JEFO.pdf

DEPARTMENT OF DEFENSE

WASHINGTON HEADQUARTERS SERVICES

1155 DEFENSE PENTAGON

WASHINGTON, DC 20301-1155

ATTACHMENT D

WHS-2024-1474

JUSTIFICATION FOR EXCEPTION TO FAIR OPPORTUNITY

UNDER FEDERAL ACQUISITION REGULATION SUBPART 16.5

1. AGENCY AND CONTRACTING ACTIVITY: The Department of Defense (DoD) Washington Headquarters Services, Acquisition Directorate (WHS/AD).

2. DESCRIPTION OF ACTION: WHS/AD, on behalf of DoD Office of Strategic Capital (OSC), intends to pursue a direct award delivery order under the National Aeronautics and Space Administration (NASA) Solutions for Enterprise-Wide Procurement (SEWP) V Government-Wide Acquisition Contract (GWAC), NNG15SD10B, for the brand name PitchBook Software Licenses (“Standard PitchBook License"). Use of these software licenses are essential to the OSC’s requirements, thereby precluding consideration of a product manufactured by another company. The delivery order will be issued to Better Direct, LLC (Unique Entity Identification (UEI): J6EEK881G8H7), at PO Box 7430, Tempe, AZ 85281-0015. Under the NASA SEWP V GWAC, Better Direct, LLC is a Historically Underutilized Business Zone (HUBZone) Program Small Business and a Service-Disabled Veteran-Owned Small Business (SDVOSB). Additionally, WHS/AD verified Better Direct, LLC’s business size registration in the System for Award Management (SAM), which confirmed their HUBZone and SDVOSB registrations.

The purchase of PitchBook Software Licenses is essential to satisfaction of the OSC's requirements and other companies' similar products cannot meet or be modified to meet the agency's need. OSC requires this software to support collaboration and risk management efforts necessary for the proper operation, particularly with respect to the DoD Loan Program and OSC’s internal Strategy team. The United States Air Force and United States Navy both rely upon PitchBook to complete similar necessary highly specialized market analyses, and without PitchBook Software Licenses, the OSC would be left with development of a bespoke noncommercial system to provide similar analyses.

Not only would the quality likely lag, the OSC would be unable to successfully launch the DoD Loan Program within current established cost and schedule limitations, and OSC would be failing to adhere to the requirements of Federal Acquisition Streamlining Act of 1994 (FASA), which sought to improve acquisition by reducing unique purchasing requirements, increasing the use of simplified acquisition procedures, and obtaining goods and services faster in order to reduce the in-house cost of doing business. The selected procurement strategy fully complies with the FASA by procuring this commercial product exists that satisfies the agency’s requirements using simplified procedures, removing unique quote requirements and speeding up the time needed to complete the award.

Market Research Request, #319730, was posted to the Solutions for Enterprise-Wide Procurement (SEWP) V Government-Wide Acquisition Contract (GWAC) holders on August 7, with responses due on August 14. The request went to all contract holders listed in Category B: (1) Group B-SDVOSB set aside, (2) Group B-HUBZone Program Small Business set aside, (3) Group C-Small Business (SB) set aside and (4) Group D-full and open competition. The NASA SEWP V GWACs require orders to be award by both Category and Group as follows:

Category A (Computer Systems/Servers) – North American Industry Classification System (NAICS) Code:

334111 o Group A:

Computer Based Systems (Full and Open Competition) This Group will include hardware systems and peripherals, software and software licenses, and hardware and software maintenance services including analyst support.

Category B (Complementary Products) – NAICS 541519 o Group B:

Mass Storage Devices (SDVOSB Set-Aside) Mass Storage Devices (HUBZone Small Business Set-Aside) This group consists of storage devices; e.g. Hard disks and removable media systems which can be used by any of the computer systems in Category A along with virtual storage systems (i.e. cloud computing).

o Group C:

Server Support Devices / Multi-Functional Devices (Small Business (SB) Set-Aside) This group includes Input and Output peripherals and other equipment that support and complement the full implementation of computer systems.

o Group D:

Networking / Security / Video and Conference Tools (Full and Open Competition) This group consists of a range of network equipment in support of the full implementation of computer systems in the NASA network environment.

Only one contract holder, Better Direct, LLC (Business Designation: HUBZone, SDVOSB and Veteran-Owned Small Business (VOSB)), responded with the ability to meet OSC's requirements under Group B-HUBZone, and Group C-

SB.

Five companies provided no bid responses as well: (1) Advanced Computer Concepts, Inc., Business Designation:

Woman-Owned Small Business (WOSB) responded with no bid and no additional explanation; (2) BahFed Corp, Business Designation: HUBZone and VOSB, responded with no bid, stating they did not get pricing back from the manufacturer; (3) GovConnection, Inc. dba Connection Public Sector Solutions, Business Designation: Other Than Small Business (OTSB), responded with no bid, stating they were not able to provide a response because: More time was needed; Price and availability issues; or The requested product is not currently one carried or provided by them;

(4) Northern Technologies Group, Inc., Business Designation: Economically Disadvantaged WOSB (EDWOSB) and WOSB responded with no bid and no additional explanation; and (5) World Wide Technologies, LLC, Business Designation: OTSB responded with no bid and no additional explanation.

Research on NASA SEWP also identified three PitchBook providers: (1) BahFed Corp, (2) Better Direct, LLC, and

(3) Regan Technologies Corporation (Business Designation: SDVOSB and VOSB). The Contracting Officer contacted the manufacturer, PitchBook Data, Inc., to confirm whether or not the identified NASA SEWP providers were authorized resellers and was notified PitchBook Data, Inc. did not have any authorized resellers but they intended to authorize Better Direct, LLC for the purposes of this requirement since Better Direct, LLC previously contacted them in order to respond to WHS/AD’s Market Research Request (#319730).

