Redacted JA.pdf

DEFENSE COUNTERINTELLIGENCE AND SECURITY AGENCY

27130 TELEGRAPH ROAD

QUANTICO, VA 22134-2253

JUSTIFICATION & APPROVAL (J&A)

FOR

OTHER THAN FULL AND OPEN COMPETITION (OTFOC)

Control Number: 20-07JA

Purchase Request Number: HS002105876 Contract Number: HS0021-19-D-0132 Task/Delivery Order Number: HS0021-19-F-0115 Procurement Title: Support Services Bridge Estimated Value:

Statutory Authority: Federal Acquisition Regulation (FAR) 6.302-1, Only one responsible source and no other supplies or services meet agency requirements.

Upon the basis of the following justification, I, as the Head of the Contracting Activity, hereby approve the use of OTFOC of the proposed contractual action pursuant to the authority of 10 U.S.C. 2304(c)(1).

1. REQUIRING ACTIVITY AND CONTRACTING OFFICE:

Requiring Activity:

Defense Counterintelligence and Security Agency (DCSA) Personnel Vetting Federal Investigative Records Enterprise (FIRE) 1137 Branchton Road Boyers, PA 16018

Contracting Activity:

DCSA

Office of Acquisition and Contracting (AQ) 27130 Telegraph Road Quantico, VA 22134

2. NATURE/DESCRIPTION OF ACTION(S):

The nature of this action is to extend the current, firm-fixed-price (FFP) single award Indefinite Delivery Indefinite Quantity (IDIQ) contract, HS0021-19-D-0132, for 5 months. The period of performance for the current contract expires April 30, 2020. This action will allow for extension of the task order, HS0021-19-F-0115, period of performance for a total of 5 months, if all options are exercised (3-month base plus two 1-month option periods). This extension will ensure continued support during the pendency of a protest of the follow-on contract and during the global coronavirus (COVID-19) pandemic. The effort actively supports the Federal Investigative Records Enterprise’s (FIRE) mission of performing functions in support of the federal background investigation mission. Defense Working Capital No Year Funds will be used for this action.

Support Services Bridge Contract

3. DESCRIPTION OF SUPPLIES/SERVICES:

The continuation of these critical services is required for supporting the DCSA mission regarding background investigations and ultimately, national security. The contract provides support functions from case receipt to case delivery. The functions the Support Services contractor conducts are as follows:

Switchboard Screening/Scheduling of Investigative Materials Case File Maintenance Imaging/Microfilm Pre-Review Case Assembly Telephone Liaison Post-Closing/File Release

All of these described services are unique and are interdependent upon each function of the contract. These functions aid in the field’s ability to conduct background investigations in order to provide a product that meets federal investigative standards.

The current contract expires on April 30, 2020. This effort was re-competed as an open market, small business set-aside acquisition. On January 30, 2020, the follow-on contract (referred to as the Case Processing Operations Center (CPOC) contract), HS0021-20-C-0002 was awarded.

Since the time of award, a post-award protest was filed by an unsuccessful offeror. The protest triggered an automatic suspension of performance of the follow-on contract pending resolution of the protest in accordance with FAR 33.103(f)(3). Additionally, the unprecedented issues caused by the global COVID-19 pandemic and the way it has shifted daily functions of both Government and contractor staff (e.g., maximum telework, partial stop-work order(s), etc.) has been a hindrance to the timeliness of planned transition activities with the follow-on contract. It is apparent that because of the performance stay of the ongoing protest, a proper transition between NT Concepts and the CPOC awardee cannot take place prior to May 1, 2020 as intended.

The bridge extension of the current contract will allow for continued support of this vital and mission critical program during the protest period and while the nation resolves the COVID-19 pandemic, without a break in service.

The estimated cost for funding this five-month requirement is Funding will be issued at the task order level for an initial base period consisting of a three-months, followed by two one-month options, which will only be exercised to maintain critical service through the resolution of the protest and also while the pandemic is resolved and allows for transition activities to take place. Options have been included in this action due to the pending resolution of the GAO protest, as well as the unknown abatement of COVID-19. The breakdown of estimated costs per period of performance for the task order is as follows:

Period of Performance Estimated Costs May 1, 2020 – July 31, 2020 $ August 1, 2020 – August 31, 2020 $ September 1, 2020 – September 30, 2020 $ Total $

4. IDENTIFICATION OF STATUTORY AUTHORITY:

Only one responsible source and no other supplies or services will satisfy agency requirements, 10 U.S.C. 2304(c)(1) as implemented by FAR 6.302-1.

5. DEMONSTRATION OF CONTRACTOR’S UNIQUE QUALIFICATIONS:

(a) Description of events.

In Fiscal Year 2016, the National Background Investigations Bureau (NBIB)

(now DCSA), attempted to re-compete the support services requirement under Request for Proposal OPM15-16-R-0002.

