CUI - JA24-034_WHCA SPECIAL V_842468745_HCA_Redacted.pdf

JA24-034 Sustaining Presidential Emergency Cellular Interoperability and Logistics – Verizon Wireless

Page 1 of 8 Pages Controlled By: DISA Controlled By: PSD/PS8414 CUI Category: PROCURE Distribution/Dissemination Control: FEDCON POC: angela.k.zang.civ@mail.mil

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LIMITED SOURCE JUSTIFICATION

FEDERAL ACQUISITION REGULATION (FAR) PART 8 ACQUISITIONS

Multiple Award Schedule (MAS)/Multiple Award Contract Orders under MAS/General Services Administration Schedules (GSA)/Federal Supply Schedules

(FSS) FAR 8.405-6

Purchase Request Number: To be determined (TBD) Contract Number: TBD Task/Delivery Order Number: TBD Procurement Title: Sustaining Presidential Emergency Cellular Interoperability and Logistics – Verizon Wireless Estimated Value:

Statutory and Regulatory Authority: 10 U.S.C. 3204(a) and FAR 8.405-6(a)(1)(i)(B)

Justification & Approval (J&A) Number: JA24-034

Upon the basis of the following justification, I, as Head of the Contracting Activity (HCA), hereby approve this limited source justification pursuant to the authority of 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. The acquisition referenced herein is conducted under the Statutory Authority of the MAS Program, 41 U.S.C. 152(3).

1. REQUIRING AGENCY AND CONTRACTING ACTIVITY:

Requiring Agency:

White House Communications Agency (WHCA) 2743 Defense Boulevard Southwest Washington, D.C. 20373

Contracting Activity:

Defense Information Technology Contracting Organization (DITCO)/PS8414 2300 East Drive, Building 3600 Scott Air Force Base, Illinois 62225

2. NATURE/DESCRIPTION OF ACTION(S) BEING APPROVED:

(a) The nature of this action is to establish a primary cellular provider for mobile devices and cellular services in support of WHCA. WHCA has the Emergency Actions Mission to provide wireless devices and cellular services in support of the entire Presidential

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equipment also has the backwards capability to still function with fourth-generation (4G) Long- Term Evolution (LTE) technologies domestically utilizing radio frequency band 13,700 megahertz (MHz) LTE network with a minimum of 4G wireless coverage. Services supplied must have international cellular services in the most locations around the globe. In addition to these devices and services, WHCA requires associated equipment, data analysis (e.g., usage reports), and support services. Associated equipment includes smart wireless handheld devices (e.g., mobile phones, tablets, smart watches), air cards, proprietary accessories, network extenders, and future technology advancements. Support services include providing advanced level support for trouble ticket issues such as call quality or call dropping. EOP users fall under the Presidential Records Act of 1978; all written records made by these users have to be captured and stored in the National Archives. All text messages these users make on their wireless devices must be collected via a message archiving service.

4. IDENTIFICATION OF LIMITED SOURCE AUTHORITY AND SUPPORTING

RATIONALE:

(a) Circumstances Justifying Limiting the Source. 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.

(b) Description of the Justification.

Verizon Wireless is the only cellular provider that utilizes 5G 24GHz and 53GHz channels, band 13,700MHZ LTE services, and covers the most countries, with 254 uniquely identified locations worldwide. Only one source (Verizon Wireless) is capable of providing the continued support services to this equipment at the current superior level of quality, as the equipment systems deployed are unique and highly specialized to provide the required cellular signals for safeguarding of the U.S.

(c) Justification:

(1) Minimum Government requirements. The minimum Government requirement effort is to procure wireless devices, cellular and data services, associated equipment, and support services that offer the required domestic and international capabilities.

