HC1028-08-D-2015-0034-04_JA_redacted.pdf

Justification & Approval (FAR Subpart 16.5) To Extend Task Order HC1028-08-D-2015-0034

Enclosure 12c, J&A (Part 16) Title: HC1028-08-D-2015-0034 CTI Support

Pages 1 of 9 Pages Sept2012

JUSTIFICATION & APPROVALS FOR FAR SUBPART 16.5

ACQUISITIONS

EXCEPTION TO FAIR OPPORTUNITY

Multiple Award Schedule (MAS)/ Multiple Award Contract (MAC) Orders under MAC/Fair Opportunity – FAR 16.505, DFARS 216.505-70, PGI 216.505-70

Purchase Request Number: TBD Contract Number: HC1028-08-D-2015 Task Order Number: 0034 Procurement Title: Cyber Training Initiative (CTI) Support to United States Cyber Command

(USCYBERCOM)

Contracting Office: Defense Information Technology Contracting Organization (DITCO) / Information Technology (IT) Contracting Division – PL83 Estimated Value: $17,780,896.01 O&M Funding (Over the base year and 4 option years) as follows:

Base Year: $2,786,044.81

OY1: $3,591,374.30

OY2: $3,699,949.72

OY3: $3,795,934.96

OY4: $3,907,592.22

Authority: FAR 16.505(b)(2)(i)(C)

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

Number: JA13-053

Upon the basis of the following justification, I, as the Head of Contracting Activity, hereby approve this exception to fair opportunity pursuant to the authority of FAR 16.505(b)(2)(i)(C).

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

Requiring Agency:

USCYBERCOM

9800 Savage Road, Suite 6923 Fort Meade, MD 20755

Contracting Office:

DITCO, PL8313

2300 East Drive, Building 3600 Scott AFB, IL 62225

Pages 2 of 9 Pages

2. NATURE/DESCRIPTION OF ACTION(S):

USCYBERCOM requests a modification to the competitively-awarded Firm-Fixed Price (FFP) ENCORE II task order HC1028-08-D-2015-0034. This modification is to add additional training and exercise support for the J7 due to the transfer of responsibility and funding for the CTI from USSTRATCOM to USCYBERCOM. The type of training and support needed to support CTI is the same type already being provided under task order 0034 to USCYBERCOM. The total lifecycle increase is estimated at $17,780,896.01. This will be funded over the lifecycle of the task order utilizing O&M funding for each specific fiscal year Period of Performance (PoP).

3. DESCRIPTION OF SUPPLIES/SERVICES:

The CTI requires training analysis, recommendations, exercise participation, lessons learned documentation, and other technical expertise that is already included under task order 0034. To meet these needs, task order 0034 will be modified to include one additional task for Cyber Aggressor Development; 29 new required deliverables are also associated with the CTI effort.

These deliverables include a master training schedule, training plans and objectives, technical and after-action reports, briefings, meeting minutes, point papers, and other training documents and database updates. Of the 29 deliverables, five are required specifically for the new Cyber Aggressor Development task, and the other 24 fall under existing tasks of the Performance Work Statement (PWS), but are specific deliverables that are required under the CTI. The PoP for this modification is estimated to begin 1 May 13 and continue through the end of the lifecycle of the task order, 21 Jan 18 (if all option periods are exercised). The current PoP for the task order is:

Base Year: 17 Sep 12 – 19 Sep 12; 25 Jan 13 – 21 Jan 14 Note: Gap in service above due to issuance of stop work order, due to protest Option Year 1: 22 Jan 14 – 21 Jan 15 Option Year 2: 22 Jan 15 – 21 Jan 16 Option Year 3: 22 Jan 16 – 21 Jan 17 Option Year 4: 22 Jan 17 – 21 Jan 18

4. SUPPORTING RATIONALE, INCLUDING A DEMONSTRATION THAT THE

PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR THE NATURE OF

THE ACQUISITION REQUIRES USE OF AN EXCEPTION TO FAIR OPPORTUNITY:

(a) Exception to Fair Opportunity.

