JandA Penlink Modification_06152021_FINAL(redacted).pdf

OFFICE OF ACQUISITION MANAGEMENT

ICE Acquisition Manual 3006.301-90

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 1 of 6 Version 1.2

J&A-21-0083

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

1. Agency and Contracting Activity:

The U.S. Department of Homeland Security (DHS), U.S. Immigration and Customs Enforcement (ICE), Office of Acquisition Management (OAQ), on behalf of Homeland Security Investigations (HSI), proposes to modify contract number HSCETC-17-C-00001 to provide additional Pen-Link telecommunications analysis and intercept software suite licenses, training classes, and dedicated engineering support for the proprietary Pen-Link software suite on a basis of other than full and open competition.

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

(a) Type of action: Modification to contract number HSCETC-17-C-00001

(b) Amount of the current J&A: $2,270,709.00

(c) Brief Description: ICE/OAQ intends to limit the number of sources to only one source pursuant to FAR 6.302-1. The contractor listed below is the only vendor that can provide the Pen-Link telecommunications analysis and intercept software suite licenses, training classes, and dedicated engineering supports required because the supplies are unique or highly specialized:

Pen-Link, Limited 5936 Vandervort Drive Lincoln, NE 68516

3. Description of Supplies/Services:

ICE/HSI currently receives Pen-Link telecommunications analysis and intercept software suite licenses, training support, and engineering support under contract HSCETC-17-C-00001, which was originally awarded on a sole source basis on June 30, 2017. Pen-Link provides a unique suite of capabilities that meet ICE/HSI’s requirements to ingest and analyze telecommunications data in support of law enforcement investigations and operations. Pen-Link can easily ingest and normalize call detail records (CDRs), cell phone forensic data, pen register data, and social media communications. The platform provides easy search functions, alerts for surveillance and enforcement operations, and deconfliction between all ICE/HSI’s domestic and international cases. Pen-Link is currently accessed by Criminal Analysts, Special Agents, and Task Force Officers from state, local, and federal partners.

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 2 of 6 Version 1.2

Since the time of award, ICE/HSI has experienced dynamic growth in workload and staffing that resulted in increased usage of the existing Pen-Link software suite. Option Year 3 only contained licenses for 300 concurrent users, but HSI anticipates that the increased operational capabilities of Pen-Link will attract more users, expanding usage beyond just the analysts to more of the agents, thus increasing the need for the number of concurrent users closer to 500. As the number of total Pen-Link users increases within ICE/HSI (with now over 2,500 accounts), more concurrent licenses are needed to allow for more users to be on the system at the same time. ICE/HSI requires the following changes to ensure that the Pen-Link software suite will be operational for up to 500 concurrent users in Option Year 4:

• Increase CLIN 4001 for Pen-Link Professional Edition software licenses quantity from 300 users by an additional 200 users at an estimated cost of $1,237,251.00.

• Modify CLIN 4013 from 300 seats to 400 student seats for 1, 2, and 3-day Pen-Link training classes at an estimated cost of $550,050.00.

• CLIN 4019; add one (1) new license for 500 users for Pen-Link Online Self-Paced Learning at an estimated cost of $120,000.00. This new offering provides users with hands-on, self-paced webinars and how-to guides to assist users that need immediate access but have no formal training or need a refresher but not the full course.

• Increase CLIN 4017 for engineering support from $133,756.00 by $50,000.00 for software development enhancements (such as interagency deconfliction that alerts when phone numbers and other communication selectors intersect, and a new Pen-link phone based application), and addressing immediate issues and upgrades needed to the new software.

The total amount of proposed justification is $2,270,709.00.

The total value of contract HSCETC-17-C-00001 will increase from $14,016,904.48 by $2,270,709.00 to $16,287,613.48 as a result of the proposed modification. The initial contract value at the time of award was $10,528,850.00. The contract was previously increased by $1,757,016.48, and subsequently by $1,731,038.00, to the current contract value of $14,016,904.48. Therefore, the total cumulative increase from the time of award, inclusive of prior modifications and the current J&A, is $5,758,763.48

Period Initial Award

Current Contract Value

Current J&A

New Total

Base Year $1,992,676.00 $1,992,407.68 $0.00 $1,992,407.68 Option Year 1 $2,047,676.00 $2,466,441.80 $0.00 $2,466,441.80 Option Year 2 $2,104,292.00 $3,442,811.00 $0.00 $3,442,811.00 Option Year 3 $2,162,273.00 $3,893,311.00 $0.00 $3,893,311.00 Option Year 4 $2,221,933.00 $2,221,933.00 $2,270,709.00 $4,492.642.00

Total $10,528,850.00 $14,016,904.48 $2,270,709.00 $16,287,613.48

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 3 of 6 Version 1.2

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 as implemented by:

☒ FAR 6.302-1: Only one responsible source and no other supplies or services will satisfy agency requirements.

☐ FAR 6.302-2: Unusual and compelling urgency.

☐ FAR 6.302-3: Industrial mobilization; engineering, development, or research capability; or expert services.

☐ FAR 6.302-4: International agreement.

☐ FAR 6.302-5: Authorized or required by statute.

☐ FAR 6.302-6: National security.

☐ FAR 6.302-7: Public interest.

