W9124J-17-R-SVTC_Cisco_ETFOJ,_28_Oct_16_Redacted.pdf

Control No: Sam Houston 2017-1 Program/Equipment: Cisco Codex/Multipoint Control Units

JUSTIFICATION REVIEW DOCUMENT

FAR PART 16 EXCEPTION TO FAIR OPPORTUNITY JUSTIFICATION

For Actions Exceeding the Simplified Acquisition Threshold (SAT)

Program/Equipment: This is a request from the U.S. Army Medical Command (MEDCOM), Office of the Surgeon General, Health Operations Center to procure Cisco codex kits, multipoint control units and extended service plans to upgrade/replace their existing secure/non-secure video teleconferencing system infrastructure.

Authority: 41 U.S.C. 3304(a)(5) as implemented by FAR 16.505(a)(4) – Restricting consideration to an item peculiar to one manufacturer (e.g., a particular brand-name, product, or a feature of a product that is peculiar to one manufacturer).

Amount: $470,000.00

Prepared by:

Contracting Officer: Angelic M. Hatcher Contracting Officer

Technical/Requirement:

Reviews: I have reviewed this justification and find it adequate to support an exception to fair opportunity.

U.S. Army Medical Command, Health Care Operations-G-33

Date: See Electronic Signature

Local Small Business Specialist

MICC Legal Counsel

FAR Part 16 Exception to Fair Opportunity Justification Under Multiple Award Indefinite Delivery Contracts

For Actions Exceeding the Simplified Acquisition Threshold (SAT)

1. Contracting Activity: Mission and Installation Contracting Command - Fort Sam Houston, 2205 Infantry Post Road, Fort Sam Houston, TX 78234

2. Description of Action:

a. The U.S. Army Medical Command (MEDCOM) Office of the Surgeon General, Health Care Operations Center, 7700 Arlington Blvd, Falls Church, VA 22042 requests a firm-fixed-price contract for the procurement of an upgraded secure/non-secure video teleconferencing (VTC) systems, which includes several brand name only Cisco manufactured products/components, such as Codex kits, Multipoint Control Units, and Extended Services plans. The total solution will be solicited/acquired via the Computer Hardware, Enterprise Software & Solutions (CHESS) Information Technology Enterprise Solutions 3-Hardware (ITES-3H) contract vehicles. This VTC system will replace the existing VTC system that is no longer functional and in need of immediate replacement.

The Government projects award for November 2016 and will use fiscal year 2017 OMA funding.

b. The Department of the Army mandates the use of the (CHESS) suite of contracts to obtain all information technology (IT) equipment regardless of dollar amount. The CHESS enterprise solutions consist of various multiple award contract suites applicable to different categories of IT equipment. The ITES-3H suite is applicable to this requirement with many providers awarded contracts.

c. An acquisition plan is not required because this procurement does not meet the threshold at Defense Federal Acquisition Regulation Supplement 207.103(d)(i)(B).

2. Description of Supplies or Services: The U.S. Army MEDCOM Health Care Operations Center Training Command required an upgrade/replacement of their current VTC system, which encompasses three (3) conference rooms and two (2) associate offices, as this system is no longer functional and is in need of immediate replacement.

As a part of this upgrade/replacement process, the customer has indicated several “Cisco” brand items are essential to the replacement project and are identified below:

These “Cisco” brand items comprise only four (4) Contract Line Items of the entire requirement which currently consists of 36 Contract Line Items and over 390 individual items. The total estimated cost of the entire requirement is $890,332.30. The required delivery date is 30 days after date of contract (ADC).

QTY Description Unit Cost Extended

Cost

10 Cisco SX80 Codec Kit, $17,000.00 $170,000.00

10 Cisco ZCare Premier 24X7XNBD Cisco SX80

Codex Kit-3 years, $4,000.00 $40,000.00

2 Cisco TelePresence MCU 5320 (up to 40 SD ports)

$40,000.00 $80,000.00

20 Cisco MCU 5300 Series Upgrade for 1 Full HD/2

HD/4 SD

$9,000.00 $180,000.00

Total: $470,000.00

The total estimated value for the quantity of items listed above is $470,000.00.

4. Authority: 41 U.S.C. 3304(a)(5) as implemented by FAR 16.505(a)(4) – Restricting consideration to an item peculiar to one manufacturer (e.g., a particular brand-name, product, or a feature of a product that is peculiar to one manufacturer).

5. Rationale/explanation to support cited authority: In accordance with FAR 16.505(a)(4) and DFARS 216.505-70(b), the particular brand name product is essential to the Government’s requirements, and market research indicates other companies’ similar products, or products lacking particular features, do not meet, or cannot be modified to meet the agency’s needs without substantial duplication of costs and unacceptable delays. Market research indicates that several vendors on the CHESS / ITES-3H contracts offering Cisco products. The MEDCOM Health Care Operations Center’s network has been configured and accredited by the Defense Health Agency to utilize Cisco products. The acquisition of Cisco products will ensure full compatibility with the current network settings. Obtaining other than Cisco products could potentially cause compatibility issues which would result in increased downtime or additional costs in troubleshooting and repair. As such, the brand name product is essential to the Government’s requirements as similar products, or products lacking particular features, do not meet, or cannot be modified to meet the agency’s needs without potential setbacks.

6. Actions to Increase Competition: As long as the MEDCOM’s Health Care Operations Center’s network is configured and accredited for the Cisco products, the potential to incorporate another brand name product (i.e.: Polycom) will be difficult as the tendency will be to focus on Cisco products to preclude potential compatibility issues. It should be noted that while brand name “Cisco” products are requested/required, they are common products being sold by multiple vendors in the commercial marketplace.

7. Market Research: Army Regulation 21-1, Army Knowledge Management and Information Technology Management, CHESS (formally ASCP) is the “primary source” for commercial IT contracts valued at $25,000 and above. The RFQ will be posted on the Army CHESS website allowing all applicable VTC/computer hardware vendors an opportunity to bid. Adequate competition and competitive prices will be obtained via Army CHESS. Market research conducted in October 2016 has shown that there are multiple CHESS ITES-3H vendors capable of delivering these products.

8. Any other facts supporting the justification: Not applicable

9. Technical / Requirements Certification: I certify that the supporting data under my cognizance which is included in this limited sources justification is accurate and complete to the best of my knowledge and belief.

10. Fair and Reasonable Price Determination/Approval: As contracting officer, I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable. The techniques identified at FAR 15.404-1(b) will be used to ensure award will be at a fair and reasonable price. Pursuant to FAR 15.403-1(b)(3), certified cost or pricing data will not be required as this acquisition meets the definition of a commercial item as defined in FAR 2.101.

Angelic M. Hatcher

Based on the foregoing justification, I hereby approve the procurement of Cisco products identified in paragraph 2, using an exception to fair opportunity pursuant to the authority 41 U.S.C 3304(a)(5) as implemented by FAR 16.505(a)(4) – Restricting consideration to an item peculiar to one manufacturer (e.g., a particular brand-name, product, or a feature of a product that is peculiar to one manufacture), subject to availability of funds, and provided that the services or supplies herein described have otherwise been authorized for acquisition.

Angelic M. Hatcher

U.S. Army Mission and Installation Contracting Command, Fort Sam Houston