JOTFOC_Vega IDIQ_190030_7-31-19_FE_Redacted.pdf

Justification for Other Than Full and Open Competition 10 U.S.C. 2304 (c)(1)

Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

Solicitation Number: 70Z04419R19003000

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

1. Agency and Contracting Activity.

The Department of Homeland Security (DHS), United States Coast Guard (USCG), C4IT Service Center, Contracting and Procurement Division (CPD), C3CEN Procurement Branch proposes to enter into a contract on a basis other than full and open competition.

2. Nature and/or Description of the Action being Approved.

The USCG intends to issue a sole-source Indefinite Delivery Indefinite Quantity (IDIQ) contract to Northrop Grumman Systems Corporation - Maritime Systems (NGSC-MS) for adaptive maintenance support services encompassing upgrades, enhancements, code maintenance, and support of the United States Coast Guard’s existing enterprise license for Vega Electronic Data Display Information System and Electronic Charting System (ECDIS/ECS) software. Coast Guard Vega ECDIS/ECS software is a derivative of Northrop Grumman Systems Corporation’s VisionMaster FT commercial navigation software product, known within the Coast Guard as Vega-ECDIS and Vega-ECS. The Vega-ECDIS and Vega-ECS software is proprietary and owned by NGSC-MS and are installed aboard Coast Guard Cutters. Support will be accomplished using both Firm Fixed-Price and Time-and-Material Task Orders under an IDIQ Contract with a 5 year Period of Performance (PoP). Task Orders will be funded with annual Operation and Support (O&S) funds, specifically with Coast Guard AFC-42.

3. Description of Supplies/Services.

The requirement is to provide Vega ECDIS/ECS Electronic Navigation Software Adaptive Maintenance and Support services. The Vega software application is a Coast Guard modified software that provides situational awareness and Blue Force Tracking (BFT)/Sensitive But Unclassified Tactical Asset Tracking and Data Exchange (STEDS) capabilities.

The estimate for the 5-year Period of Performance is as follows:

Base Ordering Period 12 months $1,773,730.32 Ordering Period 1 12 months $1,856,173.24 Ordering Period 2 12 months $1,917,736.27 Ordering Period 3 12 months $1,997,084.31 Ordering Period 4 12 months $1,953,930.16 Total $9,498,654.30

4. Identification of Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304(c)(1) implemented by the FAR Subpart 6.302-1 entitled “Only One Responsible Source and No Other

Supplies or Services Will Satisfy Agency Requirements.”

5. Demonstration that the Nature of the Acquisition Require Use of the Authority Cited.

As designed, Vega-ECDIS and Vega-ECS software supports over 270 Coast Guard Cutters and Boats. Northrop Grumman Systems Corporation’s VisionMaster FT software has been modified over time to adapt to Coast Guard specific requirements, resulting in the Vega software product.

Any change or modification to Vega software requires knowledge and authority of the VisionMaster FT software. Due to the proprietary nature of the software, NGSC-MS is the only vendor that can provide support to Vega-ECDIS and Vega-ECS. Northrup Grumman has maintained the data rights and will not sell them to the USCG, per a letter to the Government dated March 22, 2013. This refusal to release the rights drives the need to have NGSC-MS perform the work. VisionMaster FT, and thus Vega-ECDIS and Vega-ECS software, is compliant with the IEC (International Electrotechnical Commission) standard for Maritime Navigation and Radiocommunication equipment and systems – Electronic Chart Display and Information System (ECDIS) operational and performance requirements, methods of testing and required test results.

Vega-ECDIS and Vega-ECS alone meets the Government’s requirement for a collaborative framework for open systems architecture module that allows the Government to add new features or capabilities quickly and efficiently. The Coast Guard has paid to upgrade the existing Northrop Grumman base code (VisionMaster FT) to be tailored to Coast Guard specific functions (Vega ECDIS/ECS), including aids to navigation and search patterns. The Coast Guard has purchased an enterprise license to deploy Vega-ECDIS and Vega-ECS as the single next generation electronic navigation system to replace all of the various systems currently in use. Vega-ECDIS has been successfully installed on over 270 Coast Guard Cutters. Future software upgrades and improvements will be made to the existing Vega code per the Coast Guard’s requirements, System Trouble Reports (STR) and System Improvement Requests (SIR).

6. Description of Efforts Made to Ensure that Offers are Solicited from as Many Potential Sources as is Practicable.

Due to the proprietary nature of the software, no other sources than NGSC-MS can maintain Vega- ECDIS and Vega-ECS as there are no other companies authorized access to the code or to provide maintenance and updates. However, a notice of intent to sole source was posted on FedBizOpps for 15 days with responses to the notice due no later than 12:00 p.m. EST on July 1, 2019. No vendors responded or submitted a capability statement.

7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable.

The Contracting Officer will determine the anticipated prices fair and reasonable based on comparison with historical prices paid by the Government and comparison with the Independent Government Cost Estimate (IGCE).

8. Description of Market Research.

Although the software is proprietary and no other vendor is capable of supporting the software, market research was conducted from December 2018 – April 2019. The research found that while there are other vendors that provide navigation software solutions, Northrop Grumman is the only responsible source able to provide these services for the proprietary software.

9. Any Other Facts Supporting the Use of Other Than Full and Open Competition.

N/A

10. A Listing of the Sources, if Any That Expressed, in Writing, an Interest in the Acquisition.

N/A

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.

C3CEN conducted an Alternatives Analysis (AA) in March 2019 that sought to identify appropriate Alternatives to the Windows Operating System currently used to run the Vega Electronic Navigation software. This AA is the first step towards defining the technical requirements of an electronic Navigation Software replacement of Vega. The requirements definition, award of a competitive contract, and subsequent deployment across hundreds of Coast Guard assets will take several years. The projected completion of this transition is FY2024. Until that time, it is necessary to support the Vega electronic Navigation Software, necessitating a sole source award to Northrop Grumman.

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.

Christina M. Grimstead Date Contracting Officer

13. Technical/Requirements Personnel Certification.

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

Joseph A. Haynsworth, LCDR Date Technical Representative

14. Legal Review and Concurrence:

I have reviewed this justification and find it legally sufficient.

Shandra J. Kotzun Date Procurement Law Attorney

APPROVAL:

Ms. Maria Kersey Date

CPACA