S9M1011_Netmail_Justification_REDACT_POST.pdf

NATIONAL ACQUISITIONS SECTION

SOLE SOURCE JUSTIFICATION

Pursuant to the Federal Acquisitions Regulation (FAR) Subparts 13.106-1(b)(2) and 13.501(a) and the Bureau of Prisons Acquisition Policy (BPAP) Subpart 6.304(b), the Federal Bureau of Prisons has determined there is only one source reasonably available. The following is supporting documentation in accordance with FAR Subpart 13.501(a)(2)(i).

1. Identification of the Agency and the Contracting activity - United States Department of Justice, Federal Bureau of Prisons (Bureau), Central Office, Administration Division, Acquisitions Branch, National Acquisitions Section.

Requiring Office: Information, Policy and Public Affairs (IPPA) Division, Office of Information Systems (OIS).

2. Nature and/or Description of Action being approved - The

Bureau’s, IPPA Division has a requirement for the renewal of annual maintenance and support services for Netmail Archive Netmail Secure Store and Premium Service Engineer services.

The Netmail Archive System is utilized to back-up, archive, search, retrieve, and store emails throughout the Bureau. The software is used to process the backup and archiving of the Bureau’s Novell Groupwise e-mail system.

The software for the Netmail Archive System is designed and developed by Netmail Inc. (“Netmail”) and is the sole source for the maintenance and support services required.

3. Description of Supplies/Services required to meet the

Agency’s Needs including the estimated value - The Bureau requires renewal of annual maintenance and support services for the current Netmail Archive licenses and Premium Service Engineer services.

The covered services for the Netmail Archive System are for routine support, emergency support, call management, system analysis, quarterly service summary reports, and quarterly site visits. The software maintenance services include: all new software releases, system updates, program temporary fixes, documentation updates, and toll-free hot-line support 24 hours per day, seven days per week.

4. An identification of the statutory authority permitting other than full and open competition – The statutory authority permitting the sole source acquisition is under

41 U.S.C. 1901 – Simplified Acquisition Procedures. The use of this authority is appropriate pursuant to FAR Subpart

13.5 that the contracting officer reasonably expects offers to include only commercial items.

5. Demonstration that proposed Contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited - This justification is being submitted for approval in accordance with FAR 6.304(a)(1).

Netmail owns the source code and has sole proprietary rights to the Netmail Archive System. Netmail holds the manufacturers’ hardware and software patent for the Netmail Archive System. Reseller authority has not been granted to other vendors. Therefore, the maintenance and support services required is a sole source requirement available only through Netmail.

6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practical, including whether a notice was or will be publicized as required by Subpart 5.2 and if not, which exception under

5.202 applies - The Contracting Officer will publish the notice to award a sole source contract in the Federal Business Opportunities website, fedbizopps.gov, in accordance with FAR Subparts 13.105(a) and 5.203(a). The sole source justification will be posted as required by FAR Subpart 13.501(a)(1)(iii).

7. A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable - Through market research from the Bureau of Labor Statistics, it was revealed that from January 2015 to December 2015, the price of the industry categorized as “Software Publishers” increased by 6%. The price increased from fiscal year 2016 to fiscal year 2017 by 6%.

The awarding contracting office deemed the fiscal year 2016 pricing to be fair and reasonable. The results from the previous year align with the price index industry data. Therefore, the Contracting Officer has determined the price for the renewal of annual maintenance and support services for its Netmail Archive System are fair and reasonable.

8. A description of the market research conducted - Market research was conducted and Netmail competitors were contacted to ensure that no other options are available.

Microsoft stated that support can be provided for Gmail, Yahoo, and Hotmail (commercially available) email sites.

The Bureau cannot risk the threat of a cyber breach by utilizing a commercially available email provider and archiving tool. To date, multiple Federal agencies have been hacked. The Bureau must remain cognizant and continue to utilize secure email and archiving tools to minimize the probabilility of a cybersecurity lapse.

Notify Technology’s speciality of email archives and support is for mobile devices; therefore, it does not meet the scope of the Bureau’s requirement.

Netmail provided written confirmation on August 25, 2016 that the maintenance and support services for Netmail Archive Netmail Secure Store and Premium Service Engineer services are proprietary to Netmail.

9. Any other facts supporting the use of other than full and open competition - Lack of maintenance services for the Netmail Archive System would be detrimental to the Government since the products are required to enable support, backup, and archiving of the Bureau’s Novell GroupWise email system.

10. A listing of Sources, if any, that expressed, in writing, an interest in the acquisition - Netmail INC., 180 Peel Street, Suite 333, Montreal, Quebec, H3C 2G7, Canada.

11. A statement of actions, if any, that were taken to remove or overcome any barriers to competition - In this instance, there is only one source capable of providing annual maintenance and support services required for the Netmail Archive System. Netmail owns the proprietary rights and source code, and has not granted reseller authority for these services to any other vendor. However, the Contracting Officer will continue to encourage Netmail to consider allowing other vendors to offer these services for resale by granting reseller authority to other vendors.

KRISTINA

SULLIVAN

Digitally signed by KRISTINA SULLIVAN DN: c=US, o=U.S. Government, ou=Dept of Justice, ou=BOP, cn=KRISTINA SULLIVAN, 0.9.2342.19200300.100.1.1=15001000488863 Date: 2016.08.29 10:48:31 -04'00'

CATHERINE SCOTT

Digitally signed by CATHERINE SCOTT DN: c=US, o=U.S. Government, ou=Dept of Justice, ou=BOP, cn=CATHERINE SCOTT, 0.9.2342.19200300.100.1.1=15001000488806 Date: 2016.09.02 14:20:51 -04'00'