JA - FAR 8.4 - iDox_BPA_SAM.pdf

FAR Part 8.405-6

LIMITED SOURCES JUSTIFICATION FOR GSA FEDERAL SUPPLY SCHEDULE

1. Identification of the agency and the contracting activity:

The U.S. Dept of State, Office of Acquisitions Management is conducting this acquisition on behalf of Comptroller Global Financial Services (CGFS), Global Systems Office (GSO). The point of contact is Ms. Susan Bowers, U.S. Department of State, CGFS/GSO, 2010 Bainbridge Ave., North Charleston, SC 29405, (843) 308-5482. It is recommended that a Blanket Purchase Agreement (BPA) be awarded to the small business GSA schedule holder, iDoxSolutions of Bethesda, MD. The total estimated value of the BPA for the base year and four option years is estimated at $13.5 Million, due to the potential for additional users, additional locations and/or new business units.

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

The acquisition is for on-going requirements for the design, implementation, and administration of Document Imaging and Workflow Solutions for domestic and overseas locations. The Department proposes to enter into a sole source, Labor Hour, Fixed Price and Time and Material Blanket Purchase Agreement (with options) on limited sources basis.

3. A description of the supplies or services required to meet the agency's needs.

The Document Imaging and Workflow Solution provides custom document workflow and storage applications for seven business units at CGFS located domestically and overseas. Although, commercial software is used, it had to be customized to the Departments existing Oracle Enterprise software platforms for each business unit. As a financial organization, CGFS performs support functions such as Vendor and Employee Claims, Accounts Receivable, Payroll and Pension Operations and Cashier Monitoring as well as other related financial services. These offices receive and generate a substantial amount of paper documents and electronic files, such as paper and electronic vendor invoices, which are circulated through various workflow approval processes and are ultimately filed to satisfy record keeping requirements. The primary objective of CGFS is to create and support document workflow applications and corresponding databases that will host digitized images to replace the physical storage of paper documents and electronic files or eliminate the need to print the documents to accomplish the business processes in the respective business units. The current DIS allows the end user to perform scanning, importing, indexing, storage, and retrieval of both paper and electronic documents.

iDox personnel have been the sole design, development and application service providers of 11 current DIS applications. Since the inception of the DIS system, iDox has researched and created each of the applications to include distinct and varied requirements based on the DoS user input and approval. This body of system and process knowledge is crucial for success of the ongoing care and upkeep of these systems. iDox ’s specialized system and process knowledge provides the most efficient and effective solutions used to fine tune the business processes or make changes based on update/new business rules. iDox personnel possess proprietary expertise (specifically knowledge of the original Viking Software), historical knowledge, and system knowledge resulting in the ability to architect the new DIS 5 WEB system. iDox is currently engaged in rolling this new web-based system to production for the 11 current DIS applications using the acquired skills and knowledge of the specific business unit DIS installation.

4. The authority and supporting rationale and, if applicable, a demonstration of the proposed contractor’s unique qualifications to provide the supply or services.

Only one responsible source and no other supplies or services will satisfy agency requirements. This acquisition is conducted under the authority of the Multiple Award Schedule Program, 41 U.S.C.50 and in accordance with FAR 8.405-6, Limited Sources. Specifically, FAR 8.405-6(a)(1)(i) for a proposed order or BPA with an estimated value exceeding the micro-purchase threshold not placed or established in accordance with the procedures in 8.405-1, 8.405-2, or 8.405-3, the only circumstances that may justify the action are, (B) only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized.

If this requirement is competed and awarded to another vendor it would cause substantial duplication of costs to the Government that would not be expected to be recovered through competition because of the loss of proprietary software and the cost to maintain the existing document imaging system while the new system is implemented in six domestic and overseas locations.

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

The current applications were developed by iDox as Oracle Enterprise software platforms, utilizing several software products. These include VisualStudio.net, Team Foundation Server, Oracle Data Access, GdPocture.Net, PDF4Net, Xceed Streaming Compressions for .Net, and Microsoft Exchange Web Services.

Since 2003, substantial programming code was developed by iDox to integrate these packages with the Oracle server platform and develop an enterprise-wide solution. As new database applications are added, CGFS will purchase additional software licenses and maintenance services for the proprietary software already in use. With the effort and specialized code development invested in the implementation of the current DIS, implementing and supporting a new enterprise-wide system to replace it would be impracticable.

