JA No. FY25-040 PSO KY.pdf

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND OPEN

COMPETITION

41 U.S.C. 3304(a)(l))

J&A No.: FY25-040

Pursuant to the requirements of the Competition in Contracting Act (CICA) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.3 and in accordance with the requirements of FAR 6.303-1, the justification for the use of the statutory authority under FAR Subpart 6.3 is justified by the following facts and rationale required under FAR 6.303-2 as follows:

1. Agency and Contracting Activity. The Department of Homeland Security (DHS), Office of Procurement Operations (OPO), Federal Protective Service (FPS), Acquisition Division (AD) proposes to extend the performance period of Contract 70RFP119DE4000001, with Patronus Systems, Inc., for Armed Protective Security Officer (PSO) services and Emergency Security Services (ESS) at various sites throughout the State of Kentucky on a basis of other than full and open competition.

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

(a) Nature of action: FPS intends to procure protective security office services on a noncompetitive basis for up to six (6) months, January 01, 2025, through June 30, 2025, to allow time to finalize award of the competitive follow-on contract and provide adequate time for transition. This action will result in a modification to extend the ordering period of the current contract to allow placement of a Task Order to continue critical PSO services throughout the State of Kentucky. The Task Order will only be issued under this contract for the necessary length of time required, but not to exceed six ( 6) months. The current contract is set to expire on December 31, 2024. The follow-on contract is currently in the pre-award phase. Additional time is needed in order to finalize the evaluation of proposals and make a best value award determination. This follow-on effort will also require a transition period of 120 days from the date of award to the performance start date. As such, this extension will allow time to complete the award and provide an adequate transition period to the new effort for this requirement.

(b) Name and address of the contractor.

Patronus Systems, Inc.

3000 North Wickham Road, Suite 8 Melbourne, FL 32935

(c) Contract type: Indefinite Delivery Indefinite Quantity, Firm Fixed Price

( d) Estimated total value: Six months -

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( e) Type of funding:

(f) Year of funding: Fiscal Year 2025

(g) Solicitation number: Not Applicable

(h) Background information about the requirement: FPS AD intends to obtain services pursuant to FAR 6.302-1 as only one responsible source and no other sources will satisfy agency requirements for the continuation of PSO services at facilities throughout the State of Kentucky.

3. Description of Supplies/Services.

The purpose of this extension is to provide armed PSO services at locations throughout the statewide Kentucky area. Patronus, Inc. is currently performing under a six-month extension pursuant to FAR 52.217-8 (June 1, 2024, through November 30, 2024) under competitively awarded contract 70RFP119DE4000001. Services are scheduled to end under this contract on December 31, 2024. To allow time to finalize evaluations, award the follow-on contract and provide an adequate transition period for the awardee of the follow-on contract, FPS AD finds it necessary to request approval for up to an additional six (6) months of service under FAR 6.302-1. This will extend the ordering period under Contract 70RFP119DE4000001 for up to six months, from January 1, 2025, through June 30, 2025.

The instant action is requested to allow FPS to continue procuring PSO services from Patronus Systems, Inc. under contract 70RFP1 l 9DE4000001 while processing the award of the competitive follow-on contract and the to provide an adequate transition period. This will ensure uninterrupted security services at federal facilities throughout Kentucky between the expiration of the existing contract and the start of full performance by the successful vendor under the follow-on effort. The proposed sole source extension will ensure services are uninterrupted while the award is being finalized and will also cover the 120-day transition of the new contract prior to standing post. The requirement fulfills an existing government need and the extension of the existing contract is the most advantageous and only practical method of fulfilling the government's need, price, and other factors considered. This contract extension also takes into account the government's need for continuity of operations and potential costs of disrupting operations. The period of performance for this extension is for up to six 6 months of additional PSO services from January O 1, 2025, through June 30, 2025;

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

Competition.

The statutory authority permitting other than full and open competition is 41 U.S.C.

3304(a)(l) implemented by FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.

5. Identification of Exception to the Buy American Statute

Not applicable.

6. Demonstration that the proposed contractor's unique qualifications or the nature of the acquisition requires use of the authority cited.

Patronus Systems, Inc. is currently satisfactorily performing PSO services under Contract 70RFP119DE1000001 and there have been no staffing issues during the current option period. The contract is set to expire on December 31, 2024. FPS AD is in the process of awarding a competitive follow-on contract which is currently being solicited as a 100% small business set-aside for Protective Security Officer Services under Request for Proposal (RFP) 70RFP124RE4000001 issued on April 05, 2024.

However, due to unexpected delays and circumstances beyond the control of the contracting office, the Government requires additional time to award the follow-on contract and allow for a 120-day transition. The unexpected delays were attributable to multiple updates being made to this requirement after the solicitation was issued, which included a revised Scope of Work (SOW) and post exhibit.

