Justification and Approval for OWCP EHS 120320 FINAL (005).pdf

JUSTIFICATION FOR OTHER THAN FULL & OPEN COMPETITION

1. IDENTIFICATION OF THE AGENCY AND CONTRACTING AGENCY:

Contracting Activity Customer Agency Department of Labor Department of Labor OASAM/OSPE Office of Workers Compensation Programs (OWCP) 200 Constitution Avenue, NW 200 Constitution Avenue, NW Washington, DC 20210 Washington, DC 20210

2. NATURE AND/OR DESCRIPTION OF THE ACTION BEING APPROVED:

This justification authorizes and approves the issuance of a contract modification to 1605DC-19- C-0023 with Eagle Harbor Solutions, LLC (EHS) an Alaskan Native Company (ANC). This is an in-scope modification, as the additional work discussed herein builds on existing contract requirements. In addition, this contract modification increases the existing contract ceiling by approximately $7.5 million. This increase causes the contract total to exceed the 8(a) ANC $25 million threshold established by the Small Business Administration (SBA). Per the FAR 19.805- 1(b), new 8(a) contracts or modifications that exceed the 8(a) competitive threshold require a Justification for Other than Full Competition.

The Office of Senior Procurement Executive (OSPE) awarded contract 1605DC-19-C-0023 to EHS in March 2019 under the 8(a) program as an Alaskan Native Corporation owned firm. The contract is currently in Option Period One (1) (i.e. March 22, 2020 through March 21, 2021).

The contract allows for three (3) more option periods ending on March 21, 2024. The Contractor continues to perform at an acceptable level. Awarding to another vendor for the additional effort is not feasible as the transition, start-up, and training of a new vendor would significantly delay and disrupt regular production and service offerings.

3. DESCRIPTION OF SUPPLIES/SERVICES REQUIRED TO MEET THE AGENCY’S

NEEDS (Including the Estimated Value):

Under the President’s Protecting Employees Ensuring Reemployment (PEER) initiative, all government entities will use ECOMP to file Federal workers compensation claims. As such, ECOMP’s functionality must continue to expand to meet customer needs. As stakeholders rely increasingly on the system as the single portal into Office of Workers Compensation System (OWCS) for all OWCP programs, as ECOMP both expands and modernizes this self-service portal to meet customers’ evolving needs for all OWCP programs.

The current Contractor delivers a full range of software development, operations and maintenance services for the Office of Workers Compensation Program (OWCP) Employees Compensation Operations and Management Portal (ECOMP) and its end users. ECOMP is DOL's self-service website for federal workers' compensation claims. ECOMP allows federal workers injured on the job to easily initiate a claim and route it to their supervisor for eventual submission to DOL. Fully using the ECOMP service creates a standard, effective, taxpayer-efficient experience for all injured federal employees instead of agencies funding their own claims systems, or continuing the cumbersome practice of faxing or mailing paper documents.

Using ECOMP also allows critical immediate communication with injured workers about opioid and pain management education.

Hence, a contract modification for 1605DC-19-C-0023 with EHS, is needed to allow for the continued modernization and enhancement of ECOMP, and related systems. Currently, the contract with EHS includes a general section/requirement for “Other Related Enhancement, Operations and Maintenance Services” to enhance ECOMP.

The Independent Government Cost Estimate for the contract modification/enhancements to ECOMP is $7,447,279.58. With this increase, the contract ceiling will then exceed the 8(a) $25 million threshold established per the FAR 19.805-1(b). The new contract ceiling for 1605DC-19- C-0023 with EHS, increases by approximately $7.5 million, from $22 million to $29.7 million with this additional effort.

4. AN IDENTIFICATION OF THE STATUTORY AUTHORITY PERMITTING

OTHER THAN FULL AND OPEN COMPETITION:

The statutory authority is citation: 41 U.S.C. 3304(a)(1) as implemented by 6.302-1, “Only one responsible source and no other supplies or services will satisfy agency requirements.”

Identification of the justification rationale is required by FAR 19.808-1,Only one responsible source and no other supplies or services will satisfy agency requirements as the additional effort required is so integral with the existing work no other vendor can perform the work.

5. A DEMONSTRATION THAT THE PROPOSED CONTRACTOR’S UNIQUE

QUALIFICATIONS OR THE NATURE OF THE ACQUSITION REQUIRES USE OF

THE AUTHORITY CITED:

The Contractor has unique access to data and systems, and has specific knowledge regarding DOL’s mission and ECOMP functionalities that no other source has. The Contractor is the only source capable of enhancing ECOMP at this time, as EHS already delivers a full range of software development, operations and maintenance services for ECOMP and its end users. EHS continues to perform at an exceptional level. The intricate nature to the existing work and the additional effort requires the existing contractor to perform in order to execute the Presidential initiative.

The Contractor is the only source capable of enhancing ECOMP at this time, as EHS already delivers a full range of software development, operations and maintenance services for ECOMP and its end users. Thus, it is not feasible for a new contractor to enhance ECOMP at the same time EHS is in charge of ECOMP’s software development. If a different vendor were to come in and try to perform this work, a new Self-Service Portal would have to be developed. This would increase the cost to the Government and decrease the efficiency of the work during a transition period, to understand the project, and to perform the necessary work. This would result in a significant negative impact to the timelines of the numerous projects performed under this contract. Thus, in the interest of both economy and efficiency, it is undeniably in the best interest of the Government to issue contract modification and have EHS enhance ECOMP as outlined in the Performance Work Statement.

EHS’ work supports ECOMP’s mission-critical functions relied upon by all levels of the Government. Continued and enhanced contractor support is necessary to ensure seamless ECOMP operations. If the Government were to discontinue EHS services or fail to issue a contract modification to enhance ECOMP, the agency would be at risk of not being able to meet the President’s PEER initiative to provide a federal-wide service one-stop portal for all workers’ compensation case management services. It would also fail to meet the growing customer demand.

Additionally, there are no current performance concerns with EHS. Their work is instrumental in establishing ECOMP’s successful user base of approximately 250,000 customers.

Given the nature of the additional work required and the short duration of the proposed modification (12/07/2020 - 3/21/2022), which is during the remainder of Option Period One (1) through Option Period Two (2), and the fact that EHS is already developing, maintaining and supporting ECOMP, it is in the best interest of the Government to issue a contract modification for 1605DC-19-C-0023 with EHS.

6. A DESCRIPTION OF EFFORTS TO OBTAIN COMPETITION TO ENSURE THAT

OFFERS ARE SOLICITED FROM AS MANY POTENTIAL SOURCES AS

PRACTICABLE, INCLUDING WHETHER A NOTICE WAS OR WILL BE

PUBLICIZED AS REQUIRED BY SUBPART 5.2 AND IF NOT, WHICH

EXCEPTION UNDER 5.202 APPLIES:

Due to DOL’s mission completion requirements, and a bona fide need to continue and enhance services at the same time, the existing Contractor (Eagle Harbor Solutions, LLC) is the only vendor uniquely positioned to continue and enhance the provision of services in support of agency goals and mission accomplishments at this time. Therefore, no other sources where solicited at this time; a modification to the existing contract is the best alternative.

The original solicitation resulting in contract number 1605DC-19-C-0023 with Eagle Harbor Solutions, LLC, met all the FAR requirements for market research and notice requirements under

FAR 5.202.

OWCP will continue to evaluate alternatives that allow for competition in the future. The Contracting Officer is publicizing this justification in accordance with FAR 5.2.

7. A DETERMINATION BY THE CONTRACTING OFFICER THAT THE

ANTICIPATED COST TO THE GOVERNEMENT WILL BE FAIR AND

REASONABLE:

The original contract pricing is fair and reasonable as determined at the time of award. The Contracting Officer communicated with the incumbent to obtain pricing for the increase in work required. The Contracting Officer negotiated the same rates as currently approved in the contract for each option year. Given there will be no upward price adjustments to account for inflation and other increasing market costs, the Contracting Officer deems the prices to be fair and reasonable based on past analysis as well as the fact future rates will remain at rates established at contract award.

8. A DESCRIPTION OF MARKET RESEARCH CONDUCTED (PART 10) AND THE

RESULTS OR A STATEMENT OF THE REASON MARKET RESEARCH WAS

NOT CONDUCTED:

For the reasons cited above in Section 5 and Section 6, Eagle Harbor Solutions, LLC. (EHS) is uniquely positioned to provide the enhancements to OWCP ECOMP. Hence, a modification to the existing contract is the best alternative. Thus, no additional market research is needed at this time.

Continual market research is conducted as part of any option exercise and as part of a new contract award at the end of full performance of the existing contract number 1605DC-19-C- 0023 with Eagle Harbor Solutions, LLC.

9. ANY OTHER SUPPORTING FACTS SUPPORTING THE USE OF OTHER THAN

FULL AND OPEN COMPETITION:

EHS’ team has experience in multiple disciplines required to maintain the ECOMP application, thus improving the overall velocity and quality of the services provided. EHS combines a multi-disciplinary agile approach to support and improve the ECOMP solution. The current contract (#1605DC-19-C-0023) with EHS, was established in March 2019, under the 8(a) program as an Alaskan Native Corporation Owned Firm. The incumbent continues to be a certified 8(a) Alaskan Native Corporation Owned Firm, Native American, and Self-Certified Small Disadvantaged Business under the NAICS under which the contract was established, 541512.

The Contractor is not listed on the Excluded Parties List System (EPLS). EHS continues to perform at an acceptable level.

10. A LISTING OF SOURCES, IF ANY, THAT EXPRESSED, IN WRITING, AN

INTEREST IN THE ACQUISITION:

a. Eagle Harbor Solutions, LLC:

i. Contract Number: 1605DC-19-C-0023

ii. Address: 4100 Lafayette Center Dr Suite 303 Chantilly VA 20151

iii. Website: www.eagleharborsolutions.com

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 THE SUPPLIES OR SERVICES REQUIRED:

There are no known barriers at this time for a recompete at the end of this contract. The OSPE will work with the Office of Small and Disadvantaged Business Utilization to successfully modify contract #1605DC-19-C-0023 with Eagle Harbor Solutions, LLC.

http://www.eagleharborsolutions.com/

12. SIGNATURE BLOCKS:

The program/technical official further certifies that no conflict of interest exists in awarding a sole source contract modification to the contractor identified herein.

TECHNICAL CERTIFICATION:

I certify that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

Signature: Date: 12/03/2020

Type Name: Tania Irizarry Marrero

Title: Program Analyst- COR, Office of Workers’ Compensation Programs (OWCP)

CONTRACTING OFFICER CERTIFICATION:

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

ARNOLD Digitally signed by ARNOLD

CASTERLINE

Signature: CASTERLINE Date: 2020.12.03 11:59:35 -05'00' Date:

Type Name: Arnold Casterline

Title: Contracting Officer

APPROVAL

Based on the foregoing justification, I hereby approve the procurement under an other than full and open competition basis pursuant to the authority of FAR 19.808-1 and with information required by FAR 6.303 that the services described have otherwise been authorized for acquisition in support of the President’s PEER initiative.

Signature: Date:

Type Name: Ryan Chandler

Title: Competition Advocate, OASAM

TANIA IRIZARRY Digitally signed by TANIA

MARRERO

IRIZARRY MARRERO

Date: 2020.12.03 11:57:16 -05'00'

12/3/2020