36C77620Q0089-008.docx

36C77620Q0089 Contract Opportunity Combined Synopsis/Solicitation Notice

CLASSIFICATION CODE

SUBJECT

CONTRACTING OFFICE'S

ZIP-CODE

SOLICITATION NUMBER

RESPONSE DATE (MM-DD-YYYY)

ARCHIVE

DAYS AFTER THE RESPONSE DATE

RECOVERY ACT FUNDS

SET-ASIDE

NAICS CODE

CONTRACTING OFFICE

ADDRESS

POINT OF CONTACT

(POC Information Automatically Filled from User Profile Unless Entered)

DESCRIPTION

See Attachment

AGENCY'S URL

URL DESCRIPTION

AGENCY CONTACT'S EMAIL

ADDRESS

EMAIL DESCRIPTION

ADDRESS

POSTAL CODE

COUNTRY

ADDITIONAL INFORMATION

GENERAL INFORMATION

PLACE OF PERFORMANCE

* = Required Field Contract Opportunity Combined Synopsis/Solicitation Notice J070 VAKN MC Automation Upgrade 63129 36C77620Q0089 05-12-2020 N

SDVOSBC

541512 Department of Veteran Affairs

PCAC-ST. LOUIS

4401-D Meramec Bottom Rd Saint Louis MO 63129 Wanakee.Strickland@va.gov Wanakee.Strickland@va.gov Wanakee.Strickland@va.gov This is a combined synopsis/solicitation for commercial items prepared in accordance with the format in Federal Acquisition Regulation (FAR) subpart 12.6, “Streamlined Procedures for Evaluation and Solicitation for Commercial Items,” and FAR 13. This announcement constitutes the only solicitation; quotations are being requested, and a written solicitation document will not be issued.

The associated North American Industrial Classification System (NAICS) code for this procurement is 541512- Computer System Design with a size standard of $20 million. This solicitation is a 100% set-aside for Service Disabled Veteran Owned Small Businesses (SDVOSBs). Contractors must be verified in the Vendor Information Pages (VIP), https://www.vip.vetbiz.va.gov/, at the time of receipt of quotes and at the time of award.

PAGE 1 OF

1. REQUISITION NO.

2. CONTRACT NO.

3. AWARD/EFFECTIVE DATE

4. ORDER NO.

5. SOLICITATION NUMBER

6. SOLICITATION ISSUE DATE

a. NAME

b. TELEPHONE NO. (No Collect Calls)

8. OFFER DUE DATE/LOCAL

TIME

9. ISSUED BY

CODE

10. THIS ACQUISITION IS

UNRESTRICTED OR

SET ASIDE:

% FOR:

SMALL BUSINESS

HUBZONE SMALL

BUSINESS

SERVICE-DISABLED

VETERAN-OWNED

SMALL BUSINESS

WOMEN-OWNED SMALL BUSINESS

(WOSB) ELIGIBLE UNDER THE WOMEN-OWNED

SMALL BUSINESS PROGRAM

EDWOSB

8(A)

NAICS:

SIZE STANDARD:

11. DELIVERY FOR FOB DESTINA-

TION UNLESS BLOCK IS

MARKED

SEE SCHEDULE

12. DISCOUNT TERMS

13a. THIS CONTRACT IS A

RATED ORDER UNDER

DPAS (15 CFR 700)

13b. RATING

14. METHOD OF SOLICITATION

RFQ

IFB

RFP

15. DELIVER TO

CODE

16. ADMINISTERED BY

CODE

17a. CONTRACTOR/OFFEROR

CODE

FACILITY CODE

18a.

PAYMENT WILL BE MADE BY

CODE

TELEPHONE NO.

DUNS:

DUNS+4:

PHONE:

FAX:

17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN OFFER 18b. SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK 18a UNLESS BLOCK BELOW IS CHECKED

SEE

ADDENDUM

19.

20.

21.

22.

23.

24.

ITEM NO.

SCHEDULE OF SUPPLIES/SERVICES

QUANTITY

UNIT

UNIT PRICE

AMOUNT

(Use Reverse and/or Attach Additional Sheets as Necessary)

25. ACCOUNTING AND APPROPRIATION DATA

26.

TOTAL AWARD AMOUNT (For Govt. Use Only) 27a. SOLICITATION INCORPORATES BY REFERENCE FAR 52.212-1, 52.212-4. FAR 52.212-3 AND 52.212-5 ARE ATTACHED. ADDENDA

ARE

ARE NOT ATTACHED.

27b. CONTRACT/PURCHASE ORDER INCORPORATES BY REFERENCE FAR

52.212-4. FAR 52.212-5 IS ATTACHED. ADDENDA

ARE

ARE NOT ATTACHED

28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN _______________

29. AWARD OF CONTRACT: REF. ___________________________________ OFFER

COPIES TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND

DATED ________________________________. YOUR OFFER ON SOLICITATION

DELIVER ALL ITEMS SET FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY

(BLOCK 5), INCLUDING ANY ADDITIONS OR CHANGES WHICH ARE

ADDITIONAL SHEETS SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED

SET FORTH HEREIN IS ACCEPTED AS TO ITEMS:

30a. SIGNATURE OF OFFEROR/CONTRACTOR 31a. UNITED STATES OF AMERICA (SIGNATURE OF

CONTRACTING OFFICER)

30b. NAME AND TITLE OF SIGNER (TYPE OR PRINT) 30c. DATE SIGNED 31b. NAME OF CONTRACTING OFFICER (TYPE OR PRINT) 31c. DATE SIGNED

AUTHORIZED FOR LOCAL REPRODUCTION

(REV. 2/2012)

PREVIOUS EDITION IS NOT USABLE

Prescribed by GSA - FAR (48 CFR) 53.212

7. FOR SOLICITATION

INFORMATION CALL:

STANDARD FORM 1449

OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS

777-20-2-1092-0063 36C77620Q0089 05-04-2020 Wanakee Strickland 314-894-6656 ext 65107 05-12-2020 00776 Department of Veteran Affairs

PCAC-ST. LOUIS

4401-D Meramec Bottom Rd Saint Louis MO 63129 X X 541512 $30 Million N/A X See Attached Department of Veteran Affairs Employee Education System (EES) 4401-D Meramec Bottom Rd Saint Louis MO 63129 00776 Department of Veterans Affairs

PCAC-ST. LOUIS

4401-D Meramec Bottom Rd St. Louis MO 63129

Department of Veterans Affairs Financial Services Center Invoices To Be Submitted Electronically www.ob10.com/us/en/veterans-affairs/ e-Invoice Setup Info Phone 877-489-6135

PHONE: 877-353-9791

FAX: 512-460-5429

See CONTINUATION Page VAKN Master Control Automation System Upgrade,Integration Software Supportand Maintenance Services.

This solicitation is in accordance with FAR 13 $0.00 See CONTINUATION Page

777-3600152-1092-860500-2580-SPD0F00A4

x X Wanakee Strickland Contracting Officer Table of Contents

Page 1 of

Page 1 of Page 1 of

SECTION B - CONTINUATION OF SF 1449 BLOCKS

B.1 CONTRACT ADMINISTRATION DATA

1. Contract Administration: All contract administration matters will be handled by the following individuals:

a. CONTRACTOR:

b. GOVERNMENT: Contracting Officer 36C776 Department of Veteran Affairs

PCAC-ST. LOUIS

4401-D Meramec Bottom Rd Saint Louis MO 63129

2. CONTRACTOR REMITTANCE ADDRESS: All payments by the Government to the contractor will be made in accordance with:

3. INVOICES: Invoices shall be submitted in arrears:

4. GOVERNMENT INVOICE ADDRESS: All Invoices from the contractor shall be submitted electronically in accordance with VAAR Clause 852.232-72 Electronic Submission of Payment Requests.

Department of Veterans Affairs Financial Services Center Invoices To Be Submitted Electronically www.ob10.com/us/en/veterans-affairs/ e-Invoice Setup Info Phone 877-489-6135 ACKNOWLEDGMENT OF AMENDMENTS: The offeror acknowledges receipt of amendments to the Solicitation numbered and dated as follows:

Page 1 of Page 1 of Page 1 of

Performance Work Statement

DEPARTMENT OF VETERANS AFFAIRS

Employee Education System (EES)

VAKN Master Control Automation Upgrade

Date: April 20, 2020

Version Number: 4.0

1.0 Title of Project: VA Knowledge Network (VAKN) Automation UPgrade

2.0 Background

The Department of Veterans Affairs, Employee Education System (EES) requires an upgrade of the VA Knowledge Network (VAKN) master control automation system. The current automation system (Sundance) no longer meets requirements. Sundance’s vendor is no longer in business and their software is no longer supported. The current Sundance automation system hardware is five plus years old and due for a complete system refresh/upgrade.

3. Objectives:

This project is to purchase a new VAKN master control automation system that will meet EES master control workflow requirements and Office of Technology and Information (OI&T) operational requirements. The VAKN automation system shall support the two VAKN content channels and fully integrate with Myers ProTrack Traffic System, Utah Scientific 400 A/V Router and the Dalet Galaxy Media Asset Management (MAM) system.

4. Performance Work Statement

The Contractor shall deliver all hardware, software, onsite integration, onsite training, as well as remote and onsite professional services as described in this Performance Work Statement (PWS). The Contractor shall fully integrate the automation system-BitCentral Central Control (or equal specification) with the traffic system (currently Myers ProTrack), Audio/Video (A/V) router (currently Utah Scientific 400) and the MAM system (currently Dalet Galaxy). The Contractor shall deliver onsite “User” and “Administrator” level training for the installed VAKN automation system. The Contractor shall successfully transition from the current Sundance automation system to the new automation system with minimal downtime.

