FINAL Class JA for Other Than Full and Open Competition OUP COE BOA Phase VII.pdf

J&A FY21-00220

CLASS JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304(a)(3)

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.3 and in accordance with the requirements of FAR 6.303-1, the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.302-3 as follows:

1. Agency and Contracting Activity. The Department of Homeland Security (DHS), Office of

Procurement Operations on behalf of the Science and Technology Directorate (S&T), Office of University Programs (OUP) proposes to renew four (4) Basic Ordering Agreements (BOAs) with Centers of Excellence (COEs) and to subsequently issue task orders against these BOAs all on the basis of other than full and open competition.

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

(a) Nature of action. The Science & Technology Acquisition Division (STAD), Office of

Procurement Operations (OPO), requests approval to renew four (4) Basic Ordering Agreements (BOAs) with Centers of Excellence (COEs) and to subsequently issue task orders against these BOAs all on a non-competitive basis in support of the Science and Technology Directorate (S&T), Office of University Programs (OUP). A previous J&A No. FY16-0149 to allow for ordering under four (4) of the COE BOAs for five

(5) years from August of 2016 will expire in August 2021. Under the proposed effort, the COEs will continue to stimulate or support homeland security-related research, analysis, and research and development, and technical services (unclassified and classified) to support the various needs and requirements of the DHS components within the COEs respective thrust areas as previously established under the cooperative agreement process through the Grants and Financial Assistance Division (GFAD):

Center for Awareness and Localization of Explosives-Related Threats (ALERT);

Center for Borders, Trade and Immigration Research (CBTIR); Critical Infrastructure Resilience Institute (CIRI); Coastal Resilience Center (CRC).

(b) Name and address of the contractor.

Northeastern University Research Administration and Finance, 360 Huntington Avenue, 490RP Boston, MA 02115-5000

DUNS#: 001423631

Center for Awareness and Localization of Explosives-Related Threats (ALERT)

University of Houston Office of Contracts and Grants Division of Research 4302 University Drive, Room 316

Houston, TX 77204-2015

DUNS#: 036837920

Center for Borders, Trade and Immigration Research (CBTIR)

University of Illinois at Urbana-Champaign 1308 W. Main Street Urbana, IL 61801

DUNS#: 929773554

Critical Infrastructure Resilience Institute (CIRI)

University of North Carolina at Chapel Hill Office of Sponsored Research (OSR) 104 Airport Drive, Suite 2200, CB# 1350 Chapel Hill, NC 27599-1350

DUNS#: 608195277

Coastal Resilience Center (CRC)

(c) Contract type. This is a hybrid type BOA under which both Firm Fixed Price and Cost- Reimbursable orders can be placed.

(d) Estimated total value: The total cumulative estimated value of all orders issued under the four (4) BOAs for five (5) year period is estimated to be $36 million. The estimated breakdown for each COE is $9 million.

