B04 Exception to Fair Opportunity - Redacted.pdf

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JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

CISCO VTC MODERNIZATION and MAINTENANCE

1. Agency and contracting activity:

The Defense Counterintelligence and Security Agency (DCSA), Procurement Solutions (PRS) Directorate, is the procuring activity for this action. The PRS Directorate proposes to enter into a contract action on a basis of other than full and open competition for Acquisition and Technology, Enterprise Operations, Customer Support Program Office.

2. Description of Action:

This document is the Justification for Exception to Fair Opportunity for Commercial-Off-the-Shelf (COTS) Cisco Video Teleconferencing (VTC) modernization, a new, firm-fixed-price (FFP) contract using FY26 Working Capital Funds (WCF).

3. Description of Supplies/Services:

This acquisition is for the procurement of Cisco VTC hardware, software licenses, and Original Equipment Manufacturer (OEM) maintenance/sustainment services required to modernize the DCSA enterprise VTC infrastructure.

The scope of this effort encompasses the following core components:

Proprietary Cisco VTC Hardware & Software: Procurement of next-generation Cisco VTC endpoints, codecs, and infrastructure components (including Cisco Meeting Server [CMS] and Cisco Expressway) to replace end-of-life hardware and expand secure communication capabilities across DCSA enclaves.

Video Quality Conference Manager (VQCM) Software: Acquisition of VQCM perpetual and subscription software licenses. VQCM serves as the centralized, secure, on-premise management overlay required to configure, automate, and schedule DCSA's proprietary Cisco endpoints.

Cisco OEM Sustainment Services: Technical support, firmware updates, and security patches directly from the OEM to ensure operational continuity and maintain immediate compliance with Department of War (DoW) security mandates.

Estimated Value & Period of Performance: The estimated total value of this acquisition is , to be awarded as a FFP delivery order with a Period of Performance consisting of a one-year base period plus four one-year option periods.

Controlled by: DCSA Controlled by: Contracting and Procurement CUI Category: Procure

LDC: FEDCON

POC: mark.o.failer.civ@mail.mil mailto:mark.o.failer.civ@mail.mil

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4. Exception to Fair Opportunity Authority and Supporting Rationale:

The statutory authority permitting this exception to fair opportunity is 10 U.S.C. 3406(c), as implemented by FAR Overhaul 16.504-3(a)(2)(i).

The exact FAR citation and quote authorizing this exception is:

FAR Overhaul 16.504-3(a)(2)(i): "Only one source is capable of providing the supplies or services required because the supplies or services are unique or highly specialized;"

Furthermore, because this acquisition restricts consideration to items peculiar to one manufacturer (Cisco Systems, Inc.) while still competing the requirement among authorized resellers, this justification is executed in accordance with the brand-name procedures outlined in FAR Overhaul 16.507-7(a), which states:

"The contracting officer must justify restricting consideration to an item peculiar to one manufacturer (e.g., a particular brand-name, product, or a feature of a product that is peculiar to one manufacturer). A brand-name item, even if available on more than one contract, is an item peculiar to one manufacturer. Brand-name specifications must not be used unless the particular brand-name, product, or feature is essential to the Government’s requirements and market research indicates other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the agency’s needs."

Demonstration That the Nature of the Acquisition Requires the Exception Cited:

The nature of this acquisition is highly specialized and restricted to Cisco Systems, Inc. brand-name hardware, software, and maintenance due to the deeply integrated, proprietary nature of the existing Defense Counterintelligence and Security Agency (DCSA) Enterprise VTC architecture.

The following facts demonstrate why only Cisco-brand products and proprietary maintenance can meet the Government's minimum needs:

A. Proprietary Hardware Ecosystem and Native Integration Constraints:

DCSA currently operates a vast, enterprise-wide inventory of Cisco VTC hardware endpoints (e.g., RoomOS devices, telepresence units, and codecs). These physical endpoints utilize a closed-architecture, proprietary communication protocol to interface with backend infrastructure. Consequently, they require a native Cisco backend (Cisco Meeting Server [CMS] and Cisco Expressway) for secure call routing, centralized management, and cryptographic key exchange. Introducing non-Cisco, third-party backend infrastructure would break native integrations, resulting in a critical loss of functionality, including the loss of enterprise-wide automated call routing and scheduling.