5.0 Applicable Documents: None

6.0 Mandatory Tasks and Deliverables: The Contractor shall perform the mandatory tasks and provide the specific deliverables as described in this Performance Work Statement (PWS). If, for any reason, any deliverable cannot be delivered on time according to the below schedule, the Contractor shall provide a written explanation to the Program Manager (PM)/Contracting Officer’s Representative (COR) three days prior to deliverable due date. This written transmittal shall include a firm commitment of when the work shall be completed. This transmittal to the PM/COR shall cite the reasons for the delay and the impact on the overall project.

The Contractor shall not commit or permit any act that interferes with the performance of work awarded to another Contractor or with the performance of Government employees.

Task 6.1 The contractor shall develop a detailed Contractor Project Management Plan (CPMP) and briefing, which may be held in conjunction with a formal Government post-award meeting for Employee Education System (EES). The CPMP shall present the Contractor's plan for completing the contract and shall be responsive to this PWS and describe, in further detail, the approach to be used for each aspect of the contract as defined in the Contractor’s technical proposal. The CPMP shall include the Contractors project plan to convert Sundance automation system into the BitCentral CentralControl (or equal specification) automation system. At a minimum, the CPMP shall include the Contractor’s plan for managing the project, risk, plan to prevent overall system downtime, quality, scope, change management, detailed schedule, and Contractor staff. The Contractor shall record and distribute minutes of the contract post-award meeting.

Deliverable 6.1:

Task 6.2: The contractor shall deliver one master control automation system/equipment (BitCentral – CentralControl or equal specification system). As a minimum, the master control automation system shall include the following integrated functionality:

· The Contractor shall provide full onsite integration and configuration of the master control automation system. Including full integration with the traffic system, MAM system, A/V router (currently Utah Scientific 400).

· The master control automation system shall fully integrate with Myers ProTrack traffic system and with the Dalet Galaxy MAM system.

· The master control automation system shall have automatic and manual control of master control video clip recordings and playout.

· The master control automation system shall have prep capabilities of the recorded video clips for playback (trim, start/end of video etc.)

· The master control automation system shall have full support of secondary devices (downstream keyer’s, logo inserter, voice overs etc.)

· The master control automation system shall meet all OI&T requirements (hardware & software).

· The delivered application servers shall have Windows Server 2016 or 2019 as the Operating System (OS). If the server’s OS is from another vendor e.g. Linux, the Contractor shall list the OS and version in their solicitation for Office of Information and Technology (OI&T) approval.

· The delivered servers shall support dedicated out of band management ports with advanced license e.g. HP ILO.

· The Contractor shall deliver a video server(s) that can support a minimum of two ingest channels and two playout channels, with a minimum of 7TB of usable storage on the server(s). Fully integrated with the automation system.

· The master control automation system shall have serial, ethernet, general purpose interface (GPI) machine control capabilities for A/V router, downstream keyer’s, logo inserters etc.

· The master control automation system shall have complete synchronization with the house time code/time of day clock or with OI&T network time protocol (NTP) server.

· The mater control automation system shall support full Integration with the MAM system on an API level. Currently the MAM is Dalet Galaxy.

· The master control automation system shall support mirrored databases.

· The master control automation system shall support a minimum of two playout and ingest server channels.

· The master control automation system shall have operational functions including, program hold, pause, join in progress, auto join in progress, insert switch, manual switch, clock follow switch functions.

· The master control automation system shall support virtual environments and Cloud based workflows.

· The master control automation system shall support broadcast exchange format (BXF) with the traffic system (Myers ProTrack traffic system).

· The master control automation system shall have file view, edit, delete capabilities via user permissions.

Deliverable 6.2: The Contractor shall provide Contracting Officer Representative (COR) a project equipment receiver report/invoice containing all equipment items provided for installation.

Task 6.3: The Contractor shall supply continuing Service and support for the master control automation system.

Deliverable 6.3: The Contractor shall deliver all warranties for the master control automation system hardware and software.

Task 6.4: The Contractor shall fully integrate the switchover from Sundance to the new master control automation system and all legacy systems (A/V router, Traffic system etc.) with minimal downtime.

Deliverable 6.4: The Contractor shall provide Contracting Officer Representative (COR) a project closeout report to include: Final proof of performance testing, configuration settings, any project issues with resolution/s.

Task 6.5: The Contractor shall provide one-day onsite User and Administrator training for the master control automation system. Training shall be conducted within 1 day of VAKN automation system installation/integration.

Deliverable 6.5: Complete one-day face to face onsite Training session for both User and System Administrators. Contractor shall provide copies of User Manuals and all applicable training manuals and training completion certificates for all attendees.

Table 1 Mandatory Deliverable Table

Due Date

6.4

7. Evaluated Optional Tasks and Deliverables: N/A

8. Quality Control:

8.1 Contractor’s Quality Control Program: The Contractor shall develop and maintain an effective internal quality control program to ensure that services performed are in accordance with the PWS. The Contractor shall develop and implement procedures to identify, prevent, and ensure non-recurrence of defective services.

