P42-Limited Sources Justification_Arbinger_Outward Mindset.pdf

form HUD-24013 ref. FAR 8.405-6 (03/2024)

U.S. Department of HousingLimited Source Justification -and Urban Development

Federal Supply Schedule Orders Office of the Chief Procurement Officer

Exceeding the Simplified Acquisition Threshold

PART 1 – JUSTIFICATION (to be completed by requesting office)

This acquisition is conducted under the authority of the Multiple Award Schedule Program, the statutory authorities for which are Title III of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 251, et seq.) and Title 40 U.S.C. 501, Services for Executive Agencies.

Services or supplies to be ordered [describe]:

Total estimated cost of this order [include all costs of the proposed acquisition, e.g., options, systems life costs, etc. ; total will determine the approval level needed]: $

Limiting Consideration from Required MAS Ordering Procedures (see FAR 8.405-1 & 8.405-2) Consideration for this Federal Supply Schedule order should be limited to the following source(s) [provide names, addresses and points of contact or attach separate sheet as needed]:

Circumstances justifying restriction of sources for consideration [select appropriate]:

An urgent and compelling need exists, and following ordering procedures would result in unacceptable delays (see FAR 8.405-

6(a)(1)(i)(A)).

Only one source is capable of responding due to the unique or specialized nature of the work (see FAR 8.405-6(a)(1)(i)(B)).

The new work is a follow-on to an original Federal Supply Schedule order that was placed in accordance with applicable Federal

Supply Schedule procedures (Note: The original order must not have been previously issued under sole source or limited source procedures (see FAR 8.405-6(a)(1)(i)(C)).

Attachments [provide the following information]:

A complete description of the circumstances that justify the above restriction.

Demonstration/description of the proposed contractor's unique qualifications to provide the required supply or service (if consideration is to be limited to one schedule contractor).

A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

A statement of the actions, if any, the Department may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

Consideration Limited to Sources Providing Particular Brand, Product, or Product Feature

Sources to be considered for this order should be limited to those offering the following item(s) peculiar to one manufacturer (e.g., a particular brand name, product, or a feature of a product, peculiar to one manufacturer) [list and describe fully, or attach detailed description of the product or critical characteristics of the product]:

Attachments [provide the following information]:

If brand name, product, or product feature is the basis for the restricted consideration, the program office must describe why it is essential to the Government’s requirements, and demonstrate how the attached market research supports the determination that other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the Department’s need.

A statement of the actions, if any, the Department may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

Previous edition unusable Page 1 of 3

Arbinger's Outward Mindset Training Series

J&A Log Number

2,000,000.00

24-47

If the order contains brand name specifications, the requirement has been posted unless one of the following exceptions applies (see FAR 8.405 [check applicable exception]:

Disclosure would compromise the national security (e.g., would result in disclosure of classified information) or create other security risks. The fact that access to classified matter may be necessary to submit a proposal or perform the contract does not, in itself, justify use of this exception;

The nature of the file (e.g., size, format) does not make it cost-effective or practicable for contracting officers to provide access through e-Buy; or

The senior procurement executive has made a written determination that access through e-Buy is not in the Government’s interest.

Program Office’s Supporting Data

The following information has been provided to support the limitation of sources or specific brand name, product , or product feature (e.g., verification of the Government's minimum needs or requirements or other rationale for limited sources) [ list and describe; attach additional pages if needed]

Program Office Official’s Certification

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

Head of Program Office [name] Title/Name of Office:

Signature: Date: For additional information contact:

X

PART 2 – CONTRACTING OFFICER’S DETERMINATION AND CERTIFICATION

I hereby determine that:

The order represents the best value to HUD consistent with the requirements of FAR 8.404(d), 8.405-2, and 8.405-4 (price evaluation is attached); and, If a particular brand name, product, or product feature is requested, I hereby determine that it is essential to the Government’s requirements, and as demonstrated by the attached market research, other companies’ similar products, or products lacking the particular feature, do not meet, or cannot be modified to meet, the Department’s need.

