Portfolio Management

Justification for an Exception to Fair Opportunity

This document is a Justification for an Exception to Fair Opportunity (J&A) for a modification to task order HTC71122FD072. The modification seeks to add a twelve-month option period for Portfolio Management Support (PfM) services for CST Corporation (CST). These services are critical for generating impact, optimizing operations, and completing analysis for the development and sustainment of Information Technology (IT) capability investments for the United States Transportation Command (USTRANSCOM) and its components.

• Assistance to Chief Information Officer (CIO), Chief Financial Officer (CFO), and Chief Operations Officer (COO)

• Logistics and transportation analysis

• Capability-based portfolio management

• Management of all USTRANSCOM IT systems, programs, and initiatives (SPIs)

• Support for policy assessment, capability performance assessment, capital planning, electronic governance, Clinger-Cohen Act compliance, investment process governance, compliance performance audits, information systems process improvement, project management, IT strategic planning, technology assessments, and cybersecurity documentation development.

• Organizational Realignment: A recent strategic realignment transferred overarching Mission Area Management responsibilities from the COO to the CFO, requiring a transition period for the CFO to establish new governance workflows.

• Economy and Efficiency: Adding an option period to CST Corporation is deemed necessary in the interest of economy and efficiency, as they are the incumbent and possess the institutional knowledge and personnel for uninterrupted service.

• Risk Mitigation: Introducing a new vendor without adequate transition time risks system failures, data integrity issues, and operational disruptions. This could lead to violations of legal mandates, stalled missions, and degraded command capabilities.

• Criticality of Services: PfM services are essential for USTRANSCOM to meet statutory and regulatory obligations, including Clinger-Cohen Act compliance, cybersecurity reporting, and DoD IT Portfolio Repository (DITPR) reporting. A lapse in these services would also impact capital planning, requirements management, and portfolio optimization.

• Sufficient Time for Competition: The lead time for a competitive procurement of this scope is estimated at 12 months. The current option period is needed to finalize PWS updates, conduct market research, and develop an acquisition strategy, allowing for a proper competitive procurement for the subsequent action.

• The current task order was competitively awarded to CST Corporation as a 100% Service-Disabled Veteran-Owned Small Business (SDVOSB) set-aside.

• The current period of performance includes a one-year base and three one-year options ending September 30, 2026.

• The added option period runs from October 1, 2026, to September 30, 2027.

• The estimated value for the added option period is [value not specified in document].

• The contract includes Firm Fixed Price line items and a Time and Materials line item for travel.

The Contracting Officer will determine price reasonableness through detailed price analysis, comparing CST's proposed price against historical pricing and the Independent Government Cost Estimate (IGCE).

During this option period, USTRANSCOM will finalize PWS updates, develop a stable requirements baseline, conduct comprehensive market research, and initiate a full and open competitive acquisition strategy for the follow-on action.