Redacted JA for Award Notice Posting.pdf

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JUSTIFICATION & APPROVAL (J&A) FOR FEDERAL ACQUISITION

REGULATION (FAR) SUBPART 16.5 ACQUISITIONS

EXCEPTION TO FAIR OPPORTUNITY

Multiple Award Schedule/Multiple Award Contract (MAC)

Orders under MAC/ Fair Opportunity – FAR 16.505(b)(2)(i)(C)

Purchase Request Number: HC109125SD20046 Contract Support System Tracking Number: 622571675 Contract Number: HC102818D0012 Task Order Number: TBD Procurement Title: Defense Information Systems Agency (DISA) Storefront (DSF) Follow-On

Statutory and Regulatory Authority: 10 U.S.C. 3406(c) and FAR 16.505(b)(2)(i)(C)

Exception to Fair Opportunity Number: JA25-052

Upon the basis of the following justification, I, as the Procurement Activity Competition Advocate, hereby approve this exception to fair opportunity pursuant to the authority of FAR 16.505(b)(2)(i)(C).

1. REQUIRING AGENCY AND CONTRACTING OFFICE:

Requiring Agency:

Defense Information Systems Agency (DISA) Services Development (SD) Directorate 2, Program Executive Office Services Business System Program Management Office (SD2) 6910 Cooper Avenue Fort Meade, Maryland 20755

Contracting Office:

DISA

Defense Information Technology Contracting Organization (DITCO) / PS62 6910 Cooper Avenue Fort Meade, Maryland 20755

2. NATURE/DESCRIPTION OF ACTION(S):

JA25-052 Defense Information Systems Agency (DISA) Storefront (DSF) Follow-On, CSS #622571675

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This requirement is to provide mission-critical, business services in support of DISA/SD/SD2.

This Justification and Approval (J&A) supports the action to issue a sole source task order to the incumbent, Indrasoft Incorporated, under DISA’s ENCORE III contract vehicle as a follow-on to Contract HC102818D0012 Order HC104720F6220. This sole source task order is required to best support mission requirements, provide value to the Government, and ensure the continuity of DSF business services. This is a follow-on requirement for DISA/SD/SD2. This procurement will be awarded as a firm-fixed-price task order to the incumbent Indrasoft Incorporated

The period of performance is June 15, 2025, through March 14, 2026, with a 5-month base period, plus a 4-month option period totaling 9-months. Department of Defense Working Capital Funds have been provided via Universal Purchase Requestion number HC109125SD20046. The applicable North American Industry Classification System code is 541512, Computer Systems Design Services, with a size standard of $34 million.

DISA/SD/SD2 planned to transition services from the DSF to the DISA Marketplace (DMP) platform utilizing a phased migration approach, wherein services would be gradually transferred as they became operational. This method would have enabled the seamless transfer of complete service data, ensuring that DISA was aware of the readiness of each service for deployment, and would mitigate potential gaps in service provision. However, DISA/SD/SD2’s original transition plan deviated from the phased migration approach, due to delays in the Business Process Re-engineering efforts that inform DMP development. As a result, DISA’s Business Systems Program Management Office has opted instead to do a lift-and-shift of the existing Telecommunication Service Request (TSR) process into DMP. This change in strategy will require additional DSF support services necessitating this follow-on action. Specifically, DSF will require support services in the event of schedule slips or extended troubleshooting, provide a mirrored database which will be required for 1-3 months after cutover, and decommission the existing DSF system. This forthcoming task order is intended to serve as a continuation of the explicitly defined scope of work associated with DSF, as previously outlined in the following Contract HC102818D0012 Order HC104720F6220 and Contract HC102812D0021 Order

HC102818F0168.

3. DESCRIPTION OF SUPPLIES/SERVICES:

The contractor shall provide operations, maintenance and sustainment support for DISA’s Business Systems Portfolio Management Office (PMO). The contractor shall provide a solution, product consulting, and programming to implement change requests, sustain deployed capabilities in the DSF solutions by rapidly troubleshooting and resolving system and software issues impeding the execution of deployed service ordering capability, provide technical expertise to ensure high availability maximum availability for of the DSF applications to meet support the DISA mission. In addition, the contractor shall receive and respond to problems reported by the users (i.e. correct Tier II incidents). This support shall address issues with the core software components within the DSF solution, as well as the integration components. Also, the contractor shall provide Tier III support during off-duty hours, support cutover and data migration activities by ensuring mirrored database is available and execute decommission activities upon the approved sunset of DSF. The contractor shall focus on sustaining the existing application, system migrations, and reporting capabilities.

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4. SUPPORTING RATIONALE, INCLUDING A DEMONSTRATION THAT THE

PROPOSED CONTRACTOR’S UNIQUE QUALIFICATIONS OR THE NATURE OF

THE ACQUISITION REQUIRES USE OF AN EXCEPTION TO FAIR OPPORTUNITY:

(a) Exception to Fair Opportunity.

In accordance with FAR 16.505(b)(2)(i)(C), “The order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, provided that all awardees were given a fair opportunity to be considered for the original order.”

(b) Justification.

(1) The current DSF program provides critical software sustainment services and expertise in support of DISA Service Catalog, workflow automation, system transactions, and service fulfillment and lifecycle sustainment processes. The contactor possesses institutional knowledge and system expertise of the DSF. During the DSF sunset and transition, the contractor has a unique capacity to provide tailored solutions that address the complex and nuanced requirements of the program, thereby ensuring continuity and seamlessness in the delivery of services. The Legacy DSF order entry capability has been marred by technical challenges, risks, and other technical issues resulting from DSF’s complex code base. These technical challenges resulted in schedule delays and budgeting shortfalls, which ultimately placed the DSF program in jeopardy because key software components leveraged by DSF are now end-of-life (EOL) or will soon be EOL. To expedite technology refresh efforts, DISA amended its strategy to a lift-and-shift of DSF’s legacy TSR process.

