JA22-053 BridgeEventofProtest OCFO_3rd Bridge HC104721F0010 FINAL_Redacted.pdf

CUI

JUSTIFICATION & APPROVAL (J&A) FOR OTHER THAN FULL AND

OPEN COMPETITION (OTFAOC)

Federal Acquisition Regulation (FAR) Part 6 Justification & Approval (J&A), Supporting Procurements under FAR Part 12, and FAR Part 15

Purchase Request Number: 612166505 99639.03 Contract Number: HC104721C0007 Task/Delivery Order Number: N/A Procurement Title: DISA Cost/Business Analysis and Financial Support Bridge Estimated Value:

Statutory Authority: 10 U.S.C. 2304(c)(1) and FAR 6.302-1(a)(2)(iii)

Justification for OTFAOC Number: JA22-053

Upon the basis of the following justification, I, as the Procuring Activity Competition Advocate, hereby approve the use of OTFAOC of the proposed contractual action pursuant to the authority of FAR 6.302-1(a)(2)(iii).

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

Requesting Agency:

Defense Information Systems Agency (DISA) Office of the Chief Financial Officer/Comptroller (OCFO) Agency Cost Analysis Branch (CFI12) 6910 Cooper Avenue Ft Meade, MD 20755

Contracting Activity:

Procurement Services Directorate

DITCO-NCR, PL61

6910 Cooper Ave.

Ft. Meade, MD 20755

2. NATURE/DESCRIPTION OF ACTION(S): The nature of this action is to add a firm fixed priced forty-five-day base, one three-month option period, and one one-month option period to extend the period of performance (PoP) on contract HC104721C0007. The PoP for the current contract ends June 29, 2022. This extension will increase the PoP by five months and fifteen days, if all options are exercised. The PoP of the extension will be June 30, 2022 – August 15, 2022. This extension will ensure continued support during a United States (U.S.) Court of Federal Claims (CoFC) appeal of a protest to the follow-on contract. The DISA Cost/Business Analysis and Financial Support effort actively supports cost estimation, business analysis, financial analytical, and General Fund (GF) budget formulation support for DISA organizations.

Fiscal Year (FY) 2022 Operations & Maintenance (O&M) appropriations will be used.

3. DESCRIPTION OF SUPPLIES/SERVICES: Continuity of services is required for support to the Cost Analysis and Resource Management Branch in the Resource Management Center (RMC), the Cost Analysis Branch in the Development and Business Center (DBC), and the

DISA Cost/Business Analysis and Financial Support Bridge -JA22-052

Page 2 of 7 Pages previously known Fifth Estate Center (FEC). The Cost Analysis and Resource Management Branch in RMC and the DBC Cost Analysis Branch, and these branches provide guidance/direction for cost analysis and validate and develop cost estimates within DISA. The RMC and DBC provide cost estimating support, including Independent Government Cost Estimates, Business Case Analysis, and Life Cycle Cost Estimate development, to all DISA programs. Additionally, the previously known FEC, now the Financial Management Directorate and Resource Management Integration Division of the RMC, develops GF financial strategies, develop and controls the formulation budget submissions process, ensures financial controls/oversight, and conducts program and organizational assessments. DISA provides, operates, and assures command and control and information sharing capabilities and a globally accessible enterprise information infrastructure in direct support to joint warfighters, national level leaders, and other mission and coalition partners across the full spectrum of military operations. These services are being contracted to Integrated Finance and Accounting Services (IFAS) and are required to support cost analysis and estimates, and budget formulation for the agency and mission. Cost analysis, which is performed by IFAS, is required for the breadth of information technology systems and support including, transport, security, hardware/software systems, helpdesk and tactical abilities.

The current contract expires on June 29, 2022. This effort was re-competed as a small business set-aside acquisition. On January 31, 2022, the follow-on order 47QTCA19D00DP HC104722F0010 was awarded. A bid protest to the U.S. Government Accountability Office (GAO) was submitted in a timely manner to trigger an automatic suspension of performance of the follow-on order pending resolution of the protest in accordance with FAR 33.103(f)(3). As a result of the GAO protest, a J&A to use other than competitive procedures in accordance with FAR 6.302-1, was signed and authorized by the Contracting Officer on April 18, 2022, permitting an extension until June 29, 2022, and through the GAO decision period of 100 calendar days. GAO denied the protest, but protester subsequently appealed to the U.S. CoFC.

The U.S. CoFC has released a schedule order that states the Government will not direct performance of the awardee (including 47QTCA19D00DP HC104722F0010) until August 6, 2022. This J&A and award for an extension of the current contract will allow for continued support of this vital program during the protest appeal period, while retaining the ability to provide a consistent level of effort for the RMC and DBC without a break in service.

