JNA_Final_ApplicationManagementJA_Signed_(28Aug13).pdf

FOR OFFICIAL USE ONLY

United States Special Operations Command (USSOCOM)

Justification and Approval {J&A) Special Operations Forces Information Technology

Enterprise Contract (SITEC): Application Management Tower

FOR OFFICIAL USE ONLY - J&A No. KS 13-003

Class Justification for Other Than Full and Open Competiition (J&A}

Authority: (10 U.S.C. 2304(c)(1), as implemented by FAR 6.302-1(a)(2)(iii)

Project/Program Name: SITEC Application Management Tower J&A No.

Component/PEO/Other: USSOCOM/J6 and SORDAC C4 KS 13 _

Estimated Contract Cost (including options) : $202M

Type J&A: (Individual D or Class 12?])

1. Agency and Contracting Activity: (FAR 6.303-2(a)(1))

Obtained from Office

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United States Special Operations Command (USSOCOM), Special Operations Research, Development, and Acquisition Center (SORDAC), Directorate of Procurement, ATIN SORDAC-KS, 7701 Tampa Point Blvd, MacDill AFB, FL 33621-5323

2. Description of Action: (FAR 6.303-2(a)(2)) This class J&A is required for modification of the Application Management tower's seven indefinite delivery/ indefinite quantity contracts by extending the order period and increasing the ceiling. The Application Management tower is one portion of the SOF Information Technology (IT) Enterprise Contracts (SITEC) construct and consists of the following multiple award contracts:

H92222-11-D-0018- Booz-AIIen-Hamilton H92222-11-D-0019 - Berico Technologies

H92222-11-D-0020- SRA

H92222-11-D-0021 - L-3

H92222-11-0-0022 - CACI

H92222-11-D-0023- BAE Systems H92222-11-D-0024- Pragmatics

The order period for the Application Management tower contracts will be extended for 24 months, commencing on 18 July 2014 and ending on 17 July 2016. The current tower ceiling is $65M and the current cumulative value of orders issued against the 10/IQ contracts, as of 11 April 13, was $58.3M.

Based on an extension of twenty-four months and an obligation trend analysis, a $137M increase in contract tower ceiling from $65M to $202M is required . This class J&A will ensure continued support to HQ USSOCOM, its Component Commands, and Theater Special Operations Commands (TSOCs) requiring application management services, providing organizations with an 10/IQ contract to support individual task orders for specific mission and administrative functions. Orders awarded under the SITEC Application Management tower may be firm-fixed price or cost-plus-fixed fee.

3. Description of Supplies/Services: (FAR 6.303-2(al(3Jl The SITEC Application Management tower awardees provide personnel that have skill sets that cross each of the IT service areas in order to gain efficiencies not realized if personnel were needed to service each of the IT service areas individually. The Application Management awardees specifically provide USSOCOM, its Component Commands, and TSOCS with application maintenance, application development, and application end-user training. Application maintenance activities include corrective and emergency maintenance of applications to repair defects to applications in production, preventive maintenance to cover future events that could disable or degrade service of an application, adaptive maintenance to ensure application performance is not affected by changes to interfacing or new

FOR OFFICIAL USE ONLY- J&A No. KS 13-003 applications or changes, perfective maintenance to ensure that applications operate at peak efficiency, and technical support services including expert assistance in tuning applications for optimal system performance. Application development activities include program management services associated with new applications, requirements and design services, programming and development services, integration and testing services, code migration services, software configuration management services, and technical change management services. Application end-user training includes either classroom style or computer based training services for existing, new or enhanced applications developed by the contractor or the Government, Government Off-The-Shelf (GOTS), or Commercial Off-The-Shelf (COTS) applications to improve the end user's specific skills through education and instruction. This requirement for training includes the development of any training related documentation.

4. Authority Cited: (FAR 6.303-2(a)(4))

~ 10 U.S.C 2304{c){1), as implemented by FAR 6.302-1 ; Only A Limited Number Of Responsible Sources And No Other Supplies Or Services Will Satisfy Agency Requirements.

