SSJ_Chicago_Soft_-_signed_Redacted.pdf

Contemplated Contract Type:

X Firm fixed-price ____ Time and materials/labor hour ____ Combination

We seek approval of a SSJ to obtain the following:

Expansion of mainframe software licensing required for compliance with our license agreement, due to agency mainframe hardware capacity increases.

Since commercial mainframe software companies commonly license software based on the capacity of the mainframe hardware on which we install software, we are responsible for expanding our mainframe software licenses commensurate to the hardware capacity each time we upgrade mainframe hardware.

X Maintenance of MVS QuickRef software manufactured by Chicago Soft.

We will solicit a quote and award a single firm-fixed-price award to the manufacturer or any authorized reseller, if available, of Chicago Soft’s MVS/Quick Ref software maintenance for a one-year base period and nine one-year option periods.

3. DESCRIPTION OF SUPPLIES/SERVICES AND ESTIMATED VALUE

Estimated Value:

Chicago Soft’s MVS/Quick Ref is an on-line facility that provides a concise summary of MVS operating system messages, vendor messages, codes, and other reference information to the Software Engineering Facility (SEF) Help Desk personnel and SEF technicians and programmers.

Technicians use a myriad of diagnostic tools that include QuickRef across all mainframes.

Most technicians use a combination of QuickRef and internet resources. Technicians have determined QuickRef is a valuable and reliable resource, which provides a level of diagnostic detail unavailable via the internet.

The maintenance for Chicago Soft software includes updates, fixes and patches, as well as online and telephone technical support, allowing the software to remain operational in a changing environment.

4. IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING OTHER

THAN FULL AND OPEN COMPETITION

41 U.S.C. § 1901, as implemented by the Federal Acquisition Regulation (FAR) 13.5— “Simplified Procedures for Certain Commercial Items”.

The acquisition is “commercial” in nature, as defined at FAR Section 2.101, and will be solicited using FAR Part 12, as well as the procedures outlined at FAR 13.106-1(b)(1)(i) (i). COs may solicit from one source if the CO determines that the circumstances of the contract action deem only one source reasonably available (e.g., urgency, exclusive licensing agreements, brand name or industrial mobilization).

The basis for restricting competition is that a reasonable basis exists for concluding that the agency’s minimum needs can only be satisfied by:

____ (1) Unique supplies or services available from only one source or only one supplier with unique capabilities X (2) The existence of limited rights in data, patent rights, copyrights, or secret processes; the control of basic raw material; or similar circumstances, make the supplies and services available from only one source

Please note:

_X_ Chicago Soft is the only Open Market authorized provider of Software Company

Inc. licenses and maintenance subscription.

____ There are several authorized Open Market resellers of Software Company Inc.

licenses and maintenance subscriptions.

5. DEMONSTRATION OF CONTRACTOR'S UNIQUE QUALIFICATIONS

Chicago Soft is the copyright holder for MVS QuickRef software. Only Chicago Soft has the right to issue an enterprise license and lease agreement for this software. Software maintenance includes a subscription to version upgrades, updates, fixes and patches, as well as telephone support for resolving issues.

Continued maintenance of these products is essential. Access to upgrades, updates, and fixes and patches ensures software continues to be compatible with the operating system and is in good working order. Without maintenance, there is potential for a major workload disruption. Chicago Soft provides unique patches and technical assistance necessary to support MVS QuickRef. Any interruption to maintenance can severely affect our service to the public.

6. EFFORTS MADE TO SOLICIT FROM AS MANY POTENTIAL SOURCES AS IS

PRACTICABLE

____ FedBizOpps Sources Sought posted from XX/XX/XXXX to YY/YY/YYYY, and a copy is included in the contract file.

_X_ FedBizOpps Synopsis of Proposed Contract Action posted from 01/15/2019 to 01/25/2019, and a copy is included in the contract file.

____ Responses received listed under item 10 below.

_X_ No responses received.

Based on the results of the posting, as well as market research described in item 8 below, we do not believe there are any entities other than authorized resellers with similar capabilities at this time.

7. DETERMINATION BY THE CO THAT THE ANTICIPATED COST TO THE

GOVERNMENT WILL BE FAIR AND REASONABLE PRICE

In accordance with FAR Part 15.404, the CO will perform a final price analysis in order to determine the eventual awardee’s proposed price is fair and reasonable.