FAR 16.505(b)(2)(i)(C). The order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, and all awardees were given a fair opportunity to be considered for the original order.

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(b) Description of the Justification.

The CTI support is a logical follow-on to this task order because the work is the same type of effort as the J7 training and exercise support of the current PWS, but for a new customer, CTI. The CTI requires training analysis, recommendations, exercise participation and lessons learned documentation, and other technical expertise that is already included within the current task order. In late Jan 13, USSTRATCOM informed USCYBERCOM that the responsibility and funding for CTI support would be officially transferred to USCYBERCOM. This modification for additional work requires the addition of only one task specific to the CTI, and additional deliverables that reflect the need for more support in the J7 due to the broader training and exercise scope resulting from the CTI.

(c) Justification:

(1) Minimum Government requirements.

USCYBERCOM requires additional level of effort to support the existing J7 task areas as a result of the transfer of responsibility for the CTI effort. One new task to support Cyber Aggressor Development is required. USCYBERCOM also requires 29 additional deliverables associated with the CTI effort. These deliverables include a master training schedule, training plans and objectives, technical and after action reports, briefings, meeting minutes, point papers, and other training documents and database updates. The Information Assurance Technology Analysis Center (IATAC) Delivery Order (DO) 0401, for the current CTI support under USSTRATCOM, ends on 9 May 13.

(2) Proposed sole source contractor.

Booz Allen Hamilton (BAH), as the Prime Contractor on the current task order is the proposed sole source contractor for the additional level of effort. BAH received the award of the existing task order through fair opportunity under the ENCORE II contract. USCYBERCOM has made a significant investment to date in the current contractor under task order 0034, and therefore it is logical to sole source this modification to BAH. A competitive award for this support would create duplicative costs to USCYBERCOM as well as additional burden to maintain a separate task order in terms of contract performance and financial management. In terms of duplicative cost, assuming a three-month source selection process and a minimum of four (4) technical team members who would be sequestered and unable to perform their mission functions, the Government estimates the procedural cost of a new competition at roughly $100,000.00. That conservative estimate does not include additional costs that could arise if a protest delays the source selection schedule and/or the start of work on a resulting task order.

Pages 4 of 9 Pages

Furthermore, the time required to award a competitive task order/delivery order would create a mission gap such that USCYBERCOM J7 would be unable to lead or support critical cyber exercises and training events. In terms of schedule, USCYBERCOM would require at least one month to complete a new acquisition package and an average award of this magnitude could take up to 180 days, resulting in an award sometime in September/October 2013 and creating an unacceptable break in service over four (4) to five (5) months. This modification is the first level of effort increase requested for TO 0034.

(3) Discussion regarding cause of the sole source situation.

The CTI began as a collaborative effort between USSTRATCOM, USCYBERCOM, and other cyber partners, with contractor support included within the scope of IATAC DO 0401, awarded to BAH in May 10. Until late Jan 13, the requirements to continue CTI support beyond the end of the IATAC vehicle in May 13 were owned within USSTRATCOM and were to be included in a competitive award on the Software Networks Information Modeling and Simulation (SNIM) contract. In late Jan 13, USSTRATCOM informed USCYBERCOM that the responsibility and funding for CTI support would be officially transferred to USCYBERCOM. USCYBERCOM pursued taking over the competitive SNIM acquisition package but was advised against doing so by the Chief of the Defense Technical Information Center (DTIC) due to the similarity in scope to the J7 training and exercise support included within this task order. Splitting the requirement among two contractors would result in the needless and substantial duplication of cost and other resources, as well as degradation to the mission.

(4) Demonstration of unique source. The reasons stated in paragraph 4(c)(3) above, apply to this section as well. Furthermore BAH possesses the knowledge and experience with the current requirements to be productive from the start of the additional work.