The services include cellular voice and data coverage at maximum of 5G on 24GHz and 53GHz channels and a minimum speed of 4G, using band 13,700MHz LTE

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domestically, and a minimum of voice coverage internationally. In addition to these devices and services, WHCA requires associated equipment, data analysis (e.g., usage reports) and support services. Anticipated equipment includes smart wireless handheld devices (e.g., mobile phones, tablets, smart watches), air cards, proprietary accessories, network extenders, and future technology advancements. Support services include providing advanced level support for trouble ticket issues such as call quality or call dropping. EOP users fall under the Presidential Records Act of 1978;

all written records made by these users have to be captured and stored in the National Archives. All text messages these users make on their handheld devices must be collected via a message archiving service. All-inclusive unlimited global rate plans must be at a set flat cost.

(2) Proposed sole source contractor. The proposed sole source contractor is Verizon

Wireless, as they are the only commercial wireless service provider capable of meeting the Government's requirements

(3) Discussion regarding cause of the limited source situation. WHCA's entire current 5G and LTE-based inventory is Verizon Wireless, using 24GHz and 53GHz channels and band 13,700MHz LTE. An essential feature of the requirement is that the cellular service must be compatible with this inventory. Verizon Wireless is the only wireless provider doing business with the Government that provides this coverage in the continental U.S. In addition to their coverage reaching approximately 98% of Americans over 2.4 million square miles with its 4G/5G LTE Network, WHCA has installed numerous cellular signal boosting augmentation equipment in critical locations that support its users to ensure they have the best signal strength. As the cellular signal boosting augmentation equipment is proprietary to Verizon Wireless, the cellular signal boosting augmentation equipment only functions on 24GHz and 53GHz channels and band 13,700MHz LTE service. Verizon Wireless is the only cellular provider that utilizes 24GHz and 53GHz channels and band 13,700 MHZ LTE services. The ability to communicate anytime and anywhere cannot be overstated, as this directly affects the governance of the country and the safety and security of the President, Vice President, First Lady, Senior Cabinet members and their staffs. Domestic coverage is a key factor for WHCA, as they provide 24-hour, 7 days a week, domestic communication support for the PITC who may be conducting business anywhere in the U.S. Furthermore, WHCA requires a provider that permits roaming around the world, in the most locations possible. Verizon Wireless provides international coverage to the most countries (254) of the three major national providers.

(4) Demonstration of limited source. Verizon Wireless is unique in that they are the only cellular provider that utilizes 5G services using 24GHz and 53GHz channels and band 13,700MHz LTE while having the largest global roaming footprint, and compatible with the cellular signal boosting augmentation equipment. No other cellular provider can meet these needs.

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(5) Procurement discussion. Procurement of Verizon Wireless' wireless devices and cellular services are required to support the PITC with a primary solution for the safeguarding of the U.S. Verizon Wireless services have been previously procured since 2013 and currently in place with proven success to fulfill WHCA's mission.

(6) Impact. If these services are not awarded to Verizon Wireless, it will jeopardize

WHCA's global mission to support the President's, Vice President's, First Lady's, and Senior Cabinet members' domestic and international travel requirements. This will directly impact the governance of the country and the safety and security of the U.S.

If the President and his immediate Senior Staff did not have their functional Verizon Wireless communications devices, they would be severely limited and restricted in conducting their role as Commander in Chief to the U.S. armed forces that they direct. With limited access to land line services in certain locations, cellular communications become the primary means of voice and data transport for White House Senior Staff to make important coordination and directive decisions that directly impact the safety of all American citizens in the U.S. When traveling international, user's direct access to safe and reliable landline-based communication services is even more limited, thus making the need for reliable cellular voice and data devices to function in as many global cellular markets critical to the success of their given missions. For the safety of the users, being able to communicate in both domestic and international locations with cellular devices that can track their location helps maintain accountability of personnel in critical situations.

5. BEST VALUE DETERMINATION:

(a) A determination will be made by the Contracting Officer that issuing the subject task order represents the best value to the Government IAW FAR 8.404(d). By establishing a task order against a schedule contract using the procedures in Part 8, the ordering activity has concluded that the task order represents the best value (as defined in FAR 2.101) and results in the lowest overall cost alternative (considering price, special features, administrative costs, etc.) to meet the Government's need.

