JEFO redact_Redacted.pdf

This document is a Justification for an Exception to Fair Opportunity (Above SAT), submitted by the Office of the Assistant Secretary of the Navy (Financial Management & Comptroller) through NAVSUP Fleet Logistics Center Norfolk Contracting Department.

The Navy seeks to issue a sole-source task order modification to KPMG under contract N0018926FZ108 for Financial Management Data and Digital Transformation (FMDDT) support services. The modification will be placed as a cost-plus-fixed fee arrangement under the Financial Improvement Program (FIP) IV indefinite-delivery indefinite-quantity multiple award contract N0018922DZ015. Services required include support for three primary initiatives: Rapid Response Team Support to address urgent data, analytics, and AI/ML requests; Navy Budget Orchestration System (NBOS) development to centralize budget construction and decision propagation across Navy organizations; and development and operationalization of Foundry-based data objects to improve Department of Defense financial management processes, specifically targeting Civilian Pay, Navy Inventory, and Family Budget Work Tracker (FBwT). The existing contract expires April 13, 2028, and services are funded through Navy Operations & Maintenance appropriations expected to be available in the corresponding fiscal year. The justification for sole-source award cites KPMG's unique qualifications, including over six years of experience as the primary FMDDT vendor since September 2018, previous award of related task orders on a competitive basis, and demonstrated capability to deploy qualified personnel to meet accelerated audit deadlines. The document emphasizes that vendor transition would result in approximately 18 months of delay in audit remediation efforts and substantial cost duplication, thereby threatening the Navy's ability to achieve clean audit opinions by established deadlines and supporting critical DON Financial Management Strategy objectives.