JA LDT TO 7200AA18F00023 EnCompass.pdf

May 3, 2021

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN

COMPETITION (J&A)

TO: Mir Ershadullah, Contracting Officer, M/OAA

FROM: Rochelle Thompson, Contracting Officer’s Representative, CPS/AMSRT Trisa Savoy, Alternative Contracting Officer’s Representative, CPS/AMSTS

THROUGH: Joy Burriss, Acquisition and Assistance Specialist, M/OAA

SUBJECT: JUSTIFICATION AND APPROVAL FOR AN EXCEPTION TO FAIR

OPPORTUNITY

1. This document sets forth the facts and rationale justifying the use of other than full and open competition, in accordance with FAR 16.505. This document for a Justification and Approval (J&A) was prepared by the U.S. Agency for International Development (USAID), Bureau for Conflict Prevention and Stabilization (CPS), Office of Administrative Management Services (AMS) for the Contract Learning and Development (LeaD) IDIQ AID-OAA-I-17- 00005, Learning, Development and Training (LDT) Task Order 7200AA18F00023 with EnCompass, LLC. FAR 16.505(b)(2)(i)(C) provides an exception for a logical follow-on.

2. The nature and/or description of the action being approved:

This is a request to approve an increase in the ceiling of Task Order 7200AA18F00023 with EnCompass, LLC by $695,032.00 from $1,738,135 to $2,433,167.

USAID’s Transformation was a critical initiative based upon Executive Order 13781, which directed the development of a Comprehensive Plan for Reorganizing the Executive Branch.

Additionally, a Memorandum to Executive Departments and Agencies, issued on April 12, 2017 by the Office of Management and Budget (OMB) provided specific guidance for how Agencies should develop their “Agency Reform Plans” to make the operations of the Federal Government “lean, accountable and more efficient.”

The support required in the design and operationalization of the new CPS Bureau, a part of USAID’s Transformation mandate, resulted in a much higher than expected level of effort (LOE). This LOE, which was not envisioned during the design of the Task Order, meant that the ceiling, which was estimated to last until September 27, 2022, has been reached with more than a year left in the life of project. The objective of this request is to ensure that the CPS Bureau and its programming support to field missions have uninterrupted access to specialized, high quality, critical services and expertise to implement change management interventions provided by

EnCompass as part of the operationalization and implementation of the new bureau activities as mandated by the Agency.

Under this action, EnCompass will continue to provide critical organizational change interventions and services for the Bureau, Office leadership and staff in addition to performance management, and process and systems alignment as required by the reorganization. Section 3 below contains details on the specific work to be performed. The end-date of the Task Order, September 27, 2022, will remain unchanged.

3. Description of the supplies or services required, including an estimated value:

The purpose of the EnCompass Task Order is to strengthen staff capacity and organizational effectiveness and to lead and manage the design, implementation and evaluation of program activities. The Task Order supports an enabling environment that promotes organizational and individual development goals, as well as effective systems to maximize learning and development.

For the last few years, EnCompass has supported the design, planning and implementation of the new CPS Bureau, part of USAID’s Transformation. To date, services have included developing leadership principles, determining objectives and indicators to measure progress, designing and implementing a broad data collection effort to assess staff perceptions, and overall monitoring of key tasks and actions designed to support change management interventions at multiple levels.

Additionally, implementation of these activities was complicated by the Agency’s pivot to telework due to the COVID-19 pandemic.

The CPS Bureau officially became operational on July 7, 2020. With the new Administration, CPS continues to forge ahead with the reorganization of the CPS Bureau. EnCompass’ continued support is needed until the end of the task order in 2022. A follow-on to the EnCompass task order is imperative to ensure that CPS continues to stay on track to achieve its critical mission as outlined by the Agency’s Transformation, which is to elevate the Agency’s fragility and conflict-analysis capabilities, and better coordinate them with our prevention, stabilization, and response efforts.

Support provided by EnCompass includes:

● Given the significance of this organizational change, a comprehensive and systematic change management approach that involves all staff, managers and leadership has been designed and needs to continue. In some cases in the new CPS Bureau, new teams or units have been be formed, new roles will be established and as such new systems and processes need to be put in place for key bureau tasks to drive individual transitions and ensure that program goals meet intended outcomes. Resources and tools will need to be available to Offices, divisions and Bureau in order to support change.

