DAI Noetix JA_Redacted.pdf

DEFENSE LOGISTICS AGENCY

CONTRACTING SERVICES OFFICE

700 ROBBINS AVENUE

PHILADELPHIA PENNSYLVANIA, 19111

CUI / Source Selection Sensitive Information, see FAR 2.101 and 3.104

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

1. IDENTIFICATION OF THE AGENCY AND CONTRACTING ACTIVITY.

Requiring Activity:

Defense Logistics Agency (DLA) DLA Information Operations (J6) Defense Agencies Initiative (DAI) 501 Columbia Pike Falls Church, VA 22041

Contracting Activity:

DLA Contracting Services Office - Philadelphia (DCSO-P) 700 Robbins Avenue Philadelphia, PA 19111

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED.

Pursuant to Federal Acquisition Regulation (FAR) 6.302-1(c), this Justification and Approval authorizes and approves the use of other than full and open competition for the acquisition of brand-name specific Noetix software maintenance support for the Department of Defense (DoD) Defense Agencies Initiative (DAI) Program Management Office (PMO). The subject requirement will be issued as a commercial acquisition in accordance with FAR Part 12.

The period of performance for this requirement will consist of a 12-month base period, and two 12-month option periods as follows:

Base Year: December 31, 2022, to December 30, 2023 Option Year One: December 31, 2023, to December 30, 2024 Option Year Two: December 31, 2024, to December 30, 2025

An award of a firm-fixed price contract is contemplated.

Controlled by: DLA DCSO Philadelphia CUI Category: General Procurement and Acquisition / Source Selection Information see FAR 2.101 & 3.104

Distribution/Dissemination Controls: DISPLAY ONLY POC: Shannon.Collins@dla.mil / 215-737-5734

JUSTIFICATION AND APPROVAL – Noetix Software Maintenance Support

3. A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS (INCLUDING THE ESTIMATED VALUE).

DLA has a requirement for Noetix software maintenance to its existing software licenses in support of the DAI program. The Noetix software provides a standard reporting and inquiry capability and supports multiple environments that make it easy to query, modify, and execute reports using the Oracle Business Intelligence Enterprise Edition (OBIEE) presentation tool.

The Noetix software tool also allows the DAI PMO to continue to provide critical financial and procurement services to the DoD Business Mission Area (BMA). The proposed acquisition is for a firm-fixed price purchase of software maintenance support to be competed amongst Magnitude Software (formerly Noetix Corporation) and its authorized resellers. The requirement is as follows:

Base Period: 31 Dec 2022 to 30 Dec 2023

Item Number

Mfg. Part # Product Description Use / Term Quantity / Unit

0001 2365.01SS-E Noetix for Oracle Applications -Contract Lifecycle Management - Unlimited Instances

Unlimited Use 1 Year

1 - each

0002 1732-E Noetix for Oracle Applications

- Federal Financials - Unlimited Instances

Unlimited Use 1 Year

1 - each

0003 1742-E Noetix for Oracle Applications

- Time and Labor - Unlimited Instances

Unlimited Use 1 Year

1 - each

0004 1140SS-E Noetix Views User Fee - Unlimited Casual Users

Unlimited Use 1 Year

1 - each

0005 1200.01SS Noetix for Oracle Applications

- Financials Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

0006 1200.05SS Noetix for Oracle Applications

- Procurement - Unlimited Instances

Unlimited Use 1 Year

1 - each

0007 1530.01SS Noetix for Oracle Applications

- Projects Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

0008 1685.05SS Noetix for Oracle Applications

- Noetix Generator for OBI - Enterprise License

Unlimited Use 1 Year

1 - each

0009 1941.04SS Noetix for Oracle Applications

- Global Views- Enterprise License

Unlimited Use 1 Year

1 - each

0010 803.02.05-SS Search - Enterprise License Unlimited Use

1 - each

0011 2015.03SS Noetix for Oracle Applications

- Noetix Workbench Standard Support - 1 year

Unlimited Use

Option Period 1: 31 Dec 2023 to 30 Dec 2024

Item Number

Mfg. Part # Product Description Use / Term Quantity / Unit

1001 2365.01SS-E Noetix for Oracle Applications - Contract Lifecycle Management

- Unlimited Instances

Unlimited Use 1 Year

1 - each

1002 1732-E Noetix for Oracle Applications - Federal Financials - Unlimited Instances