(b) GSA has already determined that prices of supplies, fixed price services, and rates for services offered are fair and reasonable for the purpose of establishing the schedule contract. However, the Contracting Officer will make an independent determination of fair and reasonable pricing for this task order using the proposal analysis techniques at FAR 15.404-1. The complexity and circumstances of this requirement will determine the level of analysis and the techniques used to determine the proposed price is fair and reasonable. Such methods include those identified as follows:

(1) FAR 15.404-l(b)(2)(ii), comparison of the proposed prices to historical prices paid, whether by the Government or other than the Government, for the same or similar items.

(2) FAR 15.404-1 (b)(2)(iv), comparison with competitive published price lists, Page 6 of 8 Pages

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published market prices of commodities, similar indexes, and discount or rebate arrangements.

6. MARKET RESEARCH:

(a) Market research was conducted from August 2023 through January 2024 by requesting information from three major U.S. based cellular providers, discussing the requirement with several cellular experts and knowledgeable individuals in Government and industry, reviewing data from previous acquisitions, reviewing current contracts, reviewing DISA-wide contract vehicles and other Government-wide acquisition contracts, and reviewing provider websites to determine potential sources.

(b) Market research was further conducted to determine if another company’s products and services can meet the Government’s needs. WHCA determined that no other cellular carrier operating in the domestic U.S. are able to support 5G services using 24GHz and 53GHz channels and band 13,700MHz LTE, and therefore they could not meet the requirement. Verizon Wireless carrier specifications confirmed they could fully meet the Government's requirement. No other carrier is compatible with the multitude of signal enhancing equipment that Verizon Wireless has deployed in numerous areas around the U.S. in support of PITC. Finally, no other carrier has a larger global footprint with roaming in as many countries as Verizon. Thus, market research revealed no other party, to include small businesses, could offer the required products and services.

(c) The next step in the market research was to determine procurement method. The

Department of Navy Indefinite Delivery, Indefinite Quantity MAC Spiral 3 contracts were reviewed, but determined not suitable for WHCA’s unique requirements, such as message archiving. They also cannot provide the all-inclusive unlimited global rate plans at a set flat cost.

(d) Based on current market research, dated January 2024, it has been determined that only the aforementioned supply/service and/or product support provided by Verizon Wireless, can fully support the Government's need. This requirement is for proprietary products and/or product support, and no competitor functional replacement products exist in the market at this time to meet the Government's need. The Government will continue to conduct market research to determine if there are changes in the marketplace that would enable future competitive actions; e.g., there are similar products and/or product support in the marketplace that provide the same functionality, the Original Equipment Manufacturer releases ownership rights of product, or it is economically feasible to procure a new system.

7. ANY OTHER SUPPORTING FACTS:

None.

8. ACTIONS THE AGENCY MAY TAKE TO REMOVE BARRIERS THAT LED TO THE

RESTRICTED CONSIDERATION:

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(a) Procurement history.

(1) Contractor: Verizon Wireless

Business size: Large Contract number: GS35F0119P Task order: HC108420F0012 Contract Type: FFP Competition: Sole source Contract vehicle: GSA Federal Supply Schedule, IT Schedule 70, Special Item Number 132-53, Wireless Services PoP: November 21, 2019 – November 20, 2024, consisting of a 1-year base period with 4, 1-year option periods

(2) Contractor: Verizon Wireless

Business size: Large Agreement: OAS-VER-A-15-01 Order: 16 call orders issued between 2018 - 2019 Contract type: FFP Competition: Sole Source Contract vehicle: GSA IT Schedule 70 PoP: December 24, 2014 – December 23, 2019, consisting of a 1-year base period with 4, 1-year option periods

(b) Throughout the year and prior to exercising future option periods, WHCA will continuously monitor, update, and re-assess the commercial marketplace for any advances in technology and coverage areas that would remove competition barriers.

Results have shown that Verizon Wireless currently is the only 5G services provider using 24GHz and 53GHz channels and band 13,700MHz LTE, with the highest coverage domestically and internationally, which is essential to WHCA's mission.

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.