● The new administration’s reorganization plan makes these services that much more important. A series of activities have been identified and are in process as part of the implementation of change management activities that involve impacted individuals, teams, offices and leadership that need to continue as part of the reorganization efforts of the new administration. It is anticipated that the follow-on to the task order will allow EnCompass to concentrate solely on training and change management. Identified below are specific support services and activities targeted:

○ data gathering and readiness assessment

○ communication and communication planning

○ series of onboarding activities

○ team building

○ training for supervisors and managers

○ skills and knowledge training for impacted staff such as CPS Essentials and 101 o coaching for impacted staff

○ support the establishment of new “staff development” programs for staff

(mentoring, details/exchanges, etc.); and

○ change management and support to staff related to the new bureau.

By way of background the Task Order was awarded in September 2018 with a ceiling of $1,738,135. Due to the much higher than expected demand on LOE, the four-year ceiling of the Task Order will be entirely used by mid-2021. CPS is at a critical stage of operationalizing the Bureau, a follow-on to the LDT task order is the most logical pursuit at this juncture. CPS believes that the proposed increase of $695,032 represents the best value for cost. Continuing and accessing more of the essential services and interventions as described above represents the most efficient and effective way to maximize efforts and funds during this critical time left under this task order. EnCompass is already positioned and consultants are fully equipped and engaged with key CPS stakeholders to complete implementation of the remaining activities without interruption while providing more of the same services, as needed, without any delay. A new procurement would be far more expensive when factoring in LOE and startup costs. Further, in the time that it takes to design a new procurement, EnCompass will be able to complete the work as described.

The Statement of Objective and corresponding proposal remains the same. As mentioned above, the Task Order period of performance, September 27, 2022, will remain unchanged. As the LeaD IDIQ COR, I concur with this request to increase the ceiling as it is well within the overall LeaD IDIQ project ceiling and statement of objective.

4. Identification of the exception to fair opportunity (see 16.505(b)(2)(i)(C)) and the supporting rationale, including a demonstration that the proposed contractor requires use of the exception cited to complete ongoing activities critical to the operation of the Agency’s new CPS Bureau.

Logical Follow-on - FAR 16.505(b)(2)(i)(C) In the interest of economy and efficiency, this action must be issued on a non-competitive basis because it is a logical follow-on to order

no. 7200AA1F00023 already issued under the contract and all awardees were given a fair opportunity to be considered for the original order.

The CPS Bureau is requesting this action in order to build on work initiated over the last two years by EnCompass. As described, work started to date as well as activities to continue as part of the follow-on with EnCompass will be seamless and represents a significant cost-saving as demonstrated in the attached budget. These numbers would be significantly higher if forced to start from scratch with a new contractor.

M/OAA and CPS believe that a logical follow-on to the Encompass task order will allow for the successful completion of activities begun under the Agency’s transformation mandate in the most efficient and economical way. From the onset of this task order EnCompass employed a wide range of specialized approaches, processes, tools and other interventions that has supported the successful trajectory of the new CPS Bureau. In addition, they came with extensive experience in organizational development as well as an understanding of USAID – in particular the former DCHA Bureau and now CPS – that will facilitate the completion of core products, services, and mission-critical processes as mandated by the Agency Transformation mandate.

The Encompass team has provided a unique combination of organizational development and change expertise, sectoral proficiency to bureau operations, and sound command of USAID guidance, policies, and systems affecting the bureau. In conjunction with organizational change, training and development support, EnCompass also is able to incorporate e-learning, webinars, and other technology-driven learning events as they are aligned with event objectives.

Interrupting access to EnCompass services in this final stage of operationalizing CPS will clearly disrupt the momentum of critical activities being implemented. The CPS Bureau believes that change management interventions and services received from EnCompass to date have been invaluable.

As described above, EnCompass has provided important critical support and services to CPS staff and leadership for over two years. EnCompass experts support services are highly specialized and require a unique set of technical skills. Their support to CPS on change management specifically meets a requirement by the Agency for all new bureaus being created under the Transformation to create a change management plan. Bureau staff and leadership require the support of the EnCompass Task Order follow-on is a cost-effective way to continue to provide the depth and breadth of services to meet the Agency Transformation mandate.

Calculations for funding a new project are estimated at triple the cost of the follow-on to EnCompass. Any lapses in EnCompass services at this juncture will be extremely costly in terms of time and funds. Time required to design a new project will compromise the last year of EnCompass’ task order significantly limiting the effectiveness of the bureau to react to the new Administration as well as its ability to provide service and support to USAID Missions around the world. It would also impact USAID’s ability to continue to serve as the US Government lead on conflict, prevention, violence and stabilization issues. An increase to the ceiling will give EnCompass the necessary funding to complete interventions while meeting the tight operationalization timeline. This would help ensure the success of the Transformation and the ability of the Agency to fulfill expectations and implement the work as described in the Congressional Notification (CN).

