A4-E - Justification for Sole-Source (REDACTED).pdf

At the award of each IDIQ, TSA anticipates awarding an initial task order to each contractor. TSA anticipates using Capital (No Year) Funds to award the first task orders, as well as both Capital and

Discretionary Funds for all subsequent orders that may be issued under the each IDIQ contract in Fiscal

Years 20 I 9 - 2023. The anticipated ordering period of each IDIQ contract will be five ( 5) years from the date of award. The IDIQ will allow for firm fixed priced (FFP) orders to be awarded.

3. Description of Supplies/Services.

The purpose of the resulting contracts is to provide all ancillary equipment and services required throughout a deployed system's life cycle to meet ongoing and evolving requirements throughout a system's useful life. The scope of the proposed contract does not include procurement of systems, installation, engineering services, maintenance beyond initial warranty services, integration of systems upon initial deployment, and initial training.

TSA currently has over 500 RSEDS manufactured by Reveal deployed throughout TSA's fleet of security screening equipment. TSA purchased (3) Low Rate Initial Production (LRIP) units, and has recently purchased an additional 34 RSEDS from Smiths. Only the LRlP units have been deployed to date, but the newly purchased units are expected to be deployed in the next 12 months. Once RS EDS are installed, there are numerous life cycle supp01t services and ancillaiy equipment required by TSA to suppott the RS EDS unit in furtherance of TSA's constantly evolving security posture. The anticipated technical support services and equipment may include, but are not limited to:

• Project Coordination

• Design and Pre-Planning Technical Consultation/Suppott

• Inline Integration Pre-Planning Suppott

• Site Surveys (Standalone Systems)

• Baggage Handling Integration Support

• Network Installation Suppott

• Training

• Primaty Viewing Station (PVS)

• Secondaiy Viewing Station (SYS)

• SYS Mounting Kits

• Bar Code Reader

• Printer

• Multiplex Network Solution Equipment

• Master Control Station

• Uninterruptible Power Supply

• Extended Corrective Maintenance/Preventative Maintenance (CM/PM) One-Year Warranty

• Suppott Services Surge Support

• Seismic Anchors (with and without pedestals)

• Extended Length (XL) Conveyor Kit

• Air Conditioner

• Scanner Pedestal

• Conveyor Pedestal

4) might not be able to upgrade RSEDS to meet new evolving threats.

All of these would negatively impact the success of screening operations and TSA's mission.

The Original Equipment Manufacturers (OEM), Reveal and Smiths, have proprietary rights in their specified technologies. This consists of the software, firmware, design and hardware associated with the transp01tation security equipment (TSE) and includes networking configuration. TSA does not own the intellectual prope1ty or data rights for this TSE equipment. As a result, only the OEM is capable of fulfilling specialized technical and ancillary suppmt requirements at the level of expe1tise required to ensure that the work is completed to the TSA specifications.

Further, the RS EDS technology requires customized electrical, mechanical, and networking component configurations in order to conduct high volume automated screening and movement of baggage. Because of these unique configurations, the costs involved to substitute presently-available TSE are prohibitive.

Factors such as Baggage Handling System (BHS) redesign, reprogramming, removal of existing systems and mechanical components, disposal, equipment movement, additional electrical requirements and operational testing all must be considered when evaluating the potential cost of switching or substitution.

TSA would also suffer the loss of operational capability, decreasing TSA's ability to screen baggage accurately and efficiently while redesign and technology substitution is ongoing. These factors represent substantial duplication of cost to the Government that is not expected to be recovered through competition.

As such, the OEMs are the only responsible source capable of satisfying TSA 's requirements at the level of expe1tise needed. This includes management of all configurable and adjustable parameters and adaptation data used to tailor the system, as well as their settings and values and inventory of hardware

Configuration Items (Cls), software Cls and firmware Cls with configuration identification data.

Configuration management is also integral to implementing TSA's changing security posture. As security technology systems are re-located, the OEM must perform initial site acceptance tests (iSA T) to verify the system has been properly installed and integrated in the operational environment and verify the configuration baseline is consistent. Such services are critical in order to ensure that there will not be a negative impact on airpmt operations due to inoperable or malfunctioning security technology or ancillary equipment.

6. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

Currently there are only three RSEDS manufacturers that have passed TSA's rigorous Ce1tification and

Qualification process: L-3 Communications - Security and Technology Division 1, Smiths, and Reveal.

In general, TSA competes the procurement of RSEDS systems. However, as these systems have a 15 year estimated life-cycle, there are instances where the ancillary equipment needs replacement, or

1 L-3 did have an RSEDS system that was qualified, however the limited L-3 systems that were initial purchased, have been or are in the process of being replaced as they are now technically obsolete.

updating. Only the OEM is able to identify and provide the appropriate corrections, updates, or replacement(s) to an existing RSEDS.

To fu1ther ensure all potential offerors are solicited, TSA issued a Notice of lntent (Ref: TSA25-04-

03322) on the Federal Business Opp01tunities (FBO)2 website regarding TSA's intent to contract using other than full and open competition with Reveal and Smiths for this ancillary equipment and support services requirement. In the Notice of Intent, TSA offered interested paities the oppo1tunity to identify their interest and capability to respond to the requirement. TSA did not receive any information to contradict the findings in this Justification.

Fuither information regarding the market research that was conducted is described in Section 8.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be

Fair and Reasonable.

The Contracting Officer will ensure that the anticipated cost of this contract will be fair and reasonable through cost analysis techniques in accordance with FAR 15 .404-1 prior to award. In order to determine fair and reasonable pricing, the Contracting Officer anticipates using the IGCE, historical pricing and actual cost data for comparison purposes.

8. Description of Market Research.

Market research was primarily based upon products that have passed qualification requirements for

RSEDS over the past 5 years. Products that successfully passed qualification testing requirements were placed on TSA's Qualified Product Lists (QPL). The QPL was an unrestricted open testing process that allowed any interested vendor an oppo1tunity to test products against TSA detection and operational specifications and standards. Testing may have included technology readiness and ce1tification, successful completion of Transportation Security Lab (TSL) Ce1tification testing (CERT), TSA Systems

Integration Facility (TSIF) Integration testing and Initial Operational Test and Evaluation (IOT &E).

Only equipment placed on the QPL was determined to satisfy program requirements and considered for deployment into the field. At this time, there are only three manufacturers with RS EDS products on the QPL: L-3, Smiths, and Reveal. The OEMs of TSE have proprietary rights in the technology which preclude these services from being provided by a third paity. This consists of the integration, design and hardware associated with the TSE and also includes proprietaiy networking configuration. In sho1t, awarding a contract for such equipment and services to a third paity would infringe upon the intellectual prope1ty of the OEMs.

The OEMs have been providing these types of ancillaiy equipment and supp01t services under TSA's security technology production contracts for over 8 years. The production contracts have expired and it is critical to award sole source supp01t contracts to meet mission requirements.

2 The Notice oflntent was posted to the Federal Business Opportunities (FBO) website on Wednesday, June 5, 2019, as required by FAR 6.302- l(d)(2) and FAR 5.20l(b)(l)(i).

This requirement was publicized under FBO notice on Wednesday, June 5, 2019 as a notice of intent to contract using other than full and open competition. No new information was provided in response the FBO announcement that refutes the determinations documented in this Justification.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

TSA is focusing its efforts and money on modifying and updating the existing security technology fleet over replacement of systems due to the extended useful life of the equipment and to sustain the fleet until future requirements are developed, futther suppotting the need to have ancillary equipment and suppo1t services with the OEM.

10. A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the Acquisition.

None.

I I. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any

Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

Acquisition Program Management (APM) is currently working to define a system architecture that will create conceptual models that describe the existing and future structures of a patticular system as well as their components and the relationships between each component. The standardization of component interfaces will allow accelerated independent development of critical component technologies as well as the establishment of modular security system platforms. Standardized image and data formats will reduce barriers to integration that exist because of the technical differences between proprietary vendor systems. It will also provide flexibility to acquire capabilities that have the potential to be integrated with independently developed detection algorithms, imaging programs, and operating platforms. Other efforts, such as development of common Graphical User Interfaces, (GUI) are ongoing to suppott common system platforms as well. Once a common system architecture is built, APM intends to engage in new and innovative pattners to solve problems to emerging needs, increasing the number vendors to suppott TSA security technology.

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