The PM/COR will certify receipt of services and/or goods and recommends acceptance of the services/deliverables. This process will be used for approval of payment for the Contractor’s invoices and will serve as the mechanism to document that the overall performance of the Contractor has been acceptable for the period of time covered by the invoice.

Table 1. Performance Requirements Summary (PRS) - The deliverables are shown below. The Performance Standard is defined as Work being completed within established timeframes.

New automated VAKN master control system delivered, installed, and proof tested within one year of contract award.

Ref: 6.2 & 6.4

Switch-over from legacy VAKN master control to automated VAKN master control system downtime Ref: 6.4

9. Government-Furnished Equipment (GFE)/Government Furnished Information (GFI): N/A

10. Performance Details:

10.1 Period of Performance: The period of performance shall be one year from date of contract award. The government also requires four additional one-year options that provide software and maintenance service support for the VAKN Automation Upgrade.

10.2. Place of Performance: Work shall be performed at the EES facility at 1 Jefferson Barracks Drive Building 56, St. Louis, MO. 63125. The Contractor shall provide services during normal business hours from 8:00 A.M. to 4:30 P.M. local time, Monday through Friday, or as otherwise specified.

10.3 Observance of Government Holidays. There are 10 Federal holidays set by law (USC Title 5 Section 6103). Under current definitions, four are set by date:

If any of the above falls on a Saturday, then Friday shall be observed as a holiday. Similarly, if one falls on a Sunday, then Monday shall be observed as a holiday. The other six holidays are set by a day of the week and month:

10.4. Type of Contract: The Government anticipates award of a Firm Fixed-Price contract.

10.5. Travel: The Government will not be responsible for travel cost. Contractor must consider this cost when submitting quote.

The Government anticipates travel under this PWS to include attending contract-related meetings through the period of performance.

10.6 Contractor Reporting Requirements: N/A

10.7 Contract Post-Award Meeting: The Contractor shall not commence performance on the tasks in this PWS until the CO has conducted a post-award meeting or has advised the Contractor that the post-award meeting has been waived.

11. Formal Acceptance or Rejection of Deliverables: The Government will review each deliverable within 10 business days and provide comments. The Contractor shall have 10 business days to incorporate the Government’s comments and make appropriate revisions.

12. Changes to the PWS

Any changes to this PWS shall be authorized and approved only through written correspondence from the CO. A copy of each change will be kept in a contract folder, along with all other products of the contract. Costs incurred by the Contractor through the actions of parties other than the CO shall be borne by the Contractor.

13. Confidentiality and Non-Disclosure: It is agreed that:

14. Security Requirements:

14.1. GENERAL

Contractors, contractor personnel, subcontractors, and subcontractor personnel shall be subject to the same Federal laws, regulations, standards, and VA Directives and Handbooks as Department of Veterans Affairs (VA) and VA personnel regarding information and information system security.

14.2. Access to VA Information and VA Information Systems

a. A Contractor/Subcontractor shall request logical (technical) or physical access to VA information and VA information systems for their employees, subcontractors, and affiliates only to the extent necessary to perform the services specified in the contract, agreement, or task order.

b. All Contractors, Subcontractors, and third-party servicers and associates working with VA information are subject to the same investigative requirements as those of VA appointees or employees who have access to the same types of information. The level and process of background security investigations for Contractors must be in accordance with VA Directive and Handbook 0710, Personnel Suitability and Security Program. The Office for Operations, Security, and Preparedness is responsible for these policies and procedures.

c. Contract personnel who require access to national security programs must have a valid security clearance. National Industrial Security Program (NISP) was established by Executive Order 12829 to ensure that cleared U.S. defense industry contract personnel safeguard the classified information in their possession while performing work on contracts, programs, bids, or research and development efforts. VA does not have a Memorandum of Agreement with Defense Security Service (DSS). Verification of a Security Clearance must be processed through the Special Security Officer located in the Planning and National Security Service within the Office of Operations, Security, and Preparedness.

d. Custom software development and outsourced operations must be located in the United States (US) to the maximum extent practical. If such services are proposed to be performed abroad and are not disallowed by other VA policy or mandates, the Contractor/Subcontractor must state where all non-US services are provided and detail a security plan, deemed to be acceptable by VA, specifically to address mitigation of the resulting problems of communication, control, data protection, and so forth. Location within the US may be an evaluation factor.

e. The Contractor or Subcontractor must notify the CO immediately when an employee working on a VA system or with access to VA information is reassigned or leaves the Contractor or Subcontractor’s employ. The CO must also be notified immediately by the Contractor or Subcontractor prior to an unfriendly termination.

