A04 JOFOCCXE Support20250502Final REDACTED.pdf

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

WHS Control No. 1580-JA

JUSTIFICATION FOR

OTHER THAN FULL AND OPEN COMPETITION (JOFOC)

UNDER FEDERAL ACQUISITION REGULATION FAR SUBPART 6.3

1. AGENCY AND CONTRACTING ACTIVITY: The Department of Defense (DoD), Washington Headquarters Services, Acquisition Directorate (WHS/AD) on behalf of the Defense Technical Information Center.

2. DESCRIPTION OF ACTION:

The WHS/AD seeks to award a sole-source contract to MassLight Inc. (MassLight) to continue providing Comptroller XML Exhibits (CXE) Tool Development and Maintenance Support Services for the Defense Technical Information Center (DTIC).

The anticipated contract type is Firm-Fixed-Priced (FFP) utilizing Fiscal Year (FY) 2025/2026 Research, Development, Test, and Evaluation (RDT&E) funds. The sole source contract, if awarded, will be a follow-on to the current contract, Contract No.

HQ0034-21-C-0043. The contract originally expired on March 29, 2025, but an extension utilizing FAR 52.217-8 “Option to Extend Services” clause was executed on March 19, 2025, to continue support while the Government is currently working the follow-on contract. The extension is for three months, through June 29, 2025. WHS/AD anticipates awarding the new follow-on contract on May 30, 2025, with a $7,625,350.50 estimated dollar value , with a price variance of +/- 5%.

The period of performance (POP) will be from June 30, 2025, to June 29, 2027, consisting of a 12-month base period and one 12-month option period. The two-year POP will enable MassLight to complete the development of CXE application. This enhancement application will allow the Government to accomplish numerous tasks more efficiently to include maintaining the current User Interface (UI). A key aspect of this enhancement is the implementation of Application Programming Interface (API) development, which will improve communication among the front end, back end, and external systems, creating more consistency, clarity, simplicity and accessibility for users.

The CXE application consists of the front-end development of this enhancement which be responsible for pulling in software libraries into a single code base to create user interface functionality, architecting various software components with multiple interdependencies to formulate an application’s architecture, and updating software components as available in open source to ensure the application’s architecture remains updated and free of vulnerabilities to name a few examples. The back-end development of the enhancement consists of designing and maintaining databases to efficiently store and retrieve data, this process involves creating schemas, optimizing queries, and ensuring data security, enhancing application speed by addressing bottlenecks in code, database queries, and server configurations and implementing measures such as encryption, authentication systems, and secure coding practices to protect data during storage and transmission and etc. This innovative tool will allow the Government to accomplish these and other objectives.

This process involves defining endpoints while also guaranteeing scalability and security.

Once the enhancement has been fully developed which will occur within a two-year timeframe of this contract, future requirements will then be solicited competitively for the maintenance and upkeep of the CXE instrument.

The CXE application is an essential component within the DoD’s Budget Formulation process, that integrates RDT&E and Procurement Exhibits created by all DoD Components, into standard, Financial Management Regulation (FMR) regulated, well formatted, validated, and math checked Justification Books, suitable for submission to Congress. MassLight shall be responsible for maintaining current functionality of the CXE application and the design and development of any necessary enhancements. Due to the existing integrations, only MassLight can provide the required services necessary for the successful continuation of the development of the CXE instrument. . That contract will focus on maintaining the Front-End and Back-End services to address the evolving needs of users. The two-year schedule is outlined below:

Performance Periods

Performance Period Dates Amount (IGCE)

Base Period 30 June 2025 - 29 June 2026 $ 3,430,703.98 Option Period I 30 June 2026 - 29 June 2027 $ 3,252,638.73 6 months extension 30 June 2027 - 29 December 2027 $ 942,007.79 Base + All Options (Including Surge Ceiling)

30 June 2025 - 29 June 2027 $7,625,350.50

The anticipated period of performance is outlined on the table above at an estimated total cost of $7,625,350.50.

