JA17-033 CSS0069_Amendment 1 Final_Redacted_Feb 1 2022.pdf

LIMITED SOURCE JUSTIFICATION & APPROVAL (J&A)

FEDERAL ACQUISITION REGULATION (FAR)

PART 8 ACQUISITIONS

Multiple Award Schedule (MAS)/Multiple Award Contract (MAC)

Orders under MAS/General Service Schedules (GSA)/Federal Supply Schedules (FSS)

FAR 8.405-6

Purchase Request Number: Not Applicable Contract Number: HC1013-17-A-0005 Task/Delivery Order Number: Not Applicable Procurement Title: Inmarsat Standard Broadband Global Area Network (BGAN), Fleet Broadband (FBB), and Swift Broadband (SBB) Airtime Services for the Department of Defense (DoD) Utilizing BGAN Secure Terrestrial Access (BSTA) Contracting Office: Defense Information Technology Contracting Organization (DITCO) - Scott, PL8221 Estimated Value:

Authority: FAR 8.405-6(b)(1)

LIMITED SOURCE JUSTIFICATION

J&A Number: JA17-033 MOD 01

Upon the basis of the following justification, I, as Procuring Activity Competition Advocate (MOD 01 only), hereby approve this limited source justification in accordance with FAR 8.405- 6(b)(1), items peculiar to one manufacturer—the particular brand name, product, or feature is essential to the Government’s requirements, and market research indicates other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the agency’s needs.

JUSTIFICATION

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

(a) Requiring Agency:

United States Army

James Ruddick

PEOC3T-WIN-T S-NOC

Building 3422 Hardy Rd.

Ft. Dix, NJ 08640

(b) Contracting Office:

Defense Information Systems Agency (DISA)

DITCO (PL8221)

2300 East Drive, Building 3600 Scott Air Force Base, IL 62225-5406

Inmarsat BGAN, FBB, and SBB Airtime Services for the DoD Utilizing BSTA-JA17-033 MOD

Page 2 of 11 Pages

2. NATURE/DESCRIPTION OF ACTION(S):

Note: Revisions to the original J&A are prefaced “MOD 01” and are identified in bold text throughout the document.

MOD 01: The purpose of this modification is to increase the estimated value of this Justification by The estimated value is increased to account for higher-than-estimated usage during option period one and the final option period of the BGAN BSTA blanket purchase agreement (BPA) awarded March 28, 2017 to Satcom Direct Communications, Inc. The current BPA must remain available as an ordering vehicle for proprietary services while the follow-on BPA (tracked as CSS0101) is awarded. During option period one and the current/final option period of the BPA, the operational needs of the end users have seen a significant and unanticipated surge in usage, which has pushed the total BPA expenditures to the originally established ceiling.

Original: This action is to establish a new Firm Fixed Price blanket purchase agreement (BPA) under GSA Information Technology (IT) Schedule 70, Special Item Number (SIN) 132-55 to lease Inmarsat BGAN, FBB, and SBB services that will support the United States Army’s BSTA network. BSTA is operationally deployed worldwide.

Funding will be provided at the order level. Call orders against this BPA will be funded using the appropriate fiscal year Defense Working Capital Funds.

3. DESCRIPTION OF SUPPLIES/SERVICES:

The Government has a need for an Internet Protocol (IP)-based mobile communication service for voice, broadband data, and streaming video at high-speed data rates through the use of portable BGAN satellite terminals that is compatible with the Army’s existing secure network, BSTA. The Schedule contractor shall provide the DoD standard BGAN services including dynamic IP, voice, video, data, and messaging in all regions of the globe (e.g., Europe, Middle East/Africa, Americas, and Asia/Pacific), with the exception of polar regions (75 degrees north latitude and 75 degrees south latitude). BGAN, FBB, and SBB services support the full spectrum of DoD operations, to include overseas contingency operations, and therefore, maintaining full-time availability of Subscriber Identity Module (SIM) card holders’ services is of the highest importance.

The period of performance for this BPA is a 1-year base with four 1-year option periods. In accordance with FAR 52.217-8, Option to Extend Services, an additional 6-month option to extend will be available.

The estimated life cycle cost of is outlined below:

Page 4 of 11 Pages addresses are currently owned by Segovia and must be used in all BSTA systems that access Inmarsat services.

(2) Proposed sole source contractor.

Not Applicable.

(3) Discussion regarding cause of the limited source situation.

MOD 01:

The Government continues to require INMARSAT services (BGAN, FBB, and SBB) that are specifically routed through the BSAT APN. Due to an unforeseen increase in operational demand, the current BSTA BPA is approaching the contract ceiling. Increasing the ceiling of the current BPA with SATCOM Direct Communications, Inc. will allow for the current ordering vehicle to continue while the follow-on BPA (tracked as CSS0101) is awarded.

Original: The Army previously procured a contract for terrestrial circuits to support the BSTA network. This proposed Inmarsat service BPA will be a companion to the terrestrial circuits. Because the terrestrial circuit contract is limiting in that only traffic originating from a Segovia BSTA APN and IP address is allowed to travel on the terrestrial path and no other vendors APN can traverse, the BSTA BPA seeks to acquire Inmarsat BGAN, FBB, and SBB services that include exclusive use of the Segovia APN. Any changes to the terrestrial circuit to allow other vendors APN access would involve reengineering changes to the circuit. A Segovia APN and IP address the only solution that can meet the Government’s requirement for an IP-based mobile communication service for voice, broadband data, and streaming video at high-speed data rates that are compatible with the Army’s existing secure BTSA network. Security concerns and engineering investment costs to redesign a more open network, restricts the ability for the use of other vendor’s APN and IP addresses.

Therefore, competition will be limited to vendors with a Segovia APN and associated IP address necessary to travel the dedicated network. Segovia currently has Distributor Agreements and is working with other Distribution Partners to establish additional agreements. According to e-mail dated January 24, 2017, between Segovia and DITCO, the process to sign agreements with new distributors for use of the BSTA APN is relatively short and can be accomplished within two to four weeks.

The competition is limited to those contractors who currently have a Distributor Agreement or can provide an agreement at quote submission.

(4) Procurement discussion.

These Inmarsat services were previously acquired through ADCI of Delaware on the Indefinite Delivery/Indefinite Quantity (ID/IQ) contract DCA200-02-D-5025. The ID/IQ contract expired December 5, 2014, with no renewal or extension options.

Page 5 of 11 Pages

Segovia was a subcontractor under DCA200-02-D-5025 and provided ADCI access to the BSTA network as well as use of their APN and IP address.

The Segovia APN and IP address is the only APN and IP address able to access the Army’s terrestrial network (BSTA). The APN and IP address are non-exclusive to Segovia, but distributors wishing to use the APN and IP addressing scheme must have an agreement with Segovia in order to utilize the APN and IP address.

Previously, a J&A for Inmarsat BSTA service was approved and signed by the HCA on March 3, 2016; however, based on a change in Inmarsat’s wholesale packaging, the solicitation no longer met the mission partners’ requirements and was canceled.

This packaging change was not forecasted and thus not incorporated into the previous solicitation. The canceled solicitation received quotes from offerors, none of which were small businesses. The cancellation of the solicitation allowed for further market research, coordination of strategies, and an understanding of Inmarsat’s new wholesale offerings.

Segovia’s terrestrial network requires the proprietary APN in order to provide the secure access required by the warfighter. All BGAN satellite traffic that is transmitted using the required Segovia APN is immediately routed directly onto Segovia’s secure Multiprotocol Label Switching network upon reaching the Inmarsat Earth Station. This ensures all transmitted data flows on a secure, closed network and does not traverse over public internet lines. The terrestrial network is designed to accept only BGAN SIM cards that have been provisioned with the Segovia APN.

This additional security feature placed on the physical SIM card requires programming at Segovia's secure facility, which eliminates the ability of potentially malicious entry into the secure network through a standard BGAN SIM card operating with a software programmed APN. This network is currently the only option for BGAN users requiring a fully secured end-to-end network.