14.3. VA Information Custodial Language

a. Information made available to the Contractor or Subcontractor by VA for, or developed by the Contractor/Subcontractor in, performance or administration of the contract shall be used only for those purposes and shall not be used in any other way without the prior written agreement of the VA. This clause expressly limits the Contractor/Subcontractor's rights to use data as described in Rights in Data - General, FAR 52.227-14(d) (1).

b. VA information should not be co-mingled, if possible, with any other data on the Contractor’s/Subcontractor’s information systems or media storage systems in order to ensure that VA requirements related to data protection and media sanitization can be met. If co-mingling must be allowed to meet the requirements of the business need, the Contractor must ensure that VA’s information is returned to the VA or destroyed in accordance with VA’s sanitization requirements. VA reserves the right to conduct on-site inspections of Contractor and Subcontractor IT resources to ensure that data security controls, separation of data and job duties, and destruction/media sanitization procedures are in compliance with VA directive requirements.

c. Prior to termination or completion of this contract, Contractor/Subcontractor must not destroy information received from VA, or gathered/created by the Contractor in the course of performing this contract without prior written approval by the VA. Any data destruction done on behalf of VA by a Contractor/Subcontractor must be done in accordance with National Archives and Records Administration (NARA) requirements as outlined in VA Directive 6300, Records and Information Management; and its Handbook 6300.1, Records Management Procedures; applicable VA Records Control Schedules; and VA Handbook 6500.1, Electronic Media Sanitization. Self-certification by the Contractor that the data destruction requirements above have been met must be sent to the VA CO within 30 calendar days of termination of the contract.

d. The Contractor/Subcontractor must receive, gather, store, back up, maintain, use, disclose and dispose of VA information only in compliance with the terms of the contract and applicable Federal and VA information confidentiality and security laws, regulations, and policies. If Federal or VA information confidentiality and security laws, regulations, and policies become applicable to the VA information or information systems after execution of the contract, or if NIST issues or updates applicable Federal Information Processing Standard (FIPS) or Special Publications (SP) after execution of this contract, the parties agree to negotiate in good faith to implement the information confidentiality and security laws, regulations, and policies in this contract.

e. The Contractor/Subcontractor shall not make copies of VA information except as authorized and necessary to perform the terms of the agreement or to preserve electronic information stored on Contractor/Subcontractor electronic storage media for restoration in case any electronic equipment or data used by the Contractor/Subcontractor needs to be restored to an operating state. If copies are made for restoration purposes, then after the restoration is complete, the copies must be appropriately destroyed.

f. If VA determines that the Contractor has violated any of the information confidentiality, privacy, and security provisions of the contract, it shall be sufficient grounds for VA to withhold payment to the Contractor or third party or terminate the contract for default or for cause under Federal Acquisition Regulation (FAR) Part 12.

g. If a Veterans Health Administration (VHA) contract is terminated for cause, the associated Business Associate Agreement (BAA) must also be terminated and appropriate actions taken in accordance with VHA Handbook 1600.01, Business Associate Agreements. Absent an agreement to use or disclose protected health information, there is no business associate relationship.

h. The Contractor/Subcontractor must store, transport, or transmit VA sensitive information in an encrypted form, using VA-approved encryption tools that are, at a minimum, FIPS 140-2 validated.

i. The Contractor’s/Subcontractor’s firewall and Web services security controls, if applicable, shall meet or exceed VA’s minimum requirements. VA Configuration Guidelines are available upon request.

j. Except for uses and disclosures of VA information authorized by this contract for performance of the contract, the Contractor/Subcontractor may use and disclose VA information only in two other situations: (i) in response to a qualifying order of a court of competent jurisdiction, or (ii) with VA’s prior written approval. The Contractor/Subcontractor must refer all requests for, demands for production of, or inquiries about, VA information and information systems to the VA CO for response.

k. Notwithstanding the provision above, the Contractor/Subcontractor shall not release VA records protected by Title 38 U.S.C. 5705, confidentiality of medical quality assurance records and/or Title 38 U.S.C. 7332, confidentiality of certain health records pertaining to drug addiction, sickle cell anemia, alcoholism or alcohol abuse, or infection with human immunodeficiency virus. If the Contractor/Subcontractor is in receipt of a court order or other requests for the above mentioned information, that Contractor/Subcontractor shall immediately refer such court orders or other requests to the VA CO for response.

l. For service that involves the storage, generating, transmitting, or exchanging of VA sensitive information but does not require Certification and Accreditation (C&A) or memoranda of understanding and interconnection agreements (MOU-ISA) for system interconnection, the Contractor/Subcontractor must complete a Contractor Security Control Assessment (CSCA) on a yearly basis and provide it to the PM/COR.