Unlimited Use 1 Year

1 - each

1003 1742-E Noetix for Oracle Applications - Time and Labor - Unlimited Instances

Unlimited Use 1 Year

1 - each

1004 1140SS-E Noetix Views User Fee - Unlimited Casual Users

Unlimited Use 1 Year

1 - each

1005 1200.01SS Noetix for Oracle Applications - Financials Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

1006 1200.05SS Noetix for Oracle Applications - Procurement - Unlimited Instances

Unlimited Use 1 Year

1 - each

1007 1530.01SS Noetix for Oracle Applications - Projects Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

1008 1685.05SS Noetix for Oracle Applications - Noetix Generator for OBI - Enterprise License

Unlimited Use 1 Year

1 - each

1009 1941.04SS Noetix for Oracle Applications - Global Views- Enterprise License

Unlimited Use 1 Year

1 - each

1010 803.02.05-SS Search - Enterprise License Unlimited Use 1 Year

1 - each

1011 2015.03SS Noetix for Oracle Applications - Noetix Workbench Standard Support - 1 year

Unlimited Use

Option Period 2: 31 Dec 2024 to 30 Dec 2025

Item Number

Mfg. Part # Product Description Use / Term

Quantity / Unit

2001 2365.01SS-E Noetix for Oracle Applications - Contract Lifecycle Management - Unlimited Instances

Unlimited Use 1 Year

1 - each

2002 1732-E Noetix for Oracle Applications - Federal Financials - Unlimited Instances

Unlimited Use 1 Year

1 - each

2003 1742-E Noetix for Oracle Applications - Time and Labor - Unlimited Instances

Unlimited Use 1 Year

1 - each

2004 1140SS-E Noetix Views User Fee - Unlimited Casual Users

Unlimited Use 1 Year

1 - each

2005 1200.01SS Noetix for Oracle Applications - Financials Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

2006 1200.05SS Noetix for Oracle Applications - Procurement - Unlimited Instances

Unlimited Use 1 Year

1 - each

2007 1530.01SS Noetix for Oracle Applications - Projects Bundle - Unlimited Instances

Unlimited Use 1 Year

1 - each

2008 1685.05SS Noetix for Oracle Applications - Noetix Generator for OBI - Enterprise License

Unlimited Use 1 Year

1 - each

2009 1941.04SS Noetix for Oracle Applications - Global Views- Enterprise License

Unlimited Use 1 Year

1 - each

2010 803.02.05-SS Search - Enterprise License Unlimited Use 1 Year

1 - each

2011 2015.03SS Noetix for Oracle Applications - Noetix Workbench Standard Support - 1 year

Unlimited Use

The estimated dollar value is , inclusive of all option periods.

4. IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING OTHER

THAN FULL AND OPEN COMPETITION.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1(c), only one responsible source is capable of satisfying the Agency’s requirements. The required Noetix software maintenance support is a brand-name product peculiar to one manufacturer, Magnitude Software.

5. A DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUISITION REQUIRES USE OF

THE AUTHORITY CITED.

In accordance with FAR 6.302-1(c)(1), brand-name Noetix software maintenance support is essential to the Government’s requirement because the supplies or services required by the Agency are available from only one responsible source, and no other type of support will satisfy the Agency’s needs.

The brand-name software maintenance support required by the Government is only available from Magnitude Software and authorized resellers of Noetix products. Notably, a brand-name item, whether available on one or more contracts, is an item or service peculiar to one manufacturer and may be procured by the Government if essential to the Government’s requirements. As discussed in detail below, because the Noetix brand-name specification is essential to the Government’s requirements, the Government is precluded from consideration of products or services provided by an alternative source.

The DAI Program Management Office requires continued maintenance support for the existing Noetix software licenses for its current enterprise computing environment. The DAI Program is a critical DoD effort to modernize the 28 Defense Agencies’ financial management capabilities.

The DAI Program’s objective is to achieve auditable Chief Financial Officer (CFO) compliant business environments with accurate, timely, authoritative financial data. The mission is to deploy a standardized system solution to improve overall financial management to comply with the DoD’s Business Enterprise Architecture (BEA), including Standard Financial Information Structure (SFIS) and Office of Federal Financial Management (OFFM) requirements.

