A16_JOFOC_VR_Training_System__complete_Redacted_1.pdf

United States Department of the Interior

INTERIOR BUSINESS CENTER

Washington, DC 20240

JUSTIFICATION FOR

OTHER THAN FULL AND OPEN COMPETITION AUTHORITY:

FAR 6.302, 41 U.S.C. 253(c)

140D0422R0057

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by Federal Acquisition Regulation (FAR) 6.3 and in accordance with the requirements by FAR 6.303-1, the justification for the use of the statutory authority under FAR 6.3 is justified by the following facts and rationale required under FAR 6.303-1 as follows:

1. Identification of the agency and the contracting activity, and specific identification of the document as a “Justification for other than full and open competition.”

This document is a justification for other than full and open competition for the Department of the Interior, Interior Business Center, Acquisition Services Directorate, Division 1 on behalf of the U.S Department of Health and Human Services (HHS), Office of Inspector General (OIG), National Training and Emergency Operations Branch (NTEOB). This justification applies to a virtual reality simulation system designed for law enforcement training that will enhance the ability of Special Agents to do their jobs effectively and safely.

Nature and/or description of the action being approved.

This is a Justification & Approval (J&A) in accordance with FAR 6.303-1(d) and 6.302-1, Only one responsible source and no other supplies for a VR training system. Based on market research and a review of a historical action, Street Smarts VR has been identified as the only provider for this Sole Source requirement.

2. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

HHS OIG NTEOB is the law enforcement branch responsible for investigating crimes against the Federal Health Care system. The duties of the Agents are similar to other federal law enforcement counterparts, including Federal Bureau of Investigation (FBI) and Drug Enforcement Administration (DEA). HHS OIG NTEOB conducts various law enforcement training events.

HHS OIG NTEOB requires 10 virtual reality training systems for the regional offices. The training system should allow law enforcement personnel to train for use of force, firearms, and tactical situations utilizing virtual reality simulations. Each system should come with user license, virtual reality training equipment, a warranty and training on how to operate and maintain the system.

The software required should provide a virtual reality simulation where law enforcement personnel can develop their skills related to firearms, tactics, and use of force. The system should include access to and unlimited usage of entire training law enforcement scenario library, including all scenarios and future updates for 36 months, plus two twelve-month option periods.

The VR Core Hardware and VR System should include the following:

RFP 140D0422R0057

Dell Precision 5820 Tower XCTO Base Intel (R) Core (TM) i9-10900X 3.7GHz,(4.7GHz Turbo, 10C, 19.25 MB Nvidia GeForce RTX 3090 video card, 10GB, 3DP, HDMI 16GB 2X8GB DDR4 2666MHz UDIMM Non-ECC Memory M.2 512GB PCIe NVMe Class 40 Solid State Drive Black Dell KB216 Wired Multimedia Keyboard English Black Dell MS116 Wired Mouse

VR Headset (wireless)

- HTC Pro Eye Office (1)

- HTC Wireless Headset Full Kit (1)

- HTC Trackers (3/kit)

- HTC Wireless Battery Bank (2/kit) allowing for 6 hours of constant use.

SSVR Glock 19 Accessory: OEM model from Glock. Fabricated from a certified Glock 19 pistol frame.

This training firearm is inert and incorporates the SSVR tracking sensors for using during simulations.

(Compatible with standard gear).

SSVR AR15 (Burst and Auto selector switch options): high quality, exact replica production.

This training firearm is inert and incorporates the SSVR tracking sensors for use during simulations. Compatible with standard AR15 duty gear and slings

SSVR OC Spray training canister: high quality and non-3D printed production. This training item does not contain OC spray and incorporates the SSVR tracking sensor for use during simulations. Compatible with standard gear.

SSVR Flashlight: consisting of a combination of 3D printed exceptionally durable material and CNC machined parts for accuracy in feel and function. This training flashlight incorporates the SSVR tracking Sensors for use during simulations. Compatible with standard gear.

Rugged carrying cases

- Pelican Cases (1615 Air and 1638 Air) with foam (or similar). Cases must be appropriate for shipping and lockable.

Additional Items required to complete the Bundle 10 includes:

- HTC Memory Face Foam (1, 2 pack/kit)

- Fovetic Stands (1, 2 pack/kit)

- Hermit Shell (1)

- BUBM Case (Large) (1)

- BUBM Case (Medium) (1)

- Power Strip (1)

- 4 ft. USB Cable (1)

The total period of performance will be 60 months, inclusive of a base period (36 months) and two (2) option periods (12 months each). In accordance with FAR 12.207, this contract action will be Firm-Fixed Price. The estimated value of these supplies and services is approximately .

