sole_source_justification_wearables_18_ May_21_readacted_Redacted.pdf

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

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April 2 2 Controlled Unclassified Information Page 3 of 5April 2021 Controlled Unclassified Information Page 3 of 5 operable decision support tools that allow commanders to rapidly tailor COVID-19 response in order to . One critical capability within this suite is biometric wearable technology, which can be met within less than a week by Oura in the expansion of IOC at the 16th AF. Oura was selected as solution to move forward due to its interoperability with the , previous history of successful deployment at JBSA, and affordability within the PCMS budget. While two solutions have previously met this requirement (Oura and under Sole Source Justification dated January 2021, it was determined after requests for a Rough Order of Magnitude (ROM) from Oura and that Oura can provide the adequate number of units required for 16th AF expansion within the remaining budget of the PCMS program and within the desired time frame.

Since the beginning of the COVID-19 Pandemic Oura has been doing internal research and development of their unique algorithms to better identify customers with COVID-19 or Influenza like illnesses (ILI). Each device produces data that identifies four (4) major areas of focus to help early identification;

Additionally, Oura has the ability to integrate the data produced by their unique devices into a dashboard or to integrate into a 3rd party platform, as is the case with PCMS. Finally, Oura has the stock available to deliver these devices within days of award to rapidly field the PCMS Biometric Wearable capability.

The Government negotiated price for this solution is $867,000.00. A breakout is a follows:

Oura ring -

The statutory authority permitting other than full and open competition is 10 U.S.C. 2304a, Special Emergency Procurement Authority

Pursuant to the authority cited in Section IV above, the following two subsections will address the elements that justify use of this authority. Unusual and Compelling Urgency IAW FAR 6.302-2(a)(2), full and open competition need not be provided for when the agency's need for the supplies or services is of such an unusual and compelling urgency the Government would be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or proposals, full and open competition need not be provided. The COVID pandemic currently has 145.6M confirmed cases world-wide which have resulted in 3.1M deaths. In addition, COVID-19 has had massive impacts to the United States and global economy. US Gross Domestic Product (GDP) has shrunk 32.9% in the 3rd quarter of 2020. To put that number into perspective, the largest decline experienced during the Great Recession was 8.4% and the largest decline in history was 10% in 1958. As of April 2021 reporting, the US unemployment rate is 6%. According to the Bureau of Labor Statistics monthly job report, the US has lost more than 40 million jobs primarily due to COVID impacts.

On 13 Mar 2020, the President declared a national emergency, under section 501 (b) of the Stafford Disaster Relief and Emergency Assistance Act 42 USC 512 J-5207 (the "Stafford Act"), recognizing

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

April 2 2 Controlled Unclassified Information Page 4 of 5April 2021 Controlled Unclassified Information Page 4 of 5 the threat the novel coronavirus, known as SARS-CoV-2, poses to national security. On 25 Mar 2020, Under Secretary of Defense for Acquisition and Sustainment Ms. Ellen Lord established the COVID-19 Joint Acquisition Task Force (JATF). Led by the Principal Deputy Assistant Secretary of Defense, Ms. Stacy Cummings, the JATF team includes acquisition professionals from multiple DoD Agencies, and is synchronizing and supporting acquisition execution to combat the COVID-19 pandemic. JATF is supporting the Federal Emergency Management Agency (FEMA) and the Department of Health and Human Services (DHHS) in the fight against COVID-19.

AFNWC/PZHN and AFWERX has been tasked to support the Joint Surgeon General in the fight against COVID-19 by providing the minimum amount of units to launch a pilot program to support the PCMS within 60 days of award, however due to funding constraints the program was not stood up until January 2021. PCMS is a set of five (5) programs to automate symptom

, biometric wearables, and to assist the DoD in enhancing and providing a

. The Government reviewed multiple sources for biometric wearables for commercial availability and ability to deploy to operational units. After market research Oura was one of two contractors selected for their ability to integrate their data into the PCMS suite and deliver their devices in a rapid fashion. In their first deployment, Oura deployed within the required timeline, and due to urgency for additional devices Oura is properly postured to deliver in under a week as required.

The Government conducted market research in November 2020 for biometric wearable devices. The PCMS team received 23 responses from interested vendors, with five contractors receiving one on one sessions for follow up discussions on their solutions. While the Government has identified Oura as one of two contractors for availability for the urgent IOC environment, additional competition will be met for FOC around 4th Quarter FY21 or 1st Quarter FY22.

The costs of the Oura devices were determined to be fair & reasonable under this PO utilizing price analysis techniques. Oura has commercially available pricing catalogs and purchase history within the USAF that was provided as part of the quotation.

The PCMS contracting team released a request for information (RFI) in Nov 2020 to find commercially available solutions for biometric wearables. This RFI asked interested parties if they could answer a number of questions pertaining to meeting the UON required 60 day or less deadline, interoperability with 3rd party devices, ability to integrate into a 3rd party database, ability to operate in a SCIF environment, and any current efforts they've employed with the Government. The Government received 23 responses from industry, with a mix of small & large businesses that utilize existing commercial capabilities or are prototyping their own solutions. A review of the responses by the PCMS team and AF Surgeon Generals Office concluded that while many commercially available options can meet the requirement in a non-urgent environment, Oura offers the Government a turnkey

Sole Source (Including Brand Name) Justification - Simplified Procedures for Certain Commercial Items

April 2 2 Controlled Unclassified Information Page 5 of 5April 2021 Controlled Unclassified Information Page 5 of 5 solution that has been vetted and peer reviewed. These contracts will serve as additional vehicles for expanding the fielding of IOC, however market research has concluded that a competition is in the Governments best interest for FOC in 4th Quarter FY21 or 1st Quarter FY22.

, Ouraring, Every source listed above required additional lead time for production or at the time of RFI response were still in the R&D phase of their solution. Oura were the two solutions selected to move forward with the base award for IOC in January 2021, however under this effort Oura ring is the only offeror solicited due to the justification listed in Section III of this document.

Based on market research the Government anticipates competitive procedures will be used for biotech wearable requirements during full operating capability (FOC) for up to USAF locations. However, the Contracting Officer shall reassess prior to FOC if Oura devices are the only solution with the ability to work for the PCMS platform, or if the Government can continue down a path of competition for multiple open source solutions.