The Section 925 of National Defense Authorization Act (NDAA) for Fiscal Year 2018 (Public Law No. 115-91, December 12, 2017), authorized the Secretary of Defense (DOD) to conduct background investigations for all DoD affiliated personnel (military members, civilian employees, and contractor personnel), and directed the phased transition of responsibility for conducting background investigations for DoD personnel from NBIB to DoD. Since 2005, DoD personnel background investigations had been conducted by NBIB. At the time of passage of the 2018 NDAA, the specific timing, scope, and impact of the reduction in NBIB’s mission that would be caused by this transition was unknown. NBIB expected the action to occur swiftly and anticipated that it include 56%-70% of its workload at the time. The extreme reduction in case volume was expected to reduce the work to such a degree that the solicitation, OPM15-16-R-0002 was canceled.

On April 13, 2018, a J&A was approved for a one-year sole source award to NT Concepts provided by the regulatory authority set forth in FAR 6.302-2, Unusual and Compelling Urgency.

NBIB convened an Integrated Acquisition Team to develop a new solicitation strategy that would afford the agency the ability to adapt to the imminent changes as well as respond to the evolution of the requirement over the prior year and a half.

On February 19, 2019, a synopsis for the new requirement, referred to as CPOC, was posted to the Federal Business Opportunities website under solicitation number 243620-19-R-0004. The anticipated award date for CPOC at the time was October 24, 2019. This award timeline provided sufficient time to transition the workload from the incumbent contractor to a new awardee, with full performance set to begin in April 2020, at the end of the one-year bridge contract to NT Concepts.

The final solicitation for CPOC was issued on March 20, 2019 and closed on May 6, 2019.

On April 24, 2019, the President of the United States issued Executive Order (EO) 13869, which directed the transfer of responsibility for conducting DoD personnel background investigations to DoD, and directed the delegation of background investigation authority for non-DoD personnel to the DoD as well.

EO 13869 also directed the transfer of all NBIB functions, personnel and associated resources to the newly renamed Defense Counterintelligence and Security Agency (formerly the Defense Security Service), DoD Component, by September 30, 2020.

On April 27, 2019, a one-year bridge contract was awarded to NT Concepts to maintain continued service during the solicitation and evaluation process for the solicitation that was issued in March.

Upon the solicitation closing on May 6, 2019, six offers were received and evaluations began.

On July 24, 2019, NBIB re-aligned the existing source selection plan for the solicitation to the Department of Defense Source Selection Procedures in anticipation of the award date occurring after NBIB’s transition to DCSA on October 1, 2019 in accordance with the aforementioned EO.

The CPOC requirement was awarded on January 30, 2020 to ASRC Federal Professional Services (AFPS), providing allowance for a 90-day transition period.

Following the required post-award debrief with an unsuccessful offeror, a protest was filed on February 18, 2020. The protest was submitted in a timely manner and triggered an automatic suspension of performance of the follow-on contract pending resolution of the protest in accordance with FAR 33.103(f)(3).

Shortly thereafter, the United States was struck by the swiftly growing coronavirus (COVID-19) crisis. The Centers for Disease Control and Prevention (CDC) began reporting on the ever-growing pandemic, and the pandemic quickly affected every facet of daily life, business practices, and government operations.

DoD and other federal agencies elevated Health Protection Condition Levels (HPCON) from Alpha, to Bravo, and mostly recently, to Charlie.

In just a short month, the nation was nearly crippled with the coronavirus pandemic. Many Governors, including Pennsylvania’s (location of DCSA FIRE operations), have issued “stay-at-home” orders. These orders require agencies and businesses alike to encourage maximum telework as practicable.

Because of the current pandemic environment, no other contractor would be able to effectively phase-in, experience an appropriate learning curve, and effectively staff in such a limited period of time and environmental conditions.

(b) Justification.

(1) Minimum Government Requirements.

DCSA and its stakeholders all depend on the daily services currently rendered by the incumbent contractor. A disruption in service, of any length of time, will jeopardize the background investigation mission and national security as it will significantly delay background investigations, which may delay the Government’s ability to fill critical positions (additional information in following sections). .

(2) Proposed sole source contractor.

Due to the aforementioned reasons, the incumbent contractor, NT Concepts, is the only source that can fulfill this requirement without risk of a substantial break in service and support of the mission.

(3) Discussion regarding cause of the sole source situation.

A sole-source action for some length of time would have been necessary due to the performance stay because of the post-award protest and the GAO response being due after the start date of the follow-on contract. The pandemic reality that also made effective transition activities unlikely also dictates the need for a bridge contract.

(4) Impact.

If this justification were not approved, the Government would experience a lapse in service, which is not a viable option. The impact is significant and is detailed below.

NT Concepts is the only vendor that is capable of meeting the Government’s requirement while a performance stay is in effect and during the period when the agency and vendors are learning how to prepare for and complete transition activities during or shortly after the COVID-19 pandemic. Subsequently, transitioning in the midst of the current environment is not possible.

A proper transition is predicted to take 90 days. For that reason, only the incumbent is capable of meeting the Government’s requirements and preventing a lapse in service.

