JEFO for CPIC Bridge Final_Signed Redacted_Redacted.pdf

Justification for Exception to Fair Opportunity Exceeding the SAT pursuant to FAR 16.505(b)(2)(ii)(B)

JEFO No.: FY21-00142 - 1 -

JEFO No.: FY21-00142

Date: 5/12/2021 PR Number: RUIO-21-BM018

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), Office of Procurement Operations (OPO), Information Technology Acquisition Center (ITAC), prepared this justification for an exception to fair opportunity.

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

DHS/OPO intends to award a task order without considering other awardees under Veterans Technology Services 2 (VETS 2) contract #47QTCH18D0062 pursuant to FAR 16.505(b)(2)(i)(B).

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

The Federal Information Technology Acquisition Reform Act (FITARA) of 2014 and the Clinger-Cohen Act (CCA) of 1996 require agencies to use a Capital Planning and Investment Control (CPIC) process to plan, budget for, acquire, use, maintain and dispose of capital investments. DHS, Office of the Chief Information Officer (OCIO), Business Management Directorate (BMD) is responsible for overseeing the CPIC process which allows DHS to improve the allocation of limited resources to benefit the strategic needs of DHS and to comply with applicable laws and guidance for Information Technology (IT) and non-IT investments. The DHS CPIC process, as implemented, is a dynamic approach in which IT investments are selected, continually monitored, and evaluated to ensure each chosen investment is well managed, cost effective, and supports the mission and strategic goals of the department. A contractor support is required to provide BMO with CPIC support services to meet the DHS Chief Information Officer (CIO) and the Office of Management and Budget (OMB) requirements for reporting the Department’s annual IT Budget and Portfolio to the OMB IT Dashboard (ITD) and monthly updates, as required.

The aforementioned services are currently being provided by the incumbent, Teracore, under Enterprise Acquisition Gateway for Leading Edge Solutions II (EAGLE II) Contract #HSHQDC-13-D-E2027, Task Order #70RTAC19FR0000151. The task order is set to expire on May 29, 2021.

DHS/OPO/ITAC proposes to award an interim bridge task order to Teracore under Teracore’s VETS 2 Contract #47QTCH18D0062 to acquire the services required until a new order is competitively awarded under the One Acquisition Solution for Integrated Services (OASIS) contracts.

JEFO No.: FY21-00142 - 3 -

The failure to continue these services would pose a significant risk to the continuation of managing IT investments and have a serious impact on meeting the CIO and OMB requirements, which is not acceptable. Specifically, a gap in service would lead the following:

DHS’s inability to provide IT cyber security for current CPIC systems within the Department;

DHS’s inability to provide technical and functional support for the DHS CPIC program;

DHS’s inability to provide customer service to sub-components e.g., USSS, CBP, FEMA, etc.;

DHS’s inability to comply with OMB CPIC reporting requirement; and DHS’s inability to comply with Federal Law that mandates CPIC for the Federal

Government.

It is also impractical and not viable to attempt to award a short-term contract or task order on a competitive basis given the current time constraints. The Government is in the process of establishing a long-term CPIC support task order as a Women-Owned Small Business set-aside under the OASIS Small Business Pool 1 contract. The Government planned to award the task order by early May 2021. However, there are delays in the evaluation process due to discussions between OPO, the DHS Office of Small Disadvantaged Business Utilization (OSDBU), and the U.S. Small Business Administration (SBA). As a result, the evaluation process has been temporarily put on hold. The program office anticipates at least a 60-day transition period is required. Therefore, the interim bridge order with a 3-month base period and two (2) 1-month option period will provide sufficient time for award and transition of the tasks required to maintain mission operations. If a competition was held and another (new) contractor received the award at this time, DHS could be required to plan for an additional transition period between Teracore and the new contractor and between the new contractor and the new task order awardee. The high risk for potential service and mission disruption, notwithstanding unnecessary and/or duplication of costs from multiple transition periods, is an unacceptable risk.

Teracore is the only vendor that can provide knowledge transfer to the new contractor. Sufficient transition of knowledge and practices is critical to provide CPIC support services. In addition, Teracore is the only vendor that can continue services without negatively affecting the DHS mission, while the requirement is competitively awarded under the OASIS contracts. Teracore has the experience and required level of specialized technical expertise to continue and complete the existing requirements without resulting in a gap in service. Specifically, Teracore has the knowledge and experience in using the Investment Evaluation, Submission and Tracking System (INVEST), which is the CPIC portfolio management system used by DHS, and Oracle’s Primavera Portfolio Management (OPPM) application and business intelligence tool to support data and processes that have been heavily customized to meet DHS cross-management and Component-specific needs. Due to all of DHS’s customizations, INVEST is one of the most unique and robust portfolio management tools that is currently being utilized in the federal government. In order to continue to provide CPIC support, the contractor is required to have a strong knowledge of INVEST, DHS business systems and processes that INVEST supports or interfaces with, and the business needs of DHS. Teracore has been providing the CPIC support since September 2019 and has the knowledge of INVEST, DHS business systems and processes that INVEST supports or interfaces with, and the business needs of DHS.

JEFO No.: FY21-00142 - 4 -

The Government verified that Teracore has the capability to provide CPIC support services and its VETS 2 contract includes the labor categories the Government proposed.

5. Determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable.

The Contracting Officer has determined that the anticipated prices for the CPIC support services will be fair and reasonable based on the contractor’s VETS 2 contract #47QTCH18D0062.

GSA has already negotiated fair and reasonable prices for the ceiling labor rates on the contractor’s VETS 2 contract. Discounts to the ceiling labor rates will be requested. The contractor’s proposed price proposal will be compared to their VETS 2 ceiling labor rates and the Independent Government Cost Estimate (IGCE) to ensure that the total price proposed as well as the level of effort proposed are fair and reasonable for this effort.

6. Any other facts supporting the justification.

None.

7. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the exception to fair opportunity before any subsequent acquisition for the supplies or services is made.

Future acquisitions for these services will be competed under the OASIS contracts. The solicitation has been released to all 69 Women-Owned Small Business vendors under the OASIS Small Business Pool 1.

8. DHS intends to post this requirement on Beta.SAM.gov pursuant to FAR 16.505(b)(2)(ii)(D).

9. Technical/Requirements Personnel Certification.

Pursuant to FAR 16.505(b)(2)(ii)(B)(9), I certify that this requirement meets the Government’s minimum need and that the supporting data, which form a basis for the justification, are accurate and complete.

Tanya Beckett Date Contracting Officer’s Representative

10. Contracting Officer Certification and Approval

Pursuant to FAR 16.505(b)(2)(ii)(B)(8), I certify that this justification is accurate and complete to the best of my knowledge and belief and determine that the circumstance in FAR 16.505(b)(2)(i)(B) applies.

TANYA M BECKETT Digitally signed by TANYA M BECKETT Date: 2021.05.12 19:34:08 -04'00'

JEFO No.: FY21-00142 - 5 -

Sohl Han Date Contracting Officer

SOHL T HAN Digitally signed by SOHL T HAN Date: 2021.05.13 08:39:09 -04'00'