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B. Mandatory Replacement of Legacy Management Systems:

This modernization effort requires replacing the legacy Cisco TelePresence Management Suite (TMS) with VQCM. VQCM is highly specialized and is the only solution natively designed to interface with proprietary Cisco Application Programming Interfaces (APIs) to provide an air-gapped management overlay. VQCM is uniquely capable of preserving critical DCSA operational capabilities, specifically "One Button to Push" (OBTP) meeting access and Device Management and Automation (DMA) for Cisco RoomOS endpoints. No other manufacturer produces a management platform capable of natively sustaining these features on DCSA's existing Cisco hardware fleet.

C. Department of War (DoW) Impact Level 5 (IL5) Security Mandates and OEM Software Sustainment:

To maintain compliance with DoW IL5 security controls and stay on the Department of War Information Network (DoWIN) Approved Products List (APL), the DCSA VTC network requires continuous, rigorously tested software patches and firmware updates. Cisco Systems, Inc. is the sole proprietary owner of the source code for its hardware and software.

No third party is legally or technically capable of developing, certifying, or distributing the firmware updates and security patches (via Cisco SmartNet) required to maintain Joint Interoperability Test Command (JITC) certification for these endpoints. Utilizing unapproved third-party software to manage or patch this equipment would void OEM warranties and introduce unacceptable cybersecurity vulnerabilities into the DoW network.

D. Unacceptable Duplication of Cost and Operational Disruption:

Because the current endpoint hardware is proprietary, introducing a different brand of VTC infrastructure or management software would necessitate a total "rip-and-replace" of DCSA's entire VTC hardware inventory worldwide. Replacing thousands of highly functional, secure hardware endpoints merely to accommodate a non-Cisco backend would result in a substantial duplication of cost to the Government that is not expected to be recovered through competition. Furthermore, the time required to engineer, JITC-certify, accredit, and deploy an entirely new manufacturer's ecosystem would cause unacceptable, mission-critical disruptions to DCSA's global communications capabilities.

Conclusion:

For these reasons, the nature of this acquisition dictates that only Cisco-brand modernization hardware, VQCM software, and OEM-provided maintenance (procured competitively through authorized resellers) can seamlessly integrate with the existing infrastructure, maintain DoW IL5 security compliance, and prevent an unacceptable duplication of cost.

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Other Facts:

A. Market Research: In accordance with FAR Part 10, the DCSA technical subject matter experts conducted market research between April 1, 2026, and May 25, 2026.

The market research utilized the following sources:

NASA SEWP V Provider Lookup Tool: To identify the availability of authorized Cisco resellers and assess the competitive landscape within the GWAC.

Department of War (DoW) Information Network (DoWIN) Approved Products List (APL) & JITC Database: To verify the security and interoperability certifications of both Cisco and alternative VTC solutions.

Technical Capability Reviews: Analysis of commercial specifications from alternative VTC manufacturers (e.g., Poly/HP, Zoom, Microsoft) regarding native interoperability with existing DCSA Cisco Unified Communications Manager (CUCM) architecture and proprietary Cisco endpoints.

OEM Consultations: Review of Cisco Systems' proprietary software licensing, and annual maintenance terms.

B. Market Research Findings

The market research yielded the following specific findings:

Lack of Native Interoperability in Alternative Brands: While other major VTC manufacturers (such as Poly) offer robust enterprise solutions, technical analysis confirmed that non-Cisco infrastructure cannot natively interface with DCSA’s existing inventory of proprietary Cisco RoomOS endpoints. Third-party backend systems cannot replicate Cisco’s "One Button to Push" (OBTP) or Device Management and Automation (DMA) features without utilizing unsupported workarounds that violate DoW IL5 security protocols.

Security and Certification Bottlenecks: A review of the DoWIN APL confirmed that the integrated combination of Cisco hardware, Cisco Meeting Server (CMS), VQCM possesses the required Joint Interoperability Test Command (JITC) certifications for the DCSA on-premise enclave. Alternative systems would require extensive, multi-month security accreditation processes (RMF/ATO) to be authorized on the network.

