Signed End User Extension JOFOC JA# 20-4.pdf

J&A #20-4

Justification for Other Than U.S. Department of Housing

Full and Open Competition and Urban Development Office of the Chief Procurement Officer

PART I - PROGRAM OFFICE RECOMMENDATION

I recommend the use of other than full and open competition for the acquisition of [describe services or supplies]

End User SuDoort Services to meet HUD’s needs (see attachmenO Negotiations should be conducled with the following source(s) jy [provide names, addresses andpoints of contact; continue on separate sheets as needed]:

Laidni Inc-I, 1710 SAIC Oily, Md.ain V!22103703 Jnnrler P,,ck 301-240-0501 Jemilyr5 P,aK5IeIc1ycnm

The estimated cost of this acquisition Is: s-1-668&484%9- .2”Z, 91 tk.)

The statutory exception which allows this use of other than hill and open competition Is [select one]:

i1 Only one responsible source and no other supplies or servIces will satisfy agency requirements - 41 USC 3304 (a)(1) (see FAR 6.302-1) U Unusual and compelling urgency - 41 USC 3304 (a)f2) (see FAR 6.302-2)

U lndustriaimobillzatlon; engineering, developmental or research capability, or expert services -41 USC 3304 (a)f3) (see FAR 6.302-3) U Authorized or required by slatute - 41 USC 3304 (a)f5) (see FAR 6.302.5) U Public interest (NOTE: requires Secretarial approval and Congressional Notification) -41 USC 3304 (a)fT) (see FAR 6.302.7) 1 A description of the circumstances that support the use of the above statutory authority Is attached and included as Exhibit 1 to this justification Program Office Certification. I certify that the information contained In this justification is accurate and complete to the best my knowledge and belief Head of Program 0 ce [name] Title/Name of Office:

David C. Chow Chief Information Officer Signature

\caltcIfC, For additional Information contact:

PART 2 - CONTRACTING OFFICER REVIEW ANO CERTIFICATION

Provide additionaljustification and comments here. Continue on back as needed.

Contracting Officer Certification.

I certify that the information contained in this justification Is accurate and complete to the best of my knowledge and belief.

Name: Signature: “ “ Date:

Dgitally signed by Carmen Calloway ON CN = Carmen Calloway ema4 = Carmen caIIowayhud gay C = US C HUD OU OCPO Date 20191129 15 54 24 .0500’

Previous edition unusable Page 1 oF 2 form HUD-24012 (07/2011)

PART 3- OTHER APPROVALS

Up to $700,000 - Contracting Officer Name Title

Signature Date

$700,000 to $13,500,000 - Competition Advocate Name Title

Signature Date

$13,500,000 to $68,000,000 - Head of the Contracting_Activity

Name . Title I A.-Z2

Date

/1-#-24’9 9er $6d”ã0,000 - Senior Procurement Executive

1 Name Title nature Date

Additional Contracting Officer Juatiflcatlon!comments from front tattach additional pages If needed]

Additional Guidance for Completing the Justification ——________________________________

(see HUD Handbook 22103, Chapter 4) PART 2 - Contracting Officer Review and Certification

PART I - Program Office Recommendation Besides any Information provided to support the program offices justification, the Contracting Officer shall provide:The supporting documentation in the Exhibit 1 must descnbe:

. The nature of the proposed acquisition that requires other than

• Documented results of any Federal Business Opportulty notices or ftiii and open compettion: explanation of why no notice was published

• The unique qualifications of any proposed sole source; and • A statement of actions the Department may take to remove barriers to

• The market research conducted (see FAR Part 10) and the competition for subsequent acquisitions of similar services I supplies; and

A determination that the anticipated cost! price Is fair and reasonable.results or the reason(s) why market research was not conducted. • (See FAR Subpart 6.3 for further guidance.)

The cost estimate must include all costs of the proposed acquisition, The Contracting Officer signing the certification shall be the same individual whoe g., options, systems life costs. etc. The total will determine the wiul sign the proposed acquisition action which is the subject of this justification.approval level needed (see 3 below)

PART 3 - Other ApprovalsFAR Subpart 6 3 describes the statutory exceptions, their applicability The Contracting Officer shall obtain the approval for the dollar value rangesand limitations on their use.

indicated.

Head of the Pcogram Office” means;

• For all Headquarters acquisitions: the cognizant Assistant it any person required to sign in these blocks disapproves this justification,Secretary or designee. h&she shall return It to the requesting activity with a written determination.• For field acquisitions: the program office director (e.g., Director, Multifamily Housing) within the State or Area Office. The requesting activity may obtain the name of the “Contracting Activity Competition Advocate” from the cognizant contracting office.

The “Head of Contracting Activity” is defined at Subpart 2402.1 of the HUD Acquisition Regulation (48 CFR Chapter 24). The cognizant contracting office may also provide the name of this Individual.

Previous edition unusable Page 2 of 2 form HUD-240 12 (07/2011)

J&A #20-4

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

for

End User Support Services

1. Identification of the agency and the contracting activity, and specific identification of the documentatio,z as a “Justification for other than Full and Open Competition”.