I certify that the information contained in this justification is accurate and complete to the best of my knowledge and belief. In accordance with FAR 8.405-6(d)(1), this certification serves as approval of this limited source justification for orders up to $750,000.

Name: Signature: Date:

X

PART 3 – APPROVALS

For orders greater than $750,000 up to $15 million – Competition Advocate

Name Signature Date X

For orders of $15 million to $75 million – Deputy Chief Procurement Officer

Name Signature Date X

For orders over $75 million – Senior Procurement Executive

Name Signature Date X

Previous edition unusable Page 2 of 3 form HUD-24013 ref. FAR 8.405-6 (03/2024)

See attached

Matisha Montgomery Chief Learning Officer, OCHCO, TDWP

202-402-4369

Jennifer L. McGivern

Akinsola Ajayi

MATISHAMONTGOMERY

Digitally signed by MATISHA

MONTGOMERY

Date: 2024.08.14 13:08:24 -04'00'

Digitally signed by: JENNIFER MCGIVERN

DN: CN = JENNIFER MCGIVERN C = US O = U.S.

Government OU = Department of Housing and Urban

Development, Office of the Chief Procurement Officer

Date: 2024.08.14 13:23:29 -04'00'

Digitally signed by: AKINSOLA AJAYI DN: CN = AKINSOLA AJAYI C = US O = U.S. Government OU = Department of Housing and Urban Development, Office of the Chief Procurement Officer Date: 2024.08.14 13:53:33 -04'00'

AKINSOLA AJAYI

Instructions:

PART 1 – to be completed by the requesting office

The office requesting the limited source consideration shall enter all information and provide all supplementary information and attachments.

The head of the office submitting the justification shall complete the certification and sign and date it.

PART 2 – to be completed by the Contracting Officer

The contracting officer shall attach the price evaluation and sign and date the form. If the order is less than $750,000, stop here and place the completed justification in the order file.

PART 3 – to be completed by the approving official

If the order exceeds $750,000, the contracting officer shall obtain the appropriate higher-level authority’s name, signature, and date and place the completed justification in the order file.

Previous edition unusable Page 3 of 3 form HUD-24013 ref. FAR 8.405-6 (03/2024) form HUD-24013 Attachment FAR 8.405-6 (c ) Limited Source Justification Supplemental Information

For The Arbinger Company “Arbinger” Outward Mindset™ Training

(i) Identification of the Federal agency and contracting activity:

US Department of Housing and Urban Development (HUD) Office of the Chief Procurement Officer, NFNP 801 Market Street, Strawbridges Building Philadelphia, PA 19107-3380

Requiring Activity:

HUD

Office of the Chief Human Capital Officer (OCHCO) Talend Development and Workforce Planning (TDWP) Name: Matisha Montgomery Mailing address: 451 7th St SW, Washington, D.C. 20410 E-mail address: matisha.d.motgomery@hud.gov

(ii) Nature and/or description of the action being approved:

TDWP is seeking to enter into a sole source Blanket Purchase Agreement (BPA) with small business concern, The Arbinger Company “Arbinger”, 1379 N 1075 W, Suite 100, Farmington, Utah 84025, Company Point of Contact and Phone Number: Amy Sadeghzadeh, Phone: 619- 243-6896, Email: amys@arbinger.co through GSA Schedule Contract No. GS-10F-099AA for their Outward Mindset ™ Program, SIN 611430 to include any ancillary or OLMs. This requirement will be an expansion of a pilot Outward Mindset™ training program previously conducted at HUD Headquarters for the Office of the Assistant Secretary for Administration (OASA). The intent of this requirement is to continue the Arbinger Outward Mindset™ training program enterprise-wide for HUD Headquarters, Regional, and Field staff. Call orders will be issued as HUD’s need, budget, and schedule are further defined. The BPA will be established to allow for firm fixed price or labor hour call orders issued through the base and optional years.

This requirement will support and build upon HUD’s existing culture to foster a diverse and inclusive environment; inspire innovation and high-performance; engage the workforce; and further develop trust and accountability across the Department. The training program will consist of Developing & Implementing an Outward Mindset (DIOM), Outward Leadership Application Sessions (OLAS), Implementation Coaching, Strategic Working Sessions, Outward Performance Train-the-Trainer Program which will enable internal HUD leaders to facilitate ongoing training, ensuring the sustainability of the training program and reduce the reliance on Arbinger.

(iii) A description of the supplies or services required to meet the agency's needs (including the estimated value).

Project Description

TDWP is a division within OCHCO responsible for providing cost-effective and coordinated training and development strategies that support the mission of HUD. TDWP serves as the central point for all professional and leadership development programs.

The proposed action is a sole source Blanket Purchase Agreement with Arbinger against their GSA

Schedule GS-10F-099AA.

Arbinger’s proprietary program provides facilitation of live in-person or virtual training courses, all materials, follow-up coaching for HUD staff, and online course content and resources for all employees. TDWP has identified the need to implement a training and development program to address systemic culture issues at HUD that are consistently highlighted in the FEVS and other survey results. Arbinger’s Outward Mindset™ is a comprehensive training program that TDWP successfully piloted in 2023 to HUD Executives, Managers, and Supervisors in the Office of

Administration to meet HUD’s leadership and management challenges and opportunities under sole source order GS-10F-099AA/86614322F00003 in the amount of $161,943.92, period of performance 01/25/2022 to 01/24/2023. The program office recommendation is a continued investment Departmentwide as the goals and return on investment from the pilot program were achieved. The primary objectives of this training initiative are:

1. Develop accountable and proactive leaders by shifting the focus from merely holding individuals accountable to nurturing their capacity for leadership and responsibility.

2. Enhance and improve organizational culture, belonging, and morale.

3. Foster a culture of accountability, where employees are engaged and responsible for results and perfor

Total estimated dollar value and performance/delivery period: NTE $2,000,000; Base year and 4 option years. Anticipated date for BPA and initial call order award: 9/30/2024.

(iv) The authority and supporting rational (see 8.405-6(a)(1)(i) and (c)(1)(2) and, if applicable, a demonstration of the proposed contractor's unique qualifications to provide the required supply or service.

The proposed requirement is to procure the Outward Mindset™ proprietary series of training programs from Arbinger. Arbinger establishes and asserts the proprietary rights held by The Arbinger Company, operating as (DBA) The Arbinger Institute, LLC. Arbinger’s products and services, including the Arbinger's Outward Mindset series of training, train-the-trainer programs, course work, and materials are exclusively owned by Arbinger Institute, LLC. Each of these programs and services is an original, copyrighted work. These materials are specifically designed with unique elements that cannot be reproduced by any other provider, establishing Arbinger as the exclusive source for this training program. The products offered by Arbinger have been determined to be the only product to meet the Government's minimum requirements to address the training from an outward mindset. The resulting contract will provide training, facilitation, coaching, and digital materials to HUD staff Departmentwide.

Outward Mindset ™training will support the continuing need for Leadership and Development

Training and Coursework. The Arbinger’s training program includes a suite of development products, material, training, software that has proven to be a formidable tool chest for the HUD workforce. Due to HUD policy, HUD employees are annually requested to complete personal development learning activity focused on soft skills. Arbinger’s Outward Mindset ™training program allows HUD’s employees to meet this Departmental policy without additional individual training cost per person, proving it to be a cost-effective solution. The training will focus on what is important to all stakeholders (e.g., employees, customers, supervisors, etc). The intention of the training will be to support HUD staff in genuinely hearing and listening to others through the evaluation of needs, objectives and challenges to receive the collective results targeted by the agency. Staff will learn to hold themselves accountable to better understand their impact on the overall results of the organization. Furthermore, Arbinger Institute is the only organization that provides this type of training program that aligns their training program to competencies and Executive Core Qualifications (ECQs) outlined in the Office of Personnel

Management’s (OPM’s) Multipurpose Occupational Systems Analysis Inventory - Close-Ended

(MOSAIC) Competencies. Procuring the licenses and associated training from Arbinger provides HUD with a consistent, reliable training system and curriculum that develops critical leadership, managerial, employee development and work-related skills that HUD requires to perform its mission.