(5) Impact.

The customer base is deployed world-wide on a number of missions. The Inmarsat terminals used in this network are vital to their communications, and communication isolation would leave these warfighters vulnerable during an attack resulting in possible loss of life.

5. BEST VALUE DETERMINATION:

This requirement will be competed amongst all GSA IT Schedule 70, SIN 132-55 Schedule contractors that provide Inmarsat BGAN, FBB, and SBB services, and an award will be made to the contractor representing the best value, lowest price technically acceptable, to the Government, in accordance with FAR 8.404(d). The contracting officer will make a fair and reasonable price determination using proposal analysis techniques in accordance with FAR

Page 6 of 11 Pages

15.404-1. All quotes received will be reviewed to ensure that GSA Schedule rates have not been exceeded.

6. MARKET RESEARCH:

For this requirement, GSA IT Schedule 70, SIN 132-55 will be utilized. This determination was made because the requirement consists of managed network subscription services. Market research related to this acquisition was conducted within one year, from March 2016 through January 2017.

As of January 2017, there are 37 GSA IT Schedule 70, SIN 132-55 industry partners. Of these contractors, 19 offer the 3 required forms of mobile satellite subscription services and 6 of those with appropriate service offerings are small businesses. However, because the identification of the contractors holding distribution agreements with Segovia is proprietary, it is unknown how many of the six small businesses have a Distributor Agreement. To ensure adequate competition, the Government is soliciting among all SIN 132-55 Schedule holders. Schedule contractors have the ability to modify their contracts at any time to offer those services, and Schedule contractors may be added or removed at any time.

(a) Potential Suppliers/Vendors: As of January 2017, below is the list of GSA IT Schedule 70 SIN 132-55 contractors that offer the three forms of mobile satellite subscription services covered by this BPA (BGAN, FBB, and SBB).

As stated below, Schedule contractors are able to add services to their GSA Schedule at any time. In the aforementioned e-mail dated January 24, 2017, between DITCO and Segovia, Distributor Agreements are in place. Due to proprietary concerns, Segovia will not release the Schedule contractors that currently obtain a Distributor Agreement. Therefore, it is unknown which of the below small businesses currently obtain a distributor agreement with Segovia.

Segovia also stated that they would provide the APN and IP address if a contractor has a letter of supply between themselves and Segovia, and that any contractor is able to request said Agreement. The previous solicitation, which was cancelled June 23, 2016, included zero responses from small businesses.

Page 7 of 11 Pages

Contractor Name Business Category Contract Vehicle

ADCI of Delaware, LLC O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0456P)

Boeing Company, The O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0777J)

CapRock Government Solutions, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-5497H)

COMSAT, Inc. O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0122X)

DRS Technical Services, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0148S)

GIT Satellite, LLC S—Small Business

W—Woman-owned

GSA Schedule 70, SIN 132-

(GS-35F-0404U)

Globecomm Systems, Inc. O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0456S)

Knight Sky, LLC S—Small Business GSA Schedule 70, SIN 132-

(GS-35F-0016V)

L-3 Global Communications Solutions, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35-F-0718M)

MVS USA, Inc. S—Small Business

W—Woman-owned

GSA Schedule 70, SIN 132-

Page 8 of 11 Pages

(GS-35F-0201X)

Network Innovations US, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0567X)

Northrop Grumman Systems Corporation

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0165Y)

RiteNet Corp. S—Small Business

D—Disadvantaged business

GSA Schedule 70, SIN 132-

(GS-35F-0048Y)

SATCOM Direct Communications, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0221R)

SATCOM Global, Inc. O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0337P)

Segovia, Inc. (d/b/a Inmarsat Government Services)

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0016X)

SES Government Solutions, Inc.

