HSCG79-16-D-PT2065JARedact.pdf

Justification for Other Than Full and Open Competition Under 10 U.S.C. 2304 (c)(1)

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

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 justification for the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

1. Agency and Contracting Activity.

The United States Coast Guard (USCG), Command, Control, Communications, Computer and Information Technology Service Center (C4ITSC), proposes to modify IDIQ Contract HSCG79-16-D-PT2065 for continuity of support, on a basis other than full and open competition.

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

The USCG has a requirement on a sole source basis to continue Private Branch eXchange (PBX) continuity of telephone system lifecycle support to the United States Coast Guard Command, Control, Communications, and Information Technology Service Center (C4ITSC), Telecommunications and Information Systems Command (TISCOM), Enterprise Information Systems Infrastructure (EISI) Product Line (PL), Implementation and Integration Branch, Telephony & Desktop Telephone Service. The USCG relies upon telephony services to support the day-to-day business and operational functions that require voice communications. Similar to other Government agencies and large commercial enterprises, the USCG owns and maintains a large number of standalone PBX systems that support internal and external communications, and provide connectivity to the Public Switched Telephone Network (PTSN). The requirement provides continued lifecycle support, casualty repair (CASREP), and mission critical upgrades, support, and system replacement. The Indefinite Delivery/Indefinite Quantity (IDIQ) contract ordering period will be extended five months, from a six-month ordering period to an eleven-month ordering period. The estimated cost for this requirement is estimated to be an additional $1,244,000.00. There are no scope changes to the original Statement of Work as a result of this action. The IDIQ itself does not obligate funds, but allows the USCG to issue task orders up to the maximum value of the contract if needed.

The following information is provided:

(a) Type of action: Firm Fixed-Price (FFP) contract modification;

(b) Amount: $1,244,000.00;

(c) Type of funding: AFC-42 Command, Control, Communications, and Electronics Engineering;

(d) Year of funding: 2017;

(e) The vendor that will support this effort is HMS Technologies Inc, One Discovery Place, Martinsburg, WV 25403.

3. Description of Supplies/Services.

The Command, Control, Communications, Computer and Information Technology Service Center (C4ITSC) Enterprise Information System Infrastructure Product Line (EISI-PL) requires life-cycle support of all USCG telephone systems. This includes over 400 shore locations that include large and small military bases and over 200 cutters (ships) located throughout the Continental United States, Alaska, Hawaii, and the territories of the United States.

IDIQ Contract HSCG79-11-D-PT2023 was competitively solicited as a 100% small business set-aside (with non-manufacturing rule) and awarded to HMS Technologies Inc.

on 02/10/2011; the maximum value of the contract was $46,486,850.00 with a period of performance of 02/10/2011 to 02/09/2016 (5.5 Years). Contract HSCG79-11-D-PT2023 was extended until 08/09/2016, under FAR Clause 52-217-8, Option to Extend Services.

At the end of the contract period of performance, $26,729,942.22 had been awarded against the contract leaving $19,756,907.78 of the original ceiling remaining.

Contract HSCG79-16-D-PT2065 was awarded to HMS Technologies, Inc., as a sole source on 08/09/2016, as a six-month contract, to provide telephone system support while providing time to solicit and negotiate a new five-year contract. The maximum value of the contract was $149,663.05 with a period of performance of 08/09/2016 to 02/08/2017.

This six month extension included only matters that could not be deferred past the initial six months.

C4ITSC is currently in the process of soliciting and awarding a fixed price contract with a five-year ordering period as a follow-on acquisition to IDIQ Contract HSCG79-11-D- PT2023. It is anticipated that the five-month extension will allow for C4ITSC to complete award of the new contract.

This requirement is for materials and services necessary to provide continued lifecycle support, CASREP, and mission critical upgrades, support, and system replacement for existing legacy telephone systems.

The Contractor will be responsible for continued support to provide telephony-related materials and services. The scope of this contract is to procure the following materials and services using individual task orders:

Repair, expand, or relocate existing telephone and voicemail systems.

Survey, design and install new telephone systems.

Replace existing telephone systems and components (casualty repair).

Deploy technology refreshes and hardware/software/firmware upgrades.

Groom existing telephone systems.

Apply patches, bug fixes, security updates.

Install and integrate peripheral systems such as campus-wide Public Address (PA) systems, battery/rectifier systems, Uninterruptible Power Systems (UPS), Automatic Call Distribution (ACD) systems, Call Detail Record (CDR) systems, and Voice Mail (VM) systems.

