A16_JOFOC_ESRI_ArcGIS_HHS_OIG_Redacted_Redacted_1.pdf

140D0425Q0034

StreetMap Premium Enterprise USA Full Use 1 ArcGIS Online Service Credits 150,000 ArcGIS Insights for ArcGIS Enterprise 20 ArcGIS Navigator for ArcGIS Enterprise 5

ArcGIS Enterprise Federal Named Users The task order will include the following numbers of estimated ArcGIS Enterprise Federal named users in each year of the agreement. Each ArcGIS Enterprise user type annual subscription deployed under the task order shall provide one unique authorized user with federal named user access to (1) all ArcGIS Enterprise Portal for ArcGIS instances Deployed by HHS OIG, (2) all ArcGIS Enterprise Portal for ArcGIS instances Deployed by other US Federal Government agencies, and (3) all shared groups under HHS OIG’s ArcGIS Online license. Federal Named User access applies to ArcGIS Enterprise User Type Annual Subscriptions regardless of software platform (Windows/Linux/Kubernetes). HHS OIG will be permitted to exceed the number shown below for a specific ArcGIS Enterprise User Type Annual Subscription by 25% during a given Enterprise Agreement (EA) Year at no additional cost.

Base Option 1 Option 2 Option 3 Option 4 ArcGIS Enterprise Mobile Worker Federal Named Users

500 500 500 500 500

ArcGIS Enterprise Creator Federal Named Users

175 175 175 175 175

4. The authority and supporting rationale (see 8.405-6(a)(1)(i) and (b)(1)) and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the required supply or service.

FAR 8.405-6(a)(1)(i)B - Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized.

ESRI's ArcGIS software is uniquely positioned to meet the complex needs of the OCDO due to its unparalleled capabilities and deep integration into the agency's operations. As the industry standard for geographic information systems (GIS), ArcGIS offers essential functionalities, such as spatial analysis, geocoding, and 3D visualization, which are critical to the success of OCDO's mission, including healthcare fraud investigations and operational oversight. No other GIS platform can adequately replicate these advanced features.

OCDO has already invested heavily in ESRI's ArcGIS platform, and its infrastructure is built around this software. Transitioning to an alternative GIS solution would require substantial re-engineering, leading to increased costs and potential disruptions to mission-critical operations. ESRI’s software is deeply integrated into existing systems and workflows, such as the Hotline Insights Application and High-Risk Provider Viewer, which rely on seamless data integration and analysis provided by ESRI technology.

ESRI also offers proprietary features, like ArcGIS Knowledge Server, which are critical for advanced applications in fraud detection, geospatial data modeling, and risk management capabilities not available from other GIS vendors. Additionally, procuring a task order with ESRI’s enables OCDO to consolidate its GIS needs under a single, cost-effective contract, ensuring efficiency, bulk licensing savings, and centralized technical support.

140D0425Q0034

Through market research, OCDO confirmed that no alternative vendor offers an equivalent ecosystem of geospatial software, services, and support that matches the breadth, depth, and compatibility of the ESRI ArcGIS platform. Transitioning to another vendor would not only require significant investment in reconfiguration and retraining but also pose a substantial risk of disrupting ongoing operations. The unique capabilities of the ESRI EA, including its ability to provide flexible licensing and software adjustments as operational needs evolve, further underscore its critical role in enabling OCDO to meet its mission requirements efficiently.

Additionally, the flexibility of the ESRI EA aligns with the requirements set forth by the Geospatial Data Act (GDA) of 2018, which mandates federal agencies to improve the coordination, use, and sharing of geospatial data. ESRI's solutions are integral to ensuring OCDO remains compliant with GDA objectives by fostering data interoperability, supporting shared geospatial infrastructure, and enabling seamless collaboration across federal programs. This continuity of service and alignment with federal geospatial priorities make ESRI the only viable option for this EA.

Finally, ESRI products are already standardized across multiple OCDO teams and programs. Maintaining this standardization ensures interoperability, consistent user training, and streamlined technical support, all of which are vital for maintaining operational continuity and ensuring the long-term success of OCDO’s geospatial initiatives. For these reasons, ESRI’s ArcGIS is the only software capable of fulfilling the complex and evolving needs of OCDO. Also, OCDO flexibility in adding and subtracting licenses at no additional cost during mission critical sprints. That flexibility would not be an option when going through reseller or another solution.

5. A determination by the ordering activity contracting officer that the order represents the best value consistent with FAR 8.404(d).

The contracting officer has determined that the anticipated prices will be fair and reasonable based on the existing GSA Multiple Award Schedule (GS-35F-253CA), which describes the associated level of service and cost. Pursuant to FAR 8.404(d) Pricing, “GSA has already determined the prices of supplies and fixed-price services, and rates for services offered at hourly rates, under schedule contracts to be fair and reasonable. Therefore, ordering activities are not required to make a separate determination of fair and reasonable pricing, except for a price evaluation as required by 8.405-2(d).” In accordance with FAR 8.405-2(d) Evaluation, the Contracting Officer will consider the level of effort and the mix of labor to perform a specific task being ordered and for determining the total price reasonable.

The Contracting Officer also believes that the anticipated prices will be fair and reasonable based upon ESRI’s intimate knowledge of the work and prices paid on the previous orders. The quote will be compared to historical prices paid to ensure the Government is realizing the savings expected from this EA. In addition to evaluating the total price and level of effort, the Contracting Officer will calculate the highest possible price for an additional up to 6-month extension permitted under FAR clause 52.217-8 in accordance with AQD Evaluation of Option Provision (March 2022).

6. A description of the market research conducted among schedule holders and the results, or a statement of the reason market research was not conducted.

Market Research was performed to locate a solution that would meet the Government’s needs. While several vendors that offered access to geo-mapping software and consulting services, market research revealed that only Environmental Systems Research Institute, has a ready to use solution at the time of award.