Maintenance Exclusivity: Review of OEM terms confirmed that Cisco Systems is the sole owner of the intellectual property for its infrastructure. Only Cisco and its authorized Value-Added Resellers (VARs) can legally provide the necessary firmware

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Availability of Competition: The NASA SEWP V Provider Lookup Tool confirmed that there is a network of authorized Cisco resellers within the SEWP V vehicle, including multiple small businesses across various socio-economic categories, capable of providing competitive quotes for these specific brand-name items.

C. Conclusion: Why Full Fair Opportunity is Not in the Best Interest of the Government

The market research concluded that conducting a full, unrestricted fair opportunity process (i.e., allowing quotes for non-Cisco brands) is not in the best interest of the Government.

Opening the procurement to all VTC manufacturers would require the Government to evaluate alternative backend systems that are fundamentally incompatible with DCSA’s current proprietary endpoint hardware. If a non-Cisco brand were selected, DCSA would be forced to execute a "rip-and-replace" of its entire global inventory of VTC endpoints to achieve system compatibility. This would result in an unacceptable duplication of cost and cause severe disruptions to mission-critical communications while the new ecosystem undergoes mandatory JITC and IL5 security testing.

Therefore, utilizing the exception to fair opportunity to restrict the requirement to the Cisco brand name is the only technically acceptable and fiscally responsible path. By restricting the manufacturer brand but competing the requirement among the qualified authorized Cisco resellers on the NASA SEWP V GWAC, the Government successfully balances its mandatory technical/security requirements with its mandate to achieve a fair and reasonable price through competition.

D. Procurement History: This is a new procurement without history.

5. Interested Sources: To date, the only source to express written interest is ;

no other sources have written to express an interest.

6. Actions to Increase Competition:

To date, no other product has been identified that meets DCSA’s minimum requirements for a secure, JITC-certified, and cost-effective VTC solution. The EOD will continue its market research to ascertain if changes in the marketplace allow for broader competition in future acquisitions that meet DCSA’s minimum requirements.

A. Fair and Reasonable Cost Determination:

I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. Because this is a new procurement action without historical contract pricing, and because no single commercial catalog contains all required items, the

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Contracting Officer will establish price reasonableness using a combination of price analysis techniques in accordance with FAR 15.404-1(b)(2):

Comparison of Competitive Offers (FAR 15.404-1(b)(2)(i)): The primary method of determining price reasonableness will be the comparison of competitive proposals received from multiple authorized Cisco resellers within the NASA SEWP V pool.

Comparison with Competitive Published Price Lists (FAR 15.404-1(b)(2)(iv)): The Government will compare the proposed SEWP V pricing against published commercial price lists. Specifically, partial price comparisons will be made using GSA Advantage and the State of Texas Cisco Cooperative Price List for the subset of items available on those schedules. Market research indicates that both the GSA Advantage and State of Texas price lists reflect higher unit pricing than the baseline quotes obtained under NASA SEWP V, establishing that the SEWP V vehicle represents a highly advantageous and fair market price.

Comparison with the Independent Government Cost Estimate (IGCE) (FAR Overhaul 15.404-1(b)(5)): The proposed pricing will be validated against the IGCE, which was formulated based on a Rough Order of Magnitude (ROM) obtained from industry during initial market research. This ROM baseline has been cross-referenced with the partial pricing available on the GSA Advantage and State of Texas price lists to ensure a realistic and realistic cost boundary.

B. Certified Cost or Pricing Data Requirement:

In accordance with FAR Overhaul 15.403-1(a)(1) and FAR Overhaul 15.403-1(b), certified cost or pricing data will not be required because:

1. The supplies and services meet the definition of commercial products and commercial services under FAR 2.101, and

2. Adequate price competition is anticipated among the authorized Cisco SEWP V resellers.

7. Technical or Requirements Personnel’s Certification:

I certify that the facts and representations under my cognizance, which are included in this justification, and which form a basis for this justification, are complete and accurate to the best of my knowledge and belief.

Program Official

Digitally signed by

Date: 2026.06.24 13:36:52 -04'00'

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Reviews and Approval

Contracting Officer’s Certification:

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Contracting Officer

Digitally signed by

-07'00'