SF 1014 - JEFO zPRO Software License SA Signed.pdf

DEPARTMENT OF THE TREASURY

SF 1014 - JUSTIFICATION FOR AN EXCEPTION

TO FAIR OPPORTUNITY

Treasury Standard Form – 1014 (Rev 5/18)

Prescribed by Treasury: DTAP 1016.505

Tracking No.

1. Identification of the requiring activity and the contracting activity:

The requiring activity is the Enterprise Operations, Enterprise Service Division, z/Linux Security Services Branch and the IRS Office of Procurement.

2.a Nature and/or description of the action being approved:

The purpose of this action is to obtain approval to award a firm fixed price contract with Velocity Inc. for the continued maintenance of one (1) zPRO Software License for 2020. The original purchase date for this item was June 2019. The period of performance will be one year from award.

2.b Name of the vendor. Velocity Software, Inc 2.c Requisition No.: 5000092157 2.d Bridge contract: ☐ Yes ☒ No 2.e Brand name: ☒ Yes ☐ No 3.a A description of the supplies or services required to meet the agency’s needs:

The zPRO software will provide automated administrative tasks for growing number of Internal Revenue Service (IRS) projects, including the Solaris to Linux Migration Initiative and the HSA/GDPS Stand Up in the linux environments on Z within a relatively short timeframe.

The increasing demand for new linux environments on Z workload is growing beyond the capacity of the limited manual processes available inhouse, and risks delay of critical project timelines.

3.b Includes IT: ☒ Yes ☐ Non NAICS: 541511 PSC: D399 3.c IGCE/Estimated dollar value:

The IGCE is $50,000.00 inclusive of one twelve-month period.

4.a Identification of the exception to fair opportunity being used:

☐ FAR 16.505(b)(2)(i)(A) – The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays.

☒ FAR 16.505(b)(2)(i)(B) – Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

☐ 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 ☐ FAR 16.505(b)(2)(i)(D) – It is necessary to place an order to satisfy a minimum guarantee.

☐ FAR 16.505(b)(2)(i)(E) – For orders exceeding the simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source.

☐ FAR 16.505(a)(4) – The requirement is for an item peculiar to one manufacturer.

4.b Supporting rationale:

i. The IRS is currently using Velocity zVPS software to monitor capacity and performance of the z/VM operating system and Linux environments in support of SACS/CAPS and the Solaris to Linux Migration initiative. IBM owns the System z and Velocity is the only authorized reseller. Furthermore, Velocity is the only vendor who supports z/VM and Linux on System . A sole source letter is attached.

5. A determination that the anticipated cost to the Government will be fair and reasonable:

As this is sole source requirement, the price will be compared to the previous year’s rates along with including CPI calculations.

6.a Any other facts supporting this justification:

Oliver Simms, Program and Management Specialist, reviewed the Acquisition Gateway and OPE’s Treasury Mandatory portal. The only vendor who supports z/VM and Linux on System z is Velocity which is the only vendor for products that integrate seamlessly with the z/VM and Linux on System z’s need for automated Administrative Task functions.

6.b Attachments: ☒ Yes ☐ No

7. A statement of the actions, if any, the Requiring Activity and Contracting Activity may take to remove or overcome any barriers that led to the exception to fair opportunity before any subsequent acquisition for the supplies and services is made:

The IRS will continue to investigate the market place for the best breed data integration solutions for the IRS enterprise. New software, when purchased, will be COTS products wherever possible so that maintenance can be performed by multiple vendors. In addition, the IRS will continue to conduct market research and solicit multiple quotations for the purchase of products and for maintenance of the current environment to ensure that if competition is available, every opportunity will be taken to ensure that multiple quotations will be received and evaluated.

8. Certifications and Approvals:

8.a Program Office Certification (Requiring Activity). I hereby certify that any supporting information and data provided (e.g., the Government’s minimum needs or requirements, or other rationale for the limited sources) and which form the basis for this justification for an exception to fair opportunity, are accurate and complete to the best of my knowledge and belief.

Name: Date:

Signature:

8.b Contracting Officer Certification and Approval. I certify this justification for an exception to fair opportunity is accurate and complete to the best of my knowledge and belief.

Therefore, unless additional approvals are required as prescribed below, as the authorized contracting officer for this acquisition, I hereby approve the processing of this requirement based on the authority specified in 4.a above.

Name: Summer Autry Date:06/02/2020

Signature:

6. Additional Reviews and Approvals (As applicable):

9.a Bureau Chief Information Officer or Authorized Designee (for IT requirements that are over $5 million, but not exceeding $68 million) (Contracting Activity). I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief, and representative of the Government’s need. Therefore, I hereby consent to the approval of this justification. (Note: The Bureau CIO may delegate their authority for proposed contracts over $5 million, but not exceeding $13.5 million to the Associate Bureau CIO(s).)

Name: Date:

Signature:

9.b Advocate for Competition (if over $700,000, but not exceeding $13.5 million) (Contracting Activity). I have reviewed this justification for an exception to fair opportunity and find it to be accurate and complete to the best of my knowledge and belief. Therefore, unless additional approvals are required as prescribed below, as the ordering activity’s Advocate for competition, I hereby approve this justification based on the authority specified in 4.a above.

Name: Date:

Signature:

9.c Head of the Procuring Activity or Authorized Designee (if over $13.5 million, but not exceeding $68 million) (Contracting Activity). I have reviewed this justification for an exception to fair opportunity and find it to be accurate and complete to the best of my knowledge and belief. Therefore, unless additional approvals are required as prescribed below, as the head of the procuring activity or authorized designee, I hereby approve this justification based on the authority specified in 4.a above.

Name: Date:

Signature:

9.d Treasury Chief Information Officer (for IT requirements that are over $68 million). I have reviewed this justification and find it to be accurate and complete to the best of my knowledge and belief, and representative of the Government’s need. Therefore, I hereby consent to the approval of this justification.

Name: Date:

Signature:

9.e Senior Procurement Executive (if over $68 million) (Contracting Activity). I have reviewed this justification for an exception to fair opportunity and find it to be accurate and complete to the best of my knowledge and belief. Therefore, as the senior procurement executive, I hereby approve this justification based on the authority specified in 4.a above.

Name: Date:

Signature: