J-A_NGMS_Vega_Redacted.pdf

J&A - Vega

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

10 U.S.C. § 3204

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.3, the following facts and rationale justify the use of such authority:

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), Command, Control, Communications, Computers, Cyber, and Intelligence (C5I) Office of Contracting and Procurement (CG-914) prepared this justification for other than full and open competition.

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

(a) Nature of the Action: The USCG intends to procure on a sole-source basis adaptive maintenance support services encompassing upgrades, enhancements, code maintenance, and support of the United States Coast Guard’s existing enterprise license for Vega Electronic Chart Display and Information System and Electronic Charting System (ECDIS/ECS) electronic navigation software.

(b) Name and address of the contractor:

Northrop Grumman Systems Corporation (NGSC) Address: 1070 Seminole Trail, Charlottesville, VA 22901 SAM Unique Entity ID: PQGNEEY9W5M3

CAGE: 03956

(c) Type of action: Five-year sole source Indefinite Delivery/Indefinite Quantity (IDIQ) contract that will allow firm-fixed price (FFP), time-and-materials (T&M), and hybrid (FFP and T&M) task orders. The IDIQ contract will have a 5-year ordering period (no option periods) with yearly prices.

(d) Estimated total value (including options): $9,500,000.00

Ordering Period Estimated Total Value Year 1 $1,720,000 Year 2 $1,840,000 Year 3 $1,860,000 Year 4 $1,980,000 Year 5 $2,100,000 $9,500,000

(e) Type of funding: Task Orders will be funded with annual Operation and Support (O&S) funds.

(f) Year of funding: Each Fiscal Year starting with 2025

(g) Proposed Solicitation number: 70Z04425RC2PL2501

(h) Background information about the requirement: The current IDIQ contract 70Z04420D20003000 providing this support ends on December 31, 2024.

3. Description of Supplies/Services.

The USCG requires adaptive maintenance support services, encompassing upgrades, enhancements, code maintenance, correction of System Trouble Reports (STRs), and Adaptive Maintenance Requests (AMRs), for the Vega ECDIS/ECS electronic navigation software. Vega is the navigational system of record aboard Coast Guard cutters and boats, under an enterprise license purchased from NGSC. Vega runs on the Windows Operating System (OS) and conforms to International Maritime Organization (IMO), International Hydrographic Organization (IHO), International Electro-technical Commission (IEC), and Radio Technical Commission for Maritime Services (RTCM) standards.

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

The statutory authority permitting other than full and open competition is 10 U.S.C.

3204(a)(1) implemented by the FAR Subpart 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Identification of Exception to the Buy American Act.

Not applicable.

6. Demonstration that the Proposed Contractor’s Unique Qualifications or the Nature of the Acquisition Require Use of the Authority Cited.

The Vega ECDIS/ECS electronic navigation software installed aboard over 270 Coast Guard cutters and boats is a derivative of NGSC’s VisionMaster FT commercial navigation software product and is proprietary and owned by NGSC. NGSC’s VisionMaster FT software has been modified over time to adapt to Coast Guard specific requirements, resulting in the Vega software product. Any change or modification to Vega software requires knowledge and authority of the VisionMaster FT software. Due to the proprietary nature of the software, NGSC is the only contractor that can provide support to Vega-ECDIS and Vega ECS. NGSC has maintained the data rights and will not sell them to the USCG, this refusal to release the rights drives the need to have NGSC perform the work. VisionMaster FT, and thus Vega- ECDIS and Vega-ECS software, is compliant with the IEC standard for Maritime Navigation and Radio communication equipment and systems – Electronic Chart Display and Information System (ECDIS) operational and performance requirements, methods of testing and required test results. Vega-ECDIS and Vega-ECS alone meet the Government’s requirement for a collaborative framework for open systems architecture module that allows the Government to add new features or capabilities quickly and efficiently. The Coast Guard has paid to upgrade the existing NGSC base code (VisionMaster FT) to be tailored to Coast Guard specific functions (Vega ECDIS/ECS), including aids to navigation and search patterns. The Coast Guard has purchased an enterprise license to deploy Vega-ECDIS and Vega-ECS as the single next generation electronic navigation system to replace any remaining legacy systems currently in use.

Due to the propriety nature of the software, only NGSC can maintain Vega-ECDIS/ECS as there are no other companies authorized access to the code or to provide maintenance and updates.

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

A notice of intent to sole source 70Z04425IC2PL2501 was posted on SAM.gov on December 1, 2023, with responses to the notice due no later than 11:00 a.m. Eastern Time on December 20, 2023. No contractors responded or submitted capability statements.

The requirement was posted in the Acquisition Planning Forecast System (APFS) on January 17, 2024 (APFS Record F2024065140) and no responses were received.

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

The Contracting Officer will determine the anticipated prices fair and reasonable based on comparison with historical prices paid by the Government and comparison with the Independent Government Cost Estimate (IGCE). The Contractor will also provide Certified Cost and Pricing Data in accordance with FAR 15.403-4 if their proposal meets the threshold, which will be used by the Contracting Officer to conduct a cost and price analysis to ensure that all prices are determined fair and reasonable.

9. Description of Market Research.

Market research was conducted from October 1, 2023 through December 20, 2023, via internet searches, the research found that while there are other contractors that provide new navigation software solutions, NGSC is the only responsible source able to provide these services due to the software being proprietary to NGSC.

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

Not Applicable.

11. A Listing of the Sources, if Any, that Expressed, in Writing, an Interest in the Acquisition.

No other sources, except for Northrop Grumman Systems Corporation (NGSC), have showed interest or the capability to provide the required services.

12. A Statement of 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 USCG Command, Control, and Communications Engineering Center (C3CEN) conducted an Alternatives Analysis (AA) in March 2019 that sought to identify an appropriate alternative to the Windows Operating System currently used to run the Vega Electronic Navigation software. This AA is the first step towards defining the technical requirements of an electronic Navigation Software replacement of Vega. The requirements definition, award of a competitive contract, and subsequent deployment across hundreds of Coast Guard assets will take several years. The projected completion of this transition is Fiscal Year 2030. Until that time, it is necessary to support the Vega Electronic Navigation Software, necessitating a sole source award to Northrop Grumman Systems Corporation.

13. Contracting Officer’s Certification.

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Date

Contracting Officer

14. Technical/Requirements Personnel Certification.

I certify that this requirement meets the Government’s minimum need and that the supporting data, which forms a basis for the justification, is accurate and complete.

Technical Representative/COR

APPROVAL

Command Procuring Activity Advocate for Competition (CPAAC)