N00244-18-D-0003-000.docx

Control Number TAC-19-52717 Verizon Wireless Bridge Control Number TAC-19-52713

FedBizOpps Award Notice

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* = Required Field FedBizOpps Award Notice Rev. March 2010 D Verizon Bridge 07724 36C10B18R2951 N 517312 Department of Veterans Affairs Technology Acquisition Center 23 Christopher Way Eatontown NJ 07724 George Govich, george.govich@va.gov N00244-18-D-0003 36C10B19F2964 $4,668,821.39 10-01-2018

CELLCO PARTNERSHIP

968904698

ONE VERIZON WY

BASKING RIDGE

NJ

07920 On October 1, 2018, task order 36C10B192964 was issued under the Department of the Navy (DON), Department of Defense (DOD) and Government-Wide Agencies Wireless Services Program, Spiral 3 (DON Spiral 3) contract number N00244-18-D-0003 to Verizon Wireless, Basking Ridge, NJ in the amount of $4,668,821.39. This announcement is to provide award notification and post the Justification for an Exception to Fair Opportunity.

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

2. Description of Action: The proposed action is for a sole source, firm-fixed-price (FFP) bridge task order (TO) to be issued under the Department of the Navy (DON), Department of Defense (DOD) and Government-Wide Agencies Wireless Services Program, Spiral 3 (DON Spiral 3) contract number N00244-18-D-0003; an indefinite-delivery, indefinite-quantity (IDIQ) contract for the procurement of Verizon wireless voice and data plans for VA employees.

3. Description of the Supplies or Services: The proposed action is for the acquisition of wireless Verizon voice and data plans for currently deployed mobile devices for approximately 68,000 VA employees located in over 1,000 sites across 48 states. The Period of Performance will be October 1, 2018 to November 30, 2018 with two 2-month option periods. The total estimated price of the proposed action, inclusive of options, is REDACTED.

4. Statutory Authority: The statutory authority permitting an exception to fair opportunity is Section 41 U.S.C. 4106(c)(2) as implemented by the Federal Acquisition Regulation (FAR) Subpart 16.505(b)(2)(i)(B), entitled “Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.”

5. Rationale Supporting Use of Authority Cited Above: The proposed source for this action is Verizon Wireless (Verizon), One Verizon Way, Basking Ridge, NJ 07920. Verizon is the only source that can provide the voice and data plans on the existing Verizon phones due to the proprietary Verizon chip installed on each device. Access to Verizon’s proprietary data is required to provide the coverage on these devices. Also, Verizon is the only source that can provide the voice and data plans with the required -100 decibel-milliwatts (dBm) minimum signal strength for interior locations as many of these sites have Verizon signal enhancers, such as antennas and repeaters currently installed, which allow an adequate signal to penetrate the buildings. Only Verizon devices can detect this signal due to the Verizon chip installed inside the device.

Verizon was one of three contract holders on VA’s National Mobile Devices and Service (NMDS) contract, a multiple award IDIQ ordering vehicle. Over the course of the five-year ordering period under NMDS, TO level competitions were held and Verizon was awarded several TOs for VA regional level voice and data plan requirements. The NMDS basic contracts have since expired and VA competitively awarded two TOs to T-Mobile USA (T-Mobile) and AT&T Mobility (AT&T) on August 20, 2018 for Enterprise Mobile Devices and Services (EMDS) utilizing the DON Spiral 3 IDIQ contract. As a result, the approximately 68,000 VA users currently receiving Verizon voice and data plan service will need to be transitioned to either T-Mobile or AT&T. Consequently, significant transition time is required to meet VA’s needs. Specifically, VA functional requirements for voice and data coverage include providing a reliable service coverage, defined as signal strength, reported in dBm, of not less than -100 dBm in interior locations for over 1,000 sites, which include VA medical centers (VAMC), hospitals, and community based outpatient clinics (CBOC). The -100 dBm minimum requirement ensures mobile device user’s uninterrupted recurring air-time services. Without achieving signal strength of -100 dBm inside the VAMCs, hospitals, and CBOCs, the devices will not meet VA’s functional requirements. The voice and data features to be included in the proposed TO are relied upon by physicians, therapists, nurses, and campus policing units throughout these sites to coordinate, respond to, treat, and interact with patients and colleagues while delivering benefits and care to Veterans. Failure to provide the -100 dBm minimum requirement for interior locations will result in these health care professionals not having the capabilities of assured communications and data/information sharing to provide uninterrupted and timely care to Veterans.

