J&A_FBO.pdf

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

100 F STREET, NE

WASHINGTON, DC 20549

OFFICE OF

ACQUISITIONS

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

Requisition Number:

Procurement Title:

Estimated Value:

Statutory Authority:

27000-18-0013 IT Forensic Expert

41 U.S.C. 3304(a)(3)(C) and FAR 6.302(a)(2)(iii)

JUSTIFICATION FOR SOLE SOURCE ACQUISITION

JUSTIFICATION NUMBER: 2018-0148

Upon the basis of the following justification, I, as the Competition Advocate, hereby approve the use of a sole source proposed contractual action pursuant the authority of 41 U.S.C. 3304(a)(3)(C) “to procure the services of an expert for use, in any litigation or dispute (including any reasonably foreseeable litigation or dispute) involving the Federal Government * * * .”

1. IDENTIFICATION OF THE AGENCY AND THE CONTRACTING ACTIVITY, AND

SPECIFIC IDENTIFICATION OF THE DOCUMENT AS A “JUSTIFICATION FOR SOLE

SOURCE ACQUISITION”

U.S. Securities and Exchange Commission Office of Acquisitions 100 F Street, NE Washington, DC 20549

This document serves as Justification and Approval for Other Than Full and Open Competition.

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED

The U.S. Securities and Exchange Commission (SEC) intends to award a contract using noncompetitive procedures to FireEye Consulting / FireEye, Inc., (“FireEye”) for expert services of an external forensic information technology expert for the Office of the General Counsel.

This contract is for a five (5) year period of performance. This award will be Time and Material (T&M) and will be funded with FY 2018 funds.

3. A DESCRIPTION OF THE SUPPLIES OR SERVICES REQUIRED TO MEET THE

AGENCY’S NEEDS (INCLUDING THE ESTIMATED VALUE)

The SEC proposes to negotiate a contract to procure services from a forensic information technology expert to investigate, assess and form an expert opinion or opinions on the apparent 2016 intrusion into the EDGAR system.

The total estimated value of the contract is for the base year plus for base year options and four option years for a total estimated contract value of .

4. AN IDENTIFICATION OF STATUTORY AUTHORITY PERMITTING SOLE SOURCE

ACQUISITION

41 U.S.C. 3304(a)(3)(C) and FAR 6.302-3(a)(2)(iii), to procure the services of an expert for use, in any litigation or dispute (including any reasonably foreseeable litigation or dispute) involving the Federal Government * * * .”

5. A DEMONSTRATION OF CONTRACTOR’S UNIQUE QUALIFICATIONS OR THE

NATURE OF THE ACQUISITION REQUIRES USE OF THE AUTHORITY CITED

The nature of the apparent intrusion potentially exposes the SEC to claims that it did not properly secure non-public information in the EDGAR system. Accordingly, the SEC requires the services of an expert for such potential disputes to assess the merit and disposition of any such potential claims.

FireEye is a well-recognized expert in the area of information technology forensics with a particular expertise in investigating and analyzing actual or potential breaches of IT computer systems. FireEye possesses over 13 years of cyber-intrusion incident response experience, including threat actors from around the globe. FireEye works approximately 200,000 hours a year on cyber incident response and has over 350 consultants in 17 countries.

In 2013, FireEye identified and reported evidence of cyber attacks by China’s People’s Liberation Army targeting at least 141 organizations in the U.S and other countries extending as far back as 2006. Since then FireEye has continued to grow its expertise and ability to analyze cyber intrusion incidents.

FireEye will investigate and form an opinion on the nature and particulars of a 2016 incident involving access to EDGAR data. It is critical that SEC be as knowledgeable as possible concerning this incident to advise SEC concerning the nature and extent of the possible data exposure. FireEye will also provide its opinion on appropriate corrective action, to help ensure that SEC is exercising the correct degree of care that a potential plaintiff might raise in any potential dispute.

6. A DESCRIPTION OF EFFORTS MADE TO ENSURE THAT OFFERS ARE SOLICITED

FROM AS MANY POTENTIAL SOURCES AS IS PRACTICABLE, INCLUDING WHETHER A

NOTICE WAS OR WILL BE PUBLICIZED AS REQUIRED BY SUBPART 5.2 AND, IF NOT,

WHICH EXCEPTION UNDER 5.202 APPLIES

A notice will not be publicized pursuant to FAR 5.202(14), “the proposed contract action is made under conditions described in 6.302-3 with respect to the services of an expert to support the Federal Government in any current or anticipated litigation or dispute.”

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED

COST TO THE GOVERNMENT WILL BE FAIR AND REASONABLE

The contracting officer determines that the anticipated cost of the contract action will be fair and reasonable. Before awarding a contract, the contracting officer will perform additional price analysis in accordance with FAR 15.404-1(b) or a cost analysis in accordance with FAR 15.404-1(c) to determine the price fair and reasonable.

8. A DESCRIPTION OF THE MARKET RESEARCH CONDUCTED (SEE PART 10) AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS NOT

CONDUCTED

Market research was conducted. Other potential experts were researched and considered. As a result of this market research, the most appropriate expert for this requirement was selected.

9. ANY OTHER FACTS SUPPORTING THE USE OF A SOLE SOURCE ACQUISITION:

N/A

10. A LISTING OF THE SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN

INTEREST IN THE ACQUISITION:

N/A

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 THE SUPPLIES OR SERVICES REQUIRED:

a) Procurement History: This is a new requirement.

b) The Commission will continue to survey the capabilities of the marketplace to determine if similar products/services may be utilized to fulfill these requirements in the future.