Phase VII BOA Task Orders (August 2021 – August 2026) ALERT

NORTHEASTERN UNIVERSITY

Investing Office YR1 YR2 YR3 YR4 YR5 Total

DHS Components $452,032 $511,709 $643,628 $809,555 $1,018,259 $3,389,981

DHS S&T $748,060 $846,819 $1,065,128 $1,339,719 $1,685,099 $5,610,020

Total Funding $1,200,092 $1,358,528 $1,708,756 $2,149,275 $2,703,358 $9,000,000

Growth % N/A 25.78% 25.78% 25.78% 25.78%

Phase VII BOA Task Orders (August 2021 – August 2026) CBTIR

UNIVERSITY OF HOUSTON

Investing Office YR1 YR2 YR3 YR4 YR5 Total

DHS Components $452,032 $511,709 $643,628 $809,555 $1,018,259 $3,389,981

DHS S&T $748,060 $846,819 $1,065,128 $1,339,719 $1,685,099 $5,610,020

Phase VII BOA Task Orders (August 2021 – August 2026) CIRI

UNIVERSITY OF ILLINOIS

Investing Office YR1 YR2 YR3 YR4 YR5 Total

DHS Components $452,032 $511,709 $643,628 $809,555 $1,018,259 $3,389,981

DHS S&T $748,060 $846,819 $1,065,128 $1,339,719 $1,685,099 $5,610,020

Phase VII BOA Task Orders (August 2021 – August 2026) CRC

UNIVERSITY OF NORTH CAROLINA – CHAPEL HILL

Investing Office YR1 YR2 YR3 YR4 YR5 Total

DHS Components $452,032 $511,709 $643,628 $809,555 $1,018,259 $3,389,981

DHS S&T $748,060 $846,819 $1,065,128 $1,339,719 $1,685,099 $5,610,020

Although the estimate is broken down by annual spend estimates, there will be no option periods, but rather a five-year ordering period. The services under this BOA have been previously performed under the four (4) BOAs (award numbers: HSHQDC-16-A- B0008, HSHQDC-16-A-B0009, HSHQDC-16-A-B0010, HSHQDC-16-A-B0011) for five (5) years from August of 2016 that will expire August 2021. The values above were determined based upon an analysis of historical usage of COE BOAs; the most recent of which was Phase V issued with a period of performance from March 10, 2021 to March 11, 2026.

(e) Type of funding: BOAs are not funded. Funding type is determined by the DHS ordering component prior to issuing a task order.

(f) Year of funding: FY2021 through FY2026, depending on when individual task orders are issued.

(g) Solicitation number. Not applicable.

(h) Background information about the requirement: The Homeland Security Act of 2002, as amended, granted DHS the authority to create university-based COEs using grants, cooperative agreements, and contracts. The government uses these grants and cooperative agreements as a means to fund research for the public good while contracts are used to procure services for the benefit of the government. Furthermore, under grants and cooperative agreements, the performer’s results are best efforts or outcomes and under a contract the performer is required to provide deliverables. The COEs have significant homeland security-related science, technology, engineering, and mathematics capabilities to provide technical services to DHS including databases, computer models, computer software and hardware, analytical tools, laboratories, experimental and testing facilities. The COEs are authorized by Congress and chosen by the DHS S&T through a rigorous competitive selection process leading to the award of grants and cooperative agreements for unclassified research and analysis. The BOAs will allow DHS to issue task orders to support mission-focused work for the Department which may include sensitive or classified work. OUP terms and conditions for the cooperative agreements do not allow the performer to have any sensitive or classified information because the purpose of the research is for the public good and performers are encouraged to publish results. There is rigorous competition in the selection of the COEs under the cooperative agreement process through GFAD. There is a transparent and fair process involving independently selected evaluators from both academia and government. Only COEs that have been reviewed and selected through OUP’s three-tiered competitive review process are eligible to receive a BOA. The COEs are aligned with one or more of the DHS Components – including S&T divisions – creating linkages between DHS and other customers as well as providing cross-cutting technology and basic research results for DHS and the nation. The designation of “Center of Excellence” is awarded to a university that brings together leading experts and researchers from multiple institutions, agencies, laboratories, think tanks, and the private sector to conduct multidisciplinary research and education for homeland security solutions.

The task orders issued will specifically identify the COE capability to be used.

Section 3: provides a summary and listing of the research lead (ALERT, CBTIR, CIRI, CRC).

Table 1: COEs and Thrust Areas

1. Center for Awareness and Localization of Explosives- Related Threats (ALERT) (2010)* BOA to Northeastern University

2. Center for Borders, Trade and Immigration Research (CBTIR) (2015)

* BOA to University of Houston

3. Critical Infrastructure Resilience Institute (CIRI) (2015) * BOA to University of Illinois at Urbana- Champaign

4. Costal Resilience Center (CRC) (2015)

* BOA to University of North Carolina at Chapel Hill

*Year indicates when the COE was established by DHS Grants and Financial Assistance Division (GFAD)

To perform tasking under the BOAs, DHS S&T anticipates that the COE research lead universities will use subcontracts with current or new teaming partners to access the best performers, subject to the BOA terms and conditions. The task orders will be completed at the locations of respective COE and their partners and subcontractors. DHS components may satisfy the requirements of joint funded research projects with other federal agencies by issuing orders under the BOAs.