VA will require significant time to fully transition from Verizon to T-Mobile and AT&T because the internal signal strength must be tested for over 1,000 sites. Testing prior to task order awards was precluded because it was not feasible to coordinate contractor testing at the over 2,500 sites (in the overall VA requirement), most of which are dynamic medical environments with limited information technology personnel. Additionally, the number of sites that required transition was not known until the task orders were awarded. The testing of the signal strength for over 1,000 sites is still underway and will take additional time. To date, VA has completed testing at 13 sites. VA could not have anticipated how long it would take to complete the testing due to the complexity of scheduling and receiving the test devices, which requires immense coordination with T-Mobile and AT&T to execute the logistics. In addition, as previously mentioned VA could not have anticipated the number of facilities that will require enhancements from a new Contractor (either T-Mobile or AT&T) to get the coverage to meet our interior location requirements. Moreover, VA could not have commenced assessing a contractor’s ability to meet our interior location needs until the contractors were selected for award. Accordingly, once the competitive TO awards were made, the VA immediately commenced its assessment of the awardees’ interior dBm needs. However, in light of the significant undertaking of testing the interior signal strength for 1,000 sites, the VA will require additional time. Nine of the 13 tested sites do not have an adequate signal to penetrate the buildings. Where neither T-Mobile nor AT&T have an adequate signal to penetrate the buildings, they are required to take measures and implement changes to enhance the signal within 120 business days.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. In accordance with FAR 5.301 and 16.505(b)(2)(ii)(D), the award notice for this action will be synopsized on the Federal Business Opportunities Page (FBO) and the justification will be made publicly available within 14 days of award.

7. Actions to Increase Competition: VA competitively awarded two TOs to T-Mobile and AT&T on August 20, 2018 in support of EMDS utilizing the DON Spiral 3 IDIQ contract. These TOs will provide cellular and wireless services and devices for VA throughout the 50 United States, District of Columbia, Puerto Rico, and US Virgin Islands. However, based on the rationale in Section 5 of this Justification, VA will need additional time to transition from Verizon to T-Mobile and AT&T. The Government has identified five locations that have host neutral systems installed and once T-Mobile or AT&T install their equipment then those five locations will begin their transition. At this time, there are four locations that are scheduled to begin transitioning. Testing is anticipated to be completed by December 2018 and VA anticipates significant decreases in the amount of lines that need continued service prior to exercising an option period as some sites are already starting to transition to T-Mobile or AT&T.

8. Market Research: Market research was conducted in September 2018 to ascertain if any other sources could meet VA’s needs. Specifically, internet search and product descriptions of similar items and services were reviewed. While sources like T-Mobile and AT&T provide similar services, they could not meet VA’s needs as outlined in Section 5 of this Justification.

In addition, the Government’s technical experts are currently conducting market research by performing onsite testing of devices provided by T-Mobile and AT&T. As there are over 1,000 sites to test, the complexity of scheduling and receiving the test devices require immense coordination with T-Mobile and AT&T to execute the logistics. The complete results of testing all the sites will take at least two months so the results are still to be determined. If the results show that T-Mobile and AT&T cannot meet VA’s functional signal strength requirement, they would have 120 business days to enhance their signal dependent on the complexity of the required coverage resolution. Therefore, Verizon is the only carrier that can meet VA’s functional requirements at this time.

9. Other Facts: None.

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