14.4. Information System Design and Development

a. Information systems that are designed or developed for or on behalf of VA at non-VA facilities shall comply with all VA directives developed in accordance with Federal Information Security Management Act (FISMA), Health Insurance Portability and Accountability Act (HIPAA), NIST, and related VA security and privacy control requirements for Federal information systems. This includes standards for the protection of electronic Personal Health Information (PHI), outlined in 45 C.F.R. Part 164, Subpart C, information and system security categorization level designations in accordance with FIPS 199 and FIPS 200 with implementation of all baseline security controls commensurate with the FIPS 199 system security categorization (refer to Appendix D of VA Handbook 6500, VA Information Security Program). During the development cycle, a Privacy Impact Assessment (PIA) must be completed, provided to the PM/COR, and approved by the VA Privacy Service in accordance with Directive 6507, VA Privacy Impact Assessment.

b. The Contractor/Subcontractor shall certify to the PM/COR that applications are fully functional and operate correctly as intended on systems using the VA Federal Desktop Core Configuration (FDCC), and the common security configuration guidelines provided by NIST or the VA. This includes Microsoft Internet Explorer 7 configured to operate on Microsoft Windows XP and Vista (in Protected Mode on Vista) and future versions, as required.

c. The standard installation, operation, maintenance, updating, and patching of software shall not alter the configuration settings from the VA-approved and Federal Desktop Core Configuration (FDCC) configuration. Information technology staff must also use the Windows Installer Service for installation to the default “program files” directory and silently install and uninstall.

d. Applications designed for normal end users shall run in the standard user context without elevated system administration privileges.

e. The security controls must be designed, developed, approved by VA, and implemented in accordance with the provisions of VA security system development life cycle as outlined in NIST Special Publication 800-37, Guide for Applying the Risk Management Framework to Federal Information Systems; VA Handbook 6500, Information Security Program; and VA Handbook 6500.5, Incorporating Security and Privacy in System Development Lifecycle.

f. The Contractor/Subcontractor is required to design, develop, or operate a System of Records Notice (SOR) on individuals to accomplish an agency function subject to the Privacy Act of 1974 (as amended); Public Law 93-579, December 31, 1974 (5 U.S.C. 552a); and applicable agency regulations. Violation of the Privacy Act may involve the imposition of criminal and civil penalties.

g. The Contractor/Subcontractor agrees to do the following:

(1) Comply with the Privacy Act of 1974 (the Act) and the agency rules and regulations issued under the Act in the design, development, or operation of any system of records on individuals to accomplish an agency function when the contract specifically identifies the following:

(a) The Systems of Records (SOR) and

(b) The design, development, or operation work that the Contractor/Subcontractor is to perform;

(2) Include the Privacy Act notification contained in this contract in every solicitation and resulting subcontract and in every subcontract awarded without a solicitation, when the work statement in the proposed subcontract requires the redesign, development, or operation on individuals of a SOR that is subject to the Privacy Act; and

(3) Incorporate this Privacy Act clause, including this subparagraph (3), into all subcontracts awarded under this contract that require the design, development, or operation of such SOR.

h. In the event of violations of the Act, a civil action may be brought against the agency involved when the violation concerns the design, development, or operation of a SOR on individuals to accomplish an agency function; and criminal penalties may be imposed upon the officers or employees of the agency when the violation concerns the operation of a SOR on individuals to accomplish an agency function. For purposes of the Act, when the contract is for the operation of a SOR on individuals to accomplish an agency function, the Contractor/Subcontractor is considered to be an employee of the agency.

(1) “Operation of a System of Records” means performance of any of the activities associated with maintaining the SOR, including the collection, use, maintenance, and dissemination of records.

(2) “Record” means any item, collection, or grouping of information about an individual that is maintained by an agency, including, but not limited to, education, financial transactions, medical history, and criminal or employment history; and that contains the person’s name, identifying number, symbol, or any other identifying particular assigned to the individual, such as a fingerprint, voiceprint, or a photograph.

(3) “System of Records” means a group of any records under the control of any agency from which information is retrieved by the name of the individual or by some identifying number, symbol, or other identifying particular assigned to the individual.

i. The Contractor/Subcontractor shall ensure the security of all procured or developed systems and technologies, including their subcomponents (hereinafter referred to as “Systems”), throughout the life of this contract and any extension, warranty, or maintenance periods. This includes, but is not limited to workarounds, patches, hotfixes, upgrades, and any physical components (hereafter referred to as Security Fixes) which may be necessary to fix all security vulnerabilities published or known to the Contractor anywhere in the Systems, including Operating Systems and firmware. The Contractor/Subcontractor shall ensure that Security Fixes shall not negatively impact the Systems.

j. The Contractor/Subcontractor shall notify VA within 24 hours of the discovery or disclosure of successful exploits of the vulnerability which can compromise the security of the Systems (including the confidentiality or integrity of its data and operations, or the availability of the system). Such issues shall be remediated as quickly as is practical, but in no event longer than ____ days.

k. When the Security Fixes involve installing third-party patches (such as Microsoft OS patches or Adobe Acrobat), the Contractor will provide written notice to the VA that the patch has been validated as not affecting the Systems within 10 business days. When the Contractor is responsible for operations or maintenance of the Systems, they shall apply the Security Fixes within ____ days.

l. All other vulnerabilities shall be remediated as specified in this paragraph in a timely manner based on risk, but within 60 calendar days of discovery or disclosure. Exceptions to this paragraph, i.e., for the convenience of VA, shall only be granted with approval of the CO and the VA Assistant Secretary for Office of Information and Technology (OIT).