5. Demonstration that the nature of the acquisition requires use of the authority cited:

Pursuant to FAR 6.302-1, only one responsible source and no other supplies or services will satisfy agency requirements.

The additional Pen-Link software licenses, training classes, and dedicated engineering support that ICE requires can only be provided by Pen-Link. Pen-link is the sole proprietary developer and distributor for its software products and related services. Pen-Link does not currently use authorized resellers when providing the Pen-Link software suite, training, or other services, nor does Pen-Link currently authorize third party vendors to provide engineering support on its products purchased and used by the United States federal government, domestically.

The Pen-Link software suite has been implemented, tested, and demonstrated to work well with the ICE IT enterprise infrastructure and network environment since 2017. Unless ICE/HSI made the significant additional investment of establishing a new system with another vendor, ICE requires Pen-Link to provide the additional software licenses, training classes, and engineering support. If the government were to purchase the user software licenses, training seats, the self-paced learning license, and developmental work pack from another vendor, it would require use

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 4 of 6 Version 1.2 of that vendor’s telecommunications system. Introducing a new vendor’s software would be incompatible with ICE/HSI’s existing user licenses and accounts, training, and learning resources unique to the Pen-Link suite. In order to transition to a new product, ICE would need to implement the reestablishment of the virtual interconnections with the ICE CALEA network, DHS components, and other Federal agencies networks, transfer data, train personnel, and test the new contractor’s software product. In addition, there would be administrative costs to re-write standard operating procedures and new system training requirements. The 2,500+ total users of the system would all have to be retrained on an entirely new system. The use of any other contractor’s software product on the ICE cloud computing environment could result in inoperability, incompatibility, and interface issues along with the need to rebuild a portion of the ICE cloud to the new contractor’s infrastructure environment, which would require significant investment of time and resources. This would be extremely disruptive to ongoing investigations and result in unacceptable delays in the analysis and presentation of evidence toward prosecution.

Furthermore, ICE/HSI reviewed other companies on the market, such as Hawk Analytics, ZETX, and Law Enforcement and Investigative Solutions, that provide telecommunications analysis. These companies are specialized and only partially meet ICE’s requirements. For instance, some companies provide live collection capabilities but do not have the ability to analyze historical records, and vice versa. Likewise, some companies are specialized to ingest some types of communication data, for instance, focusing on telephonic communication, but then do not have the ability to ingest IP and social media data. Pen-Link is the only vendor that has an integrated suite of capabilities where all these critical functionalities reside in one location.

6. Description of efforts made to ensure that offers are solicited from as many potential sources as is practicable:

☐ OAQ intends to publicize this requirement, prior to award, as required by FAR subpart 5.2 by posting a notice on https://beta.sam.gov by June 11, 2021.

☐ OAQ does not intend to publicize this requirement, prior to award, based on the following 5.202(a) exception:

The proposed contract action is made under the terms of an existing contract that was previously synopsized in sufficient detail to comply with the requirements of FAR subpart 5.207 with respect to the current proposed contract action.

7. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable:

The Contracting Officer has determined that issuing a modification to contract HSCETC-17-C- 00001 for additional Pen-Link telecommunications analysis and intercept software suite https://beta.sam.gov/

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 5 of 6 Version 1.2 licenses, training classes, and engineering support represents the best value and will result in the lowest cost, considering price and administrative costs, to meet the Government’s needs. The Contracting Officer determines that the anticipated price will be fair and reasonable based on the current contract pricing.

8. Description of market research:

Market research conducted in April of Fiscal Year 2021 confirmed there were no other vendors on the market that can provide the additional Pen-Link accounts and licenses needed to support ICE/HSI’s expanded need for telecommunications. ICE confirmed that Pen-Link, Limited does not have authorized resellers of the Pen-Link software suite. In addition, a review of competitor websites was conducted in April of Fiscal Year 2021 to identify potential alternatives to the requested Pen-Link software suite upgrade and to identify other potential solutions that offer telecommunications analysis, and intercept software. No other products were found that could fully meet the government’s requirements.

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

There are no additional facts supporting this justification.

10. A listing of the sources, if any that expressed, in writing, an interest in the acquisition:

None.

11. 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:

ICE/OAQ will work with the Program Office to perform ongoing market research so that future competitor’s software products may be compared to Pen-link’s products to determine the best suite to support ICE/HSI’s investigations through telecommunications analysis, intercept software, and CALEA network infrastructure.

☒ After award of this action, DHS intends to post the approved/signed justification pursuant to 6.305.

☐ After award of this action, DHS does not intend to post the approved/signed justification in accordance with 6.305(f).

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

41 U.S.C. 3304

Page 6 of 6 Version 1.2

12. Contracting Officer’s Certification:

I certify that the data supporting the recommended use of other than full and open competition is accurate and complete to the best of my knowledge and belief.

Jina Jackson Date Contracting Officer

13. Technical/Requirements Personnel Certification:

I certify this requirement meets the government’s minimum need and that the supporting data, which forms a basis for this justification, is complete and accurate.

Afrah Ahmed Date Contracting Officer’s Representative

14. Approval:

William Fuller Date Competition Advocate Office of Acquisition Management (OAQ) U.S. Immigration and Customs Enforcement (ICE)