LSJ_FINAL_7.2.14.pdf

Limited Sources Justification

LSJ No.: 071-14

This acquisition is conducted under the authority of the Multiple Award Schedule Program, Title

III of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 251, et seq.) and

Title 40 U.S.C. 501, Services for Executive Agencies.

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Citizenship and Immigration Services (US CIS) Office of Contracting proposes to award a task order using limited competition procedures pursuant to FAR 8.405-6 "Limiting Sources."

2. Nature and/or description of the action being approved.

USCIS intends to award a logical follow-on task order to Tecolote Research Incorporated for the procurement of Cost Analysis Support Services for updating the current Office of Transformation Coordination (OTC) Cost Estimating Baseline Document (CEBD), Program Life Cycle Cost Estimate (PLCCE) documents and cost model. These update services will be provided by Tecolote Research Incorporated under Federal Supply Schedule GS-23F -01 05K. Tecolote is located at 2231 Crystal Drive, #702, Arlington, VA, 22202-3724. The previous GSA task order HSSCCG-12-F-00247 with Tecolote was closed December 30, 2013 .

3. Description of Supplies/Services.

This requirement is to update and validate the current OTC Cost Estimating Baseline Document (CEBD), Program Life Cycle Cost Estimate (PLCCE) documents, and cost model. The cost model is the basis of the formal CEBD and PLCCE documents.

The CEBD documents and defines the cost elements (historical and present) affecting the cost baseline for an acquisition program. The elements defined in the CEBD are used to develop the formal PLCCE. The PLCCE formally documents the total of direct and indirect costs, internal and external to the acquisition program. PLCCE update services are required to support the OTC internal review, DHS Program Accountability and Risk Management (PARM) review and continued revisions.

The estimated total value, including options, is distributed as follows:

LSJ No. : 071-14

Period Base Option 1

Total 6 months $162, 1 00 6 months $167,764

Total $329,864

4. Authority and supporting rationale.

In accordance with FAR 8.405-6(a)(l)(i)(C): in the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order. The original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order was not issued under sole-source or limited sources procedures.

This acquisition is being conducted under the authority of the Multiple Award Schedule Program, Title III of the Federal Property and Administrative Services Act of 1949 (41 U.S .C. 251, et seq.) and Title 40 U.S.C. 501 in accordance with FAR 8.405-6, "Limited-Sources". This procurement is being conducted in the interest of economy and efficiency as a logical follow-on to an original Federal Supply Schedule order HSSCCG- 12-F-00247. The original award was competitively solicited and awarded using the ordering procedures at FAR 8.405 . Tecolote, the only respondent to the original solicitation, was awarded the OTC Cost Estimating Baseline Document (CEBD), Program Life Cycle Cost Estimate (PLCCE), and cost model contract under HSSCCG- 12-F-00247. It is necessary to limit competition for new work described herein as a logical follow-on because Telecote has intrinsic knowledge of program in the development of the CEBD, PLCCE and cost model. This knowledge is not easily transferred to another contractor without causing a program delay and incurring additional cost to the government.

Tecolote began work on the original contract on July 9, 2012 and completed the work for the initial approval on July 8, 2013. During this period of performance Tecolote gained integral knowledge of the program in the development work of the CEBD, PLCCE and cost model. After the contract expired additional program information affecting the CEBD, PLCCE, and cost model has been received and needs to be incorporated into these documents.

There is no structured data package to provide another contractor the information needed to update the CEBD, PLCCE, and cost model. It would not be cost effective to attempt to transfer the information behind the implementation of the equations, formulas and WBS hierarchal structure used for the development of the CEBD, PLCCE and cost model.

OTC estimates it would take a new contractor about 2 months to become knowledgeable of the program and how the CEBD, PLCCE and cost model were developed before being able to assist. This 2 month delay would cost an estimated additional $46,000 (labor rate $144.00 x 320 hours for 2 months). A 2 month delay would raise the risk of the OTC program missing set program review milestones. 2 months of additional cost and lost time would also represent a duplication of cost and time spent on the original contract with Telecote.

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5. Determination by the ordering activity contracting officer that the anticipated order represents the best value consistent with FAR 8.404( d) .

The Contracting Officer has determined that issuing the proposed task order to Tecolote for updating the current OTC CEBD, PLCCE documents and Cost Model represents the best value and will result in the lowest overall cost, considering price and administrative costs, to meet the Government's needs.

This order will be placed in accordance with FAR 8.404, "Use of Federal Supply Schedules." The General Services Administration (GSA) has already negotiated fair and reasonable pricing rates. Discounts to these GSA schedule rates will be requested.

Additionally, prior to issuance of the task order, the ordering activity will consider the level of effmi and the mix oflabor proposed to perform the specific task being ordered in order to determine that the total price is reasonable. The contractor's labor mix and level of effoti will also be compared to the Independent Government Cost Estimate.

6. A description ofthe market research conducted among schedule holders and the results, or a statement of the reason market research was not conducted.

Market research was conducted between the dates of April4 through April 9, 2014.

During this Market Research, websites of 48 contractors on the GSA IT 70 schedule holders for SINs 871-6, Professional Engineering Services (PES) in the area of Acquisition and Life Cycle Management were reviewed . Of the seven companies providing LCCE services, Tecolote was the only contractor to date assisting in the development of the OTC CEBD, LCCE and cost model.

7. Any other facts supporting the justification.

There are no additional facts.

8. A statement of actions, if any, the agency may take to remove or overcome any barriers that led to restricted consideration (i.e., limited-sources) before any subsequent acquisition for the supplies or services is made.

The new task order will require an updated PLCCE Data Package as a deliverable. This will consist of a deliverable documenting the updated PLCCE model in terms of identifying all the updated PLCCE elements, the ACEIT capabilities/functions used to update those elements and any additional formulas updates, i.e. COCOMO and affected cost elements related to the formulas. The updated PLCCE Data Package will be used as a data package to facilitate competition for future updates tool. In addition, OTC will continue to conduct surveillance of the marketplace to determine if there are alternative technical solutions that will allow for cost effective changes.

9. DHS intends to post this requirement on Fedbizopps pursuant to FAR 8.405-6(a) (2) (i).

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10. Teclmical/Requirements Persotmel Certification.

Pursuant to FAR 8.405-6(c)(2)(x), I certify that this requirement meets the Government's minimum need and that the supporting data, which fom1 a basis for the justification, are accurate d complete.

6/26;2o!f Date

Technical Representative/COR

11 . Approval:

I certify that this justification is accurate and complete to the best of my knowledge and belief.