Redacted_Limited_Sources_Justification_for_Oracle_ULA_wb_reviewr1.pdf

Limited Sources Justification Department of Education - Federal Student Aid

Oracle Software Unlimited License Agreement and Maintenance Contract Extension

1. Identification of the agency and the contracting activity.

Agency: Department of Education Contracting Activity: Federal Student Aid (FSA) Acquisitions Contracting Office: Business Procurement Division

This document is a Limited Sources Justification (LSJ) prepared in accordance with FAR 8.405-6(c)(2).

2. Nature and/or description of the action being approved.

Currently the Department of Education is receiving Oracle software products and maintenance support through contract ED-FSA-13-O-0036. Federal Student Aid (FSA) negotiated the contract on behalf of: ED/OIG; ED/OCIO/Financial Systems; FSA/Finance Office and FSA/Technology Office. The contract consists of a Base Year and two One- Year Option Periods. The contract purchased Software Unlimited License Agreements and maintenance support for:

ULA PRODUCTS

Item License Metric Quantity

Oracle Database Enterprise Edition CPU Unlimited

Advanced Security CPU Unlimited

Diagnostics Pack CPU Unlimited

Label Security CPU Unlimited

Partitioning CPU Unlimited

Real Application Clusters CPU Unlimited

Tuning Pack CPU Unlimited

WebLogic Server Management Pack CPU Unlimited

WebLogic Suite CPU Unlimited

Oracle GoldenGate CPU Unlimited

Data Masking Pack CPU Unlimited

Database Vault CPU Unlimited

Advance Compression CPU Unlimited

Due to the current transitioning from the Virtual Data Center (VDC) to the Next Generation Data Center (NGDC), FSA proposes to extend the current contract for 18 months to minimize risk, maintain operability (i.e. licenses in the VDC) and expand the number of licenses for use in the NGDC.

The proposed extension is Firm Fixed Price.

Oracle Software Unlimited License Agreement and Maintenance

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

FSA requires the following Oracle products for 18 months consisting of a 12-month period of performance from 8/31/2016 to 8/30/2017 and a one 6-month option period (8/31/2017 – 2/27/2018).

The 18 month period of performance corresponds with the VDC-NGDC transition period.

Item Number

Product Description Term Metric QTY 1 Oracle Database Enterprise Edition

08/31/2016 to 02/27/2018 Processor Unlimited

2 Advanced Security 3 Label Security 4 Partitioning 5 Real Application Clusters 6 Database Vault 7 Advanced Compression 8 Diagnostics Pack 9 Tuning Pack

10 Data Masking & Subsetting Pack 11 GoldenGate 12 WebLogic Server Management Pack

Enterprise Edition 13 Weblogic Suite 14 Update Rights and Technical Support (Line items #1-13) 08/31/2016 to 08/30/2017

Processor Unlimited 15 Converted and Replaced Support (CSI #

19213140 & 19213137) 08/31/2016 to 08/30/2017

NA 1

16 Previously Acquired Support 08/31/2016 to

08/30/2017

NA 1

TOTAL ULA LICENSE FEES (08/31/2016 to 02/27/2017) $

TOTAL ULA SUPPORT FEES (08/31/2016 to 08/30/2017) $

CONVERTED AND REPLACED SUPPORT (08/31/2016 to 08/30/2017) $

PREVIOUSLY ACQUIRED SUPPORT (NON ULA SUPPORT) (08/31/2016 to 08/30/2017) $

TOTAL INVESTMENT FOR 12 MONTHS $

The total estimated value of the extension.

4. An identification of the statutory authority, supporting rationale and proposed contractor’s unique qualification or the nature of the acquisition.

Statutory authority is 41 USC 1901 – Simplified Acquisition Procedures and FAR 8.405- 6(b)(1) – Only one source is capable of responding due to the unique nature of the work.

In 2015 FSA awarded the transition contract ED-FSA-15-O-0090 for converting data, systems and applications from the VDC to the NGDC. The basis of the contract is ‘like for like’. Hardware, software and supporting infrastructure used in the VDC is to be mirrored in the NGDC. Oracle software products previously identified in Section 2 and 3 above are in use in the VDC. The Oracle products have to be maintained in the VDC for Department of ED’s daily operations and expanded into the NGDC to maintain the ‘like for like’ requirement. Purchasing Unlimited License Agreement provides ED the greatest

OPTION ONE SUPPORT (08/31/2017 TO 02/27/2018)

Oracle Software Unlimited License Agreement and Maintenance flexibility since the total number of required licenses is unknown. Also it permits ED greater flexibility if additional requirements are needed the future.

Maintaining current Oracle products and software maintenance enables FSA to meet regulatory guidance, improve data and data base security posture, and insure data integrity and data privacy.

5. A determination by the ordering activity contracting officer that the order represents the best value to the Government.

The Contracting Officer and the Program Office evaluated the contractor’s proposed price using historical and current information to determine the best value for FSA.

Current Contract Contract Term: 3 years Total FFP:

Price for 1.5 Years:

Proposed Price:

Proposed Term: 1.5 years Total FFP for 1.5 Years:

Variance:

The proposed price

Based upon price evaluation the Contracting Officer determines the proposed order represents a reasonable price and is the best value for the Department of Education.

6. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

Market research was limited to the Oracle since it is in the Department of Education’s best in interest to maintain current processes. If ED does not renew products and services, the Department will fail to meet regulatory compliance mandate, the Sarbanes-Oxley Act (SOX), Federal information Security Management Act (FISMA), and U.S. Government Regulation of NST SP 800-53 for database systems on main frames and servers.

Oracle Software Unlimited License Agreement and Maintenance

7. Any other facts supporting the justification.

With approximately 20 Oracle products interfaced with 29 applications, the price to change software products and support services is extensive. To use software products of another manufacture would require extensive analysis, design, integration and testing.

In addition to product cost, there is the cost to re-train the technical team to become technically competent with the replacement software. Replacing the product may also introduce unwarranted security risks due to incompatibility and other unforeseen issues.

8. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

Continuing maintenance of Oracle databases and related products is needed for FSA to meet the regulatory guidance, improve the data and database security posture; ensure data integrity and data privacy additional tools for. The tools address key security features like separation-of-duties, least privilege access, transparency in encrypting data, securing/encrypting PII data, data classification, data integrity of realistic values in non-production, proper transport of data, reduce the storage of data, and provide proper auditing of data within the database environment.

Continuing to use Oracle products is also required due to the estimated high cost of integration of other tools. To add or switch these products at this point would require extensive analysis, design, integration and test hours.

The Department will consider other products as they become available and they demonstrate capabilities meeting and or exceeding requirements.

9. The Ordering Activity Contracting Officer’s certification that the justification is accurate and complete to the best of the Contracting Officer’s knowledge and belief.

By signing this justification the Contracting Officer certifies that the facts and statements made are accurate and complete.

10. Evidence that the supporting data is the responsibility of technical or requirements personnel and which form a basis for the justification have been certified as complete and accurate by technical/program personnel.

Attached to this justification is the program office’s Justification of Needs.

Oracle Software Unlimited License Agreement and Maintenance

Certification

Requisitioner:

I certify that the facts and representation under my cognizance, which are included in the justification and which form a basis for their justification, are complete and accurate.

Date

Contracting Officer:

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

Contracting Officer

Advocate for Competition’s Approval.

US Department of Education Federal Student Aid