The learning curve to bring on a new contractor would result in significant financial risk while not providing the same level of expertise as the vendor that originally developed the program. iDOX not only develops the applications but also provide application support for the system in production.

iDox proprietary knowledge of business process integration and analysis has been instrumental in:

1. Understanding the historical and ongoing needs of the current DoS mission and working with the 11 unique business groups to automate their processes and enhance their productivity and efficiency

2. Design the new web-based document imaging system that provides all the current capabilities in a new modern architecture. The new DIS 5 WEB system uses proprietary iDox design techniques and constructs to create a unique, maintainable, and sustainable system.

3. Leverage their long-term relationships within the DoS workforce to ensure mission needs are met, including payroll services for Retirees, Locally Employed and American employees.

4. iDox personnel have created and conduct specialized training for their employees to ensure the new architecture is maintained and updated in accordance with both DoS standards, but also in the use of iDox specialized design processes and unique architecture.

Summary

GFSC has an urgent need to procure the services of already knowledgeable personnel who have worked in the GFSC administration and development environments and with the Document Imaging and workflow (DIS) applications. Without these resources there would be an unacceptable lapse of coverage to the government as it enters a period where the DIS system is being upgraded to the new DIS 5 WEB solution. The resources proposed that have this knowledge, skill and experience are available only from iDoxSolutions as there is no other source that can provide the hands-on experience with the 11 unique business processes and delivered custom systems. Lastly, the new BPA continues to allow uninterrupted access to personnel who are currently working on the in-place applications and have designed and developed the new modernized DIS 5 WEB solution.

https://www.acquisition.gov/content/8405-6-limiting-sources https://www.acquisition.gov/content/8405-1-ordering-procedures-supplies-and-services-not-requiring-statement-work https://www.acquisition.gov/content/8405-2-ordering-procedures-services-requiring-statement-work https://www.acquisition.gov/content/8405-3-blanket-purchase-agreements-bpas

6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable.

The solution proposed by iDox in 2003 has demonstrated its adaptability to adjust and grow with the Department’s dynamic and changing environment. It has been developed and implemented as an enterprise-wide system utilizing proprietary software. This places iDox in the unique position of being the only firm capable of continuing the production of what has become a major system within CGFS.

A notice will be posted per FAR 8.405-6 (a)(2) on the Government Wide Point of Entry (GPE).

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

As GSA has already deemed unit pricing fair and reasonable, no further determination is required by the Contracting Officer prior to awarding a delivery order or BPA. The CO will determine the contractor proposes a proper labor mix and level of effort, where appropriate. The Contracting Officer will ensure that reasonable discounts off Federal Supply Schedules price listings are provided, where applicable/appropriate.

8. A description of the market survey conducted and the results or a statement of the reasons a market survey was not conducted.

As noted in item #5 above, the applications that form the backbone of the existing DIS platform use software packages that only iDox can provide. With the proprietary considerations and resources already invested in the current system, including substantial code development and licensing/maintenance arrangements, iDox is the only source for implementing the solutions to CGFS locations. Other firms in the market could not be used without discarding the current system and creating a new system from the ground up, at a substantial cost to the Government. Based on these facts, conducting a new market study for this particular acquisition would not be practical at this time.

9. Any other facts supporting the use of other than full and open competition.

In addition to the costs associated with developing and implementing the hardware and software components of the existing DIS platform, another consideration is the training provided by iDox. Unlike procuring standardized types of training that many vendors can provide (e.g., Word, Excel, etc.), the type of training provided for each database implementation is somewhat unique.

The basic training requirements, which are similar for each business unit, include the following: provide application user training for the staff, train management staff on generating workflow reports, and developing user guides and training materials. However, iDox implements a unique approach in order to tailor the training for each business unit’s specific requirements. To develop custom tailored training for each project, one of the contractor’s employees who will be directly involved with requirements analysis, user interviews, system design & adaptations, and other development processes is the person who will conduct the training after implementation. By being directly involved in the entire process from beginning to end, this individual will have a unique perspective on what training is most beneficial and appropriate for the staff and managers of the business units.

Also, if a new contractor is awarded the contract, a loss of iDox Solutions proprietary software would require an 18-24 month transition period to implement the new DIS across seven business units, in six locations worldwide.

The substantial cost of a new DIS without DocWise and ePower, the business unit specific training and the costs for the transition period all provide significant support to limit the sources and utilize a federal supply schedule on GSA. The net result will be a savings in tax-payer dollars.

10. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

Competition will be addressed when considering the option to extend services beyond September 2024. The current document imaging system has demonstrated its adaptability to adjust and grow with the Departments dynamic and changing environment. However, in 2024 CGFS believes it would have realized its full investment out of the solution and will consider alternative options by conducting a thorough market research survey and seek new resources and solutions using a government wide point of entry.