14.5. Information System Hosting, Operation, Maintenance, or Use

a. For information systems that are hosted, operated, maintained, or used on behalf of VA at non-VA facilities, Contractors/Subcontractors are fully responsible and accountable for ensuring compliance with all HIPAA, Privacy Act, FISMA, NIST, FIPS, and VA security and privacy directives and handbooks. This includes conducting compliant risk assessments, routine vulnerability scanning, system patching, and change management procedures; and the completion of an acceptable contingency plan for each system. The Contractor’s security control procedures must be equivalent to those procedures used to secure VA systems. A Privacy Impact Assessment (PIA) must also be provided to the PM/COR and approved by VA Privacy Service prior to operational approval. All external Internet connections to VA’s network involving VA information must be reviewed and approved by VA prior to implementation.

b. Adequate security controls for collecting, processing, transmitting, and storing Personally Identifiable Information (PII), as determined by the VA Privacy Service, must be in place, tested, and approved by VA prior to hosting, operation, maintenance, or use of the information system or systems by or on behalf of VA. These security controls are to be assessed and stated within the PIA, and if these controls are determined not to be in place or inadequate, a Plan of Action and Milestones (POA&M) must be submitted and approved prior to the collection of PII.

c. Outsourcing (Contractor facility, Contractor equipment, or Contractor staff) of systems or network operations, telecommunications services, or other managed services requires certification and accreditation (i.e., authorization); C&A of the Contractor’s systems in accordance with VA Handbook 6500.3, Certification and Accreditation; and/or the VA OCS Certification Program Office. Government-owned (Government facility or Government equipment) Contractor-operated systems, as well as third party or business partner networks, require MOU-ISA, which details what data types are shared, who has access, and the appropriate level of security controls for all systems connected to VA networks.

d. The Contractor/Subcontractor’s system must adhere to all FISMA, FIPS, and NIST standards related to the annual FISMA security controls assessment and review and update of the PIA. Any deficiencies noted during this assessment must be provided to the VA CO and the Information Security Officer (ISO) for entry into VA’s POA&M management process. The Contractor/Subcontractor must use VA’s POA&M process to document planned remedial actions to address any deficiencies in information security policies, procedures, and practices, and the completion of those activities. Security deficiencies must be corrected within the timeframes approved by the government. Contractor/Subcontractor procedures are subject to periodic, unannounced assessments by VA officials, including the VA Office of Inspector General (OIG). The physical security aspects associated with Contractor/Subcontractor activities must also be subject to such assessments. If major changes to the system occur that may affect the privacy or security of the data or the system, the C&A of the system may need to be reviewed, retested, and re-authorized per VA Handbook 6500.3. This may require reviewing and updating all of the documentation (PIA, System Security Plan, and Contingency Plan). The Certification Program Office can provide guidance on whether a new C&A would be necessary.

e. The Contractor/Subcontractor must conduct an annual self-assessment on all systems and outsourced services as required. Both hard copies and electronic copies of the assessment must be provided to the PM/COR. The Government reserves the right to conduct such an assessment using Government personnel or another Contractor/Subcontractor. The Contractor/Subcontractor must take appropriate and timely action (this can be specified in the contract) to correct or mitigate any weaknesses discovered during such testing, generally at no additional cost.

f. VA prohibits the installation and use of personally owned or Contractor/Subcontractor-owned equipment or software on VA’s network. If non-VA-owned equipment must be used to fulfill the requirements of a contract, it must be stated in the service agreement, PWS, or contract. All of the security controls required for Government furnished equipment (GFE) must be utilized in approved other equipment (OE) and must be funded by the owner of the equipment. All remote systems must be equipped with, and use, a VA-approved antivirus (AV) software and a personal (host-based or enclave-based) firewall that is configured with a VA-approved configuration. Software must be kept current, including all critical updates and patches. Owners of approved OE are responsible for providing and maintaining the anti-viral software and the firewall on the non-VA-owned OE.

g. All electronic storage media used on non-VA-leased or non-VA-owned IT equipment that is used to store, process, or access VA information must be handled in adherence with VA Handbook 6500.1, Electronic Media Sanitization, upon the following: (i) completion or termination of the contract or (ii) disposal or return of the IT equipment by the Contractor/Subcontractor or any person acting on behalf of the Contractor/Subcontractor, whichever is earlier. Media (hard drives, optical disks, CDs, back-up tapes, etc.) used by the Contractors/Subcontractors that contain VA information must be returned to the VA for sanitization or destruction or the Contractor/Subcontractor must self-certify that the media has been disposed of per 6500.1 requirements. This must be completed within 30 days of termination of the contract.

h. Bio-Medical devices and other equipment or systems containing media (hard drives, optical disks, etc.) with VA-sensitive information must not be returned to the Contractor at the end of lease, for a trade-in or other purposes. The options are:

(1) Contractor/Subcontractor must accept the system without the drive;

(2) VA’s initial medical device purchase includes a spare drive, which must be installed in place of the original drive at time of turn-in; or

(3) VA must reimburse the company for media at a reasonable open market replacement cost at time of purchase.

