CUI JA25-024 822469943 Southeast US Dark Fiber OM.Redacted.pdf

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Attached to
Dark Fiber Operation and Maintenance Support
Solicitation number
HC101325C0003
Issued by

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This document is a Justification for Other Than Full and Open Competition (OTFAOC) for the Department of Defense (DoD) Information Network (DODIN) Southeast U.S. Dark Fiber Operations and Maintenance (O&M) contract. The Defense Information Systems Agency (DISA) seeks a sole-source follow-on contract with Peraton for continued O&M and program management services for a dark fiber network, currently provided under contract HC1047-15-C-4006 and expiring on June 14, 2025. The contract will consist of a one-year base period with two one-year option periods, commencing on June 15, 2025, and ending on June 14, 2028.

The justification highlights Peraton's unique qualifications, including ownership of the fiber infrastructure through a 25-year Indefeasible of Use (IRU) agreement and exclusive access to the facilities. The government argues that implementing the requirements with a different company would take a minimum of three years and result in significant cost duplication. A combined Notice of Intent-Sources Sought was posted to SAM.gov on June 13, 2024, with potential interested companies required to submit their interest by June 28, 2024. The Contracting Officer will post this Justification & Approval to SAM.gov within 14 days of award, with market research indicating that only Peraton can fully meet the government's operational mission needs for the Southeast U.S. dark fiber network.

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CUI

Template updated March 2024

JUSTIFICATION FOR OTHER THAN FULL AND

OPEN COMPETITION (OTFAOC)

Federal Acquisition Regulation (FAR) Part 6 Justification & Approval (J&A), Supporting Procurements under FAR Part 12, and FAR Part 15

Purchase Request Number:

Contract Number: To Be Determined (TBD) Task/Delivery Order Number: Not Applicable (N/A) Procurement Title: Department of Defense (DoD) Information Network (DODIN) Southeast U.S. Dark Fiber Operations and Maintenance (O&M) Estimated Value:

Statutory and Regulatory Authority: 10 U.S.C. 3204(a)(1) and FAR 6.302-1

Justification for OTFAOC Number: JA25-024

Upon the basis of the following justification, I, as Head of the Contracting Activity, hereby approve the use of other than full and open competition of the proposed contractual action pursuant to the authority of FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.

1. REQUIRING AGENCY AND CONTRACTING ACTIVITY:

Requiring Agency:

Defense Information Systems Agency (DISA) Acquisition Directorate, Program Executive Office Transport Transport Division (IE1) Fort Meade, Maryland 20755-0549

Contracting Activity:

DISA/Defense Information Technology Contracting Organization (DITCO) PS8231 2300 East Drive, Building 3600 Scott Air Force Base, Illinois 62225-5406

2. NATURE/DESCRIPTION OF ACTION(S):

This J&A is to obtain approval for issuance of a sole source follow-on award for continued O&M and Program Management services for the DODIN Southeast dark fiber network currently provided on the existing HC1047-15-C-4006 contract, expiring June 14, 2025. The initial support for this requirement was provided via various contracts, as discussed below, to include a 25-year Indefeasible of Use (IRU) agreement with Peraton Government Communications Inc.

(Peraton), which provided exclusive use of the fiber assets. Issuing a follow-on contract for O&M services will allow the Government to continue receiving exclusive use and access of the infrastructure.

Page 1 of 7 Pages Controlled By: DISA Controlled By: IE16 CUI Category: Procure POC: Michael Giles 301-225-2429/michael.a.giles2.civ@mail.mil

JA25-024 SOUTHEAST U.S. DARK FIBER OPERATION AND MAINTENANCE

Page 5 of 7 Pages operations and/or acquisition of a new fiber IRU. Although there are other large companies that provide and install fiber cable, implementation that meets the specific requirements with a different company is estimated to take a minimum of three years. This gap would create an unacceptable break in services, in addition to the significant duplication in costs previously expended to obtain the current fiber. The initial investment for the IRU has been expended to Peraton and using any other source would require a new IRU acquisition. Additionally, sole source award pricing under similar dark fiber O&M contracts indicates comparable monthly fiber O&M pricing. While pricing can vary depending on terrain and/or location, research found that average per mile rate estimates of comparable requirements were comparable to Peraton.

Based on market research dated June 2024, it has been determined that only the product and/or product support from Peraton can fully meet the Government’s need. Peraton is the only contractor uniquely positioned to meet the stated operational mission needs. Peraton owns or controls access to the facilities where all the equipment is located for the existing fiber network and no other competitor is permitted access. This is standard protocol for any telecommunications provider with a facilities-based environment.

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 provides the same functionality, the original equipment manufacturer releases ownership rights of product, or it is economically feasible to procure a new system.

9. ANY OTHER SUPPORTING FACTS:

None

10. LISTING OF INTERESTED SOURCES:

Peraton

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

THAT LED TO THE EXCEPTION TO FULL AND OPEN COMPETITION:

(a) Procurement History.

(1) Contract Number: DCA100-03-C-4058 Contract Type: Firm Fixed Price Incumbent and their size and CAGE: CapRock Government Solutions, Inc, Small Business (later novated to Peraton); Cage Code OUF45 Method of previous acquisition: Competitive Period of performance: June 3, 2003 – October 14, 2014

(2) Contract Number: HC1047-15-C-4002 Contract Type: Firm Fixed Price Incumbent and their size and CAGE: Peraton Government Communications Inc, Large Business; Cage Code OUF45 Method of previous acquisition: Bridge Contract Award

Page 6 of 7 Pages

JA25-024 SOUTHEAST U.S. DARK FIBER OPERATION AND MAINTENANCE

CUI

Period of performance: October 15, 2014 – June 14, 2015

(3) Contract Number: HC1047-15-C-4006 Contract Type: Firm Fixed Price Incumbent and their size and CAGE: Peraton Government Communications Inc, Large Business; Cage Code OUF45 Method of previous acquisition: Sole Source Award Period of performance: June 15, 2015 – June 14, 2025

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