5. Reason for Authority Cited: (FAR 6.303-2(a)(5)) FAR 6.302-1 (a){2){iii) states: services may be deemed to be available only from the original source in the case of follow-on contracts for the continued provision of highly specialized services when it is likely that award to any other source would result in-

(A) Substantial duplication of cost to the Government that is not expected to be recovered through competition, or

(B) Unacceptable delays in fulfilling the agency's requirements. {See 10 U.S.C. 2304(d)(1 )(B).)

BACKGROUND

The SITEC construct was awarded in 2011, consisting of three main unit towers (single award) to operate and maintain the SOF Information Enterprise (SIE), two multiple award towers to support the TSOCs and application development and maintenance requirements, and an IT Service Management (ITSM) contract (single award) to support the Government's IT Management Office.

The current SITEC model lacks the agility required to adapt and meet the demands of enduring engagements and increasingly distributed, yet interdependent operations. Furthermore, it introduces challenges and additional coordination burdens amongst both contractors and the Government.

The new SITEC model requires a construct that enables on demand, ultra high bandwidth, persistent and seamless information technology services to synchronize globally dispersed SOF operating within a web of networks across the Geographic Combatant Commanders' boundaries. To facilitate this model shift, the current Application Management tower will be extended by 24 months, providing the Government sufficient time to reassess and restructure the SITEC model.

A. Data Analysis to Adjust Contract Ceiling

The SITEC Acquisition Plan approved a $65M ceiling for the Application Management tower, providing approximately $20-22M per year in task orders over the original three-year term of the contract including options. As of 14 June 2013, USSOCOM projects $59.2M in awards under the tower by the end of the second ordering year. Additionally, the Application tower recently awarded task orders to meet the new Personnel Tempo (PERSTEMPO) implementation and sustainment requirements, which occurred after the SITEC Acquisition Plan approval and will be implemented at every Component and TSOC by the end of FY2014. During the third year, USSOCOM plans to award $27.3M for ongoing tasks (options), approximately $14.2M for PERSTEMPO implementation and sustainment, and approximately $5.0M for new requirements. This will require a ceiling increase of $40.7M from $65.0M to 105.7M to support all the requirements under the original three year ordering period.

Extending the ordering period two years is projected to add $95.9M to the original three-year orderinQ period. During the fourth year, USSOCOM will award approximately $39.8M in continuing tasks (including PERSTEMPO sustainment) and $5.1 M for new tasks, totaling $44.9M. During the fifth year, USSOCOM will award approximately $45.8M (including PERSTEMPO sustainment) in continuing tasks and $5.2M in new tasks, totaling $51 .0M. Adding the proposed two-year ordering period estimate of $95.9M to the original three-year revised ceiling estimate of $105.7M requires a new total five-year contract ceiling estimate of $201.6M.

The competition amongst the SITEC Application Management tower contracts provides the best value to the Government for each task awarded. USSOCOM realizes an average 10-35% savings on new task orders when using SITEC when compared to prices paid under previous non-SITEC contracts. This has resulted in higher use of the contract vehicle than estimated, with subordinate commands transitioning their contracted IT service support requirements to SITEC as those contracts expire. To accommodate these new tasks and continue the ongoing tasks, USSOCOM will increase the ceiling by $137M from $65M to $202M to provide sufficient capacity for application development and maintenance services for the extended five-year ordering period.

B. Unacceptable Delays to the SOF Information Enterprise

The SIE is the USSOCOM IT 'weapons system' supporting the need for command and control, universal situational awareness, collaboration, decision-making, and synchronization at the strategic operational , and tactical levels. As such, it is a critical enabler of both our direct and indirect operations and our Title 10 responsibilities, providing an information environment that allows SOF to operate globally at the 'speed of war.' As the SOF enterprise evolves, the foundations for communication must evolve along with the SIE and the current SITEC construct. Therefore, USSOCOM will extend the Application Management tower by 24 months, providing the Government sufficient time to reassess and restructure the SITEC model, awarded through full and open competition.

6. Efforts/Actions to Increase Competition: (FAR 6.303-2(a)(6))

A notice was [gl or was not D publicized as required by FAR 5.2.

