202125_JA Other Than Full and Open Competition_Mission Essential_Redacted.pdf

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN

COMPETITION

Acquisition Title: Mission Essential Function Scenario Planning & Response Agency: Centers for Medicare & Medicaid Services (CMS) Acquisition Year: 2020 Author:

2. Description of Action:

Nature

____ New Requirement __x__ Follow-On Order ____ Modification of Existing Contract Number

Contract Type __x__ Firm-Fixed Price ____ Time and Materials ____ Cost Plus Fixed Fee (CPFF)

• ____ Term

• ____ Completion

____ Cost Plus Award Fee (CPAF) ____ Other: ___________

Projected Cost / Price of contract (Base & All Options): $10,000,000 The total estimated value of the proposed sole source action (for modifications only):

Funding Source (s): Annual Appropriations - Program Operations

____: Basis for Approval (Far 6.303-1(d)

__x__: Individual Basis

____: Class Basis

Name of Proposed Contractor(s): The Boston Consulting Group, Inc Street Address: 4800 Hampden Lane City, State, Zip: Bethesda, MD 20814-2938

3. Description of Services or Supplies:

The purpose of the logical follow-on contract is to provide the Centers for Medicare & Medicaid Services (CMS) with support to develop, plan, and perform risk-based scenario planning and response exercises that assess and mitigate potential program and operational risks associated with performing mission essential functions while responding to the COVID-19 pandemic. The current task order, GS-10F-0253V/75FCMC20F0029, was awarded as a sole source award in accordance with FAR 8.405-6 Urgent & Compelling and has a period of performance of March 24, 2020 through September 23, 2020. The contract will support CMS/OA to identify, define and prioritize scenarios with the COVID-19 workgroup. These scenarios will focus on the potential for negative risks associated with vulnerabilities or weaknesses that may arise while trying to execute on mission essential functions while responding to the COVID-19 pandemic.

In addition, the contractor will support prioritization of outcomes, mitigation planning and execution, and organizing responses from stakeholders.

The services to be provided will be for a six (6) month base period and one (1) six (6) month option period. The tentative period of performance is as follows:

• Base Period: September 30, 2020 – March 29, 2021

• Option Period: March 30, 2021 – September 29, 2021

4. Authority and Rationale:

Identify the statutory authority, FAR title and FAR citation permitting other than full and open competition. It may be one of the following most commonly used citations by the operating divisions of the Department of Health and Human Services (HHS), but other exceptions may apply per FAR Subpart 6.3.

Actions other than simplified acquisition procedures (select only one and provide an explanation):

___x__: FAR 6.302-1: Only one responsible source and no other supplies or services will satisfy agency requirements, 41 U.S.C. 253(c)(1)

The unprecedented nature of this COVID-19 pandemic and the potential further disruption necessitate an agency-wide response effort to update and execute existing response mechanisms, and to design new interventions to meet these challenges. Boston Consulting Group (BCG) is uniquely positioned to begin this urgent work immediately. BCG has extensive experience at CMS supporting strategic initiatives within the Office of the Administrator over the last year and a half. Most recently, within the past six months BCG has stood up the initial pandemic response and risk management efforts and worked with CMS in the evolution of the public health emergency in order to deploy support against the most critical needs of the agency. Over this time BCG has gained a thorough understanding of CMS strategic priorities, operations and has successfully delivered complex services within CMS’ portfolio of work and response to the COVID-19 pandemic. It is essential to utilize and leverage BCG’s deep understanding of interdependencies to ensure any changes are well targeted and minimize disruption to overall agency effectiveness during this critical time. The expertise that BCG is currently providing is invaluable to the Agency and vital to ensuring the success and thoughtful evolution to the Agency’s COVID-19 pandemic response and risk management efforts. Transitioning this requirement to a new contractor at this time and getting them up to speed would cause CMS to incur both increased cost and time impacts, especially considering the short period of performance.