The estimated cost of support for this extension is which includes all labor categories for the existing contract HC104721C0007 for all option periods which is June 30, 2022, to December 15, 2022.

4. IDENTIFICATION OF STATUTORY AUTHORITY: Only one responsible source and no other supplies or services will satisfy agency requirements, FAR 6.302-1.

5. DEMONSTRATION OF CONTRACTOR’S UNIQUE QUALIFICATIONS:

(a) Description of events. Solicitation RFQ14990833 was released the General Services Administration (GSA) Multiple Award Schedule category 541611 for the re-compete of HC104716C0002 and GS-23F-0027Y HC102818F0520, a consolidated solicitation due to the reorganization of RMC. The solicitation resulted in the award of 47QTCA19D00DP HC104722F0010, which was made on January 31, 2022. The award

Page 3 of 7 Pages was protested to GAO on February 11, 2022. Thereafter, a stop-work order was issued.

On May 19, 2022, the GAO denied the protest in full. Then on May 23, 2022, the protester submitted pre-filing notice that it intends to file a bid protest to the U.S. CoFC on or about May 26, 2022, in which it did file on time. On June 2, 2022, the U.S. CoFC issued a scheduling order in which the Agency / Government agreed to not direct the new awardee of 47QTCA19D00DP HC104722F0010 to proceed with performance until August 6, 2022, thus creating a gap between the current contract ending and 47QTCA19D00DP HC104722F0010 beginning.

(b) Justification.

(1) Minimum Government Requirements. The Government needs performance to start on June 30, 2022, and minimally end on August 15, 2022. The current contract expires on June 29, 2022. The Government requires at least a 90-day period should the U.S. CoFC decision result in Agency corrective action or other remedial action.

An optional month will provide a 30-day transition period should it be needed. This PoP will provide the Government the ability to align period of performance of this contract with the Defense Working Capital Fund support that is currently performed on GS-23F-0027Y HC104718F0520. If the Government were to end the bridge contract action on June 29, 2022, this would create a minimum of a 45-day gap between the cost analysis/budget formulation support. This gap would delay DISA’s ability to process funding packages in a timely manner which will have significant consequences to DISA’s mission because of the increased OPTEMPO caused by the Government fiscal year 2022 4th quarter requirements. The required period of performance will allow for continued support of this vital program during the protest period and align the two contracts.

DISA OCFO also minimally needs a company to perform the cost estimation, business analysis, financial analytical, and GF budget formulation support services to continue until the awardee of the consolidated contract can start performing. The specific task includes obtaining, allocating, monitoring, realigning, and funding recommendations by aiding the government in the justification and/or execution of budgets for organizations, programs, or project for the Agency. The services also support the formulation, justification and/or execution of budgets for organizations, programs or projects; the development of detailed programming and financial planning justification and documentation for inclusion in the Program Objectives Memorandum and Five Year Defense Program submissions; and analysis of trends and developments in DISA’s planning, programming, budget and execution process concerning appropriations, funding priorities and workload management; this analysis supports overall program operations. In addition, this support will assist in the process of market research tasks to determine financial viability of industry products to meet mission partner requirements.

(2) Proposed sole source contractor. Due to the bid protest appeal to U.S. CoFC, IFAS is the only source that can fulfill this requirement without risk of a substantial break in service/support to the DISA RMC and DBC. Their past and current support has provided the agency with cost analysis support; thusly, IFAS will be able to continue

Page 4 of 7 Pages to support existing projects without interruption. IFAS is the only contractor that can seamlessly continue services without a transition period. Any other contractor would need 30 days to gain the knowledge and systems necessary to complete the Government’s requirements. The anticipated award date of the bridge contract is June 29, 2022. Awarding to a different company at this time is not feasible; this effort has been recompeted and awarded but there is not enough time to allow a transition without causing significant impacts to DISA programs.

IFAS has supported the DISA OCFO by providing the cost estimation and budget formation expertise, financial, project management and functional/technical/analytical support in on contract HC104721C0007. The contractor assisted with the review of commitments, unliquidated obligations, accounts payable, unfilled customer orders to ensure obligations and disbursements are accurate and valid. The contractor also assisted in developing cost estimates for projects in the Requirements Analysis process to include working on an integrated product team to gather cost information; coordinating with various OCFO representatives for funding strategies; and briefing to senior leaders in and outside of DISA on way ahead.

IFAS is the only company that can provide these services on such a short notice, and for a brief period of time before the start of 47QTCA19D00DP HC104722F0010.

