FA7046-18-C-0002_ADDENDUM_TO_J&A_Redacted.pdf

ADDENDUM TO JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

FA7046-18-C-0002

CYBERSECURITY ASSESSMENT PROGRAM (CAP)

REFERENCE: Sole source Justification & Approval (J&A) dated 22 December 2017 for Qualis Corporation, IAW FAR 6.302-2, Unusual and Compelling Urgency Cybersecurity Assessment Program at AFOTEC Operating Location San Antonio at Randolph ABF (Contract FA7046-18-C-0002).

1. Subject addendum is necessary due to the increased dollar value of the final negotiated price of the awarded contract compared to the Independent Government Cost Estimate (IGCE) and approved amount on the original J&A dated 22 December 2017.

2. The original J&A authorized a dollar value of $114,999 for the short-term contract. Note – the fillable form for J&as under the Simplified Acquisition Threshold (SAT) of $150,000 has a glitch – the form does not reflect the value in the appropriate block. This value was based on the Government’s IGCE. The IGCE was based on an average of several months of service prior to execution of the J&A and request for proposal for subject effort. The previous contract was Cost Plus Fixed Fee (CPFF), and the IGCE did not take into consideration the fact that the Government solicited a Firm Fixed Price (FFP) effort. In addition to this basis, the AFOTEC COR was under the impression the Contractor would need less personnel (i.e. 2 personnel) versus the 3 personnel the Contractor proposed.

3. The Contractor’s proposal, dated 28 December 2017, totaled $159,000 for Firm Fixed Price (FFP) Labor and Cost Reimbursable Travel. During negotiations, the Contractor indicated the following:

a. The Contractor needed three people to perform the effort fully, not two. When asked, the Contractor indicated a Cost Plus Fixed Fee (CPFF) contract would not be less expensive due to the number of people they needed to perform adequately, and they would not entertain a CPFF contract only three months in duration due to the close-out audits required by that contract type. Qualis indicated they would not be able to expend those offer due to the very short Period of Performance and the need for close-out audits, etc. The FFP contract type and the need for three people to perform versus the two reflected in the IGCE resulted in a higher overall price compared to the IGCE.

b. The Government compared the quantity of labor hours proposed to the Contractor’s “actual hours” reflected in CDRL reports submitted under the previous contract vehicle.

These reports reflected three months of work, and the subject contract is for three months of work.

c. The proposed price and quantity of hours is comparable to work performed under the previous contract (FA7046-12-D-0100-0004), and the price of $159,000.00 is comparable to the price charged under the previous contract for that quantity of personnel/hours.

d. The AFOTEC program manager/COR agreed with this assessment and indicated the proposed value of for all labor and travel was reasonable considering the number of personnel required to perform the effort.

e. Bottom line, the IGCE was low compared to the actual amount of work to be performed, the contract type, and the contractor’s risk.

f. The additional approved via this J&A Addendum includes all labor and travel for the period of performance specified in subject contract.

g. The total value of J&A and addendum is $159,000.00.

4. As the Contracting Officer, I hereby certify in good faith this addendum is accurate and complete to the best of my knowledge.

MARY SKAGGS

Contracting Officer

24 January 2018

Program Manager/COR Statement:

I hereby certify that the requirements forming the basis of this addendum are accurate, that these services meet the Government’s need, and that this addendum is accurate and complete to the best of my knowledge and belief.

all

Contracting Officer Representative

24 January 2018

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