Deloitte JA-2024-04-1140 Modification to 70T04023F7573N008_Final SIGNED 2_Redacted.pdf

Exception to Fair Opportunity FAR Part 16 Authority

JA-2023-04-1140

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by the Federal Acquisition Regulation (FAR) Subpart 16.505 and in accordance with the requirements of FAR 16.505(b)(2), the justification for the use of the statutory authority under FAR Subpart 16.505 is justified by the following facts and rationale required under FAR 16.505(b)(2)(ii)(B) as follows:

1. Agency and Contracting Activity.

The Transportation Security Administration (TSA), Contracting and Procurement (C&P), and Requirements & Capabilities Analysis (RCA) propose to issue a modification to task order 70T04023F7573N008 with Deloitte Consulting LLP to incorporate additional scope on a basis of other than full and open competition in accordance with FAR 16.505(b)(2)(ii)(B), Justification for an Exception to Fair Opportunity.

The Justification and Approval tracking number for this document is JA-2024-04-1140.

2. Nature and/or Description of the Action Being Approved.

This Justification for an Exception to Fair Opportunity sets forth the Agency’s rationale to issue a modification to incorporate additional deliverables to the existing task order scope.

The current task order is for two specialized efforts: Model-Based Systems Engineering (MBSE) and Digital Research, Development, Testing and Evaluation (D-RDT&E). The MBSE scope provides expert-level insight and technical recommendations on best practices to model, digitize, export, and manage TSA’s capability and program requirements baselines across the core aviation transportation security mission areas of Identity Management (IDM), On-Person Screening (OPS), Accessible Property Screening (APS), Alarm Resolution (AR), and checked baggage screening. The D-RDT&E scope is to develop standards-based requirements and cyber guidance and enable the development of digital engineered Research and Development (R&D) proofs of concept to demonstrate next generation approaches to mission capability development.

The modification will include the following:

a) Contractor: Deloitte Consulting LLP 1919 N Lynn St Arlington, VA 22209

b) Type of Action: Modification to increase deliverable count on the D-RDT&E scope.

c) Estimated Modification Amount:

d) Contract Type: Firm Fixed Price

e) Purchase Request: PR247500A074

f) Type of Funding: Precheck Fee Funds

g) Year of Funding: No Year

h) Background Information: See section 5 below.

i) Current Total Task Order Amount: $29,743,039.20

3. Description of Supplies/Services.

TSA requires a modification to task order number 70T04023F7573N008 to incorporate additional deliverables in the D-RDT&E scope of work to fulfill additional reporting requirements. Additional counts of existing deliverables to meet the need for increased frequency in reviews and report submittals due to a surge in activity in the IDM D-RDT&E space is required. This includes expectations that IDM will lead the effort to conduct R&D activities to resolve the National Transportation Vetting Center (NTVC) issue of an increased volume of passengers who need their identity verified in cases where passengers don’t have an acceptable form of ID, and to conduct R&D activities for the acceptance of an ID from private entities that are derived from a passport to help mitigate issues when REAL ID is fully implemented.

4. Identification of Statutory Authority Permitting Other Than Full and Open Competition.

As implemented by FAR Subpart 16.505(b)(2)(i)(B), entitled “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”.

5. Demonstration that the Nature of the Acquisition Requires Use of the Authority Cited.

In accordance with FAR 16.505(b)(2)(i)(B), Deloitte Consulting LLP is the only source that can satisfy the agency requirements. Deloitte Consulting LLP is the only supplier that can provide the technical expertise needed for Model-Based Systems Engineering (MBSE) and Digital Research, Development, Testing and Evaluation (D-RDT&E) as proven by sources sought and the open competition both performed last fiscal year. Additional deliverable requirements will be incorporated to meet program reporting requirements.

6. Description of Efforts Made to Ensure that Offers Are Solicited from as Many Potential Sources as is Practicable.

Currently, Deloitte Consulting LLP in the only company capable of meeting TSA’s requirements for Model-Based Systems Engineering (MBSE) and Digital Research, Development, Testing and Evaluation (D-RDT&E). Deloitte Consulting LLP was the only offeror to submit a response to the competitive solicitation and is the only vendor that has been performing the requirements of this task order. Please see Section 8 below, for further details on the market research conducted prior to award of this task order.

A notice of intent to sole source TSA25-04-0414, was posted to Sam.gov, on August 15, 2024. No vendors responded to the intent to sole source.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The Contracting Officer will determine that the proposed price to the Government is fair and reasonable based on a comparison of historical prices from the current contract.

8. Description of Market Research.

TSA conducted market research prior to award of this task order in 2023. As part of this market research in accordance with FAR Part 8, existing Government wide contracts and strategic sourcing vehicles were reviewed and a determination was made that the General Services Administration (GSA) OASIS, governmentwide multiple award, Indefinite Delivery Indefinite Quantity (IDIQ) contracts could meet the requirements based on the NAICS code applicable to this requirement, 541715, Research and Development in the Physical, Engineering and Life Sciences. GSA OASIS consists of several IDIQ contracts: OASIS unrestricted, a full and open contract; OASIS small business, a 100 percent small business set-aside contract; and OASIS 8(a).

As part of further market research, to gain additional information for the scope of this requirement and to identify any potential set aside for competition and determine the best GSA OASIS contract to utilize, TSA posted on Sam.gov a Sources Sought Notice/Request for Information (RFI) on July 20, 2023, seeking the following: (1) information on any small businesses capable of meeting these requirements (2) feedback from industry partners on the TSA Statement of Objectives (SOO).

Below are the overall outcomes from the Sources Sought posting:

• Two vendors expressed interest in the posting but did not provide a response

• Four other vendors submitted responses to the RFI/provided feedback on the SOO. Three of the vendors were small business, and one was a large business. Two of the small businesses are not on a strategic sourcing vehicle. One small business and one large business (Deloitte Consulting LLP) are on GSA OASIS Pool 1 contracts.

Based on the results of this Sources Sought, since two of the small businesses were not on the strategic sourcing vehicle identified for use and one small business and one large business (Deloitte Consulting LLP) are on GSA OASIS, TSA did not meet the rule of two or more small businesses. Therefore, a determination was made to compete the requirements under the Unrestricted OASIS, full and open contract as the best vehicle to use to meet the Government’s objectives.

In response to the solicitation, TSA received one bid, from Deloitte Consulting LLP, the awardee.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

None.

10. A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the Acquisition.

None.

In accordance with FAR 16.505(b)(2)(ii)(D), TSA will publish a notice in accordance with 5.301 and make this justification publicly available.

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 Supplies or Services Required.

The modification to this contract is to incorporate additional reporting needed to successfully complete this effort. TSA intends to compete any future follow-on contract for these development efforts.