3. An Identification of the statutory authority permitting other than full and open competition.

FAR 6.302-1 – Only one responsible source and no other supplies or services will satisfy agency requirements. 41 U.S.C. 3304(a)(1).

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

The Street Smarts VR training system has unique capabilities in that it is the only headset that provides a completely immersive 3D VR experience for the user. Other virtual police training systems do not meet the specifications of this headset-based training. Other companies could potentially produce such a technology but have not done so yet due to the high barriers to entry that come from cost, technological development, and knowledge of police and security skills. New capabilities/technology - 3D headset-based virtual reality training has only just come to market in the realm of security training. Street Smarts government backed development into the sector of VR military training supplements far surpasses current competitors and their ability to provide a solution that meets the needs of security forces squadrons.

The Street Smarts VR training system is fully immersive and allows the use of real-world replica weapons. They have a library of different training scenarios that is continually expanding. The situations are realistic in that the trainees can experience different factors such as: time of day, weather, population density, Active Shooter response, Base Defense & Installation Security, etc. The systems' solution enhances readiness by creating the physical and emotional stressors and fosters pro-active responses with the appropriate level of threat engagement. This solution also includes consumers future-proof features of content and software updates on a quarterly basis to address ever-changing requirements based on new agency policies, recent incidents, and strategic objectives.

Market research demonstrates other contractors have not yet developed the technology that the Street Smarts VR training system is able to currently supply in their VR training system.

It is a requirement for Security Forces to participate in training that enhances use of force decision making skills. The Street Smarts VR training system does this through ten variable scenarios that are projected from the module laptop to the VR headsets. This setup allows for simple, continuous upgrading of scenarios and training reviews that could be accessed and purchased in the future through the same software that is been acquired in this requirement. This software will be updated should option years be executed as well.

Street Smarts VR is the only contractor deemed capable in meeting the requirements of HHS OIG

NTEOB.

5. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by Subpart

5.2 and, if not, which exception under 5.202 applies.

A synopsis of the proposed contract action will be posted to www.sam.gov for at least 15 days prior to the issuance of the solicitation.

6. A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer will perform a price analysis to determine whether the proposed price is fair and reasonable in accordance with FAR 15.404-1. The Contracting Officer will compare the proposed price to historical prices paid (including similar services on other HHS contracts), and the IGE. Furthermore, as part of the price analysis, the Contracting Officer will include a comparison of the offered price to market pricing, in accordance with DOI-AAAP-0024, Enhancing Competition. This requirement is for commercial services and is exempt from cost analysis per FAR 15.403-1(b)(3). Other than certified cost or pricing data may be requested for further analysis if deemed necessary by the Contracting Officer.

7. A description of the market research conducted (see Part 10) and the results or a statement of the reason market research was not conducted.

The sources that were reviewed and considered are Open Market and GSA. After a search on GSA revealed there are no VR training systems available that met all the requirements, it was determined to only post a request for information (RFI) in the open market. An RFI was posted to www.sam.gov in May 2022. The RFI requested a capability statement and answers to acquisition questions. Three small business contractors responded: Street Smarts VR, . After a review of the responses by AQD and the Program Office, it was determined that there was only one responsible source able to fulfil the Government’s requirement, Street Smarts VR. Street Smarts is not on GSA. Like the other two RFI respondents, GSA findings revealed no sources with all of the critical elements required, such as:

• ability to train firearms, tactics, and use of force in a virtual reality environment

• law enforcement scenario library

• appropriate virtual reality training equipment for law enforcement personnel (pistol, rifle, OC spray, and flashlight).

8. Any other facts supporting the use of other than full and open competition; such as:

As stated above, market research demonstrated that of the three respondents to the RFI, Street Smarts VR was the only capable vendor. AQD and the Program Office determined that was not able to offer the level of equipment and services required for the VR Training System requirement. AQD and the Program Office determined was not able to meet any of the requests for characteristics identified in the requirement. The response provided by Street Smarts VR shows that they have all the required features. See the following table for a review of the capability statements.

Company Name Business Size Review of Capability Statements Street Smarts VR Veteran Owned Small

Business Street Smarts VR has all of these features identified in their response.

Small offered to “integrate and use all of [our] existing training modules and content” but did not reference a current library of law enforcement scenarios. The video they included was for 3D modeling, not designed law enforcement scenarios. There was no mention of virtual reality training equipment for law enforcement personnel.

Additionally, the photo they included in Section 4 showed the participant using the standard VR controllers. This is not acceptable as the equipment (ex: true-to-life Glock 19 accessory, AR15, OC spray training cannister and flashlight, etc.) is necessary to meet the requirement for training. They stated that they “are able to connect its software via xAPI to most hardware and systems in use. The law enforcement section of their website was focused on crime scene training, not actual firearms, tactical movement, or use of force scenarios. did not mention any law enforcement