3. Description of Supplies/Services.

Under the proposed effort, the COEs will stimulate or support homeland security-related research, analysis, and research and development (unclassified and classified) to support the various needs and requirements of the DHS components within the COEs respective thrust areas as previously established through the cooperative agreement process with GFAD. Each of these thrust areas are essential to the support of a variety of specific programs managed by different organizations within DHS.

• Center for Awareness and Localization of Explosives- Related Threats (ALERT) is led by Northeastern University and will conduct transformational research, technology and educational development for effective characterization, detection, mitigation and response to the explosives-related threats facing the country.

ALERT’s research is focused on ultra-reliable screening, explosives detection at a distance, and unequivocal pre- and post-blast mitigation.

• Center for Borders, Trade and Immigration Research (CBTIR), led by The University of Houston, will conduct research and education to enhance the nation’s ability to secure our borders and facilitate legitimate trade, travel, and immigration. Potential projects will fall under four focus areas: Border Security, Legitimate Trade and Travel, Immigration and Integrated Education.

• Critical Infrastructure Resilience Institute (CIRI), led by University of Illinois at

Urbana-Champaign will conduct research and education and deliver results that enhances the resiliency of the nation’s critical infrastructures and the businesses and public entities that own and operate those assets and systems. With an emphasis on outputs-oriented research, education and workforce development, and early and continuous engagement with end users and homeland security practitioners, CIRI will explore the organizational, policy, business, and technical dimensions of critical infrastructure’s dependence on cyber assets. CIRI will examine how computer hardware and software both contribute to and threaten resiliency and how industry makes decisions about cyber assets which contribute to resilience.

• Costal Resilience Center (CRC), led by University of North Carolina at Chapel Hill will enhance the nation’s ability to safeguard people, infrastructure, and economies from catastrophic coastal natural disasters such as floods and hurricanes, and to consider future climate trends and their impacts on coastal resilience. With an emphasis on outputs-oriented research, education and workforce development, and early and continuous engagement with end users and homeland security practitioners.

A significant focus of CRC will be on transitioning research outputs for use by DHS operational components, other homeland security end users, policy makers, decision makers across all levels of industry and government, and community leaders.

Proposed procurement efforts will utilize capabilities developed under the DHS assistance-supported effort. The statements of work will specifically identify the capabilities to be used.

Critical DHS capabilities that have been created through DHS support and which will be accessed through the proposed BOA include, but are not limited to, the following:

a. Creating, expanding or modifying technologies and models;

b. Utilizing facilities and technologies;

c. Providing subject matter expert review, presentation, or testimony;

d. Conducting test and evaluation;

e. Conducting analyses or assessments;

f. Developing education and training materials; and,

g. Performing other relevant services within an existing COE research thrust area or theme.

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

The statutory authority permitting other than full and open competition is 41 U.S.C.

3304(a)(3) as implemented by Federal Acquisition Regulation (FAR) Subpart 6.302-3 entitled “Industrial Mobilization; Engineering, Developmental, or Research Capability; or Expert Services.” The specific FAR Subpart supporting this justification is FAR 6.302-3 Industrial mobilization; engineering, developmental, or research capability; or expert services.

5. Identification of Exception to the Buy American Statute

Not applicable to acquisition of services.

6. Demonstration that the proposed contractor’s unique qualifications or the nature ofthe acquisition requires use of the authority cited. DHS S&T proposes to renew four (4) BOAs in FY 2021 to accommodate continued DHS requirements for COE research, analysis, and technical services. The BOAs and the Task Orders to be issued against the BOAs represent the most cost-effective approach to ensure DHS has and maintains access to the university-based scientific and engineering capabilities the Department needs to accomplish its mission. Interest in the work of the COE has increased steadily among DHS components, including S&T.