Install, integrate and upgrade contact center systems such as Avaya Aura Contact Center (AACC) or Contact Center Elite, including any adjunct servers or applications.

Provide system maintenance training, system administration training, and end-user training for telephone systems.

Provide remote or on-site technical support to assist USCG technicians to resolve telephone system issues or casualties.

Provide annual PASS, SA, IPOSS, and SmartNet support contract renewals for USCG telephone systems.

The following is a list of the mission critical upgrades, support, and system replacement required:

Unit/Service (new installation or maintenance) Description Estimated

Cost

PASS, SA, and Smartnet

(maintenance)

The Avaya and Cisco OEM yearly support contracts for the USCG’s Avaya (Heritage Nortel) CS1000E/M telephone systems and supporting Cisco networking equipment will expire at the end of March. The Partner Assurance Support Services (PASS) “Basic” is Avaya’s Tier 3 OEM remote 7x24x365 support that provides corrective content, latest patches, maintenance releases, minor software updates, and bug fixes for the CS1000 telephone, Call Pilot voice mail and Avaya Aura Contact Center (AACC) systems. PASS Basic ensures that these systems can receive proper OEM support through an authorized Avaya business partner and servicing agent. The Avaya Support Advantage (SA) is the support services for the Avaya Aura suite of telephone, voice mail and call center platforms. Like PASS, the “Essential” level of Support Advantage is Avaya’s Tier 3 OEM remote 7x24x365 support that provides corrective content, latest patches, maintenance releases, minor software updates, and bug fixes for the Avaya telephone systems. Support Advantage Essential ensures that these systems can receive proper OEM support through an authorized Avaya business partner and servicing agent. The Cisco SMART Net is an extended warranty and technical support service for the VoIP routers used with our telephone systems.

Cisco provides 7x24x365 support with access to troubleshooting tools, software updates, on-line technical libraries, service request management tools, expert remote technical assistance, and rapid hardware replacement.

The PASS and SA contracts must be provided by our existing Avaya Partner for consistency of support.

CS1K 7.65

Upgrades: D11, D13, 14, and D17

(maintenance)

The USCG has 26 CS1000 Telephone Systems located throughout the United Sates Pacific Area running at Software Release 7.5, which reached End-of-Life (EOL) and will no longer be supported after 20 September 2018. These locations need to be upgraded to Release 7.65, which is the final release for the CS1000 product line. Currently the Coast Guard is two versions behind and will need to be upgraded to 7.65 to ensure supportability by the manufacture. Not upgrading to Release 7.65 will place these Pacific Area USCG Units at risk of an extended telephone system outage should there be a failure.

Remote Technical Support

(maintenance)

The USCG’s Avaya Partner provides expert remote technical support for PBX Systems. The scope is to provide remote technical support to USCG technicians (IT’s) in the field on an as-needed basis to quickly resolve PBX problems or questions as they occur. Remote technical support may be provided via telephone, or by remotely accessing the USCG PBX via modem or WebEx.

IPOSS Annual Renewal

(maintenance)

The Avaya OEM yearly support contract for the USCG’s Avaya IP Office (IPO) telephone systems are expiring. The OEM support contracts (extended warranty) require annual renewal in order to maintain proper Life Cycle Support for these critical C4IT systems. Avaya IP Office Support Services (IPOSS) provides Avaya’s Tier 3 OEM remote 7x24x365 support via the support vendor. It provides corrective content, latest patches, maintenance releases, minor and major software updates, bug fixes and next business day (NBD) replacement parts. The USCG has over 200 Avaya IP Office Systems installed at field units throughout the USCG. The IPOSS must be provided by our existing Avaya Partner for consistency of support.

PBX & PA

CASREP Support

(maintenance)

The USCG’s Avaya Partner provides materials and service to provide casualty support for over 250 Avaya telephone systems installed throughout the USCG.

The support partner is the single PASS, SA, and IPOSS contract holder for all Avaya telephone systems.

IPO Release 10 deployment

(maintenance)

There are over 200 Avaya IP Office telephone systems installed throughout the USCG enterprise. All of these systems currently operate at software release 9.0 or

9.1. Avaya, the manufacturer, recently issued the next software release R10.0.

The USCG must upgrade all Avaya IP Office telephone systems to release 10.0 in order to maintain IP Office Support Services (IPOSS); which provides 24/7 tier two and tier three support, next business day parts, and full software releases.

