Redacted_J A_MWR_ICP.pdf

JUSTIFICATION & APPROVAL (J&A) FOR FEDERAL ACQUISITION

REGULATION (FAR) SUBPART 16.5 ACQUISITIONS

EXCEPTION TO FAIR OPPORTUNITY

Multiple Award Schedule (MAS)/ Multiple Award Contract (MAC) Orders under MAC/ Fair Opportunity – FAR 16.505, Department of Defense (DoD) FAR Supplement 216.505-70, Procedures, Guidance and Information 216.505-70

Purchase Request Number: To be determined (TBD) Contract Number: GS00Q12NRD4006 Task/Delivery Order Number: CS20010 Procurement Title: Morale, Welfare, and Recreation Internet Café Program (MWR ICP) Contracting Office: Defense Information Technology Contracting Organization (DITCO) – Scott Air Force Base Estimated Value: $22,663,693.97 Authority: FAR 16.505(b)(2)(i)(B)

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

Number: JA15-090

Upon the basis of the following justification, I, as the Head of the Contracting Activity, hereby approve this exception to fair opportunity pursuant to the authority of FAR 16.505(b)(2)(i)(B), only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

a. Requiring Agency:

Defense Information Systems Agency (DISA) Infrastructure Development Directorate (ID) 6914 Cooper Avenue Fort Meade, MD 20755

b. Contracting Office:

DISA/DITCO-Scott 2300 East Drive, Building 3600 Scott Air Force Base, IL 62225

2. NATURE/DESCRIPTION OF ACTION(S):

a. This action is to issue a follow-on sole source contract to DRS Technical Services Inc.

using the Custom Satellite Communications (SATCOM) Solutions (CS2) indefinite delivery/indefinite quantity contract, GS00Q12NRD4006, to continue the MWR ICP services currently provided under the Space and Naval Warfare (SPAWAR) firm fixed price (FFP) contract, N65236-12-D-4112. The current period of performance of contract N65236-12-D-4112 expires on October 19, 2015, through a contract extension utilizing FAR clause 52.217-8, Option

MWR ICP – JA15-090

Page 2 of 6 Pages to Extend Services, executed by SPAWAR. It is understood that SPAWAR will issue a final task order for 6 months, extending the services through April 18, 2016.

b. The proposed DISA stand-alone FFP contract will be awarded to DRS to continue current

MWR ICP tasks as well as additional tasks described in the Performance Work Statement (PWS). This continued support from the service provider is sought for a 6-month base period plus two 3-month option periods. The Government anticipates that no additional sole source actions will follow, as this contract is intended to keep the current service operating while a competitive acquisition for a replacement service is accomplished via full and open competition.

c. The total estimated cost of this sole source contract award is $22,663,693.97 for a base period estimated to be April 1, 2016, through October 18, 2016, followed by two 3-month option periods through April 18, 2017. Although option periods will be included in this sole source contract, DISA’s intent is to have the competitive follow-on contract awarded before option periods are fully utilized. The base year of this requirement will be funded with FY16 Operations and Maintenance funding provided by Office of the Secretary of Defense (OSD) MWR. MWR ICP services are primarily funded by OSD with some direct telephony costs paid directly to the service provider (contractor) by deployed customers. The applicable North American Industry Classification System code is 517410 ($32.5 million).

3. DESCRIPTION OF SUPPLIES/SERVICES:

a. The MWR ICP provides voice, video, and data (internet) services via non-global information grid satellite services to deployed service members and authorized personnel who use the MWR Internet Cafés (ICs) in the Middle East with an option to provide these services in Afghanistan. The particular support services required are:

• Satellite Services and Network Transition

• Program Management

• System Engineering

• Technical Support

• Systems Implementation

• Testing and Evaluation

• Life-cycle Logistics Support

b. The period of performance includes a base period, estimated to be April 1, 2016, through

October 18, 2016, followed by two 3-month option periods through April 18, 2017, as follows:

Periods of Performance Performance Dates Estimated Cost Base Period April 1, 2016 through October 18, 2016 $11,331,846.99 3-Month Option Period 1 October 19, 2016 through January 18, 2017 $5,665,923.49 3-Month Option Period 2 January 19, 2017 through April 18, 2017 $5,665,923.49

4. SUPPORTING RATIONALE, INCLUDING A DEMONSTRATION THAT THE

PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR THE NATURE OF THE

ACQUISITION REQUIRES USE OF AN EXCEPTION TO FAIR OPPORTUNITY:

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a. The following exception applies to fair opportunity in accordance with FAR

16.505(b)(2)(i)(B), only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique of highly specialized.

b. OSD, in Joint Publication 1, authorized the installation of ICs to provide voice, video, and data services to service members deployed in Afghanistan and the Middle East to make long distance telephone calls and access the internet and email to maintain contact with family and loved ones. The minimum services required are: program management, communications services and network transition, systems engineering, technical support, systems implementation, testing and evaluation, and life cycle logistics support.

c. A sole source contract is required to ensure continued critical support and services by the

MWR ICP services provider, DRS, to 94 Internet Cafés and thousands of users in the Central Command (CENTCOM) Area of Responsibility (AOR). CENTCOM and OSD have reiterated the criticality of this high visibility warfighter support service and the resulting requirement to have no service gap during the transition of program management responsibilities from SPAWAR to DISA. In order to avoid any disruption in service and progress towards a new full and open acquisition, a sole source contract to DRS is the only practical alternative. DRS is the current contractor and best positioned to continue the IC services. Currently, DITCO anticipates having the full and open acquisition awarded by September 2016. The period of performance would begin in October 2016.

d. For the past eight years, DRS has partnered with SPAWAR on the ICP, consistently receiving excellent Contractor Performance Assessment Report evaluations every year. In this capacity, and as the only incumbent to retain the ICP contract over multiple iterations, DRS has helped the Government evolve a mature and stable architecture that provides an integrated end-to-end service to deployed service members in the CENTCOM AOR. At the height of the ICP, DRS installed 1,155 Internet Cafés; fielded more than 9,000 personal computers and 4,000 phones; integrated cyber defense; protected Personally Identifiable Information (PII);

implemented Wide Area Network optimization solutions; and designed the first ICP Wi-Fi “Bring Your Own Device” environments supporting more than 150,000 deployed warfighters.