8. DESCRIPTION OF MARKET RESEARCH

See Section 6 above.

These software products are proprietary products licensed to the agency. Market research has confirmed that Chicago Soft is the copyright holder of this software; therefore, the only known source capable of providing the required software and maintenance is Chicago Soft.

Additionally, _x__ We used market research conducted within 18 months of the anticipated award date. Therefore, we consider the information still current, accurate, and relevant.

_x__ When examining whether this is a requirement for Commercial vs Non-

Commercial items, market research helped determined that this requirement involves _x__ A) Items of a type customarily available in the commercial marketplace;

____ B) Items of a type customarily available in the commercial marketplace with modifications; or ____ C) Items used exclusively for governmental purposes (i.e. not commercially available).

_x___ Market research helped determine ____ Customary practices regarding customizing, modifying, or tailoring of items to meet customer needs and associated costs;

__x_ Customary practices, including warranty, buyer financing, discounts, contract type considering the nature and risk associated with the requirement, etc., under which commercial sales of the products or services are made;

____ Requirements of any laws and regulations unique to the item needed;

____ Availability of items that contain recovered materials and items that are energy efficient;

____ Distribution and support capabilities of potential suppliers, including alternative arrangements and cost estimates; and ____ Size and status of potential sources (see FAR Part 19).

_x__ Techniques for conducting market research include any or all of the following:

_x__ (i) Contacting knowledgeable individuals in government and industry regarding market capabilities to meet requirements.

____ (ii) Reviewing the results of recent market research undertaken to meet similar or identical requirements.

____ (iii) Publishing formal requests for information in appropriate technical or scientific journals or business publications.

____ (iv) Querying the government-wide database of contracts and other procurement instruments intended for use by multiple agencies available at https://www.contractdirectory.gov/contractdirectory/ and other government and commercial databases that provide information relevant to agency acquisitions.

____ (v) Participating in interactive, on-line communication among industry, acquisition personnel, and customers.

____ (vi) Obtaining source lists of similar items from other contracting activities or agencies, trade associations or other sources.

__x_ (vii) Reviewing catalogs and other generally available product literature published by manufacturers, distributors, and dealers or available on-line.

____ (viii) Conducting interchange meetings or holding pre-solicitation conferences to involve potential offerors early in the acquisition process.

____ Additional information, sources, comments

9. ANY OTHER SUPPORTING FACTS

In accordance with FAR 4.1102, 4.1201, and 9.401, upon selection of an awardee, the CO will examine the System for Award Management in order to make an affirmative determination of the contractor’s responsibility.

Presently the most efficient and effective approach known to the government is to continue to use Chicago Soft’s MVS QuickRef as a software solution and renew maintenance, as replacing our current Chicago Soft’s suite of software products with other software products

• May be technically impossible in some instances;

• Will require running dual programs and applications that may interfere with integrated network management and data exchange;

• Will take time, we estimate up to several years, to replace currently installed software effectively, which will of necessity require not just installation of the software, but also extensive re-training of staff

While the agency has not ruled out replacing the software at some point in the future, the time, expense, and performance risk to the agency of implementing a replacement must be factored into our long term IT modernization plans. Therefore, it is determined to be in the best interest of the government not to pursue such a replacement undertaking at this time.

In accordance with FAR 4.1102, 4.1201, and 9.401, upon selection of an awardee, the CO will examine the System for Award Management in order to make an affirmative determination of the contractor’s responsibility.

10. LIST OF SOURCES EXPRESSING INTEREST IN THE ACQUISITION IN

WRITING

No other sources have expressed an interest in this acquisition.

11. ACTIONS AGENCY MAY TAKE TO REMOVE OR OVERCOME BARRIERS TO

COMPETITION BEFORE ANY SUBSEQUENT ACQUISITION IS REQUIRED

We will continue to survey the market place by synopsizing our requirement and reviewing product literature and capability statements submitted by the vendor community.

CERTIFICATION BY THE CO AND OTHER CONTRACTING OFFICIALS

The CO and other contracting officials hereby certify that the information provided in support of this justification for an exception to fair opportunity is accurate and complete to the best of their knowledge and belief.

RECOMMEND:

CONCUR:

APPROVE: