LSJ_11-A-0007-0001_Principal_Deputy_Office_(PDO)_final_signed__Redacted.pdf

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

ACQUISITION

DIRECTORATE

LIMITED SOURCES JUSTIFICATION

Upon the basis of the following justification, I hereby approve the use of restricting consideration of the proposed contractual action pursuant to the authority of FAR 8.405-6.

JUSTIFICATION

1. AGENCY AND CONTRACTING ACTIVITY: [FAR 8.405-6(c)(2)(i)]

Agency:

Department of Defense Office of the Under Secretary of Defense, Acquisition, Technology, & Logistics Office of the Assistant Secretary of Defense for Research and Engineering (OASD(R&E)) Principal Deputy Office (PDO) 3040 Defense Pentagon Washington, DC 2030 I -3040

Contracting Activity:

Department of Defense Washington Headquarters Services Acquisition Directorate 1225 S. Clarke Street Arlington, VA 22202

2. NATURE/DESCRIPTION OF ACTION(S): [FAR 8.405-6(c)(2)(ii)]

This justification approves exercising a six-month option in accordance with FAR 52.217-8. The contractor, Strategic Analysis, Inc. (SAI) is currently providing services using the WHS/AD BPA HQ0034-11-A-0007-0001, which was awarded on January 6, 2011. The current contract ends on January 6, 2016. This extension will avoid disruptions to mission critical programs and activities that are currently underway at the Assistant Secretary of Defense for Research and Engineering (ASD(R&E)), Principal Deputy Office (PDO). The dollar value for this six-month extension is $1,314,166.67.

3. DESCRIPTION OF SUPPLIES/SERVICES: [FAR 8.405-6(c)(2)(iii)]

The ASD(R&E) is tasked with providing oversight of science and technology and advanced component development and prototypes - i.e. research and engineering (R&E) - to solve current and future challenges for the Department of Defense (DoD). There are five main Directorates and organizations under the ASD(R&E)'s purview: Principal Deputy, Research, Systems

Engineering, Emerging Capability and Prototyping, and Development Test and Evaluation.

ASD(R&E) requires highly specialized program and technical support services to achieve its mission.

SAI shall provide support to ASD(R&E) PDO as it performs statutory and directed program management functions. ASD(R&E) PDO activities include, but are not limited to assisting in the development of acquisition policy for major defense acquisition programs; development of DoD's technical and engineering workforce; development of new technical fields in DoD labs, academia, and industry that are important to the development of future war-fighting capabilities for DoD; development of programs to leverage independent research and development research conducted by firms in the defense industrial base; communication with media and other organizations regarding science, technology, research and engineering and developmental test activities within the DoD; the rapid fielding of advanced technology to support Combatant Commanders; the development of partnerships with foreign governments for the purpose of pursuing joint science and technology research programs; advice, documentation, planning, management and execution of efforts supporting The Technical Cooperation Program (TTCP) activities; North Atlantic Treaty Organization (NATO) activities and continuous analysis, coordination, and follow on development of the current U.S.-India Defense Trade and Technology Initiative (DTTI) requirements. A segment of these efforts are required to be conducted in a classified environment with access up to TS/SCI.

4. AUTHORITY AND SUPPORTING RATIONALE: [FAR 8.405-6(c)(2)(iv)]

In accordance with FAR 8.405-6(a)(l)(i)(B), Strategic Analysis, Inc. is currently the "Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized". SAI has the unique knowledge and background working with ASD(R&E) PDO operations that are conducted on a daily basis, has the required staff, the specific technical expertise, and TS/SCI eligible clearances. The primary factors supporting this request is the series of high profile, critical activities under way or will commence during the December 2015 to June 2016 timeframe.

Continuity during this period is essential. The requirements during the period include:

FY 2017 Program Budget Preparation and Budget Review. Starting in late November 2015 through October 2016, the Department of Defense will be in the time critical stage of Budget Formulation, Justification, Presentation and Execution. SAI provides highly proficient Financial Management support to the PDO with trained Budget Analysis (BA) in the Planning, Programming, Budgeting and Execution (PPBE) Process. SAI provides the detailed knowledge and experience to analyze, evaluate, and transform programmatic decisions into budget quality data and financial management reports applying the business tools and applications and performance metrics used by the Department of Defense. A key outcome of the PPBE process involves preparation of the FY 2017 budget justification documents for inclusion in the President's Budget request. Without the knowledge and support of the SAI Budget Analysis, the office will suffer significant delays in meeting the overall FY 2017 Program/Budget and Planning schedule.

Subsequent to the FY 2017 PresBud submission, the ASD(R&E) and key members of the staff will be actively involved in visits with the appropriate representatives on Capitol Hill to justify and elucidate the specific priority issues and programs in the DoD budget request. Critical events in the Congressional engagement strategy include providing testimony, and budget reviews, and briefs to the staffs of the defense oversight committees. These requests often times require 1 or 2 day turnaround. The knowledge, professionalism, experience and leadership of the SAI Administrative Analyst is crucial to the management of the ASD(R&E) and the Principal Deputy's calendar and task tracking systems during this timeframe.

SAI team provides the ASD(R&E) and PDO direct support with both intelligence liaison activities and short-turnaround technical assessments that are used by decision makers in ASD(R&E) to inform leadership decisions. Support contractors engage with the intelligence community and provide INTEL to the DoD Labs, ASD(R&E), and S&T community. They work closely to ensure ASD(R&E) intelligence needs are met by identifying the types of capabilities that should be pursued, risks imposed by potential adversaries, and opportunities for future investments to address the INTEL gaps.

The technical assessment team provides quick-turnaround responses to questions from customers within ASD(R&E).

The assessment team has the access and training to use several specialized, essential tools to respond to these questions. Training new staff to gain access to these tools would take between 60 to 90 days to fully support these requirements. Finally, OTI compiles a weekly S&T bulletin that is distributed to over 3,000 individuals. OTI has received feedback that this weekly compilation is used frequently as a primary source of information from across DoD. A stop in its weekly publication could impact DoD scientists from staying regularly and quickly informed on science and technology developments that may impact their research.

Only continued, uninterrupted support from the incumbent contractor until June 2016 can prevent a disruption to the ASD(R&E) Principal Deputy Office. The PMT tool timeframe for a source selection is at least four (4) months. The PWS will need to be reviewed and revised based on current and future needs and due to the time constraints of the Government will add another two months to the PMT time frame. Therefore, the entire time of the extension will be necessary for acquiring follow on services.

5. REPRESENTATION OF THE BEST VALUE: [FAR 8.405-6(c)(2)(v)]

The Contracting Officer will ensure that the rates set in the final option year are used for this extension IAW FAR 52.217-8. These rates have already been determined to be fair and reasonable during the original competition at the BPA level.

6. DESCRIPTION OF MARKET RESEARCH: [FAR 8.405-6(c)(2)(vi)]

Market research reveals that there are vendors that can perform these services, but in order to get the cleared personnel in place a source selection will take at minimum six (6) months.

Washington Headquarters Services, Acquisition Directorate has two Enterprise Strategic Sourcing vehicles in place that have the type of services needed for this requirement; Analytical & Technical Support Services (ATSS) IDIQs and Technical Engineering Analytical Management Support (TEAMS) BPAs.

7. ANY SUPPORTING FACTS: [FAR 8.405-6(c)(2)(vii)]

A disruption in services would cause a serious negative impact to the PDO with significant impact to matters of critical importance to the Department of Defense. For example, a gap in contractor support would cause critical impacts to PDO’s ability to articulate its request for annual appropriation to the comptroller and to Congress. This would likely result in dramatic cuts or elimination of the PDO program. The PDO supports a range of innovative programs, which are specific requests from the Secretary of Defense.

disruption in services would be costly and significantly impact PDO operations. A drop in service would be avoided by awarding an extension for six-months to Strategic Analysis, Inc.

8. ACTIONS TAKEN TO REMOVE BARRIERS TO COMPETITION: [FAR 8.405-6(c)(2) (viii)]

The TEAMS BPA will be used, rather than the ATSS IDIQ because the contractor teaming arrangements in the TEAMS BPAs allow the Government to conduct competitive solicitations with greater flexibility with both large and small businesses. An Industry Day was held in January 2015 for the Technical Engineering Analytical Management Support (TEAMS) Blanket Purchase Agreement (BPA) with close to 200 attendees. The BPAs were awarded in October 2015. The award of the TEAMS BPAs resulted in seven teams being established: there are two

(2) small business led teams, two (2) SDVOSB led teams, and three (3) large business led teams.

The Government intends to compete the new task order against the TEAMS BPAs. A sample of three of the seven teams are listed in the table below. The NAICS code that represents the majority of the work for the Principal Deputy Office is 541330 Engineering Services.

Large Team Example

Contractor Business Size Analytic Services Inc (LEAD) Large Logistics Management Institute Large Engility Small (541712) Canvas (WOSB/HZ) Barricum (SDVOSB/HZ)

SDVOSB Team Example g p g , Contractor Business Size Red Gate Group (LEAD) SDVOSB Canvas (WOSB/HZ) Artlin (WOSB} Modern Technology Solutions Inc. Small (541712) PWC large

Small Business Team Example

Contractor Business Size lEA (LEAD) SDVOSB Sehlke Consulting (WOSB/HZ) Wittenberg Weiner (WOSB) Pro2Serve Small (541712) KPMG Large

Based on the market research that has been completed the solicitation for a new requirement will be competed amongst the TEAMS BPA holders using the NAICs code 541330, Engineering Services. By utilizing the TEAMS BPA, we can streamline the time necessary to complete a competitive opportunity without an unnecessary break in service for the Principal Deputy Office supporting the Secretary of Defense. The Government expects there to be adequate competition between the large and small businesses within the TEAMS BPAs for this acquisition. As indicated above, the PWS may not be ready for two months. The PMT forecasts a time line of approximately four (4) months to compete a new task order against TEAMS BPAs. Therefore, the solicitation should be ready no later than the end of February.

9. TECHNICAL/REQUIREMENTS CERTIFICATION: [FAR 8.405-6 (c) (2) (x)] I certify that the facts and representation under my cognizance which are included in this justification and which form the basis for this justification are complete and accurate.

Signature:

Gloria W. Lovett Date Senior Program Analyst Principal Deputy Office gloria.lovett@osd.mil Digitally signed by gloria.lovett@osd.mil DN: cn=gloria.lovett@osd.mil Date: 2016.01.04 11:33:03 -05'00'

10. CONTRACTING OFFICE CERTIFICATION: [FAR 8.405-6(c)(2)(ix)]

I have reviewed this Limited Sources Justification and find it to be accurate and complete to the best of my knowledge and belief.

Signature:

Michael J. Murtha Date Contracting Officer

11. COMPETITION ADVOCATE: [FAR 8.405-6(d)(2)] I have reviewed this Limited Sources Justification and find it to be in accordance with FAR

8.405. I hereby approve this acquisition to be conducted on the basis of other than full and open competition.

Signature:

David D. Sanders Date Competition Advocate

MURTHA.MICHA

EL.J.1172230322

Digitally signed by

MURTHA.MICHAEL.J.1172230322

DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=WHS, cn=MURTHA.MICHAEL.J.1172230322 Date: 2016.01.04 12:05:59 -05'00' david.sander s@osd.mil

Digitally signed by david.sanders@osd.mil DN: cn=david.sanders@osd.mil Date: 2016.01.04 17:27:56 -05'00'