Release 10 also provides the latest service packs and critical security patches. The upgrade to release 10 must be performed by the USCG’s existing Avaya Partner and IPOSS Contract holder.

eOn Class “C” Training

(maintenance)

The USCG PBX IDIQ contractor has an approved two week curriculum for training to USCG technicians on the eOn Millennium PBX and voice mail system. There exists a classroom facility with six (6) eOn mock-ups. Each class is capable of training six (6) students per classroom. The Master Training List (MTL) published by FORCECOM and DCMS-81 dictates the minimum formal training requirements. Due to personnel rotations, this equates to an annual demand for eOn Millennium PBX and voicemail training of approximately 40 students per year. Currently there is a backlog of students waiting to be trained on the system. Waiting for the new contract would create a serious shortfall of technicians capable of properly maintaining our shore units and cutters (ships) eOn Millennium PBX and voice mail systems.

CGC Kukui, 225

MMA

(new installation)

The CGC Kukui currently has an obsolete eOn Millennium telephone system that is in a sunset status (no new parts being manufactured). An Engineering Change is approved to install an Avaya IP Office telephone system on the CGC Kukui during a Major Maintenance Availability (MMA) at the CG Yard in Baltimore, MD. The Engineering Change has been approved for the 225 for configuration management and consistency of support under the IPOSS program. The engineering change will require other ships in the 225 class to replace their telephone system during their scheduled MMA. Completing this replacement after the MMA will result in the cutter going back into a dockside availability period, increased cost, and loss of operational readiness and availability.

CGC Mobile Bay

(new installation)

The CGC Mobile Bay and the CGC Katmai Bay will undergo Service Life Extension Program (SLEP) at USCG Yard in Baltimore, MD during FY17. The SLEP program is major maintenance availability for the 140’ class of Ice Breaking Tugs. The SLEP work package includes the replacement of the existing obsolete telephone system. Completing this replacement after the SLEP will result in the cutter going back into a dockside availability period, increased cost, and loss of operational readiness and availability.

CGC Bluebell PBX Replacement

(new installation)

The CGC Bluebell currently has an obsolete COMDIAL SOLO II telephone system, which went End of Life (EOL) on the early 1990’s. An Engineering Change is approved by SFLC to install an IP Office telephone system on the CGC Bluebell to maintain the cutter’s operational readiness.

CGC Mackinaw PBX Replacement

(new installation)

The CGC Mackinaw currently has an obsolete Mitel SX-200 telephone system that has reached End-of-Life (EOL) and is no longer supported. An Engineering Change is approved by Surface Forces Logistics Center (SFLC) to install an updated IP Office telephone system on the CGC Mackinaw to maintain the cutter’s operational readiness.

Station Pt. Judith PA System

(new installation)

The existing PA system is obsolete, mostly inoperable, and beyond economical repair. The casualty was scheduled for immediate replacement as soon as FY17 funding became available. The station requires a fully operable PA System for mass notifications and station alarms (e.g., Search and Rescue notification alarm). The PA System will interface with the station’s telephone systems for pages and alarms. It is imperative this be completed prior to the summer boating and vacationing season.

Estimated Maintenance Cost: $1,049,740

Estimated New Installation: $194,260

Total Estimated Cost: $1,244,000

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

This acquisition is being conducted under the authority of 10.U.S.C. 2304(c)(1), as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302-1 titled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements; specifically FAR 6.302-1(a)(2)(iii)(B).”

5. Demonstration that the Nature of the Acquisition Require Use of the Authority Cited.

In accordance with FAR 6.302-1(a)(2)(iii)(B), Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements, for DoD, NASA and the USCG, 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 unacceptable delays in fulfilling the agency’s requirements.

The USCG has multiple missions that greatly impact the United States and its citizens.

These missions include: ports, waterways, and coastal security; drug interdiction; aids to navigation; search and rescue; living marine resources; marine safety; defense readiness;

migrant interdiction; marine environmental protection; ice operations; and other law enforcement missions. The USCG is incapable of performing these missions without updated and properly performing telecommunication systems.

The USCG phone systems support approximately 30,000 end-users using fifty (50) CS1000 (Nortel) telephone systems, eight (8) Avaya CM-6 telephone systems, and over 200 Avaya IP Office telephone systems. As our current systems require replacement due to age or inoperability, replacing obsolete systems by an Avaya Business Partner allows the USCG to leverage the existing support infrastructure associated with the USCG’s current phone systems and eliminating unnecessary costs associated with introducing unsupported phone systems. HMS Technologies, through their teaming partners, hold maintenance contracts with Avaya for USCG telephone systems. This includes Partner Assurance Support Services (PASS) for CS1000 phone systems, System Support (SS) for CM-6 Phone Systems, and IP Office support Services (IPOSS). The maintenance contracts are vital to the continued operation and support of the USCG’s telephone systems. Individually purchasing and installing different phone systems at different USCG locations and units would require the USCG to use a multitude of vendors for support. This is not feasible or manageable from a life-cycle support standpoint; using multiple vendors would create an inefficient and ineffective post-installation support for these units and may put the USCG at risk for lack of support. Furthermore, updating and shifting the maintenance contracts from one vendor to another would create gaps and probable loss of telephone systems. The loss of these systems would create a severe and unacceptable consequence limiting the USCG in performing many of its missions including search and rescue, aids to navigation, coastal security, drug interdiction, and marine environment protection. HMS Technologies Inc. is the only vendor able to provide short-term system lifecycle support for these telephone systems.

6. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

A survey of the market revealed that no other source would be able to continue services under these circumstances. The original notice of intent to award a sole source was posted to FedBizOpps on 07/01/2016 and IAW FAR 5.203, the notice was posted at least 15 days before issuance of a solicitation with only one source. The approved Justification for Other Than Full and Open Competition was posted to FedBizOpps.

The USCG utilizes the Department of Homeland Security Acquisition Planning Forecast System (APFS) to help industry identify procurement opportunities as early in the acquisition process as possible. The USCG published APFS Record 2015025877 to improve communication with industry and assist the small business community with this effort. AFPS

Record 2015025877 has been continually updated to ensure industry is aware of this opportunity. APFS Record 2015025877 indicates the future procurement will be a competitive 100% small business set-aside.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The contracting officer determined contract HSCG79-16-D-PT2065 was fair and reasonable based on commercial pricelists and the prior acquisition history with HMS Technologies Inc., on contract HSCG79-11-D-PT2023. The majority of products purchased are Avaya products that will be purchased through the Avaya GSA contract #GS-35F-0156V.

Approximately 20% of the costs will be attributed to non-Avaya parts and services. Labor rates have been determined fair and reasonable on IDIQ contract HSCG79-16-D-PT2026 and all rates will remain the same for the entire POP. All task orders issued under the IDIQ contract are Firm Fixed Price (FFP).

8. Description of Market Research.

Extensive market research was completed, including an RFI posted to FedBizOpps on 11/13/2014. Updated market research was completed for contract HSCG79-16-D-PT2065 in July of 2016. The updated market research showed there were no vendors listed under the DHS Enterprise Wide Contracts under Technical, Acquisition, and Business Support Services (TABSS) that are listed on the Avaya Federal Authorized GSA Business Partners, GS-35F-0156V. DHS Eagle II was determined not be a viable option for the reasoning outlined in section 5 of this document, which states a multitude of vendors would not be feasible or manageable from a life-cycle support standpoint. GSA schedules were reviewed, however, they did not provide all services and supplies required for the extensive variety of USCG needs.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

It is not feasible for a new contractor to provide lifecycle support to the USCG’s telephone systems until a follow-on contract is in place. If the POP is not extended and the maximum value of IDIQ contract HSCG79-16-D-PT20165 is not increased, it will have a major impact on lifecycle support of the telephone systems at shore and afloat units throughout the USCG. The USCG relies upon telephony services to support the day-to-day business and operational functions that require voice communications. The contract supports our existing inventory of installed telephone systems, which consists of a large inventory of Nortel/Avaya telephone systems, including shelf spares. Also, the USCG IT School at Training Center Petaluma has over 30 Nortel/Avaya mock-ups, and phone system training is delivered to the USCG technicians in both “A” and “C” schools. Life-cycle support for existing telephone systems includes the eOn Millennium, Avaya IP Office, Avaya CM-6, and Avaya (Legacy Nortel) CS1000 E/M Version 7.6 along with their associated voicemail, UPS, Call Detail Record, and Overhead paging systems.

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

A synopsis was issued in the FedBizOps on 07/01/2016 for the contract (HSCG79-16-D- PT2065) requesting that parties express their interest in writing to the Contracting Officer.

Only AT&T contacted the Government through verbal communication requesting verification that this was a short-term action. Companies have contacted the USCG with inquiries concerning APFS Record 2015025877.

11. 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.

The Government intends for a follow-on contract and plans to solicit as 100% Small Business set-aside. Thus, there are no barriers to future competition. APFS Record F2015025877 indicates the estimated release of the solicitation is 02/27/2017.

(Remainder of this page left blank intentionally)