The notice required by FAR 5.2 was posted for the original Application Management tower of SITEC on 29 September 2010. The contract was awarded through competitive acquisition. A synopsis for the future SITEC construct will be published after the revised acquisition strategy and plan is approved. This new construct will include the Application Management requirements. Notice of this proposed contract extension was posted to FedBizOpps lAW FAR 5.101 (a)(1) on 12 June 2013. As of 12 July 2013, no responses have been received. lAW FAR 6.305, this justification shall be made publicly available via FedBizOpps within 14 days after contract modification. No barriers to competition have been identified.

This request to modify the existing Application Management contract by increasing the ceiling and extending ordering/performance periods will bridge the gap until the replacement SITEC contracts are awarded under full-and-open competitions. Subsequent acquisitions for the products and services required will be made by task and delivery orders under the Application Management contract, which shall be awarded on a competitive basis in accordance with the statutes and regulations governing the fair opportunity of all contract holders to obtain such orders.

7. Market Research: (FAR 6.303-2(a)(8))

Market research is conducted on an ongoing basis by multiple members of the PEO C4 technical team. In addition, constant communication has been maintained with industry. As a part of this market research, the program office specifically reviewed the Technical Industrial Liaison Office {TILO) submissions and the SORDAC's ID/IQ database for contracts/contractors eligible to meet the requirements, including time sensitivities and the need for seamless transition. Updated market research shows the current Application Management contract holders remain responsible industry experts in the service areas proivded by the tower.

8. Interested Sources: (FAR 6.303-2(a)(1 0)&(11 ))

Notice of this contract action was published on 12 June 2013. Two questions were received requesting clarification and confirmation of the details within the notice which were provided. Responses were due on 12 July 2013 and no responses were received . While other sources could ultimately satisfy the requirements described above, no other sources could satisfy these requirements in a timely manner without undue disruption in current support and unacceptable schedule delays in restructuring the follow on SITEC acquisition strate .

9. Other Authorities/Factors:

None

10. Technical and Requirements Certification:

I certify that the supporting data under my cognizance which are included in the justification are accurate and complete to the best of my knowledge and belief:

NAME: ANTHONY J . LE: Program Executive Officer. C4

SIGNATURE:

11. Fair and Reasonable Cost Determination: (FAR 6.303-2(a)(7))

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable. This determination is based upon providing fair opportunity lAW FAR 16.505(b)(1) & (2) and DFARS 216-505-70 to all Application Management IDIQ tower contract holders (except when an exception is determined to be appropriate and properly approved) which will generate adequate price competition and costs and are fair and reasonable to the Government. All proposals are reviewed utilizing a combination of cost and price analysis, independent Government cost estimates, technical evaluations, field pricing assistance and negotiations to determine the best value to the Government.

CONTRACTING OFFICER SIGNATURE IN SECTION 12 BELOW ALSO SERVES AS

THE PRICE FAIR AND REASONABLENESS DETERMINATION IN THIS SECTION.

12. Contracting Officer Certification:

I hereby certify that this J&A is complete and accurate to the best of my knowledge and belief.

NAME: RICHARD S. SCHNABEL TITLE: Contracting Officer, SORDAC-KS

SIGNATURE: ;v0_A~/ DATE: .1..~ ~y~ .i.o ·~ I ,

13. Legal: SOFARS 5601-1

I have reviewed this document and find the J&A legally sufficient to support other than full and open competition:

NAME: CRAIG MCCAA TITLE: Attorney-Advisor

SIGNATURE: _ ...::'d=+.-kiLL:..:t:_::C======------c

DATE: ____________ __

14. Competition Advocate General A roval (CAG :

I have reviewed this document and find the J&A adequate to support other than full and open competition:

15. Approval: HCA Over $12.5M to $85.5M D or SPE Over $85.5M ~

Based upon the foregoing justification, I hereby approve the $137M ceiling increase and addition of twenty-four months to the ordering period of the SITEC Application Management IDIQ Tower Contracts. The action(s) pursuant to this J&A are subject to the availability of funds and the completion of all required statutory and regulatory reviews and approvals.

NAME: JAMES F. GEURTS TITLE: USSOCOM Acquisition Executive

DATE: Zb~/3