Sole_Source_Justification__Communication_Support_-_2019-WHS-0058_Redacted.pdf

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

ATTACHMENT B

Control No. WHS-2019-0058

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES

FOR CERTAIN COMMERCIAL ITEMS

UNDER FEDERAL ACQUISITION REGULATION (FAR) 13.5

1. AGENCY AND CONTRACTING ACTIVITY: The Contracting Activity is the

Department of Defense (DOD), Washington Headquarters Services (WHS), Acquisition

Directorate (AD), Enterprise Security Services Directorate (ESSD). The Requiring

Agency is the Defense Innovation Unit (DIU).

2. DESCRIPTION OF ACTION: This action requests approval to issue a sole source contract in accordance with 13.501(a)(2)(i), in order to acquire services from The Outcast

Agency LLC (DUNS: 078434567 CAGE Code: 771E4). WHS/AD proposes to issue a

Firm Fixed Price (FFP) contract utilizing Fiscal Year (FY) 2019 Operations and

Maintenance (O&M) funding. The estimated dollar value is $249,502.00 (Base

$168,627.00 + OP 1 $80,875.00) and the anticipated period of performance (PoP) is one

(1) 12-month Base Period and one (1) 6-month Option Period.

3. DESCRIPTION OF SUPPLIES/SERVICES:

DIU is seeking an external communication and marketing agency to assist in continuing the mission to accelerate commercial innovation for national defense and to align DIU with the two new activities. The Contractor will provide information-dissemination and graphic design services in development of presentations, documents, speeches, electronic media, website development, and video collateral. The Contractor will provide these services in order to help DIU convey the essence of program concepts, technical results, and benefits. Example media include PowerPoint presentations, multimedia, exhibits, quantitative technical information, and conference materials. The Contractor should be proficient in information design techniques and be capable of providing editorial support for embedded and standalone prose. In addition, the contractor should possess the artistic skills and demonstrate the ability to grasp technical concepts in order to illustrate and convey critical program ideas. In addition, the Contractor will provide assistance with

DIU electronic informational media preparation and administration. In doing so, the

Contractor will ensure compliance with applicable laws, regulations, publications, manuals, and DIU policies and procedures. Further, the contractor will provide event presentation products including displays and videos shall be of a quality suitable for conferences and documents with national visibility. The Contractor should provide these services with a surge capability to meet urgent timelines. Additionally, the Contractor will develop a thought leadership platform for DIU that displays DIU’s vision and innovation in both external written communications and high-level speaking engagements, as well as in media engagements and influencer meetings.

Performance Periods Performance Period Dates Amount

Base Period May 15, 2019 through May 14, 2020 $168,627.00

Option Period I May 15, 2020 through November 14, 2021 $80,875.00

4. AUTHORITY CITED: This action is under the procedures of under the procedures of

Federal Acquisition Regulation (FAR) 13.5 under the authority of:

41 U.S.C. 1901, Simplified Acquisition Procedures

5. REASON FOR AUTHORITY CITED:

a. Background information about the requirement;

DIU has utilized The Outcast Agency over the last few years.

Contract #HQ0034-17-P-0192 was awarded to The Outcast Agency on September 30, 2017, for $150,000.00 as a direct award, to provide communication support services to

DIU. The services that were performed under the contract expired March 29, 2018.

As a follow up contract, DIU awarded Contract HQ0034-18-P-0144 to The Outcast

Agency on August 8, 2018, for $150,000.00 as a direct award, to provide communication support services to DIU. The services that were performed under the contract expire

February 13, 2019.

Seeing that DIU still has a critical need for communication support services to address complex system challenges with unique technology to better service the Department of

Defense (DoD) and that these requirements are required in the near future, it is more appropriate to put a longer term solution in place, rather than having one time buys.

Therefore, the government recommends a base period of one year and two option periods for one year each.

b. Details covering what events lead to the situation requiring use of other than full and open competition procedures;

In order to intensify the organization’s presence with technology companies and media outlets and leverage the specialized communication services, to effectively deliver commercial innovation to Department of Defense (DoD), DIU has a requirement to continue Communications Support Services.

In addition, effective spring 2019, DIU will assume operational oversight of two activities under the purview of the Office of the Under Secretary of Defense for Research and

Engineering (OUSD(R&E)), which will work to bring the best commercial talent and technology to bear against threats to national security. Aligning these activities under

DIU will increase coordination and collective impact to fortify the U.S. military’s technological advantage and grow the national security innovation base.