A sole source contract to the incumbent for a period of nine months is necessary to facilitate this expedited schedule for cutover, data migration, and sunset legacy DSF capabilities.

(2) Minimum Government requirements. The contractor shall provide software development support for DISA’s Business Systems Program Office in support of DSF. As part of this effort, the contractor shall provide implement change requests, sustain deployed capabilities in the DSF solutions by rapidly troubleshooting and resolving system and software issues. This support shall address issues with the core software components within the DSF solution, as well as the integration components.

In addition, the contractor shall support cutover activities, support data migration activities by ensuring mirrored database is available, authorized, and execute decommission activities upon the approved sunset of DSF.

(3) Proposed sole source contractor and demonstration of economy and efficiency. This requirement has been competed multiple times, and the incumbent contractor, Indrasoft Incorporated, is the most economic and efficient source to perform the required software development work, data migration needs, and decommission activities. As noted above, DSF is a complex program with a number of technical challenges including a complex code base supporting many DISA systems. Using another contractor would cause duplication of cost and unacceptable delay for the

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Government to complete required data migration activities within the short time frame noted. It is to the Government’s benefit to continue utilizing the incumbent contractor to continue the work to allow the Government to successfully and seamlessly transition from DSF to DMP in the nine months of this effort.

(4) Procurement discussion.

These services have been previously acquired. See full procurement history below.

The previous task order Contract HC102818D0012 Order HC104720F6220 was awarded to Indrasoft Incorporated doing business as ECS Federal, LLC on June 14, 2020, under ENCORE III full and open suite. All awardees in the ENCORE III full and open suite were given fair opportunity for the original task order.

(5) Impact.

If this procurement does not get awarded or is not awarded in a timely fashion to avoid a lapse in service, the Government runs the risk of unacceptable downtime for customer services ordering, system failure, and the inability to properly migrate data to the new DMP host environment.

5. COST/PRICE FAIR AND REASONABLE DETERMINATION: A comprehensive examination of the DISA market research repository site, in conjunction with a thorough analysis of the current contract and our own evaluative efforts, has conclusively determined that a sole source approach is the most advantageous method for fulfilling the Government's requirements, considering both pricing and continuity of services. This analysis supports the pricing structures established under the original contract are competitive and equitable.

6. MARKET RESEARCH: Following a thorough examination of market research and a comprehensive assessment of the ongoing requirements for the services, the DISA/SD2 Business Systems PMO has determined that it is in the best interest of the Government to continue utilizing the incumbent vendor. DSF is currently in a sustainment phase and is slated for decommissioning, thereby rendering it essential to maintain continuity of services to avoid disruptions to mission-critical operations. Furthermore, introducing a new vendor or failing to extend the contract for an additional nine months would likely result in significant costs and have a detrimental impact on the ordering capabilities of mission partners, which would be detrimental to the Government's interests.

Based on current market research, dated March 2025, it has been determined that the current services provided under the DSF program must be issued on a sole-source basis in the interest of economy and efficiency. The Government will continue to conduct market research to determine if there are changes in the marketplace that would enable future competitive actions, or it is economically feasible to procure a new system.

7. ANY OTHER SUPPORTING FACTS: None

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

THAT LED TO THE EXCEPTION TO FAIR OPPORTUNITY:

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(a) Procurement history.

The DSF application was deployed in 2014 and replaced the legacy DISA Direct Order Entry system in 2016. DSF employs an Agile development methodology. The DSF application was built using Kinetic Data Request and Task Core Edition software and includes the legacy DSF Support Application, a Government Off-The-Shelf application, which was built using ASP.Net tools. The original DSF support was part of a task order under the Global Solutions Management – Operations (GSM-O) contract. GSM-O is single award Indefinite Delivery, Indefinite Quantity, and Leidos Innovations Corporation is the prime contractor.

Contract number: HC102812D0021 Order HC102818F0168 Contract period of performance: January 19, 2018 - January 18, 2020 Contractor name: Leidos Innovations Corporation (CAGE 7LQ18) Contractor business size: Other than Small Business

In 2020, the DSF contract was recompeted on the ENCORE III Full and Open suite.

Contract number: HC102818D0012 Order HC104720F6220 Contract period of performance: June 15, 2020 - June 14, 2025 Contractor name: Indrasoft Inc. doing business as ECS Federal

(CAGE 3MLA4)

Contractor business size: Other than Small Business

(b) Sustainment requirements for follow-on contract to the current is anticipated to be re-competed. The Government will further analyze other alternative approaches, and competition will be a deciding factor in any future follow-on efforts. Other alternatives will be evaluated, and the Government will take every step possible to promote a competitive environment at that time. Qualified vendors will be evaluated for the sustainment of the DSF Portal.

(c) No prior award was accomplished with the need for an exception to fair opportunity, limited-sources, and/or exception to full and open competition justification.

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ALL QUESTIONS REGARDING THIS JUSTIFICATION ARE TO BE REFERRED TO

Libby Bono, Contract Specialist, elizabeth.a.bono.civ@mail.mil, (667) 890-5174 Sarah K. Mouton, Contracting Officer, sarah.k.mouton.civ@mail.mil, (667) 891-4275