3. DESCRIPTION OF SUPPLIES/SERVICES:

The CXE tool is integral to DTIC’s ability to prepare and submit comprehensive budget reports, which are essential for effective financial planning and resource allocation within the agency. MassLight is the sole provider of the specialized CXE tool software development service, having developed the entire custom application from scratch, specially designed to fulfill DTIC’s mission requirement for a critical capability need of submitting RDT&E and Procurement budget requests through the Office of the Under Secretary of Defense (Comptroller) (OUSD(C)), Office of Management and Budget (OMB) and ultimately to Congress.

The CXE tool requires ongoing maintenance support and enhancements to prepare for the fiscal year (FY) 2027 Budget Estimate Submission (BES) and the FY 2031 President’s

Budget request budget cycles. The CXE Tool Development and Maintenance Services MassLight will provide consist of expert application and FMR user support, provide data from BES and President’s Budget cycles and support for ingestion into DTIC and OUSD(C) analytics tools, sustain the cybersecurity and functionality of CXE application, and complete major architectural (Front-End and Back-End) upgrades to remain as closely aligned with DTIC's Architectural Baseline as possible.

4. AUTHORITY CITED: This action is authorized under provisions of 10 U.S.C.

2304(c)(1) and 10 U.S.C.2034 (c)(2) as implemented by FAR 6.302-1(a)(2)(iii), “only one responsible source and no other supplies or services will satisfy agency requirements.” For DoD, NASA, and the Coast Guard, services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in- (A)Substantial duplication of cost to the Government that is not expected to be recovered through competition.

5. REASON FOR AUTHORITY CITED:

The requirement addresses the need for ongoing development, maintenance, and support of the CXE Tool that represents a follow-on necessity. MassLight, as the incumbent developer, possesses an unparalleled understanding of system’s architecture and functionalities, making it uniquely positioned to ensure seamless ongoing operations and successful completion of the new CXE tool development.

MassLight developed the CXE tool, but both its back-end architecture and the User Interface (UI) require ongoing development and maintenance to operate effectively and efficiently. The follow-on requirement necessitates a contractor, MassLight, who has extensive knowledge of the current UI, capable of developing a replacement while simultaneously maintaining the existing UI. The existing UI is becoming a potential risk for the CXE's application architecture as its usage has dramatically decreased, and it shows a trend towards further decline across the industry. This decreased usage is leading to fewer instances of identifying and reporting cybersecurity vulnerabilities, consequently increasing the risk to application availability. Furthermore, the current UI is not issuing patch updates for known vulnerabilities as swiftly as other user interfaces that are more commonly employed in the industry. MassLight possesses unparalleled comprehension of the existing system architecture, business needs, and operational procedures. This unique understanding makes MassLight the sole proprietor to overhaul the UI environment, ensuring consistent front-end and back-end services throughout the two-year development period. These enhancements are vital to ensure that the capabilities meet the operational requirements of the DoD and effectively support its mission objectives. The proprietary system developed by the MassLight , incorporates unique software architectures, application programming interfaces (APIs), and specialized data formats.

Replacing these components would necessitate a comprehensive reengineering effort.

Additionally, the CXE tool is deeply embedded within the workflows and infrastructures of all DoD agencies, creating intricate dependencies that would be difficult for any other vendor to replicate without causing significant disruption or incurring substantial costs.

to sole source due to ongoing development of the CXE tool, and once the development phase was completed, the effort will be competed for future requirements. The government addressed their inquiry with a response on April 11, 2025.

It is important to emphasize that this sole-source approach is limited to the immediate need for ongoing development and support. Upon completion of the CXE tool, all future maintenance and upkeep requirements will be open for competition for future requirements. This two-pronged strategy balances the immediate need for specialized expertise with the long-term goal of maximizing competition and ensuring best value for the Government.

