P03 JA FAR Part 6 - PPMSS SDVOSB - Blue Water Thinking LLC.pdf

DEPARTMENT OF VETERANS AFFAIRS

Office of Procurement, Acquisition and Logistics (OPAL)

Strategic Acquisition Center (SAC) 5202 Presidents Ct, Suite 103

Frederick, MD 21703

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

(1) Identification of the agency and the contracting activity, and specific identification of the document as a "Justification for Other Than Full and Open Competition."

This Justification and Approval (J&A) for Other Than Full and Open Competition is executed by the Strategic Acquisition Center (SAC), on behalf of Veterans Health Administration (VHA) Supply Chain Systems (SCS) Directorate.

(2) Nature and/or description of the action being approved.

SCS proposes to negotiate a non-competitive Firm-Fixed-Price sole source award to Blue Water Thinking, LLC., a Service-Disabled Veteran-Owned Small Business (SDVOSB), to provide program and project management support.

(3) A description of the supplies or services required to meet the agency’s needs (including the estimated value).

SCS requires services that include system analysis, application software services, information management, business process engineering, strategic communication management, stakeholder analysis, market research, and managing face-to-face stakeholder engagements.

The estimated value for this acquisition is $4,963,721.33 for a Period of Performance of one year with no option periods.

(4) An identification of the statutory authority permitting other than full and open competition.

The statutory authority permitting other than full and open competition is 41 U.S.C.§ 253(c)(5) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302-5 entitled, “Authorized or required by statute”. The applicable statute is Public Law 109- 461: “Veterans Benefits, Health Care, and Information Technology Act of 2006” specifically, the “Veterans First Contracting Program” outlined in 38 USC § 8127(c).

(5) A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

Blue Water Thinking, LLC has been identified as an SDVOSB with the in-depth knowledge of VHA operations and processes within the Program Office providing

Strategic Acquisition Center (SAC) insights into the current and anticipated workforce challenges. Blue Water Thinking, LLC is currently supporting VA under contract 36C10X23C2005 with services comparable to those found in the PWS and is uniquely positioned to provide these requested services in a timely manner.

VA Acquisition Regulation (VAAR) 819.7008(c) states explicitly, “A determination that only one SDVOSB can meet the requirement is not required,” and that using this authority, the following must be verified:

1) The anticipated award price of the contract (including options) shall not exceed $5 Million.

The estimated value for this one-year contract (there are no options) is $4,963,721.33.

2) The Justification prepared pursuant to FAR 6.302-5(c)(2)(ii) shall be posted in accordance with FAR subpart 5.301(d).

This J&A will be posted on System for Award Management (SAM) Contract Opportunities.

3) The SDVOSB concern has been determined to be a responsible source with respect to performance.

Blue Water Thinking, LLC was verified on April 30, 2024, as a Service-Disabled Veteran-Owned Small Business (SDVOSB) under Veteran Business Certification (VetCert). CPARS performance was reviewed by the Contracting Officer for similar types of work under Product Service Code (PSC) R408 and Blue Water Thinking, LLC has exceptional marks.

4) In the estimation of the Contracting Officer, contract award can be made at a fair and reasonable price that offers the best value to the Government.

Historical prices along with market research for similar services shall assist with making a fair and reasonable price determination, prior to award.

5) The Contracting Officer has determined that the use of this authority is in the best interest of the Government based upon the fact that Blue Water Thinking, LLC is technically capable to perform the work under this contract.

Blue Water Thinking, LLC is a registered and verified SDVOSB that can immediately support this need as they are subject matter experts in skilled professional support for the Logistics Front Office (LFO), Supply Chain Informatics and Data Office (SCIDO), and SCS Programs and Projects.

Strategic Acquisition Center (SAC)

(6) A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under 5.202 applies.

In accordance with 819.7008(b), the determination to make a sole source award to an SDVOSB is a business decision wholly within the discretion of the Contracting Officer; therefore, the requirement to ensure that offers are solicited from as many potential sources as practicable is not applicable to this procurement. In addition, 819.7008(c) further authorizes the Contracting Officer to make the award without first determining that only one SDVOSB source can meet the requirement. A notice of the proposed action was synopsized via the Government Point of Entry (GPE) in accordance with FAR Section 5.201, and the agency will make publicly available the justification required by 6.305(a) within 14 days after contract award. The notice of intent to sole source was published on SAM.gov on 7/03/2024 and closed on 7/10/2024 at 10:00 AM EST. The notice of intent to sole source resulted in three (3) responses from potential offerors.

(7) A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

No award shall be made until the Contracting Officer determines the cost to the Government to be fair and reasonable. This determination will be based on a comparison of current contract pricing, an Independent Government Cost Estimate, past proposal submissions (if available), and other information as made available.

(8) A description of the market research conducted (see part 10) and the results or a statement of the reason market research was not conducted.

The initial procurement request for Supply Chain Support for Projects Management Support Services (PPMSS) was submitted as a base plus four options, $22M requirement to be competed on GSA. After reviewing the Performance Work Statement (PWS), the Contract Specialist (CS) identified that it might be suitable for SAC internal IDIQ, VECTOR or IHT 2.0. Following consultations with the Program Management Office (PMO) and the Contracting Officer (CO), a sources sought notice was posted on ATOMS on 6/10/2024, with responses due by 6/17/2024. Four responses were received and forwarded for evaluation. The responses received under the sources sought notice were found technically capable. Subsequently, another VA office expressed interest in the PPMSS scope, suggesting potential inclusion of their requirements. However, the CS clarified that such additions should be discussed directly with the Supply Chains Systems Directorate (SCS).

Discussions revealed that SCS would be consolidating with two other programs under their management, potentially impacting the PWS scope and future program https://www.acquisition.gov/far/part-5#FAR_Subpart_5_2 https://www.acquisition.gov/far/part-5#FAR_5_202

Strategic Acquisition Center (SAC) additions post-contract award, which the CS and CO advised against due to scope issues.

A meeting on 6/27/24 resulted in the decision to pursue a one-year contract to allow the consolidating offices to better evaluate their service requirements for a future, larger effort. The PMO provided updated documentation, indicating that the current SDVOSB vendor could manage the next year's effort effectively. The CO and CS recommended using Public Law 109 as the acquisition strategy, considering the circumstances.

Blue Water Thinking, LLC has successfully supported VA in similar efforts and has been determined to be a responsible source with respect to performance. They are registered and verified in SBA VetCert as a SDVOSB with the NAICS code 541611 for this requirement which, in accordance with Public Law 109-461 Section 502(c), meets the requirements of this statute to allow a sole source to a SDVOSB. In addition, the Contractor Performance Assessment Reporting System (CPARS) was reviewed and CPARS shows no reports for Blue Water Thinking, LLC. that would indicate defective pricing, instances of contractor fault or recipient not- qualified, terminations for cause, default, material failure to comply, or non-responsibility of the contractor.

(9) Any other facts supporting the use of other than full and open competition.

The Contracting Officer has determined that this proposed action meets all the requirements of 38 U.S.C. 8127(c). This acquisition is below the $5,000,000.00 threshold, Blue Water Thinking, LLC is a responsible SDVOSB for performance of the services described herein, and the proposed contract can be awarded at a fair and reasonable price. SCS’s requirements under this effort align well with the upcoming Integrated Health Transformation (IHT 2.0) contract scope and it is anticipated that future efforts will seek to utilize this or the VECTOR vehicle as potential sources. Given that there is a risk of scope change due to program office consolidations over the next year, the Program Office in consultation with the Contracting Officer agree that the authority given by Public Law 109-461, Section 502(c) is an appropriate and justifiable acquisition plan.

(10) A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

The following Firms responded to the Sources Sought posted to VECTOR on 6/10/2024:

• Analytical Government Solutions, LLC (AGS) (SDVOSB)

• TJFACT (SDVOSB)

Strategic Acquisition Center (SAC)

• RB Consulting, Inc. (RBCI) (SDVOSB)

• BDR Solutions, LLC (SDVOSB

The following Firms responded to the Notice of Intent to Sole Source to Blue Water Thinking, LLC on 7/3/2024:

• Primus Vets - SDVOSB

• BLKDIGITALTECH – VOSB

• Caso Law Firm, PLLC – 8(a)

(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.

The use of Public Law 109-461, Section 502(c) should not be viewed as a barrier to competition, rather the fulfillment of the VA’s commitment to supporting SDVOSB’s through the Veterans First Contracting Act. The program office will, however, continue to complete thorough market research to identify capable SDVOSBs to promote future competition. It is anticipated that the use of either VECTOR or IHT 2.0 will be appropriate contract vehicles after program consolidation occurs throughout Fiscal Year 2025.

Strategic Acquisition Center (SAC)

(12) Certification/Signatures

Technical Representative Certification:

I certify that the foregoing justification is complete and accurate to the best of my knowledge and belief.

Martin Steele Date:

Supply Program Management VHA P&LO Operations (19PLO)

Contracting Officer Certification:

I certify that this justification is accurate and complete to the best of my knowledge and belief.

Chris Binkley Date:

Contracting Officer Strategic Acquisition Center

For acquisitions over $750K not exceeding $15M

Approval

In my role as Contracting Activity Competition Advocate, based on the foregoing justification, I hereby approve this acquisition on an “other than full and open competition” basis pursuant to the statutory authority cited in paragraph four above, subject to availability of funds, and provided that the property and services herein described have otherwise been authorized for acquisition. As this action does not exceed $15M, the certification below required by FAR 6.304 serves as approval.

Signature: _________________________________ Date: ____________

Efrain J. Fernandez Director of Contracts, Acquisition Services 1-3 Procuring Activity Advocate for Competition (SAC-Frederick) Strategic Acquisition Center

8/5/2-24