The Task Order still has time remaining in its period of performance (September 27, 2022), but if the ceiling of the EnCompass Task Order is not increased, services will not be available beyond June 2021. Approval of a follow-on to Encompass by increasing the ceiling by $695,032 would enable the CPS Bureau to continue to use the EnCompass services during this critical time for the new bureau in addition to representing cost efficient and logical path to achieving goals outlined to support the Agency’s ability to effectively manage or support critical programs in conflict and violence-affected countries.

Increasing the ceiling of the Task Order would be in the best interests of the US Government and economy and efficiency as the work provided by EnCompass under the statement of objective for the Task Order will remain the same. The period of performance will not be extended.

5. A demonstration by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable:

The following techniques were used to ensure that the anticipated cost/prices are fair and reasonable.

A) Pipeline Analysis and Burn Rate Data: The Task Order’s current ceiling is $1,738,135.

The amount obligated to date is $1,734,135. Since the ceiling has effectively been reached with the last incremental funding action, the monthly burn rate has decreased considerably to approximately $50,000. Prior to the ceiling issue, EnCompass overall burn rate was at $100,000 largely based on the change management activities in response to the accelerated Agency mandate timeline. As the CPS Bureau got closer to being operational the need for change management interventions became greater. With CPS now operational and full implementation anticipated, a burn rate estimated at $60,000 will continue until the end of the task order. In the last year of the LDT project, activities will be phasing down so it is expected that the burn rate will level out to focus on those activities critical to sustaining activities after close out. Increasing the ceiling by $695,032 is the most economical and efficient way to allow the CPS Bureau to acquire the services needed from EnCompass that will support a fully operational bureau.

B) As mentioned earlier in the memorandum, this Task Order was competed through a full and open competition. Market research including fair cost estimates were all conducted and EnCompass. Comparison of prices among leading companies were thoroughly reviewed and at that time it was determined that EnCompass cost proposal exceeded expectations.

C) Hands down extending EnCompass in the amount of $695,032 is far more logical than having to design a new procurement that will more than triple the cost implementing support and services needed. It is doubtful that CPS will be able achieve the results as described in the time necessary with continuation of this task order. Not only is it highly unlikely that CPS will be able to contract in a timely fashion, but the lapse of time also needed for a new procurement will not sync with the operationalization of the new Bureau.

6. Other facts supporting the Justification:

A) IDIQ COR Concurrence on the ceiling increase. As COR for the LeaD IDIQ in which this Task Order is under, I, Rochelle Thompson, concur with the request for a ceiling increase as it is well within the IDIQ ceiling.

B) COR Assessment of Contractor Performance to Date: EnCompass hit the mark and in some cases exceeded expectations as it related to quality, schedule, cost control, management and small business subcontracting. EnCompass was able to hit the ground running and has provided the breadth and depth of experts to support very complex and critical range of services and support necessary to inform planning and implementation change management activities. The range of events and activities have been successfully executed with a high degree of effectiveness. The quality of their work during this latest period continues to be exceptional, they remain on schedule with deliverables, they maintain effective cost controls, demonstrate effective management of the award, and comply satisfactorily with regulations.

7. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the exception to fair opportunity before any subsequent acquisition for the supplies or services is made:

EnCompass’ ability to meet the original organizational development operationalization timeline was interrupted by the Agency transformation from the former DCHA Bureau to the CPS Bureau. An increase to the ceiling will give EnCompass the necessary funding to complete its vital support critical to meeting the Agency’s goal of conflict mitigation, countering violent extremism, and prevention of violence and instability within the period of performance. This would help ensure the success of the Bureau transformation and the ability of the Agency to fulfill expectations of the new Administration. Approval of a follow-on to Encompass by increasing the ceiling would enable the CPS Bureau to continue to use the EnCompass services to September 27, 2022 the end of the contract with no follow-on anticipated.

No barriers to entry are foreseen for future procurements. The office will consider all acquisition strategies to include Category Management Best-in-Class solutions.

8. Technical or Requirement Personnel Certification:

In accordance with FAR 16.505(b)(2)(ii)(B)(9), I hereby certify that the technical statements included above, which form a basis for the justification, are complete and accurate.

Rochelle Thompson 5/7/21 Rochelle Thompson Date Technical Office Representative

9. Contracting Officer Certification:

Based on the exception to a full and open competition provided under FAR 16.505(b)(2) and the justification provided above, I hereby certify that the justification is accurate and complete to the best of my knowledge and belief.

Mir Ershadullah Date Contracting Officer

10. Approving Official Determination

I have determined that FAR 16.505(b)(2)(i)(C) as described above, appropriately applies to this order.

Approved ⬚ Disapproved ⬚

Mir Ershadullah, Contracting Officer Date Approving Official