JA RS Means - Redacted.pdf

RSMeans Online Data Complete Control Number: VA-24-00017033 Plus Full Library

JUSTIFICATION

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity: Department of Veterans Affairs (VA)

Office of Procurement, Acquisition, and Logistics Technology Acquisition Center 23 Christopher Way Eatontown, New Jersey 07724

2. Description of Action: The proposed sole source action is for a firm-fixed-price contract for the renewal of brand name RSMeans Data Online Complete Plus Full Library and software updates with RSMeans Company, LLC, doing business as Gordian, located at 1099 Hingham Street, Suite 201, Rockland, Massachusetts 02370-3319.

3. Description of the Supplies and Services: VA, Office of Information and Technology (OIT) and the VA Health Environments and Facilities Program (HEFP) Office of Healthcare Engineering (OHE) has a requirement for the renewal of the RSMeans Data Online Complete Plus Full Online Library (cost estimating database software) that is currently operating via a web-based cost estimating database software tool.

The projected maximum number of users for the base period and each option year is

800. Since VA routinely experiences employee turn-over, i.e., departures from VA or new employees to VA, Gordian shall allow users to be removed and added throughout the base and option periods to maintain the current approved users based on the maximum number users. Gordian shall also provide software updates to operate on future versions of Web Browsers when VA changes the Operating System and Web Browser during the life of the contract. There is no hardware being purchased under this acquisition. The Period of Performance shall be 12 months from the date of award with two (2) 12-month option periods and one (1) optional task for additional software licenses, should VA need them, not to exceed 50 users.

The total estimated value of this action is , inclusive of option periods and the optional task.

4. Statutory Authority: The statutory authority permitting other than full and open competition is 41 U.S.C.3304(a)(1) as implemented by the Federal Acquisition Regulation (FAR) 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Rationale Supporting Use of Authority Cited Above: Based on extensive market research, as described in Section 8 of this document, it was determined that RSMeans is the only software available that will fulfill VA requirements. Gordian informed VA by letter that they are the sole distributor of their RSMeans Data Online Complete Plus Full Library software. RSMeans operates within the VA OIT architecture. RSMeans Data Online Complete Full Library is the only cloud-based cost estimating software that meets the functions and features for VA cost estimating purposes. No cost estimating software other than RSMeans has the performance capability to provide the vast amounts of material and labor data cost required by VA for specific geographic regions. The VA healthcare engineering program consists of 154 healthcare facilities with multiple project engineers at each site, along with VA's Office of Construction and Facilities Management resident engineer and project management program that must have consistent uninterrupted access to developing cost estimates for VA's capital infrastructure program with a plus Congressional budget. This cloud-based software is required to perform key functions, such as allowing user access through single sign-on capability; save and retrieve current and past estimates online via a secure environment; allow for estimates to be converted to Excel format, estimates are easily copied, printed and emailed within the software and the software is able to estimate unit price, editable/custom assemblies, editable/custom square foot models, along with user defined cost data. There is no other brand of software that encompasses all of these functionalities that VA requires. Gordian is the only company that provides the data via online access to its database. The secure environment is a unique version of RSMeans Online (RSMO) which incorporates all the necessary dependencies in a single system. The RSMO is used VA-wide and across VA program offices within and outside of HEFP. RSMO, designed as a multiservice/multicomponent system requires the special expertise and skills of a Gordian only software development team to properly configure the system for VA authorized user interface. RSMeans data features are exclusive to Gordian commercial products, specifically RSMO, including square foot models, lifecycle costing and predictive costing. The software is proprietary to Gordian. There is no other brand or company besides Gordian that can provide the required software and updates for the RSMeans Data Online Complete Full Library due to exclusive rights owned by Gordian.

RSMeans Data Online Complete Full Library software is a critical tool used by VA engineers and planners to develop projected costs for VA's capital infrastructure portfolio for Congressional funding toward meeting VA's core mission to Veterans.

Cost estimating is the foundation for developing capital projects for updating and maintaining VA's healthcare building environments, which is further supported through VA's ongoing Modernization Initiative and the Promise to Address Comprehensive Toxics (PACT) Act. Without the ability to develop cost estimates for the purposes of conducting project planning, design development, construction, and maintenance activities, VA's Engineering, and Contracting and Logistics program offices are not able to issue solicitations for project designs and construction awards, and effectively analyze and justify bid proposals. The cost estimating tool is a critical path to executing VA's capital infrastructure program for meeting VA's core mission to Veterans. Any lapse in access to the RSMO will negatively impact on the critical path for awarding project designs and construction contracts resulting in delayed contract awards and execution of Congressional funding for VA.

Based on the above, there is no other software that can meet all of VA’s cost estimating data requirements.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. Additionally, the proposed action will be synopsized on the System for Award Management’s Contracting Opportunities page in accordance with FAR 5.201. Any proposals that are received shall be evaluated.

7. Actions to Increase Competition: The Government will continue to conduct market research to ascertain if there are changes in the marketplace that would enable future actions to be competed. Specifically, the Government will continue to monitor the marketplace to determine whether another company has a product that would integrate into VA’s existing suite of RSMeans application.

8. In September 2023, VA’s technical experts conducted market research. This market research was a thorough review of various websites to ascertain if there is similar engineering cost estimating software that can meet VA’s requirements. VA technical experts researched the following companies: ACCA Software, Xactimate, Proest Soft, Viewpoint and Corecon V7. None of these software packages meet all of VA’s functional needs. Specifically, only RSMeans Data Online software provides regional cost information that is automatically updated throughout the year, with instant access to labor, material and equipment costs. The other software listed above do not have this capability.

Further Market Research was conducted on November 1, 2023 by posting a Request for Information (RFI) to SAM.gov Contract opportunities. The RFI closed on November 9, 2023, with one (1) response received from the company, eTRANSERVICES. VA’s technical experts reviewed the response and determined eTRANSERVICES uncapable of meeting VA’s requirements. eTRANSERVICES did not offer RSMeans software, but UDPaaS, a new platform, which does not include all of VA’s required functionalities. More so, eTRANSERVICE is not an authorized reseller, therefore, they do not have the exclusive rights to sell the online version of RSMeans software required by the VA. Additionally, Gordian provided a sole source letter to the Contracting Officer on November 15, 2023 stating that they are sole source and distributer for this software.

9. Other Facts: None.