A04._Sole_Source_Justification_and_Approval_NOMAD_for_FBO.pdf

Sole Source Justification and Approval- NOMAD Software Maintenance Page 1

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

ACQUISITION DIRECTORATE

Sole Source Justification and Approval

Above the Simplified Acquisition Threshold (SAT) FAR Subpart 13.5

NOMAD Software Maintenance

I. Agency and Contracting Activity:

Agency:

Department of Defense

Washington Headquarters Services

Joint IT Service Provider-Pentagon (JITSPP)

1155 Defense Pentagon

Washington, DC 20301

Contracting Activity: Department of Defense

Washington Headquarters Services – Acquisition Directorate

1155 Defense Pentagon

Washington, DC 22301-1155

II. Nature of Action Being Approved:

The proposed course of contractual action is to make a firm fixed price, sole source award to

Select Business Solutions, Inc (SBS) for its SBS NOMAD Software products maintenance. Such action will be made based on market research and the unique characteristics of the product needed to fulfill JITSPP’s requirement.

III. Description of Supplies:

This acquisition is for JITSPP. The purpose of this action is to procure software maintenance renewal for JITSPP’s already configured NOMAD software products, which includes NOMAD, NAPA and UltraQuest softwares. These software products support JITSPP's Washington

Headquarters Services Allotment Accounting System (WAAS) and Trust Fund Accounting

System (TFAS). NOMAD software is a business intelligence reporting tool available for delivering a full range of applications with easy access to a variety of data sources for reporting and analysis. NOMAD is a fully relational product, which provides integration with and highly efficient use of other relational database engines such as DB2 for z/OS and DB2 for z/VM. This action is to renew the NOMAD software maintenance for the WAAS and TFAS interfaces. The associated Select Business Solutions Software License Agreement (SLA) Customer Number is

AR011928 and the associated Account Number is 81P388. The needed NOMAD software maintenance is necessary to provide updates, patches and fixes to existing licenses, as well as to configure the WAAS and TFAS interfaces properly. The period of performance is for one year from 1 October 2015 to 30 September 2016.

Sole Source Justification and Approval- NOMAD Software Maintenance Page 2

IV. Authority permitting Other Than Full and Open Competition:

The authority permitting other than full and open competition is implemented under the procedures and documentation requirements of FAR 13.501 and accordingly is documented and formatted in association with FAR 6.303-2. Additionally, this justification has been modified to reflect an acquisition under the statutory authority of FAR Subpart 13.5, Simplified Procedures for Certain Commercial Items, at 41 U.S.C. 1901 and 41 U.S.C. 428a.

V. Reason for Authority Cited:

JITSPP has a requirement to renew its current NOMAD software licenses. SBS is the manufacturer and sole provider of all software, maintenance and training related to the required licenses, thus presenting a unique qualification for the requirement. SBS has no authorized resellers, is the owner of all content and has proprietary rights to the software, as confirmed by the company’s business managers in a “Sole Source Letter” dated 21 September 2015. If the needed software maintenance is not in place prior to 01 October 2015, the licenses will expire and the Government will be required to pay costly reinstatement fees to obtain the licenses again.

VI. Publicizing Efforts

A “Notice of Intent to Sole Source” was posted on the Government-wide Point of Entry (GPE), FBO.gov, on September 18th, 2015. No responses or challenges were received in response to the notice before it closed on September 21st, 2015 at 12:00PM Eastern Time.

VII. Price Fairness and Reasonableness

The Contracting Officer will determine whether the price of the aforementioned requirement is fair and reasonable per FAR 13.106-3(a)(2)(ii). The NOMAD software maintenance was procured in Fiscal Year (FY) 2015 under purchase order HQ0034-15-P-0030 for $150,921.00.

The anticipated contract price amount for this effort is $158,467.00; this accounts for a roughly

5.00% increase in pricing, which is in line with market conditions for software maintenance renewal and inflation.

VIII. Description of Market Research:

The NOMAD software maintenance provided by SBS was procured at the end of FY2015 and has been on contract during FY2015 through contract HQ0034-15-P0030. To ensure adequate competition could be reached prior to deciding on a sole source route, market research was conducted on the open market. It was determined through requests to industry that no other vendor could provide the needed maintenance. Moreover, to confirm there were no authorized resellers or other sources of the product in question, Washington Headquarters Services, Acquisition Directorate contacted SBS directly via email. SBS was able to confirm there are no authorized resellers of its product and that SBS has proprietary rights to the software and owns all of the associated content. Additionally, SBS provided a “Sole Source Letter” on 21

September 2015 that confirms SBS is the sole and proprietary vendor of the needed NOMAD

Sole Source Justification and Approval- NOMAD Software Maintenance Page 3 software maintenance and that SBS has no authorized resellers that can provide the needed maintenance. No other maintenance other than the software maintenance that can be provided by

SBS can satisfy the Government’s needs.

IX. Other Facts Supporting the Use of Other Than Full and Open Competition:

There are no other facts at this time to support the use of other than full and open competition.

SBS is the sole provider of the NOMAD software maintenance, it has no authorized resellers of the software and it is the sole owner and has proprietary rights to the software. Additionally as aforementioned, no responses or objections were received in regards to the “Notice of Intent to

Sole Source” posted on FBO.gov, further solidifying lack of competition and the need to sole source the requirement.

X. Other Interested Sources:

No other interested sources have been found or will be anticipated, as the NOMAD software does not have any authorized resellers and is exclusively offered by SBS.

XI. Actions Taken To Remove Competition Barriers:

JITSPP plans to have the SBS product potentially for one (1) base year. The SBS product satisfies JITSPP’s requirement and is provided at a fair and reasonable price. Any similar software that can provide similar capabilities as the NOMAD software will be surveyed in the future; however, as long as NOMAD software remains integrated within JITSPP’s configuration, only NOMAD software maintenance provided by SBS will suffice.

XII. Technical and Requirements Certification:

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

Denise Ellis

JITSPP, Information Technology (IT) Specialist-Acquisition

XIII. Contracting Officer’s Certification:

I certify that this Sole Source Justification and Approval is accurate and complete to the best of my knowledge and belief.

Michael Gruden

WHS/AD, Contracting Officer