S&T Divisions and other DHS components frequently need to access the capabilities created by the COEs, e.g. for directed research, analysis and technical services. both unclassified and classified, which cannot be performed under S&T’s grants and cooperative agreements.

Use of cooperative agreements often introduce many limitations and modifications to ensure sub-project compliance, while use of BOA task orders has allowed the program offices to be more prescriptive in the requirements for the proposed orders, requested deliverables, and allow for sensitive and classified work. Under the financial assistance agreements, a long lead-time for the development of an integrated work plan and sub-grantee agreements with other academic institutions is required. The BOAs will provide a more flexible and timely approach to provide access for DHS components to the COE teams of academic institutions for the conduct of unclassified, sensitive but unclassified, and classified research.

The basis for the non-competitive establishment of the BOAs and the subsequent sole source task orders under the respective BOAs is FAR 6.302-3(a)(2)(ii), which is an exception to providing full and open competition when it is necessary to award a contract to a particular source or sources “to establish or maintain an essential engineering, research, or development capability to be provided by an educational or other nonprofit institution or a federally funded research and development center.”

The establishment of and maintenance of COE core center (management and administrative aspects), basic research projects, education programs, and outreach efforts have been funded through financial assistance awards provided by the S&T OUP annual appropriations. The BOAs are intended to maintain and apply the capabilities at the university-based centers of excellence, which are authorized by law. The use of the authority 41 U.S.C. § 3304(a)(3) is justified because the continued use of the established COEs is necessary to maintain continuity, quality, and institutional knowledge pertaining to DHS mission-related research and development.

If the Government does not maintain the essential engineering and research capabilities that the COEs provide, this will have a negative programmatic and cost impact on multiple key programs within DHS. The Government would also incur significant risk relating to finding independent organizations with the equivalent subject matter expertise, analytical tools, and resources as well as knowledge of DHS mission-related research and development.

DHS requires that essential capabilities established at the COE be maintained, as authorized by 41 U.S.C. § 3304(a)(3). These capabilities are not currently available elsewhere and could not be duplicated without substantial additional investment over a period of years.

These capabilities consist of diverse technical and programmatic staff skills, extensive experience with previous and ongoing DHS programs, COE access to the other institutions, agencies, laboratories, think tanks, and the private sector, and many supporting facilities.

This breadth and unique expertise of each COE research and analytical capabilities in its respective thrust area is of the greatest importance to DHS in its mission to maximize its return on investment in university-based multidisciplinary research and education.

Emeritus centers (i.e. ALERT, CBTIR) maintain their essential research capabilities to no less a degree than active status Centers.

7. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential

Sources as is Practicable.

A Request for Information (RFI) titled " Office of University Programs Phase VII BOAs " was publicized on the SAM.gov on April 20, 2021. A notice will be posted to SAM.gov to notify the public of the issuance of a new COE BOA. Responses received will be dispositioned by the Contracting Officer in compliance with FAR 6.305.

8. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable. A determination that costs are fair and reasonable will be conducted by the respective DHS component BOA Task Order Contracting Officer in accordance with FAR 16.505. The COE will be required to submit certified cost or pricing data with sufficiently detailed information to support the accuracy and reliability of the proposed cost for orders in excess of $750,000. The ordering officers will determine fair and reasonable costs based upon a detailed cost analysis that evaluates each element of cost.

Based upon the evaluation of the COE task order proposals, information from external cognizant government auditing agencies, submittal of certified cost or pricing data, and historical cost data, the ordering officers will have adequate information with which to determine cost reasonableness.

9. Description of Market Research.

Market research was conducted to determine which organizations could provide the independent research, analysis, and services required. Sources used in performing market research included a review of the DHS advance acquisition plan, a review of the acquisition history, interviews of knowledgeable individuals in Government, a review of Government databases, a review of requirements with the Small Business Specialist, a review of existing DHS-wide contract vehicles, and a published Request for Information. Requests For Information (RFIs) were published on the beta.SAM.gov website which requested information from Research and Development in the Social Sciences and Humanities which includes existing COE lead institutions and their S&T COE thrust area teaming partners regarding OUP’s plan to establish multiple BOAs with COEs. The 4 RFI respondents were from COE lead institutions;

Northeastern University, The University of Houston, The University of Illinois at Urbana- Champaign, and The University of North Carolina at Chapel Hill. There were no responses from other large businesses and none from small businesses. The responses to the RFI were analyzed and the results incorporated in the market research documentation. The Contracting Officer is able to determine prices to be fair and reasonable and realistic in light of the costs of similar efforts under the assistance agreements with the COEs. There is some cost or pricing data available to OUP from tasks performed under the assistance grants and cooperative agreements to determine whether the prices proposed by the COEs for BOA tasks are fair and reasonable and realistic. It is anticipated that task orders under the BOAs will be issued to the COEs on a firm fixed price or cost reimbursement basis. Proposed costs will be subject to DCAA audit and the Government will maintain sufficient insight and leverage before and after the award to task orders to ensure costs are affordable and advantageous to the Government.

Other market research included an analysis of the current COE BOA usage, a search of the internet for other sources including laboratories, associations, and contractors with the requisite knowledge of DHS and its mission, expertise in the thrust areas of focus, analytical tools, and resources to meet the requirements of the DHS components for unclassified and classified research. The market research yielded no immediate alternative sources that could quickly overcome the learning curve for the required research and engineering capabilities.

The market research report submitted to the S&T Contracting Officer on June 4, 2021 shows that only the COEs, identified through the competitive process for the award of grants and cooperative agreements for basic unclassified research and analysis, could satisfy the homeland security-related research, analysis, and services requirements of the DHS components. This largely based on their unique thrust area capabilities supported by DHS and their experience in doing similar work under S&T’s COE grants and cooperative agreements, during the next five years.

10. Any Other Facts Supporting the Use of Other Than Full and Open Competition. The marketplace in this case consists of the universities and research institutes competitively selected by DHS S&T, in accordance with the Homeland Security Act of 2002, to serve as Centers of Excellence under grants or cooperative agreements issued and funded by the directorate. The COE lead institution is supported by other universities and institutions who serve as partners or subcontractors. The above responses from lead representatives of most of the COEs indicate a favorable disposition toward the COE BOA concept proposed by S&T.

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

Acquisition.

An RFI was issued in beta.SAM.gov on April 20, 2021, requesting that parties express their interest in writing to the contracting officer. The following responded to the RFI:

Northeastern University, The University of Houston, The University of Illinois at Urbana- Champaign, and The University of North Carolina at Chapel Hill.

No other sources expressed an interest in this acquisition.

12. 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.

After renewal of the four (4) COE BOAs, the S&T Office of University Programs will continue to periodically conduct market research to identify additional potential sources for the required services. Additionally, the Government will take into consideration changes in market conditions from the time of award, such as additional universities (applied physics laboratories) or other independent research and development institutions, federally funded research laboratories, and other Government agencies who may be able to provide the requisite expertise, skill, knowledge and services DHS requires on an annual basis. If it is

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determined that other entities can provide the same capabilities as the COE, then DHS will pursue a full and open competition.

13. Contracting Officer’s Certification. I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Jessica Wilson Date Contracting Officer Office of Procurement Operations

14. Technical/Requirements Personnel Certification. I certify this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for this justification, is complete and accurate.

Jennifer Foley Date DHS/S&T/Office of University Programs Deputy Director and Technical Representative

APPROVAL:

Juan Arratia Procuring Activity Advocate for Competition Office of Procurement Operations

Date

Victoria Short Head of Contracting Activity Office of Procurement Operations

Date