued success. The program pairs each department or organization with a dedicated human expert with understanding of the overall environment and its evolution. The AVP bypasses traditional support tiers to provide immediate developer-support assistance for critical system issues.

The IBM CA software is a high-powered Business Intelligence (BI) and data visualization engine that integrates with Maximo and is designed to enable customers without technical knowledge to extract corporate data, analyze that data and produce ad hoc query reports. This is an AI-driven business intelligence platform that integrates with Maximo to transform raw maintenance and asset data into interactive dashboards, predictive insights, and automated reports for informed decision-making.

The total estimated value is $29,891,400 and funding type is OM&N.

CUI

4. IDENTIFICATION OF THE EXCEPTION TO FAIR OPPORTUNITY:

The statutory authority which permits exception to fair opportunity to be considered for each order over the micro-purchase threshold issued under a multiple award contract is 10 U.S.C.§3406(c), as implemented by FAR 16.507-6(b)(2): Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized.

5. RATIONALE/EXPLANATION TO SUPPORT CITED AUTHORITY:

NAVFAC requires a system capable of performing all the functionality of existing IBM software. The solution must be implemented with no disruption to essential mission operations. NITC is responsible for delivering the information systems necessary to support naval facilities worldwide and is required to provide operational support 24x7 to this worldwide customer base. The renewal of the IBM Consolidated Products maintenance contract is mission-essential to ensure the continuous operation of the NAVFAC Maximo enterprise, the global system of record for naval facility management.

As the primary platform for NITC, Maximo provides 24x7 operational support for worldwide facilities, including critical work order management, asset tracking, and transportation logistics.

A lapse in maintenance would result in the immediate forfeiture of the Authority to Operate (ATO), creating an unacceptable cybersecurity posture and rendering the command unable to process over $1 billion in utilities annually—a failure that would incur millions in Prompt Payment Act interest penalties and late fees. Operationally, NAVFAC relies on real-time data integrity; specifically, NAVFAC Southeast (SE) and Far East (FE) utilize hourly automated reporting cycles to manage emergency call center response and labor allocation.

Replacing this integrated ecosystem is technically infeasible without massive mission degradation and a total work stoppage across Facilities Engineering Commands (FECs) and Navy Public Works. Maintaining the IBM software suite is the only solution that guarantees zero disruption to essential mission operations while maximizing government cost and time efficiencies.

6. FAIR AND REASONABLE COST DETERMINATION:

The Government anticipates adequate competition under the NASA SEWP ESI GWAC, which is expected to result in fair and reasonable pricing. The Contracting Officer will conduct a price analysis prior to award to confirm this determination.

7. ANY OTHER FACT SUPPORTING THE JUSTIFICATION:

In accordance with FAR 16.507-6(f), this justification will be posted with the solicitation on

NASA SEWP.

8. ACTIONS TO INCREASE COMPETITION:

The Government continues to prioritize a competitive environment for this requirement. The existing NASA SEWP contract was originally awarded following a full and open competition.

While this specific action requires an Exception to Fair Opportunity due to technical necessity, the Government maintains a competitive strategy for the program. All otherwise applicable requirements under this vehicle are competed among the contract holders. The Government will continue to conduct market research and technical reviews for future task orders to ensure that every opportunity for competition is maximized.

January 2025

9. TECHNICAL/REQUIREMENTS/FUNCTIONAL LEAD CERTIFICATION

I declare that the facts and representations under my cognizance which are included in this justification is complete and accurate to the best of my knowledge and belief.

Alexis Miles, IT Specialist, NAVFAC NITC

10. LEGAL SUFFICIENCY REVIEW

I have reviewed and determined this Justification is legally sufficient.

Koley Borchard, Associate Counsel, NAVFAC EXWC

11. CERTIFICATION AND APPROVAL

Upon the basis of the above justification, I certify that this justification is accurate and complete to best of my knowledge and belief and hereby approve the Exception to Fair Opportunity for the proposed procurement(s) described herein using pursuant to the 10 U.S.C.

3406c, as implemented by FAR 16.507-6(b).

ACTIVITY CONTRACTING OFFICER

Lorraine Aguon, Contracting Officer, NAVFAC EXWC

ECHELON III COMMANDER/COMMANDING OFFICER (For proposed actions valued over $10M and not exceeding $100M.

Constance L. Solina Captain, Civil Engineering Corps, US Navy Commanding Officer, NAVFAC EXWC

MILES.ALEXIS.S.1410611526

Digitally signed by

MILES.ALEXIS.S.1410611526

Date: 2026.05.05 09:38:16 -07'00'

Digitally signed by BORCHARD.KOLEY.ALAN.1503608835 Date: 2026.05.05 09:54:02 -07'00'

AGUON.LORRAINE.M.1298137

Digitally signed by

AGUON.LORRAINE.M.1298137336

Date: 2026.05.05 09:59:03 -07'00'