Transitioning between vendors for this effort would require the following at a minimum: new vendor to interview and hire incumbent or new personnel, procure laptops/computers and submit to the Government for configuration, knowledge transfer for incumbent personnel who decline job offer from new vendor, onboard subcontractor(s), coordinate submission of information for personal identity verification (PIV) cards for new personnel, etc. While some of these tasks can be performed virtually, others such as fingerprinting and having a photograph taken for a new PIV card, one-on-one incumbent knowledge transfer, providing new computers/equipment to staff, cannot be done remotely. These in-person interactions violate Federal Government and DoD directions to protect the personal health of personnel and the nation’s public by restricting and reducing as much as possible any requirements for persons to work in close proximity to each other.

Based on the transition requirements, additional costs, and the time needed to conduct a competitive procurement, DCSA concluded that only NT Concepts is capable of meeting the agency’s requirements for continued service.

Again, if this justification is not approved, a lapse in service will occur as the existing contract expires on April 30, 2020. The functions provided under this contract are essential to the overall process of DCSA performing background investigations, a process that continues even during the pandemic. Functions such as screening/scheduling of investigative materials, case file maintenance, imaging/microfilm, pre-review, case assembly, and post-closing/file release would not occur without the support services provided by NT Concepts. The Government risks delaying the processing time of background investigations if there is a lapse in service. The Intelligence Reform and Terrorism Prevention Act (IRTPA) (Public Law 108-458 Dec 17, 2004) requires DCSA to complete “Secret” level cases in 40 days and “Top Secret” level cases in 80 days. As such, any lapse in service would severely jeopardize the background investigation mission and national security. Furthermore, it would undoubtedly reverse the progress DCSA has made toward eliminating the background investigation backlog.

DCSA has made every effort to compete this requirement and avoid the use of another sole source extension. However, the post-award protest coupled with the unprecedented global pandemic of COVID-19 has overshadowed all efforts made to date. Approval of this justification is the only viable option to meet the agency’s mission.

6. FEDBIZOPPS ANNOUNCEMENT/POTENTIAL SOURCES:

A synopsis will be posted in accordance with FAR 5.201(b)(1)(i). Only one source, NT Concepts, will be solicited. Solicitation 243620-19-R-0004 for the follow-on contract was posted on FEDBIZOPPS on February 19, 2019 as a small business set-aside. Six proposals were received. Award was made on January 30, 2020 and a bid protest followed.

7. DETERMINATION OF FAIR AND REASONABLE COST:

During source selection of solicitation number 243620-19-R-0004, a price evaluation was conducted in accordance with FAR 15.404. The awarded contract prices were determined to be reasonable. The proposed cost/prices for the sole-source bridge contract will be compared to the pricing received from CPOC price proposals, the price currently paid for these services, as well as the Independent Government Cost Estimate in order to determine fair and reasonableness.

8. MARKET RESEARCH:

Market research was conducted prior to the issuance of RFP 243620-19-R-0004, which was conducted within the last 15 months. The market research identified potential sources that enabled the follow-on contract to be conducted as an open market small business set-aside.

While there were six offerors on the latest solicitation, market research was not conducted for the immediate action, as the incumbent is the only contractor that can provide the required support during this period as they are the only vendor with the expertise, staff, system knowledge, and more, to support the mission.

9. ANY OTHER SUPPORTING FACTS: N/A

10. LISTING OF INTERESTED SOURCES: N/A

11. ACTIONS THE AGENCY MAY TAKE TO REMOVE OR OVERCOME BARRIERS

THAT LED TO THE EXCEPTION TO FULL AND OPEN COMPETITION.

The initial barrier that led to the immediate need for exception to full and open competition is the bid protest received and the resulting stay of performance. The additional barrier, of the unprecedented global COVID-19 pandemic, added new obstacles to allow for a timely follow-on contract. Upon resolution of these obstacles, both contracted and Federal employees will be allowed to return to federal facilities, thereby allowing a contract transition period to begin.

DCSA anticipates receiving the GAO decision on the CPOC protest no later than May 28, 2020.

This five-month contract extension would then provide for a 90-day transition period (at the task order level) to the CPOC awardee, in the event the protest is dismissed. In the event the protest is sustained, DCSA will re-evaluate all available options to best meet the agency’s mission.

12. REFERENCE TO THE APPROVED ACQUISITION PLAN (AP):

An Acquisition Plan is being concurrently routed through the Acquisition Office along with this J&A.

13. COORDINATION AND APPROVAL

COORDINATION

REQUIREMENTS CERTIFICATION: I certify that the supporting data under my cognizance which are included in the J&A are accurate and complete to the best of my knowledge and belief.

Name: Signature:

Title/Organization: Branch Chief/COR

DCSA-FIRE

Phone: (724) 794-5612

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

Name: Signature:

Title/Organization: Chief of the Contracting Office, Personnel Vetting

DCSA-AQ

Phone: (724) 794-7180

PROCURING ACTIVITY COMPETITION ADVOCATE APPROVAL: I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief.

NAME: Signature:

Title/Organization: Competition Advocate

Phone: (301) 833-1226

APPROVAL

HEAD OF THE CONTRACTING ACTIVITY APPROVAL: I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief. Since this justification for OTFAOC does not exceed this review serves as approval.

NAME: Signature:

Title/Organization: (Acting) Head of the Contracting Activity

Phone: (202) 606-1122