The follow-on requirement under this contract is estimated to be awarded on or before February 28, 2025, with an anticipated performance start date on or before July 01, 2025. The follow-on contract will have a transition period of 120 days from the date of award to the performance start date. This transition period enables the follow-on contractor to obtain all necessary equipment, licenses, training, and other certifications/ suitability requirements for its employees to be able to begin standing post at the start of performance. Due to the extensive transition requirements for PSOs under the FPS program, another PSO firm cannot immediately replace the existing contractor without a severe and unacceptable degradation in overall security jeopardizing federal government personnel, visitors, and assets. For these reasons, it is also not feasible for any portion of the work to be segregated to allow for competition. The incumbent contractor, Patronus Systems, Inc., is familiar with the instant requirement, facility locations, and has a fully qualified staff in place and is the only contractor at this time that can immediately fulfill the requirement without delay or interruption of services. As a result, a short-term extension of services under the current contract is necessary to ensure a seamless transition takes place from the existing requirement to the follow-on effort.

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Title 40 United States Code (U.S.C) § 1315 gives DHS the responsibility to protect federal facilities and the people therein. Presidential Policy Directive 21 (PPD-21), and the National Infrastructure Protection Plan (NIPP) further refine DHS's responsibility to protect buildings, grounds, and property that are owned, occupied, or secured by the Federal Government.

These documents also establish U.S. policy for the protection and resilience of the Nation's critical infrastructure and provide a framework for integrating efforts designed to enhance the safety of critical infrastructure. Given the reality of terrorist threats, it is in the best interests ofDHS and the public to continue to allow the incumbent contractor to provide services until the follow-on contract is appropriately transitioned. Effective PSO services are integral to the FPS mission to respond to terrorist attacks, domestic workplace violence, trespassing, disorderly conduct, and emergency medical situations. PSO services also mitigate threats by detecting firearms, hazardous materials, and suspicious packages at these locations. Due to these critical roles, a modification to extend the current contract 70RFP119DE4000001 with Patronus Systems, Inc. is required to allow placement of a new contract to provide continued services to ensure uninterrupted service, a seamless transition, and to eliminate potential disruption in PSO services.

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

The circumstance restricting competition for this requirement is that "only one responsible source and no other supplies or services will satisfy agency requirements," pursuant to FAR 6.302-1. Therefore, no exception to the FAR 5.2 notification requirement applies, and FPS AD posted this requirement to SAM.gov on December 13, 2024, pursuant to FAR

5.201 (b )(1 )(ii). FPS AD intends to make this justification publicly available pursuant to FAR 6.305.

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

Patronus Systems' current hourly rate of-was determined to be fair and reasonable based on FAR 52.222-43 Fair Labor Standards Act and Service Contract Labor Standards Price Adjustment (Multiple Year and Option Contracts) modification P00018 awarded on October 04, 2024, for the FAR 52.217-8 option extension period. Patronus has agreed to utilize this same rate for the J&A six-month extension period.

In addition, the Contracting Officer has determined that the hourly rate of--or PSO services in Kentucky proposed for the J&A six-month extension period to be fair and reasonable based on comparison of the proposed prices to historical prices paid for the same or similar items in accordance with FAR 15.404-l(b)(2)(ii). The price analysis table below shows the comparison in hourly priced rates from different contracts that were competitively awarded for PSO Armed Guard Services within FPS Region 4 to the price established for the J&A period. All contracts have similar Statements of Work and similar training/ certification requirements as they are all for Armed PSO services.

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Contractor Contract Number Location Period of Performance

Hourly Rate Variance from

$53.10

Patronus Systems, Inc. agreed to continue the performance of services at the current rate of

- under the proposed extension period from 01/01/2025 through 06/30/2025. As shown above, the proposed rate for the extension period is competitive to the rate for the other FPS PSO contract performed within the State of Kentucky. Only the Basic PSO rate is being used for comparison purposes as Basic PSO services comprise the preponderance of hours that will be ordered

In accordance with FAR 15.403-l(b)(3), no certified cost or pricing data will be required because the service is commercially available to the general public.

9. Description of Market Research.

The agency has conducted market research for the new requirement and is familiar with the other potential sources and their qualifications. Based on our market research, other firms could provide PSO services at the Kentucky locations, however they could not do so by January 01 , 2025, causing unacceptable delays or potentially jeopardizing the safety of government employees or visitors. Accordingly, no other contractor can provide the services without an unacceptable interruption in service at this time.

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

Since it is essential that services continue without interruption for the security of Federal facilities throughout the State of KY, the tenants that occupy those facilities and visitors, and the fact that Patronus is performing satisfactorily as documented under the current Contractor Performance Evaluation Assessment Report System (CPARS), it is in the best interest of the government to extend contract 70RFPI 19DE4000001 for up to six months with the current contractor.

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

Not Applicable.

12. A Statement of the Actions, if Any, the Agency May Take to Remove or Overcome Any Barriers to Competition Before Any Subsequent Acquisition for Supplies or Services Required.

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This requirement is for the sole purpose of issuing a modification to continue PSO services under Contract 70RFP119DE4000001until the competitive follow-on contract is awarded and transitioned to start. The agency is currently processing a follow-on requirement which is taking longer than originally projected. The agency plans to make award no later than February 28, 2025, with the new award to start no later than July 01, 2025. It is essential that services continue without interruption for the security of federal facilities throughout the State of Kentucky to include government personnel and visitors at these locations.

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