LSJ - Limited Sources Justification - PRISM (FINAL).pdf

OPOAM 3008.405-6(a)(2)

Limited-Sources Justification (LSJ) For orders or BPAs exceeding the Simplified Acquisition Threshold

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LSJ No.: FY24-029

This acquisition is conducted under the authority of the Multiple-Award Schedule Program, 41

U.S.C. 152(3), Competitive Procedures, and 40 U.S.C. 501, Services for Executive Agencies.

1. Agency and Contracting Activity. The Department of Homeland Security (DHS), Office of Procurement Operations (OPO), Departmental Operations Acquisition Division I

(DOAD I) propose to award a Blanket Purchase Agreement (BPA) pursuant to FAR

8.405-6(a), Limiting Sources.

2. Nature and/or description of the action being approved. DHS/OPO intends to limit the number of sources solicited pursuant to FAR Part 8.405-6(a) for PRISM perpetual software licenses. The proposed contractor is UNISON Software, Inc., 21251 Ridgetop Circle, Suite

100, Dulles, VA 20166-6501.

3. Description of Supplies/Services. The requirement is to obtain perpetual licenses and maintenance for the contract writing system (CWS), PRISM, which is a Commercial-off-the-Shelf (COTS) software product that provides full procurement life-cycle support including all phases from advanced acquisition planning through contract closeout. PRISM provides procurement and acquisition support at the desktop through a browser only, providing local and remote VPN access to the DHS Enterprise PRISM Instance.

Period Dates IGCE

Ordering Period One 9/20/2024 – 9/19/2025 $1,020,000.00

Ordering Period Two 9/20/2025 – 9/19/2026 $1,020,000.00

Ordering Period Three 9/20/2026 – 9/19/2027 $1,020,000.00

Ordering Period Four 9/20/2027 – 9/19/2028 $1,020,000.00

Ordering Period Five 9/20/2028 – 9/19/2029 $1,020,000.00 $5,100,000.00

4. Authority and supporting rationale. This acquisition is being conducted under the authority of the Multiple-Award Schedule Program, 41 U.S.C. 152(3), Competitive Procedures, and 40

U.S.C. 501, Services for Executive Agencies, in accordance with FAR 8.405-6(a), Limiting

Sources. Only one source is capable of providing the supplies or services at the level of quality required because the supplies or services are unique or highly specialized pursuant to

FAR 8.405-6(a)(1)(i)(B). The prior Blanket Purchase Agreement 70RDAD19A00000012 was acquired through a sole source pursuant FAR 8.405-6(a)(1)(i)(B) using the ordering procedures at FAR 8.405. UNISON Software, Inc. is the only Contractor who can provide licenses to the PRISM CWS.

5. Determination by the ordering activity Contracting Officer. The Contracting Officer has determined that issuing the proposed BPA to UNISON Software, Inc. for PRISM Perpetual

Software Licenses represents the best value and will result in the lowest overall cost, considering price and administrative costs, to meet the Government’s needs. The BPA will

Page - 2 - of 3 be established on the basis of this justification prepared and approved in accordance with

FAR 8.405-6. The General Services Administration (GSA) has already negotiated fair and reasonable pricing rates. Discounts to these GSA schedule rates will be requested.

Additionally, this will be a DHS-Wide BPA; therefore, DHS will be in a position to take advantage of volume discounts by leveraging the buying power of the Department. Prior to issuance of any order under the BPA, the ordering activity will consider the level of effort and the mix of labor proposed in order to determine that the total price is reasonable.

6. A description of the market research conducted. Market research was conducted with several schedule holders; however, UNISON Software, Inc. is the only source that can provide

PRISM licenses, which are not available through resellers. PRISM is the only available software that will satisfy the Government’s requirements due to the maturity of the system and available service modules currently in use. There are other COTS contracting writing system software packages that support the Federal procurement business process, but due to the maturity level of the systems, the investment in a new system would be more costly to

DHS in terms of (1) implementing the new system and integrating it with the twelve (12) existing financial systems currently in use across the Department; (2) migrating all DHS

PRISM data to the new system; and (3) training the approximately 1,300 users that process over 30,000 actions per year (includes awards, modifications to awards, solicitations and amendments to solicitations). It is estimated that the cost to invest in a new system would be several million dollars. Furthermore, DHS would be in the position of testing the new system to ensure that the system provides the same or similar services that PRISM has provided. DHS does not have adequate resources to cover the purchase and implementation costs of a new contracting writing system.

DHS has already invested $2.7 billion in a new financial management system that provides integrated financial and procurement capabilities. The migration to the new financial management system has been initiated in three Components, including the Federal

Emergency Management Agency (FEMA), U.S. Immigration and Customs Enforcement

(ICE) and the United States Coast Guard (USCG). Integrating a new CWS that is not already in use by the Components who have not yet transitioned to the new financial system is not a realistic alternative as Financial Systems Modernization (FSM) has been in process since

2014 with a significant investment in time and resources across the Department. DHS is planning for more migrations to the new financial system for other Components over the next five (5) years, and by 2029, the new financial management system will be fully operational at

FEMA (FY 26), U.S. Citizenship and Immigration Service (USCIS) (FY27), ICE (FY27), the

Federal Protective Service (FPS), the Cybersecurity and Infrastructure Security Agency

(CISA) (FY 28), the Science and Technology Directorate (S&T) (FY 28), and the Federal

Law Enforcement Training Center (FLETC) (FY29). Therefore, acquiring a different software would require DHS to initiate an entirely new implementation process to the new software environment while already in the process of implementing the migration to the new financial management system.

Implementation of an interim CWS would require several years and multiple millions of dollars in investment. The timeline to implement the interim CWS would roughly coincide with the implementation of the FSM solution, which would be duplicative and require the

Page - 3 - of 3 same resources as the FSM program. The replacement CWS for PRISM has already been determined and was competed openly in the marketplace.

7. Any other facts supporting the limited-sources justification. The Enterprise PRISM Instance

(EPI) will sunset following the final ordering period of this BPA as all DHS Components will have migrated to the new financial management system, which includes a contract writing function.

8. A statement of actions, if any, the agency may take to remove or overcome any barriers that led to restricted consideration before any subsequent acquisition for the supplies or services is made. The Program Office will continue to monitor the market to seek resellers of the

PRISM software in addition to the original equipment manufacturer (OEM) UNISON

Software, Inc. In accordance with FAR 8.405-3(e), as part of the annual review of the BPA, the Contracting Officer will determine whether the BPA still represents the best value to the agency.

9. DHS intends to post this requirement on SAM - Contract Opportunities pursuant to FAR

8.405-6(a)(2)(i).

10. Technical/Requirements Personnel Certification.

Pursuant to FAR 8.405-6(c)(2)(x), I certify that this requirement meets the Government’s minimum need and that the supporting data, which form a basis for the Limited-Sources

Justification, are accurate and complete.

Michael Koster Date

Contracting Officer’s Representative

11. Contracting Officer Certification.

Pursuant to FAR 8.405-6(c)(2)(ix), I certify that the Limited-Sources Justification is accurate and complete to the best of my knowledge and belief:

AMY M

DRIVER

Digitally signed by AMY M

DRIVER

Date: 2024.03.13

09:33:50 -04'00'

Amy Driver Date

Contracting Officer

12. Approval.

Procuring Activity Advocate for Competition Date

MICHAEL A

KOSTER II

10:51:33 -04'00'