Agency: U.S. Department of Housing and Urban Development, 451, 7th Street SW, Washington DC, 20410 Contracting Activity: Office of the Chief Procurement Officer (OCPO), Headquarters Program Office: Office of the Chief Information Officer (OCIO), Headquarters

2. Nature and/or description of the action being approved.

This request is to extend the current Leidos Inc. contract for End User Support Services, 86543D19C00001, via contract modification for nine-months. This extension includes a seven-month period extension (12/1/19 - 6/30/20) and an optional two-month period extension (7/t/20 — 8/30/20).

This action is being requested due to the newly awarded HEAT End User Support Services contract being protested and the need for continued End User Support Services while the protest is resolved.

Method of Contracting: Contract Modification Type of Contract: Cost Reimbursement Type of funds: IT Funds will be provided to fund this contract modification.

3. A description of the supplies or services required to meet the agency’s needs (including the estimated value).

The End User Support Services specified below are required to meet the Department’s needs. These services are required to support HUD’s critical end user infrastructure that directly supports the Department’s mission and programmatic requirements.

Period of Performance: December 01, 2019— August 30, 2020 Estimated Total Dollar Value of Modification: $22,918,669.00; This represents a 51.76% increase of the current total contract value of $21,357,166.00

%of Total Contract

Current Contract Modification Contract Value Amount Proposal Amount Value Increase

$21,357,166.00 $22,918,669.00 $44,275,835.00 107.31%

4. An identification of ttze statutory authority permitting other than full and open competition.

Statutory Authority — FAR 6.302-1 “Only one responsible source and no other supplies or services will satisfy agency requirements,” 41 U.$.C.3304 (a) (1)

5. A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cite.

The current contractor, Leidos Inc.-1 located at 11951 Freedom Drive, Reston, VA 20190-5640 is the only responsible source that can satisfy the Department’s requirements within the established timeframe and with the specialized knowledge required. The new HEAT End User Support Services contract performance start has been delayed by a protest filed November 01, 2019, thereby delaying the transition of the current End User Support Services to the new Contractor. The nine-month extension will allow OCIO sufficient time to successfully transition End User Support Services from the current Leidos contract to the new HEAT End User Support Services Contractor, once the protest is resolved, avoiding a lapse in service to the Department and allowing for a seamless transition.

End User Support Services are critical to the Department’s continuity of normal operations. The requested extension will accommodate the time required for resolution of the current protest.

Meanwhile, failure to extend the current contract period of performance will result in a break in service and prevent the Department’s ability to maintain infrastructure services and conduct its daily business. A lapse in End User Support Services would result in substantial operational disruption and significant technical issues within the HUD infrastructure due to the lack of time required to gain the necessary knowledge and experience to operate and manage the Departmental systems and business requirements.

6. A description of efforts made to ensure that offers are solicitedfrom as many potential sources as is practicable, includinR whether a notice was or wilt be publicized as regttired by Subpart 5.2 and, if not, which exception under 5.202 applies.

Efforts were not made to ensure offers were solicited from as many potential sources as practicable for this requested contract extension as no other source is able to meet the immediate requirement for End User Support Services, with the specialized knowledge required, and at a cost that would not represent significant financial injury to the Department. A notice will be publicized as required by Subpart 5.2.

7. A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer will conduct the appropriate cost analysis prior to contract modification award to determine the cost is fair and reasonable and ensure the contract action represents the best value to the Government. The Contracting Officer will use the Independent Government Cost Estimate (IGCE), associated cost elements information and historical pricing from previous modifications in which similar services were awarded to conduct the required cost analysis.

8. A description of the market research condttcted (see Part 10) and the results or a statement of the reason market research was not condttcted.

Market research was not conducted for this contract modification action as no other source is able to meet the immediate need for End User Support Services, with the specialized knowledge required and at a cost that would not represent significant financial injury to the Department.

However, market research was conducted for the new HEAT End User Support Services contract which was awarded on September 30, 2019. Market Research was conducted by Leroy McKinney Jr.

of OCIO around the December 2017 timeframe. The Market Research technique utilized was a query of the Government Wide data base of contracts (FAR 10.20.002(b)(2)(iv)) including all the GWACs and GSA Schedule 70. In addition, representative company’s capabilities were reviewed to determine if they could satisfy the requirements. We queried the CIO-SP3 (unrestricted) contract directory at www.contrac[directorv.gevkontractdirectrov/ and FedBizopps, and reviewed case studies from the NITAAC contract holders at htp://nitaac.iii h.ov/nitaac/case-studies.

9. Any other facts supporting the use of other than full and open competition.

None

10. A listing of sources, ifany, that expressed, in writing, an interest in the acquisition.

None

1]. A statement of actions, if any, the agency may take to remove or overcome any barriers to competitton before any subsequent acquisition for the supplies or services required.

A competitive acquisition was conducted for the new HEAT End User Support Services contract award which is currently under protest. The acquisition was competed utilizing NITAAC NW ClO SP3 GWAC and adequate competition was obtained.

12. Contracting Officer certification that the justification is accitrate and complete to the best of the Contracting Officer’s knowledge and belief See certification at Part 2, form HUD-24012.