80NSSC19Q0229_JOFOC_Redacted.pdf

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PRICE Cost Analytics Best Practice Unlimited Site License Federal contract opportunity
Solicitation number
80NSSC19Q0229
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National Aeronautics and Space Administration Shared Services Center

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National Aeronautics and Space

Administration

NASA Shared Services Center

Stennis Space Center, MS 39529-6000

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

(1) Agency and Contracting Activity

National Aeronautics and Space

Administration NASA Shared Services

Center (NSSC)

Bldg. 1111, Jerry Hlass Rd.

Stennis Space Center, MS 39529

(2) Nature and/or Description of the Action Being Approved

The NASA Shared Services Center will negotiate with PRICE Systems in order to award a firm fixed price

(FFP), sole-source purchase to procure their PRICE Cost Analytics – Best Practice Version – Unlimited

Site License renewals which includes TruePlanning.

(3) A Description of the Supplies or Services (Including the Estimated Value)

TruePlanning by PRICE Systems is a suite of predictive cost models that allow organizations to successfully estimate and analyze the scope, cost, schedule, and risk of complex projects. Within a single, enterprise-wide cost management framework one can determine budgets while integrating hardware and software projects, optimizing resource planning, and make prudent investment decisions.

The NASA cost estimating community uses various cost estimating models in the TruePlanning Suite by PRICE Systems to estimate project cost and to perform comparative analysis of its project estimates. Because each model approaches the estimating process differently, comparing estimates gives the Agency, through detailed analysis, greater confidence in its estimates and the ability to defend them. NASA has been using

TruePlanning, and its predecessors for many years and it is the only product available to maintain continuity in NASA's productivity. The total estimated value of this acquisition is .

(4) Identification of the Statutory Authority Permitting Other Than Full and Open Competition

This action is being conducted as an acquisition under the authority of the test program for commercial items (section 4202 of the Clinger-Cohen Act of 1996) found in FAR Subpart 13.5. The authority found in

FAR 13.5(a), authorizes as a test program, use of simplified procedures for the acquisition of supplies and services in amounts greater than the simplified acquisition threshold but not exceeding $7 million ($13 million for acquisitions as described in 13.500(c)), including options, if the contracting officer reasonably expects, based on the nature of the supplies or services sought, and on market research, that offers will include only commercial items. Under this test program, contracting officers may use any simplified acquisition procedure in this part, subject to any specific dollar limitation applicable to the particular procedure. This JOFOC complies with the special documentation requirements of FAR 13.501(a)(1)(ii).

(5) A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

PRICE cost estimating software has been continuously in use by NASA cost analysts for many years and is the only product available that can be used without causing a major disruption to the productivity of NASA.

This requirement represents a continuation of NNH16CW00P. The PRICE software constitutes a unique tool and method for this work, in that it employs a unique methodology and set of algorithms for estimating cost and schedule. PRICE software utilizes unique parametric analysis based on proprietary data exclusive to the aerospace and aeronautical industry. PRICE’s rich database and analysis provides NASA capability to conduct estimates at levels that would not be feasible or robust with an in-house dataset alone or other cost estimating products. The following NASA projects leverage PRICE software and services: International Space Station Program, all missions in formulation that has GSFC as lead (including flagship WFIRST), Dart, SLS program, Orion Program, and all Announcement of Opportunity missions.

PRICE’s ability to form data sharing relationships with several vendors over the aerospace industries provides their tools the capability to produce high quality estimates that have industry buy-in, understanding, and acceptance. PRICE provides ability to calibrate their robust dataset to the unique characteristics of NASA so estimates are aligned with NASA’s unique requirements. The uniqueness and quality of the methodology have value for providing independent and unbiased estimates. The continuity of use over time allows for comparative analyses to be performed over progressive phases of projects and across projects, and for the database storage and retrieval of parametric cost information and technical definition.

Furthermore, comparative analyses over time and across projects, with a variety of independent methods, are very important in accomplishing unbiased assessments of project cost plans. The continuity of use over time helps to establish consistency, which in turn improves objectivity. While it might seem that this total approach is extreme, it must be remembered that the cost plans for NASA development projects are inherently difficult to assess, due to the uncertainties associated with employing new technologies in hostile environments. This multi-faceted approach, largely using parametric methodologies (of which the subject software product is one), enables more rigorous assessments at far less expense than would be needed with other, more labor intensive approaches.

Additionally, NASA has invested a large amount of funds over the years into development of the analyst skills necessary for the professional use of this software, including formal training in the use of the software and skill improvement in the use of the software through long-term use over time. The resulting skill levels represent an infrastructure cost that would be very expensive to recover if the competitive process resulted in drastic loss of access to this software. The impact of switching from PRICE estimating tools to other tools would be multifaceted. NASA personnel at various NASA Centers have been utilizing PRICE for multiple years (spanning over several decades) to estimate aerospace missions as well as calibrating in-house data to the PRICE tool so NASA data can be utilized to enhance accuracy and traceability of each estimate. If NASA switched over to another tool as its primary parametric tool the impact would be multifold – but in the range

ii. Recalibration of NASA data: As mentioned previously, NASA has been utilizing PRICE to help calibrate

NASA data for future analysis. Switching to a new tool would make current PRICE calibrations useless.

Furthermore, calibrating to another tool set would be costly.

(6) A Description of Efforts Made to Ensure That Offers are Solicited From as Many

Potential Sources as is Practicable

The award of this contract along with supporting documentation shall be publicized and posted on FBO

IAW FAR 13.501(a)(iv) and 5.102 (a)(6), which will give any interested potential sources the opportunity to respond.

(7) Determination by the Contracting Officer that the Anticipated Cost to the Government Will

Be Fair and Reasonable

This procurement is for a commercial item, which the price can be determined fair and reasonable based on a comparison of the established market price. There are no anticipated issues that would circumvent a fair and reasonableness price determination. The Contracting Officer will determine price reasonableness during the proposal evaluation process prior to contract award.

(8) Description of Market Research

The NSSC Enterprise License Management Team (ELMT) conducted a review of SEWP, GSA Advantage and a targeted internet search using the specific titles of the PRICE Cost Analytics Best Practice Version and TRUE Planning software tools. The SEWP search yielded no results. Market research revealed that the PRICE Systems does have a GSA Schedule. The schedule does not contain the required unlimited licensing pricing and thus cannot suffice. The search yielded no other results. PRICE Systems does not have any authorized resellers of TRUE Planning suite and this is the only product that can be used without disrupting all other related products.

(9) Any Other Facts Supporting the Use of Other than Full and Open Competition N/A

(10) A Listing of the Sources, If Any That Expressed, In Writing, an Interest in the Acquisition N/A

(11) A Statement Of The Actions, If Any, The Agency May Take To Remove Or Overcome Any

Barriers To Competition Before Any Subsequent Acquisition For The Supplies Or Services

Required.

The Agency will continue to examine the market in the future for alternative solutions before executing any subsequent contract action for the requirement herein. Due to the nature of the expressed requirement,there are no known actions which the Agency may take to give consideration to other manufacturers for the requirements described herein.

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