SSJ Phoenix EJES Falcon Lifework.docx

SOLE SOURCE JUSTIFICATION (SSJ)

UNDER THE SIMPLIFIED PROCEDURES FOR

CERTAIN COMMERCIAL ITEMS

1. IDENTIFICATION OF AGENCY AND CONTRACTING ACTIVITY

Agency: Social Security Administration

Project Title: Maintenance for Phoenix (E)JES, Falcon, Lifeworks Software

Proposed Contractor: Phoenix Software International, Inc.

Tracking Information: Advanced Procurement Plan (APP) #: DCS-20-313F0__ Relevant current/previous order #: SS00-15-60023____ Purchase Request # 3303-20-1043_________________

Period of Performance: 3/29/2020 – 3/28/2025 (if all options are exercised)

2. NATURE OF ACTION BEING APPROVED

Type of Action:

_X_ New award ____ Modification of existing award, number ______________________

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

Phoenix (E)JES, Falcon, and Lifeworks software is published by Phoenix Software International, Inc. We will solicit a proposal and award a single firm-fixed-priced award to Phoenix Software International, Inc., for the base year and four one-year option year periods.

3. DESCRIPTION OF SUPPLIES/SERVICES AND ESTIMATED VALUE

Phoenix (E)JES software is installed on all mainframe systems at the National Support Center (NSC) and the Second Support Center (SSC). (E)JES is a tool that provides information to monitor, manage, and control the Social Security Administration’s (SSA) operating environment. (E)JES supports various SSA projects such as the Medicare Prescription Drug Benefits program and the Mainframe Capacity Infrastructure. Licensing is based on the aggregate MSU processing capacity. This eliminates the need for any software keys when a hardware upgrade occurs.

Phoenix Falcon software is a mainframe software product that is installed on system 81 at the NSC. Falcon is a programming tool for designing and implementing panels, menus and data tables and for coding applications. SSA uses this software to implement the Audit Trail System (ATS). The ATS collects data from SSA applications to monitor and evaluate certain data entry activities made by SSA employees. It provides data used for internal audits and investigations of possible fraudulent use of the agency’s online programmatic systems.

Phoenix LifeWorks software is an application software product. The LifeWorks software is licensed for 2 servers and 190 users, running on a Solaris operating system. It is used for many non-wage annual wage reporting jobs at the Wilke-Barre Data Operations Center office, which enables SSA personnel to key and process over 20 different workloads simultaneously.

The maintenance subscription for Phoenix Software International, Inc. software includes updates, fixes and patches, as well as online and telephone technical support, allowing the software to remain operational in a changing environment.

Phoenix Software International, Inc. does not have any authorized re-sellers for their software or maintenance.

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) Contracting officers may solicit from one source if the contracting officer 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_ Phoenix Software International, Inc. is the only authorized provider of Phoenix Software International, 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

Phoenix Software Inc. is the copyright holder for (E)JES, Falcon and LifeWorks software. Only Phoenix Software Inc. has the right to issue an enterprise license and have legal access to the proprietary source code necessary to provide software maintenance. 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.

6. 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.

7. DESCRIPTION OF MARKET RESEARCH

These software products are proprietary products licensed to the agency. Market research has confirmed that Phoenix Software Inc. is the copyright holder of this software and Phoenix Software Inc. does not have authorized resellers; therefore, the only known source capable of providing the required software and maintenance is Phoenix Software Inc.

Additionally, _X_ We used market research conducted within 12 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;

_X_ 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.

_X_ (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 presolicitation conferences to involve potential offerors early in the acquisition process.

__ Additional information, sources, comments

8. ANY OTHER SUPPORTING FACTS

Presently, the most efficient and effective approach known to the government is to continue to use Phoenix (E)JES and Falco as a software solution and renew maintenance, as replacing our (E)JES and Falcon 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 (E)JES and Falcon software at this time, 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 for the (E)JES and Falcon software at this time.

The agency has plans to replace Lifeworks with a custom written app by WBDOC called Image Based Data Capture System (IIBDCS). The transition date for LifeWorks to IIBDCS will likely take place in a little over one year. SSA will require LifeWorks for the base year and optional years in case the IIBDCS is not complete.

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.

9. LIST OF SOURCES EXPRESSING INTEREST IN THE ACQUISITION IN WRITING

No other sources have expressed an interest in this acquisition.

10. 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.

CONTRACTING OFFICER’S TECHNICAL REPRESENTATIVE (COTR) AND PROGRAM OFFICIALS’ RECOMMENDATION

AND CERTIFICATION

The COTR and other program officials hereby certify that the information provided in support of the justification for an exception to fair opportunity, and which forms the basis for this justification, is accurate and complete.

June 13, 2019

CERTIFICATION BY THE CONTRACTING OFFICER AND

OTHER CONTRACTING OFFICIALS

The contracting officer 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.

Contract Specialist

/s/ John A. Carlo January 22, 2020

CONCUR:

APPROVE: /s/ 02/03/2020

Competition Advocate Review Board (CARB)

Project Title: Maintenance for Phoenix (E)JES, Falcon, Lifeworks Software

Review and discussion occurred: Electronically

For a

__ Limited Source Justification (LSJ)

_X_ Sole Source Justification (SSJ)

__ __Justification for an Exception to Fair Opportunity (JEFO)

CARB Panel Members

General Counsel (or designee)

/s/ Date: _January 30, 2020 Lucinda Davis _X__ I concur that the justification is legally sufficient

_____I do not concur that the justification is legally sufficient image1.emf