Accordingly, Better Direct, LLC is the only source capable of satisfying OSC’s requirement to provide the PitchBook Software Licenses and associated annual software maintenance. The delivery order will be Firm-Fixed-Price (FFP), with a one-year base period and four one-year option periods of performance. The total estimated value is $2,443,493.17 for the base period and all options, with the base period estimated at $46,870.10, which will be funded with Fiscal Year (FY) 2024 Operations & Maintenance funds.

3. DESCRIPTION OF SUPPLIES/SERVICES: PitchBook Desktop provides industry-leading data and insights on opaque global capital markets. PitchBook Desktop includes more than 120,000 unique market size estimates across 30,000 markets and does so with a suite of the most versatile financial analysis tools available. PitchBook’s Institutional Research Group provides differentiated insight that helps its clients better navigate and capitalize on opportunities and advise their own stakeholders. PitchBook Desktop software provides access to data and the analytical tools needed to get answers fast, discover promising opportunities, and manage risk. The PitchBook Desktop software provides advanced search tools capable of forwarding millions of data points, and brings insights to life through data visualization. PitchBook Desktop provides actionable intelligence for more than three million public and private companies, allowing OSC personnel to quickly and efficiently understand a company’s history, growth potential, and position in their market.

Performance Periods Performance Period Dates PitchBook Software Licenses Quantity Amount Base Period 12 months from award Standard PitchBook License 5 0 Option Period 1 12 months from option exercise Standard PitchBook License 59 8 Option Period 2 12 months from option exercise Standard PitchBook License 59 Option Period 3 12 months from option exercise Standard PitchBook License 59 Option Period 4 12 months from option exercise Standard PitchBook License 59

Base Period and all Option Periods $17

The contract will include language allowing OSC to increase the quantity of licenses purchased for the base period, up to 59 total licenses, and will include Federal Acquisition Regulation (FAR) clause 52.217-6 Option for Increased Quantity, if the need arises during the base period.

4. EXCEPTION TO THE FAIR OPPOURTINTY: FAR 16.505(b)(2)(i), provides the Exceptions to the fair opportunity process, stating the Contracting Officer shall give every awardee a fair opportunity to be considered for a delivery order or task order exceeding the micro-purchase threshold unless one of the following statutory exceptions applies. The statutory exception identified in FAR 16.505(b)(2)(i)(G) provides for only one responsible source and no other supplies or services will satisfy agency requirements for the brand-name.

5. FAIR AND REASONABLE DETERMINATION: The NASA SEWP contracts are commercial contracts, awarded using full and open competitive processes, with formal Source Evaluation Board (SEB) procedures. The solicitations were comprised of one set of terms and conditions, one set of proposal instructions and evaluation criteria, and multiple sets of specifications for Information Technology (IT) developed around the core competencies of multiple classes of IT equipment/products. Each class of IT equipment was evaluated as a separate requirement and competition. At the conclusion of evaluations, NASA SEWP awarded multiple GWACs to multiple prime contract holders (both manufacturers and authorized resellers of IT equipment/products) based on full and open competition.

NASA SEWP’s price analysis was conducted in accordance with FAR 15.402(a)(1), to ensure that a “fair and reasonable” price is paid by the Government. The price design for NASA SEWPs GWACs is a proposed discount off the offeror’s commercial list price.

Additionally, although the NASA SEWP V GWAC prices were found fair and reasonable by the awarding Contracting Officer, the WHS/AD Contracting Officer intends to conduct an independent price analysis using the techniques identified in FAR 15.404-1(b)(2). More specifically, the Contracting Officer intends on utilizing FAR 15.404- 1(b)(2)(iv), comparison with competitive published price lists, published market prices of commodities, similar indexes, and discount or rebate arrangements; FAR 15.404-1(b)(2)(v), comparison of proposed prices with independent Government cost estimates; and/or FAR 15.404-1(b)(2)(vi), comparison of proposed prices with prices obtained through market research for the same or similar items. The Contracting Officer also intends on requesting discounted prices, and is confident in obtaining the best value for OSC.

6. ANY OTHER FACTS SUPPORTING THE JUSTIFICATION: No other sources have expressed, in writing, an interest in the acquisition beyond what was identified during market research and explained in section 1 above.

There is no additional information to document that has not already been articulated within this justification document.

7. ACTIONS TO REMOVE OR OVERCOME ANY BARRIERS THAT OVERCOME ANY BARRIERS

THAT LEAD TO THE EXCEPTION TO FAIR OPPORTUNITY BEFORE ANY SUBSEQUENT

ACQUISITION FOR THE SUPPLIES OR SERVICES IS MADE: WHS/AD and OSC will continue to evaluate the market to survey whether new and emerging technologies can be used.

8. FAIR OPPORTUNITY PROCESS: If this acquisition is for new work as a logical follow-on to an order already issued under the contract, was the original order was placed under the fair opportunity process?

Yes, all awardees were given a fair opportunity to be considered for the original order.

No, a copy of the previous justification is attached. The actions to remove any barriers to competition cited on the previous justification were were not completed.

Not Applicable. This is a new requirement.

CERTIFICATION. I, hereby, certify that the supporting data under my cognizance included in this justification are accurate and complete to the best of my knowledge and belief.

APPROVAL. This justification is approved.