While it is important to have the Outcast Agency continue working with DIU in order to intensify the organization’s presence with technology companies and media, it is equally important to use the Outcast Agency to handle the transition of DIU and the two new activities, since they are most knowledgeable of the DIU mission. Relaying the right messaging is imperative to ensure internal and external stakeholders are well versed in the combined mission, operating model; value proposition; technical results; and impact as a commercial innovation accelerator, for DoD.

c. Why considered alternatives will not work;

Since 2017, OutCast has developed a deep understanding of the organization’s presence with technology companies and media outlets. They have leveraged their position to optimize the communication between DIU and private industry and conducted extensive research in messaging acceptance for all stakeholders. Choosing another vendor would result significant cost increases, a delay in deliverable of products in a timely manner.

The Outcast Agency is integrated with DIU as they have worked side by side with DIU to convey its mission; operating model; value proposition; technical results; and impact as a commercial innovation accelerator, for DoD. It would be cost prohibitive and time consuming to bring on a new contractor. The ramp up of a new contractor would cause a loss of efficiency and have a negative impact to the Strategic Media, Speaking

Engagements, and Media and Message Training programs.

d. Which authority applies and why;

This action is under the procedures of Federal Acquisition Regulation (FAR) 13.5 under the authority of 41 U.S.C. 1901, Simplified Acquisition Procedures.1 This authority applies because Subpart 13.5(a) – Simplified Procedures for Certain Commercial Items states Contracting officers may use any simplified acquisition procedure, for the acquisition of supplies and services in amounts greater than the simplified acquisition threshold but not exceeding $7 million. Further, 13.501(a)(2)(i) states that contracting officer’s certification that the justification is accurate and complete to the best of the contracting officer’s knowledge and belief will serve as approval, proposed contract exceeding the simplified acquisition threshold, but not exceeding $700,000.

1 1 U.S.C. 1901, Simplified Acquisition Procedures https://www.law.cornell.edu/uscode/text/41/1901 https://www.law.cornell.edu/uscode/text/41/1901

e. Results of Request for Information or Sources Sought Notice (IAW PGI 206-303-

2)

WHS issued a notice of intent to sole source this opportunity.

f. Explain the impact to the mission that would result if the J&A is not approved and, the product or service not provided.

The communication services provided by Outcast, such as newsletters, media stories, and press releases let the public know about the DIU mission and other image-related activities, which serves to strengthen the DIU public relations efforts. If DIU had to work with a new communications company, we would be at risk for our external communications to be lost in translation, since a new company does not have the experience working with DIU and a new communications company would have a considerable learning curve. Since we are assuming operational oversight of two activities, we especially need a company that has the knowledge of how DIU has grown over the last few years and how the two agencies will be integrated into DIU. Outcast has the most experience to complete these requirements, since they are aware of the audience and the DIU image to be conveyed.

EFFORTS TO OBTAIN COMPETITION: WHS issued a notice of intent to sole source this opportunity and there were no responses.

7. FAIR AND REASONABLE COST DETERMINATION: I hereby determine that the anticipated price for this order will be fair and reasonable. The techniques identified at

FAR 15.404-1, “Proposal Analysis Techniques,” will be used to ensure award will be at fair and reasonable prices. Certified Cost and Pricing Data will not be obtained.

8. MARKET RESEARCH: On February 4, 2019, the Contract Specialist conducted market research to determine the acquisition approach to procure communication support services. When the acquisition package was submitted to WHS/AD, DIU provided market research from the previous contract for similar/same services. DIU conducted market research via internet search for vendors capable of providing communication support services. The results of the search identified The Outcast Agency’s as a potential vendor. During phone discussions about The Outcast Agency’s capabilities, DIU was able to confirm that The Outcast Agency was capable of meeting the needs of their requirement.

DIU has utilized The Outcast Agency over the last few years.

Contract #HQ0034-17-P-0192 was awarded to The Outcast Agency on September 30, 2017, for $150,000.00 as a direct award, to provide communication support services to

DIU. The services that were performed under the contract expired March 29, 2018.

As a follow-on contract, DIU awarded Contract HQ0034-18-P-0144 to The Outcast

Agency on August 8, 2018, for $150,000.00 as a direct award, to provide communication support services to DIU. The services that were performed under the contract expire

February 13, 2019.

9. ANY OTHER FACTS SUPPORTING THE USE OF SOLE SOURCE: None

10. INTERESTED SOURCES: None, based on the notice of intent issued by WHS

11. ACTIONS TO INCREASE COMPETITION:

xYes. A copy of the previous justification is attached2. The actions to remove any barriers to competition cited on the previous justification were completed:

xYes.

CERTIFICATION

I, hereby, certify that the supporting data under my cognizance included in this justification are accurate and complete to the best of my knowledge and belief.

ABIDIWAN-

Digitally signed by ABIDIWAN-LUPO.JAMIE.M.1291915244

5/9/2019

LUPO.JAMIE.M.1291915244

Date: 2019.05.09 11:53:11 -04'00'

Contracting Officer Representative, Jamie Abidiwan-Lupo Date

James Canady III 5/9/2019 Contracting Officer, James A. Canady III Date

2 IAW PGI 206.303-2(b)(i)(B).