7. FAIR AND REASONABLE COST DETERMINATION: I hereby determine that the anticipated price for this contract action will be fair and reasonable. The techniques identified at FAR 15.404-1, will be used to ensure the award will be at fair and reasonable prices. Certified Cost and Pricing Data will not be obtained.

8. MARKET RESEARCH: A thorough market research effort was undertaken to identify potential sources capable of meeting the specialized requirements for the continued development and support of the CXE tool. This research included exploring mandatory sources, specifically the AbilityOne program and Federal Prison Industries (UNICOR).

However, neither organization possessed the capacity or technical expertise to satisfy this requirement.

The Sources Sought seeking industry capabilities for the CXE tool was posted on Sam.gov from December 23, 2024, to January 10, 2025. The Sources Sought received five responses from BHPE, LLC, RV Global Solutions, CACI International Inc, MDW Associates, LLC, and MassLight. Of the five responses, the last three vendors submitted capability statements, and the other two vendors did not provide a capability statements;

therefore, an assessment could not be made to determine if they could perform the requirement. The first capability statement revealed insufficient front-end and back-end expertise, a lack of comparable experience, and presented significant onboarding risks.

The second capability statement lacks the necessary technical expertise for CXE tool back-end maintenance and updates. While they have front-end user support and some experience with one of the two CXE submission methods, their responses are vague, generic, and conflate front-end work with back-end requirements. Essentially, they demonstrate competence in user interaction, but not in the core technical skills required for the job. The third capability statement which was from the incumbent, MassLight, demonstrated the expertise and capability to meet the complex front-end and back-end support of the CXE tool due to their existing knowledge, relationships, and experience, they also possess a comprehensive understanding of the current system architecture, business requirements, and operational protocols, rendering them uniquely qualified to deliver uninterrupted front-end and back-end services for a two-year developmental period. MassLight presented a detail understanding of the requirement and the scope of work that needed for the ongoing development of the CXE tool. Failure to secure a qualified vendor could severely impact DTIC and the broader RDT&E community.

Therefore, awarding this contract as a sole source to MassLight because they are the only supplier that can meet the specific requirements due to unique expertise and specialized knowledge of the development of the CXE tool.

9. OTHER FACTS: This requirement will be a sole source contract because of the development of the specialized tool for government use.

10. INTERESTED SOURCES: Based on the Sources Sought that was posted on Sam.gov, there was a total of five interested vendors that responded to the notice. The vendors included BHPE LLC., RV Global Solutions, CACI International Inc, MDW Associates, LLC, and MassLight, Inc. CACI, MDW Associates, LLC, and MassLight were the only vendors that answered the questions that were posed in the Sources Sought.

Analysis of the received information determined that a sole-source procurement was the optimal approach, necessitating a Justification and Approval (J&A). A Notice of Intent to Sole Source was subsequently posted on SAM.gov on April 4th. MDW Associates, LLC and VoicedIQ submitted a request via email seeking clarification on the government’s sole source intention and information on the requirement. Both vendors received responses via email on Friday, April 11th. No additional information was requested from the vendors moving forward. No other vendor responses to the notice were received.

11. ACTIONS TO INCREASE COMPETITION: Due to the ongoing development needs for this specialized tool, this requirement will be a sole-source award for a base year with one option year. This two-year timeframe provides the necessary continuity for the incumbent contractor to complete the tool's development.

After the anticipated two-year CXE tool development period under this contract, ongoing maintenance and support will be competitively procured. This strategy ensures access to specialized expertise during development while promoting long-term competition and value for the government.

12. Is this acquisition for a non-competitive follow-on acquisition previously awarded on a non-competitive basis?

☐ Yes. A copy of the previous justification is attached. The actions to remove any barriers to competition cited on the previous justification ☐ were ☐ were not completed.

☒No. The original acquisition was conducted on a competitive basis.

☐ Not Applicable. This is a new requirement.