(v) A determination by the ordering activity contracting officer that the order represents the best value consistent with 8.404(d).

Arbinger’s services and materials are commercially available with prices readily available to all customers, private and federal. The contracting office will compare the proposed prices available on their GSA Schedule to the Independent Government Cost Estimate (IGCE) and to the prices of the initial pilot program at OASA. It is noted herein that Arbinger will be requested to provide any available discounts. A menu of priced offerings will be included in the BPA to establish evaluated prices. These methods will be utilized to enable the Contracting Officer to determine that the Government is obtaining fair and reasonable pricing and that the BPA and subsequent orders represent the best value consistent with 8.404(d).

(vi) A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted.

Market research was conducted utilizing HUD and other federal agency market research which has determined that the training is propriety in nature to Arbinger and as such no other contractor can provide HUD’s requirement. Arbinger has successfully implemented the Outward Mindset ™ training program at the Department of State, Department of Homeland Security, the

Department of Treasury, the VA, and the Navy. The improvement of human capital management translates to an overall enhancement in operations and quality of services provided by HUD to complete its mission. The Arbinger Institute provides “train the trainer” and assessments within current industry tools, but also provides in-depth analyses of emerging trends and best practices, as well as case studies, webinars, etc. to facilitate sharing of information.

Arbinger is the only company whose training services offered certifications to account for the “train the trainer” concept that HUD requires. The classroom training provided by other companies were for individual use only and did not offer a means to convey or reproduce their training methodology to others. The Arbinger Institute training was also the only training that encompasses the five Officer of Personnel Management ECQs into their course, and they are the only vendor that provides behavior change training that will meet the requirements in the Statement of Objectives.

(vii) Any other facts supporting the justification.

A pilot program was conducted back in January 2023 with Arbinger for their Outward Mindset program limited to HUD’s Executives, Managers, and Supervisors. The intent of this pilot program was to measure the results against TDWP’s goals which were positive. The positive outcome has influenced TDWP’s decision to expand the program to all HUD personnel nationwide. The licenses from Arbinger Institute are vital for HUD to continue to train its current workforce and future leadership. The expansion of the program will save HUD excessive duplication and travel costs while providing quality leadership and development curriculum and content.

(viii) A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made.

Since the program is proprietary in nature in that the training programs are trademarked, it is difficult to remove the competitive barriers, however, in accordance with FAR 8.405-6(a)(2), HUD will publish a notice (FAR 5.301) and post this justification to GPE. Information and capabilities from other vendors received from that posting will be considered by HUD to determine if the party can perform any future requirement, including any potential authorized resellers. TDWP will further explore the market prior to exercise of the option years. Should Arbinger dissolve the proprietary rights/copyrights in the future HUD will seek to open the requirement up through competitive means.

(ix) The ordering activity contracting officer's certification that the justification is accurate and complete to the best of the contracting officer's knowledge and belief.

I certify to best of my knowledge and ability, the justification for Limited Source is accurate and complete.

(x) Evidence that any supporting data that is the responsibility of technical or requirements personnel (e.g., verifying the Government's minimum needs or requirements or other rationale for limited sources) and which form a basis for the justification have been certified as complete and accurate by the technical or requirements personnel.

See program office certification on form HUD-24013.

(xi) For justifications under 8.405-6(a)(1), a written determination by the approving official identifying the circumstance that applies.

The initial sole source purchase order was limited to HUD OASA staff. HUD’s need for Outward Mindset ™ training continues because HUD has not reached a self-sufficient level in implementing the program. This follow-on requirement will ensure HUD continues to incorporate Outward Mindset strategies and tools at HUD’s Headquarters and field offices Nationwide to develop self-awareness and self-accountability throughout the workforce and effectively establish and operate the desired culture and workplace practices. This BPA will allow an ordering mechanism to be used for a base year and four options years to continue HUD’s outward mindset change training program.

I hereby determine that the Outward Mindset Developmental Training services required by HUD, OCHCO/TDWP is available from only one source – Arbinger – and competition is precluded for the reasons indicated above.