(3) Discussion regarding cause of the sole source requirement. A sole-source action is necessary due to a protest filed in response to the award of the follow-on contract, 47QTCA19D00DP HC104722F0010. If a bid protest had not been received, this extension would not be necessary.

(4) Impact. Failure to award a bridge contract will result in a gap in capability to support the agency’s budget requirements process and adversely impact the mission.

Operation of the cost divisions is dependent upon contractor support. The impact if the bridge contract is not executed will result in degradation of DISA’s ability to perform cost estimates and analysis and utilize funds for DISA’s services. The processing time of the financial packages that support the Joint Interoperability Test Command (JITC), White House Situation Support Staff (WHSSS), Joint Artificial Intelligence Center (JAIC), the Workforces Services Directorate (WSD) and OCFO would be substantially increased if the support services are not continued. Without support services, OCFO Government personnel would be required to support these organizations. OCFO does not have enough Government personnel to keep the pace required for these organizations. Specifically, JITC, which provides testing to the Department of Defense (DoD) information technology (IT) equipment and certifies programs, would be significantly harmed by the delay in services. JITC has daily requirements that needs constant OCFO support. Significant delays would prevent JITC from providing its responsive warfighter support, as well as cause harm to DoD’s ability to certify IT equipment and programs. Additionally, the WHSSS funds support the information systems used by the National Security Staff (NSC) and others. WHSSS provides upgrades and sustainment to the classified and the

Page 5 of 7 Pages unclassified network systems used by the White House Situation Room and NSC.

Should OCFO experience substantial delays, it would prevent WHSSS from receiving timely estimates or funding on critical technology sustainment and upgrades that support the President of the United States.

In addition to significant delays to processing financial packages, all DISA organizations needing IGCEs, BCAs, LCCEs or cost analysis support will be impacted by the delays. Every new capability or substantial requirement must be accompanied by a IGCE and/or LCCE, and each funding request is processed through OCFO. Without these support services, Government personnel would need to complete the cost estimation projects, increasing time it would take for OCFO to provide this support. This becomes more challenging during the Government fiscal year 2022 4th quarter when Government personnel are already performing an above normal workload.

6. SYSTEM FOR AWARD MANAGEMT ANNOUNCEMENT/POTENTIAL SOURCES:

This modification is a bridge extension of the existing contract until the protest of the follow-on contract can be resolved. The Defense Federal Acquisition Regulation Supplement Procedures, Guidance and Information 206.302-1 requirement to post a request for information or source sought notice was waived by the Head of Contract Activity for bridge contract actions.

6. FEDBIZOPPS ANNOUNCEMENT/POTENTIAL SOURCES: Solicitation number RFQ14990833 for the follow-on contract was posted on GSA eBuy on June 17, 2021, as a small business set-aside. Award was made on January 31, 2022. This bridge modification is a bridge extension of the existing contract until the protest of the follow-on contract can be resolved. The Defense Federal Acquisition Regulation Supplement Procedures, Guidance and Information 206.302-1 requirement to post a request for information or source sought notice was waived by the Head of Contract Activity for bridge contract actions.

7. DETERMINATION OF FAIR AND REASONABLE COST: During source selection of solicitation number RFQ14990833, a cost/price evaluation was conducted in accordance with FAR 15.404. The contract prices were determined to be reasonable. The proposed cost/prices for the extension will be compared to the current contract prices as well as the Independent Government Cost Estimate and the proposed prices for the re-compete effort in order to determine fair and reasonableness.

8. MARKET RESEARCH: This is an extension to the existing contract to ensure continued support until the bid protest of the follow-on order 47QTCA19D00DP HC104722F0010 is resolved. Market research was conducted periodically, and within the last 12 months. The market shows other sources either are interested or can perform this work at similar prices;

however, no other source can perform this work without a transition period. Other sources will need at least 30 days to hire and on-board staff to perform the services. As mentioned above, the Government needs a company that can perform the services immediately and without a transition period. The interested sources have been identified (see the table in paragraph 10 below).

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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:

TITLE/ORGANIZATION: Contracting Officer Representative DISA/OCFO/CFI12

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:

TITLE/ORGANIZATION: Chief, Resource Management Integration Office DISA/OCFO/CFI

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

NAME: Michelle Bontempo SIGNATURE:

TITLE/ORGANIZATION: DITCO NCR PL61

DATE: PHONE:

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 this justification does not exceed $15M, this review serves as approval.

NAME: Gay Arnold SIGNATURE:

TITLE/ORGANIZATION: