Microsoft JA-Signed.pdf

Purchase Request Number: DHQCSD12MPC0616 Contract Number: TBD Task/Delivery Order Number: TBD Procurement Title: Microsoft SQL Server Database Contracting Office: Defense Information Technology Contracting Organization

(DITCO)/PL8321

Estimated Value: $491,280.40 Limited Source Authority: FAR 8.405-6(b)(1)

LIMITED SOURCE JUSTIFICATION

Upon the basis of the following justification, I, as Contracting Officer, hereby approve this limited source justification in accordance with FAR 8.405-6(b)(1), items peculiar to one manufacturer. The acquisition referenced herein is conducted under the authority of the Multiple Award Schedule Program.

JUSTIFICATION

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

Requiring Activity:

Defense Information Systems Agency (DISA) Enterprise Services Directorate (ESD) Bldg. 1, Overcash Avenue Letterkenny Army Depot Chambersburg, PA 17201-4123

Contracting Activity:

DISA DITCO PL8321

2300 East Drive Scott AFB, IL 62225-5406

2. NATURE/DESCRIPTION OF ACTION(S):

a. This justification and approval (J&A) is to procure new Brand Name Microsoft Structured Query Language (SQL) Server Database (DB) 2012 Enterprise Edition software for DISA ESD.

DISA ESD requires Microsoft SQL Server DB software to support the Defense Logistics Agency (DLA) Base Level Support Application (BLSA) FuelsManager Defense Enterprise (FMDe) project. The requested Microsoft software licenses are needed to support the project because the server licenses are the database that stores the data for BLSA FMDe. Microsoft SQL Server 2012 provides mission critical workloads with greater uptime, faster performance, and enhanced security features for the workloads. These features are critical for the BLSA project to work effectively.

b. The recommendation is to issue a Firm-Fixed-Price Delivery Order under the Department of Defense (DoD) Enterprise Software Initiative (ESI) Blanket Purchase Agreement (BPA). The applicable North American Industry Classification System (NAICS) code is 511210. FY12 Defense Working Capital Funds (DWCF) will fund this project. The Period of Performance is 17 August 2012 and ending on 16 August 2012. The estimated total is $491,280.40.

3. DESCRIPTION OF SUPPLIES/SERVICES:

This acquisition is to procure 52 new Microsoft SQL Server DB 2012 Enterprise Edition licenses. The goal of this project is to establish an operational production for the Base Level Support Application system for the Enterprise environment that serves as the central data server for processing locations to receive, store, and process fuel related transactions and data files.

This system is composed of an integrated set of Commercial-off-the-shelf (COTS) software applications hosted on government furnished server class computer hardware. The Microsoft SQL Server DB licenses are needed because BLSA is designed to reside on Windows-based computer systems, using Windows XP or higher for client side applications and Windows Server 2008 for the server side configuration, of the hosting enclave. BLSA provides an automated capability to manage installation fuel services by collecting user inputs and interacting with automatic tank gauges distributed at various locations on the installation. The MS SQL Server 2012 licenses are required to support the project because it is the database that stores the data for BLSA FMDe. The Government recognizes BLSA as the authoritative data source for all Base Level business fuel processes and without the Microsoft SQL Server licenses the application would not function. Microsoft SQL 2012 enables DISA’s mission partners to build mission-critical applications, it allows for breakthrough insights by giving users access to the Business Industry tools they need to turn information into business insights that impacts and fuels the business as it grows.

4. IDENTIFICATION OF LIMITED SOURCE AUTHORITY and DEMONSTRATION

OF CONTRACTOR’S UNIQUE QUALIFICATIONS:

a. The limited source authority for this J&A is FAR 8.405-6(b)(1), items peculiar to one manufacturer. DISA requires the purchase of brand name Microsoft software. Microsoft Corporation owns all proprietary rights to the source code. The software maintained through this purchase will support all equipment augmentations and all government owned software processing environments. DISA is heavily invested in Microsoft and it is critical that all products integrate into the current system, no other competitors product have been found that were deemed compatible. Since there are authorized resellers, the intent is to solicit quotes from ESI BPA resellers.

b. Substitution could not guarantee the application would function as designed and would require the customer to re-design their application to support an alternate database. The COTS applications that are the baseline of BLSA are collectively only supported on Microsoft SQL Server. To use another product at this point in time would be cost prohibitive in manpower, software development, training/knowledge management, and overall impact to current and ongoing software development and platform integration plans.

5. BEST VALUE DETERMINATION:

The Contracting Officer has concluded that the 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 needs. Although ESI has already negotiated fair and reasonable pricing based on the solicited quotes received, the Contracting Officer will confirm the prices are fair and reasonable based on solicited quotes received, comparison of negotiated prices, and a comparison of the Independent Government Cost Estimate (IGCE).

Discounts from BPA pricing, which have previously been determined to provide the Government with pricing advantages, will be sought prior to award.

6. MARKET RESEARCH:

a. Deborah DiMartile conducted market research in June 2012 by using the Internet, catalogs, vendor literature, and vendor interviews and demonstrations. In order to sustain the current operational software configuration baseline, only the identified Microsoft software license products will satisfy the requirement. Market research has concluded there are no other viable solutions that meet the security needs or the functionality of the Microsoft SQL product.

Consequences from obtaining replacement software products from other sources would result in massive software conversions and additional costs for the Military Services, Agencies, and central design activities. Market research has concluded there are no other viable solutions that meet the security needs or the functionality of the Microsoft products.

b. Market research reflects this requirement can be solicited among DoD ESI BPA contract holders. DoD ESI BPA resellers include CDW-G, Hewlett Packard, SHI International Corporation, GTSI, GovConnection, Softchoice, Insight Public, Sector, Softmart, and Dell Marketing L.P.

7. ANY OTHER SUPPORTING FACTS:

a. The only way to meet the continuing need for this critical increased user base and access without changing the design and architecture of the DISA network is to procure the additional Microsoft license and support. DISA relies heavily on Microsoft software products to prepare critical information, documents, and interface with DISA and other DoD agencies around the world. Migrating from Microsoft to an alternative brand is cost prohibitive and has unacceptable time restrictions without the assurances of meeting DoD technical and security requirements.

The Microsoft SQL software is the database that holds the data for FuelsManager Defense Enterprise Edition and FuelsManager Web Application. This software has been tested and developed for these applications. DISA cannot purchase another database without a major cost to the mission partner and DISA. The Government has invested $600,000 in this project to date;

a total rewrite of the application would cost $457,000. To replace the entire project, the figures would be over $1 million. When searching the marketplace for viable alternatives, Oracle was only vendor to have a similar product available. Procuring the MS SQL software is the most cost effective option, 52 licenses would cost $723,000 for the Oracle Database software, and to rewrite the application to work with Oracle would cost two people at 1920 hours at $238 an hour would be $457,000 in labor costs.

b. The BLSA v3.0 software FuelsManager Defense Enterprise Edition (FMD-E) is installed on a central server and is accessed over the defense network using a Web browser. The FuelsManager Web Application provides the management of quality control, training, and resource management, including personnel and equipment. The Accounting feature provides inventory reconciliation and reporting. This application has been Web–enabled to provide a common platform for local installations at large facilities or remote access via the Web for smaller service stations and reserve sites. The FuelsManager Defense Enterprise Edition, installed on a central server, supports management of fuel for more than one base and aggregates data across multiple bases into an organizational hierarchy. Failure to process this requirement for the Brand Name Microsoft SQL Server licenses will stop the DLA Enterprise Data Center (EDC) effort. This would lead to the failure of the deployment of the $12 million effort of the DLA EDC production deployment.

8. ACTIONS TAKEN TO REMOVE BARRIERS TO COMPETITION:

DISA’s mission has changed and evolved over time, and every day new technology emerges that is capable of supporting that mission. If the Government determines that Microsoft products are no longer required, the Government will seek competition for the required functionality. There is no other known vendor’s software that can perform the Microsoft SQL function to work within the BLSA environment. The brand name software maintains technical compatibility with the current DISA standards, supports the requirements of the DISA specific security architecture standards, and supports the current server environment.

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

(PP):

A written Acquisition Plan is not required for this action as it does not meet the dollar threshold.

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." ((FAR 8.405-6)(c)(2)(x))

NAME: Gary Smith SIGNATURE: //ss//Gary Smith

TITLE/ORGANIZATION: DLA Project Manager, ES21 PHONE: 717-605-3535

DATE: 23 July 2012

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.” (FAR 8.405-6(c)(2)(x)).

NAME: Chris Mauer SIGNATURE: //ss// Chris Mauer

TITLE/ORGANIZATION: Project Lead/ ES21 PHONE: 717-605-3299

DATE: 23 July 2012

CONTRACTING OFFICER CERTIFICATION: Include the following determination:

Since this effort exceeds $150K but does not exceed $650K, this certification serves as

APPROVAL.”

NAME: _Carrie Ross______ SIGNATURE:

TITLE/ORGANIZATION: Contracting Officer, DITCO PL8321 PHONE: _618-229-9569

DATE: 12 Aug 12