Additionally, DRS currently provides ICP Network Operations Center (NOC) support in Stuttgart, Germany; however, the NOC under the new contract will be located in the contiguous United States. DRS has simultaneously supported more than 150,000 deployed warfighters in a turnkey service-oriented model while frequently operating in hazardous and austere conditions.

e. There are many businesses that could provide the ICP required services, as identified in responses to a Request for Information (RFI). However, a follow-on contract to the incumbent, DRS, is the only means to avoid a service transition which, together with time required to competitively award a new contract, would create a gap in service. This award is intended only to provide DISA additional time to compete and award a new MWR ICP contract, based on the remaining period of performance of the current SPAWAR contract and task order. Other contractors would have significant difficulties taking over the ICP for 6 months. Transitioning the current sites with multiple teams in Afghanistan and other parts of the Middle East would

Page 4 of 6 Pages take 3-4 months. By then, a new contractor would have to start another transition to a different contractor if they were not awarded the competitive follow-on contract. Awarding this contract to a new contractor for 6 months is not productive, cost effective, nor in the best interest of the Government. The total cost that can be avoided by awarding a sole source contract to DRS is $6.047 million, which is based on estimated dual operations and transition costs. In order to prevent a disruption in service until a new contract is solicited and awarded, DRS is the only viable candidate.

f. The intent of this contract is to ensure the ICP has no gap or disruption in service. Other issues that hinder an award are:

i. If a new contractor has a different transmission solution (different satellites, low noise block down converter, etc.), there would be an added cost to keep two systems active during the transition.

ii. Service members buy minutes to use the IC phone system, and there could be a potential interruption in service if a new contractor is selected.

5. COST/PRICE FAIR AND REASONABLE DETERMINATION:

The Contracting Officer will determine whether DRS Technical Services’ proposed price is fair and reasonable before award, and other than certified cost and pricing data will be requested from the contractor at the time of solicitation. Evaluation of the supporting price documentation will be analyzed. Also, contractor-proposed pricing will be compared to the IGCE and other contracts for similar services. Based on this analysis, the contracting officer will determine whether the proposed price is fair and reasonable.

6. MARKET RESEARCH:

Market research indicates several companies have similar services that may meet some or all of the requirements for this effort, but a competitive contract cannot be awarded in time to complete a service transition before the current MWR ICP contract expires. Therefore, a sole source contract to DRS is the only viable solution.

7. ANY OTHER SUPPORTING FACTS:

To avoid the unacceptable gap in service and to provide sufficient time for full and open competition of the long-term requirement, DISA must award a short-term contract to fill the gap.

This action will facilitate fair market competition and encourage innovative and cost-effective solutions.

8. ACTIONS THE AGENCY MAY TAKE TO REMOVE OR OVERCOME BARRIERS

THAT LED TO THE EXCEPTION TO FAIR OPPORTUNITY:

a. Procurement History.

i. Contract Number: N65236-12-D-4112

ii. Award Date: August 3, 2011

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iii. Contract Type: Indefinite delivery/indefinite quantity, performance-based, single-award service and supply contract

iv. Incumbent and their size: DRS Technical Services Inc./Large Business

v. Method of previous acquisition: Full and open competition.

b. The Government anticipates that no additional sole-source actions will follow as the

Government will award a competitive follow-on contract.

9. REFERENCE TO THE APPROVED ACQUISITION PLAN (AP):

This action is under the dollar threshold requiring an AP.

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TECHNICAL CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J&A are accurate and complete to the best of my knowledge and belief.

NAME: Ms. Tammie Bennett SIGNATURE: //signed PDF//

TITLE/ORGANIZATION: Deputy, ID

PHONE: 301-225-2313 DATE: May 22, 2015

REQUIREMENTS CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J&A are accurate and complete to the best of my knowledge and belief.

NAME: Mr. Jack Wilmer SIGNATURE: //signed PDF//

TITLE/ORGANIZATION: Infrastructure Development Executive, ID

PHONE: 301-225-5799 DATE: June 1, 2015

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

NAME: Crista N. Decker SIGNATURE: //signed PDF//

TITLE/ORGANIZATION: Contracting Officer/DISA/DITCO

PHONE: 618-229-9491 DATE: June 4, 2015

HEAD OF THE CONTRACTING ACTIVITY APPROVAL: I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief. Since this justification does not exceed $85.5M, this review serves as approval.

NAME: Douglas W. Packard SIGNATURE: //signed PDF//

TITLE/ORGANIZATION: Head of the Contracting Activity/DISA PLD

PHONE: 301-225-4120 DATE: March 21, 2016

ALL QUESTIONS REGARDING THIS JUSTIFICATION ARE TO BE REFERRED TO: Lynn Buss, Contract Specialist, at lynn.m.buss.civ@mail.mil or 618-229-9514.

mailto:lynn.m.buss.civ@mail.mil