(4) Due to the highly specialized and sometimes proprietary hardware and software associated with medical equipment/systems, if it is not possible for the VA to retain the hard drive, then

(a) The equipment Contractor must have an existing BAA if the device being traded in has sensitive information stored on it and hard drive(s) from the system are being returned physically intact; and

(b) Any fixed hard drive on the device must be non-destructively sanitized to the greatest extent possible without having a negative impact upon system operation. Selective clearing down to patient data folder level is recommended using VA=approved and validated overwriting technologies/methods/tools. Applicable media sanitization specifications need to be pre-approved and described in the purchase order or contract.

(c) A statement needs to be signed by the Director, i.e. System Owner that states that the drive could not be removed and that (a) and (b) controls above are in place and completed. The ISO needs to maintain the documentation.

14.6. Security Incident Investigation

a. The term “security incident” means an event that has, or could have, resulted in unauthorized access, loss, or damage to VA assets, sensitive information, or an action that breaches VA security procedures. The Contractor/Subcontractor shall immediately notify the PM/COR and, simultaneously, the designated ISO and Privacy Officer for the contract of any known or suspected security/privacy incidents, or any unauthorized disclosure of sensitive information, including that contained in system(s) to which the Contractor/Subcontractor has access.

b. To the extent known by the Contractor/Subcontractor, the Contractor/Subcontractor’s notice to VA shall identify the information involved, the circumstances surrounding the incident (including to whom, how, when, and where the VA information or assets were placed at risk or compromised), and any other information that the Contractor/Subcontractor considers relevant.

c. With respect to unsecured protected health information, the business associate is deemed to have discovered a data breach when the business associate knew or should have known of a breach of such information. Upon discovery, the business associate must notify the covered entity of the breach. Notifications need to be made in accordance with the executed business associate agreement.

d. In instances of theft, break-in, or other criminal activity, the Contractor/Subcontractor must concurrently report the incident to the appropriate law enforcement entity (or entities) of jurisdiction, including the VA OIG and Security and Law Enforcement. The Contractor, its employees, and its Subcontractors and their employees shall cooperate with VA and any law enforcement authority responsible for the investigation and prosecution of any possible criminal law violation(s) associated with any incident. The Contractor/Subcontractor shall cooperate with VA in any civil litigation to recover VA information, obtain monetary or other compensation from a third party for damages arising from any incident, or obtain injunctive relief against any third party arising from, or related to, the incident.

14.7. LIQUIDATED DAMAGES FOR DATA BREACH

a. Consistent with the requirements of 38 U.S.C. §5725, a contract may require access to sensitive personal information. If so, the Contractor is liable to VA for liquidated damages in the event of a data breach or privacy incident involving any SPI the Contractor/Subcontractor processes or maintains under this contract.

b. The Contractor/Subcontractor shall provide notice to VA of a “security incident” as set forth in the Security Incident Investigation section above. Upon such notification, VA must secure from a non-Department entity or the VA OIG an independent risk analysis of the data breach to determine the level of risk associated with the data breach for the potential misuse of any sensitive personal information involved in the data breach. The term 'data breach' means the loss, theft, or other unauthorized access, or any access other than that incidental to the scope of employment, to data containing sensitive personal information, in electronic or printed form, that results in the potential compromise of the confidentiality or integrity of the data. Contractor shall fully cooperate with the entity performing the risk analysis. Failure to cooperate may be deemed a material breach and grounds for contract termination.

c. Each risk analysis shall address all relevant information concerning the data breach, including the following:

(1) Nature of the event (loss, theft, unauthorized access);

(2) Description of the event, including

(a) Date of occurrence;

(b) Data elements involved, including any PII, such as full name, social security number, date of birth, home address, account number, disability code;

(3) Number of individuals affected or potentially affected;

(4) Names of individuals or groups affected or potentially affected;

(5) Ease of logical data access to the lost, stolen, or improperly accessed data in light of the degree of protection for the data (e.g., unencrypted, plain text);

(6) Amount of time the data has been out of VA control;

(7) The likelihood that the sensitive personal information will or has been compromised (made accessible to and usable by unauthorized persons);

(8) Known misuses of data containing sensitive personal information, if any;

(9) Assessment of the potential harm to the affected individuals;

(10) Data breach analysis as outlined in 6500.2 Handbook, Management of Security and Privacy Incidents, as appropriate; and

(11) Whether credit protection…