The Noetix software maintenance support comprising this requirement is essential to the Government’s needs because only software maintenance support provided by the manufacturer, Magnitude Software, or authorized resellers of Noetix products, is compatible with DLA’s existing Noetix software licenses, which support DAI PMO’s existing software environment using the Oracle EBS suite of tools. Therefore, it is essential that DLA acquire/renew the maintenance support on the Noetix software licenses for its existing software products to ensure continuity of operations and system integrity and maintain security of the DAI infrastructure.

Additionally, Noetix software maintenance support is the only product that can provide the proprietary software updates, patches, and necessary support for the Noetix software licenses currently in use.

Magnitude Software and its authorized resellers are the only providers of the required maintenance support for Noetix software products; therefore, they are the only sources capable of providing the required supplies/services. No other company’s software maintenance support can meet, or can be modified to meet, the Agency’s requirement.

6. A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE

SOLICITED FROM AS MANY POTENTIAL SOURCES AS PRACTICABLE,

INCLUDING WHETHER A NOTICE WILL BE PUBLICIZED AS REQUIRED BY

SUBPART 5.2 AND, IF NOT, WHICH EXCEPTION UNDER 5.202 APPLIES.

Based upon market research (discussed in Section 8 below), it has been determined that only brand-name Noetix support can fully meet the Government’s requirement.

This requirement will be synopsized and posted on SAM.gov. Magnitude Software and its authorized resellers will be given an opportunity to submit an offer.

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE.

As the Contracting Officer, I hereby determine that pricing will be fair and reasonable based on price analysis in accordance with FAR 15.404-1. It is anticipated that the Government will use various price analysis techniques, including:1) comparison of proposed prices received in response to the solicitation; 2) comparison with competitive published price lists, published market prices of commodities, similar indexes, and discount or rebate arrangements; 3) comparison of the proposed prices to historical prices paid, whether by the Government or other than the Government, for the same or similar items; and/or 4) comparison of the proposed price to the Independent Government Cost Estimate (IGCE). The Contracting Officer will evaluate and determine prices to be fair and reasonable prior to award.

8. A DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10)

AND THE RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH

WAS NOT CONDUCTED.

In August 2022, Strategic Vendor Management conducted market research via an email request of quotes from Magnitude Software and its known resellers. Two resellers, Insight Software and Aderas, Inc., are the only sources of the required Noetix software maintenance that responded.

Both Insight Software and Aderas, Inc. are small businesses. Because there is a reasonable expectation that offers will be obtained from at least two small business concerns, the solicitation will be issued as a 100% small business set aside.

9. ANY OTHER FACTS SUPPORTING THE USE OF FULL AND OPEN

COMPETITION.

N/A

10. A LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN

INTEREST IN THE ACQUISITION.

Insight Software Aderas, Inc.

11. A STATEMENT OF THE ACTIONS, IF ANY, THE AGENCY MAY TAKE TO

REMOVE OR OVERCOME ANY BARRIERS TO COMPETITION BEFORE ANY

SUBSEQUENT ACQUISITION FOR THE SUPPLIES AND SERVICES REQUIRED.

Noetix software is so imbedded into the DAI systems that this barrier to competition cannot be removed absent an overhaul of the current infrastructure. At this time, Noetix maintenance support is the only product that will support this requirement and meet the Government's needs.

However, DLA has exercised, and continues to exercise, competition as often as possible and is required to conduct ongoing reviews to keep abreast of new technology, both in industry and in the Government. DLA uses a variety of vendors, manufacturers, and contracts/orders to fulfill its requirements and will continue its practice of surveying the market to ensure full and open competition to the maximum extent practicable.

12. CERTIFICATIONS

Technical or Requirements Certification:

I hereby certify that the supporting data provided for which I’m responsible and which form a basis for this justification is complete and accurate.

DATE

Strategic Vendor Management (J6TE)

Contracting Officer’s Certification and Approval:

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

Contracting Officer DSCO-Philadelphia

I have reviewed and concur with this justification.

Supervisory Contract Specialist DLA Contracting Services Office – Philadelphia (DCSO-P)

Competition Certification:

I have reviewed and approve this justification.

Competition Advocate DLA Contracting Services Office

ATTACHMENTS:

ATTACHMENT 1 – BILL OF MATERIALS (BoM)