O—Other than small business

GSA Schedule 70, SIN 132-

(GS-35F-0328V)

Trustcomm, Inc. S—Small Business GSA Schedule 70, SIN 132-

(GS-35F-195AA)

UltiSat, Inc. S—Small Business GSA Schedule 70, SIN 132-

(GS-35F-0068Y)

The BSTA follow-on solicitation, which was canceled June 2016, received quotes, none of which were small businesses. In addition, because the Government has no insight into

Page 9 of 11 Pages which contractors hold Distribution Agreements and due to the urgency of this requirement, using full and open competition via GSA Schedule is in the best interest of the Government.

Award of this requirement is required prior to April 1, 2017. Limiting the solicitation to small businesses is unsupported. Based on our previous efforts, competing the requirement amongst all GSA Schedule 70 holders offering services under SIN 132-55 would provide the Government adequate competition.

7. ANY OTHER SUPPORTING FACTS: MOD 01: The follow on contract, tracking number CSS0101, is expected to be competed amongst all GSA IT Schedule 70, Multiple Award Schedule (MAS) 517410 Schedule contractors and will be posted on GSA to ensure maximum competition.

8. ACTIONS THE AGENCY MAY TAKE TO REMOVE BARRIERS THAT LED TO THE

RESTRICTED CONSIDERATION

(a) Procurement History. This effort will be competed in accordance with the Future

Commercial Satellite Communications Services Acquisition (FCSA) Strategy. Based on our previous efforts, competing this requirement among all GSA Schedule 70 holders offering services under SIN 132-55 provides the Government with the most competitive pool.

Under the GSA IT Schedule 70 SIN 132-55, the BSTA BPA was previously awarded to ADCI of Delaware on November 4, 2014. This BPA (HC1013-15-A-0001) provided a base year with one option year, and was extended in accordance with FAR 52.217-8, Option to Extend Services, which expires May 5, 2017. Prior to the BPA, DISA procured Inmarsat services through a Bridge ID/IQ contract (DCA200-02-D-5025) that expired on December 5, 2014.

(b) A BPA will only be awarded to a GSA Schedule holder who has a Distributor Agreement with Segovia that allows the use of the BSTA-specific APN and IP addressing. The solicitation will provide fair opportunity between the Schedule holders to compete for the

BPA.

(c) The required Inmarsat service needs to be compatible with the existing secure BSTA network, which utilizes Segovia BSTA SIM cards, BSTA APN, and IP addressing. The Inmarsat service must be met by Segovia or Schedule holders who have a relationship with Segovia and the associated Distributor Agreement with Segovia that allows the use of the BSTA specific APN and IP addressing.

The Government will continue to conduct market research to increase competition. The Army terrestrial circuit contract is valid throughout the period of performance on this BPA. If the Government determines a Segovia APN and IP address are no longer required, then the Government will seek full and open competition for the requirement. Additional market research will continue throughout the duration of BPA to investigate the non-use of Segovia specific APN

Page 10 of 11 Pages and IP addressing, in an effort to enhance competition, while maintaining the secure network requirement.

9. REFERENCE TO THE APPROVED ACQUISITION PLAN (AP): Approved under the FCSA Acquisition Plan (July 10, 2009).

Page 11 of 11 Pages

TECHNICAL CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J&A are accurate and complete to the best of my knowledge and belief.

NAME: SIGNATURE: See separate PDF

TITLE/ORGANIZATION:

PHONE: DATE:

REQUIREMENTS CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J&A are accurate and complete to the best of my knowledge and belief.

NAME: SIGNATURE: See separate PDF

CONTRACTING OFFICER CERTIFICATION: I certify that this justification is accurate and complete to the best of my knowledge and belief.

NAME: SIGNATURE: See separate PDF

PROCURING ACTIVITY COMPETITION ADVOCATE APPROVAL: I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief.

Since the increase in the justification does not exceed $13.5M, this review serves as approval and my written determination that the aforementioned FAR circumstances apply.

NAME: SIGNATURE: See separate PDF

ALL QUESTIONS REGARDING THIS JUSTIFICATION MODIFICATION 01 ARE TO BE

REFERRED TO Jenalle Hilmes, 618-418-6585, Jenalle.L.Hilmes.civ@mail.mil.