(5) Procurement discussion. As discussed in 4(c)(3) above, USCYBERCOM sought a competitive award of these requirements through DTIC but was met with resistance due to the similarity in scope to this task order.

(6) Impact. Due to the increase being the same type of work as the work contracted for under task order 0034, a competitive award for this support would create duplicative costs to USCYBERCOM and place additional burden on USCYBERCOM to maintain a separate task order in terms of contract performance and financial management. In terms of duplicative cost, assuming a three-month source selection process and a minimum of four technical team members who would be sequestered and unable to perform their mission functions, the Government estimates the procedural cost of a new competition at roughly $100,000.00. That conservative estimate does not include additional costs that could arise if a protest delays the source selection schedule and/or the start of work on a resulting task order.

Pages 5 of 9 Pages

There would also be a duplication of effort with respect to managing two contracts for the same requirement. The cost estimate with respect to the government administration of duplicative contracts and of running an additional source selection can be monetized. A COR required to manage a new task order 505 of the time would cost the government as follows: GS 13 Annual Salary Step 6: $103,872.00 per year x 50% = $51,936.00, per year. A 5-year PoP would result in a total cost of $259,680.00.

2 COTRs are required to oversee technical performance of additional performance parameters and deliverables of the new task order and to ensure collaboration between multiple contracts toward a single goal which would result in a cost as follows: GS 14 Annual Salary Step 4: $115,731/yr @ 50% = $57,865.50 x 2 COTR =$115,731.00.

Over a 5-year PoP this results in $578,655.00. The total duplicative cost is estimated at $938,335.00.

The true impact, however, would be the incalculable mission degradation losses.

These do not have an exact monetary value. Incorporating this work under task order 0034 allows USCYBERCOM to maintain organization integrity, which allows their contract workforce to action multiple tasks which produce quality deliverables without duplication of effort.

The current contract staff has command and agency collaboration contracts that effectively support USCYBERCOM in completing its mission. This would be lost during a critical time as the cyber workforce is being built. Incorporating this additional work allows for a contract workforce that can perform multiple tasks which, creates a synergistic effect with respect to the same work currently being performed under task order 0034. The current contractor has a full perspective and working knowledge of what DoD needs in order to quickly build up USCYBERCOM’s cyber workforce, and its ability to understand how all the tasks converge that makes our contract support extremely effective and efficient. This technical knowledge directly results in meeting critical timelines and suspenses levied on USCYBERCOM.

The USCYBERCOM workforce and exercise readiness needs to remain in synch with the operations tempo of the rest of the Command. Having and competing multiple contracts would limit this seamless unity and collaboration which could potentially cause USCYBERCOM efforts to slow considerably or fail altogether. Only a consolidated unity of effort will result in a fully functional cyber workforce strategy, which will lead to the quick development of cyber professionals capable of operating in this complex domain. A multi-functional contract support team that can perform numerous tasks under a unified umbrella is needed in order to address this complex issue. This will assist in streamlining functions to rapidly develop a Cyber National Force efficiently and effectively.

The time required to award a competitive task order would create a mission gap such that USCYBERCOM J7 would be unable to lead or support critical cyber exercises and training events. In terms of schedule, USCYBERCOM would require at least one month to complete a new acquisition package and an average award of this magnitude could take up to 180 days, resulting in an award sometime in Sep/Oct 13 and creating an unacceptable break in service over four to five months. If unable to modify this task order to include the CTI support requirements, USCYBERCOM will not be able to

Pages 6 of 9 Pages support the cyber exercises and training activities for which it is now solely responsible under the CTI. The current support for CTI under IATAC DO 0401 ends on 9 May 13 and there are no options for extension or bridge contracts through the DTIC acquisition office.

5. COST/PRICE FAIR AND REASONABLE DETERMINATION:

The Contracting Officer will obtain certified cost and pricing data in accordance with FAR 15.403-4 and will use this information to determine fair and reasonableness. After completion of negotiations a Certificate of Current Cost or Pricing data will be obtained.