___: FAR 6.302-2: Unusual and compelling urgency, 41 U.S.C.253(c)(2) ___: FAR 6.302-5: Authorized or Required by Statute, 41 U.S.C.253(c)(5) ____: Other (See FAR Subpart 6.3 for additional authority):

5. Bridge Contracts: N/A

6. Actions to Increase Competition:

As this contract is in response to the COVID-19 pandemic we do not anticipate future requirements, but if a similar requirement arises, every effort will be made to compete it to the maximum extent possible.

7. Market Research:

The Program Office reviewed the use of GSA Schedules, CMS IDIQs and BPAs, specifically the CMS Enterprise Operations BPA and determined that while any of the BPA holders may conceivably perform the required work, the acquisition team believe the time and effort needed to transition from the incumbent contractor to any follow on contractor, no matter how capable and willing, would create a significant cost and performance risk. That risk would reasonably result in no contractor, other than the incumbent, being determined the best value were a competition conducted to procure the required support.

8. Procurement History:

Purchase order or contract number: GS-10F-0253V/75FCMC20F0029 Was Action Competed? ____Yes __x__ No

If action was not competed, state the cited authority, summarize rationale, and describe the actions that were supposed to be taken to increase competition and the results thereof:

The previous task order was awarded as a sole-source under the COVID -19 Class Justification for Other Than Full and Open Competition from the Health & Human Services/ Office of the Secretary/Assistant Secretary for Financial Resources/Office of Acquisition in accordance with FAR 8.405-6 - Urgent & Compelling. As the previous task order was in response to the unforeseen COVID- 19 pandemic we did not anticipate the need for this requirement to continue.

9. Additional Information to support the justification As the COVID-19 public health emergency (PHE) accelerated in March 2020, CMS rapidly shifted operations to focus on two critical priorities:

Coordinating the agency-wide response to the COVID-19 pandemic Sustaining CMS’ mission essential functions of (1) ensuring continuous beneficiary access to quality care and (2) timely payments to avoid lapses in coverage

Through the current Mission Essential Function Scenario Planning task order, BCG has supported CMS over the last six months to stand up initial pandemic response and risk management efforts. This work has evolved along with the PHE in order to deploy support against the most critical needs of the agency. To further sustain the agency’s critical needs and deliver the continued support, CMS requires a contractor with expertise in healthcare, operations, data analytics, program management, as well as knowledge of CMS’ structure, people, processes, and its pandemic response and risk management efforts. BCG has the capability to continue this support without having CMS lose momentum while they transition their expertise and knowledge of CMS internal structure to another vendor. At the time of the previous task order award the extent of COVID-19 pandemic was not known and therefore, CMS did not anticipate the need to continue beyond the end of the period of performance. If CMS would have known, a six-month option period would have been included. As the current task order cannot be modified; it became necessary to continue this requirement through a sole-source action as it is not prudent or reasonable to compete or transition it to a new contractor at this time given the fast moving situation regarding the COVID-19 pandemic.

10. Listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

CMS published a special notice of intent to sole source to beta.sam.gov on August 26, 2020 as required by FAR 5.203. expressed interest through an email. submitted capability statements as requested in the published special notice.

11. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required

CMS is working on a longer term acquisition strategy in parallel with this contract that is aimed at fostering increased competition for future opportunities that may emerge under the Mission Essential Function Scenario Planning & Response initiative.

Approvals:

1. Program Office Certification: This is to certify that portions of this justification have been developed by the undersigned program office personnel, including supporting information and/or data verifying the Government’s minimum needs, schedule requirements and other rationale, which form the basis for this justification for other than full and open competition.

Best Value Determination. By my signature below, after review of the relevant documents, I have determined that the order subject to this Justification represents the best value for the Government as set forth in FAR 6.303-2(b)(7), and constitutes a fair and reasonable price. The basis for my determination is as follows:

The contractor proposed pricing will be compared to an Independent Government Cost Estimate, market research, and historical data to include other contracts for similar efforts. Based on this analysis, the Contracting Officer will negotiate a fair and reasonable price. A further determination will be made by the Contracting Officer that the action represents a fair and reasonable cost to the Government by conducting both a technical and price evaluation as part of a fair and reasonable price determination.