JOFOC - Litigation Support - 8.3.26 signed - V2_Redacted.pdf

FOR OFFICIAL USE ONLY

Justification for Other Than Full and Open Competition Under Simplified Procedures For Certain Commercial Items|

Department of Energy, Office of Environment, Health, Safety and Security

(EHSS)

Department of Energy Litigation Support: Expert Opinion on Decrement Rate Methodology

1. Identification of the Agency and Contracting Activity

The Department of Energy (hereafter referred to as "DOE"), Office of Headquarters Procurement Services (MA-66), located in Washington, D.C., proposes to issue a contract below the simplified acquisition threshold (SAT) by limiting the number of sources. This action is in support of the Office of Environment, Health, Safety and Security (EHSS).

2. Nature and Description of the Action Being Approved

This Justification for Other Than Full and Open Competition (JOFOC) is conducted under the authority of Revolutionary Federal Acquisition Regulation (FAR) Overhaul (RFO) 12.102(b), which requires the preparation of written justification and approval as described in RFO 6.104. The rationale for this action aligns with the principles of RFO 6.103-1, addressing Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

The proposed action is the award of a sole-source Firm-Fixed-Price contract for expert litigation support services.

The contractor shall provide:

• Independent review of contract and litigation documents.

• Analysis of decrement rate methodology.

• Preparation of a written expert opinion.

• Litigation consulting services supporting DOE counsel.

• Expert testimony during deposition or trial, if required.

The anticipated contract consists of:

• One Base Period

The award will be a Firm-Fixed Price (FFP) contract with a total value of . Award information is provided below:

• Contractor Name: Highspring Holdings LLC

• Contractor Address: 5501 Virginia Way, Suite 120 Brentwood, Tennessee 37027

• Unique Entity ID (UEI): G7W8CKWLHKK6

• CAGE: 87EL0

• NAICS: 541211 - Offices Of Certified Public Accountants

• Period of Performance: 8/15/2026 – 11/15/2026

• Contract Type: FFP

• Government Cost Estimate Dollar Value of this Action: $

3. Description of Supplies or Services

The contractor shall provide expert litigation support services to the DOE Office of the General Counsel.

Required services include:

• Review of the Centerra complaint.

• Review of the applicable DOE contract.

• Review of cost accounting documentation.

• Evaluation of decrement rate methodology.

• Analysis of fully burdened labor rates versus rates excluding fixed costs.

• Preparation of a written expert opinion.

• Support to DOE counsel during litigation.

• Expert testimony at deposition or trial, if required.

• Protection of Controlled Unclassified Information (CUI), attorney work product, and privileged materials.

Major deliverables include:

• Written Expert Opinion

• Supporting Workpapers

• Litigation Briefings

• Deposition/Testimony (if requested)

Period of Performance

Estimated Value:

Period Estimated Value Base Total

4. Statutory Authority Permitting Other Than Full and Open Competition

As implemented by RFO 12.102 (Policy Flash-2025-61- Class Deviation to Adopt Revolutionary RFO Overhaul (RFO) Part 12 - Acquisition of Commercial Products and Commercial Services), this sole source acquisition is conducted in accordance with 41 U.S.C. 3304(a)(1).

5. Efforts to Obtain Competition

The requiring activity conducted market research to identify firms capable of providing expert litigation support involving government contract cost accounting, decrement rate methodology, and expert witness services.

The research included review of firms possessing expertise in:

• Government contract accounting

• Cost Accounting Standards

• Expert witness services

• Litigation consulting

The Contracting Officer conducted extensive market research to identify responsible sources capable of providing the specialized expert litigation support services required for this acquisition. The Government contacted multiple firms with demonstrated experience in government contract cost accounting, Cost Accounting Standards (CAS), expert witness services, and federal litigation support to determine their capability, availability, and willingness to perform the requirement.

The following firms were contacted:

• Highspring Holdings LLC

The results of the market research are summarized below:

Vendor Result

Highspring The only firm identified that was free of organizational conflicts of interest, willing to perform

Vendor Result Holdings LLC the required analysis, and capable of serving as an expert witness in support of DOE's litigation if testimony is required.

Highspring Holdings LLC was identified as uniquely suited to satisfy the Government's requirements based on its ability to provide, in the near term, a Subject Matter Expert (SME) possessing the following qualifications as required by the Performance Work Statement:

• At least 10 years of experience in government contract cost analysis or auditing;

• Demonstrated experience serving as an expert witness in federal litigation;

• No actual or potential organizational conflicts of interest (OCI) with respect to the Centerra litigation; and

• Demonstrated expertise in government contracting, Cost Accounting Standards (CAS), government contract auditing, and industry standards for government cost accounting, including a working understanding of decrement rate methodology.

Critically, Highspring Holdings LLC demonstrated the capacity to mobilize this qualified personnel and deliver a sophisticated expert opinion on a complex government contract matter within the compressed timeframe required to support DOE's litigation schedule. No other firm contacted during market research was both willing and able to provide a qualified expert free of OCI within the required timeframe.

Based on the market research conducted, the Contracting Officer determined that Highspring Holdings LLC is the only responsible source capable of satisfying the Government's requirement within the required schedule. The remaining firms were either precluded from consideration due to actual or potential organizational conflicts of interest, declined to perform expert litigation support services, expressed no interest in the requirement, or determined that participation could create an impaired objectivity conflict with respect to other DOE work.

Accordingly, award to any source other than Highspring Holdings LLC would not satisfy the Government's requirements.

6. Fair and Reasonable Cost Determination

The Contracting Officer has determined that the anticipated cost to the Government is fair and reasonable.

The Independent Government Cost Estimate (IGCE) of was developed using data analytics technology, which cross-referenced relevant contract information against the Government's specific requirements to generate an average market rate baseline for comparable expert litigation support services.

This methodology provided an objective, data-driven foundation for evaluating the reasonableness of the anticipated price.

The resulting estimate reflects commercially available pricing consistent with the scope, complexity, and specialized nature of the services required, including expert analysis of government contract cost accounting principles, decrement rate methodology, and potential expert witness testimony. The proposed price of aligns with the IGCE and is therefore determined to be fair and reasonable.

7. Market Research

The Contracting Officer conducted market research in accordance with RFO acquisition policy to identify responsible sources capable of satisfying the Government's requirement for expert litigation support services