P03 -SSJ Home Oxygen Charleston REDACTED DOCUMENT.pdf

Request for SDVOSB Sole Source Justification Format >SAT

36C247-22-AP-2395

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C247-22-AP-2395/Home Oxygen Services

1. Contracting Activity: Department of Veterans Affairs (VA), Regional Procurement Office East (RPO-E), Veteran Integrated Service Network (VISN) 7, Charleston VA Medical Center.

2. Nature and/or Description of the Action Being Approved: This requirement is for a new firm-fixed-price (FFP) indefinite delivery indefinite quantity (IDIQ) Contract to TransOX, Inc. The estimated total value of the proposed action is $3,000,000.00. The IDIQ Contract will allow Prosthetics to continue services and pay monthly Home Oxygen bills using 1358's as payment method per Financial Policy, Volume II, Chapter 6, Appendix A: VA Form 1358Approved Uses, Section 15 for the Charleston VA Medical Center.

Period of Performance:

Base Year : 04/01/2022 – 03/31/2024

3. Description of Supplies/Services Required to Meet the Agency's Needs: The VA Medical Center has an ongoing and continuous need to contract Home Oxygen Supplies. The Contractor shall provide medical oxygen systems, including medical oxygen cylinders and related accessories, delivery, set-up, preventive maintenance, and repair both Contractor and Government-owned equipment at the home of patients of the VA Medical Center to meet the needs of VA beneficiaries. This 2 Year IDIQ contract will consists of two, one year ordering periods.

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §3304(a)(5), 38 US Code § 8127(c), as implemented by FAR 6.302-5 (Authorized or Required by Statute). COs may use the non-competitive (sole source) procedures authorized in VAAR 819.7007 or 819.7008 up to $5,000,000. Check the specific VAAR clause used below:

(X) 819.7007 Sole source awards to a verified service-disabled veteran-owned small business; or

( ) 819.7008 Sole source awards to a verified veteran-owned small business

5. Demonstration that the Contractor's Unique Qualifications and/or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): The Government cannot provide this service. A review of the potential acquisition alternatives was performed considering previous acquisitions of this service, the impact of prior acquisitions on these alternatives, and related in-house efforts. The best acquisition method was identified to be a separate contract award opportunities based upon the best value for each location. The vendor has the qualifications to meet the demands of set-up and delivery of Home Oxygen Services and provide education and operating instructions directly to veteran recipients on how to use home oxygen machines safely. The amount of time and resources required for a new vendor to put in place a viable alternative process would create more of a backlog and not be in the best interests of the government or current home oxygen patients. It would be catastrophic to veteran care without this short-term contract to ensure the continuation of these life-sustaining services. In addition, it is in the Government's best interest to Sole Source this Acquisition to TransOX Inc, based on the fact that they are a Service-Disabled Veteran-Owned Small Business (SDVOSB) in accordance with the VAAR SUBPART 819.7007.They are the incumbent on the current active contract.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed 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: Based on the current status of Home Oxygen Services, there is a need to ensure that direct patient care is not impacted to prevent patient injury or death until a new award is made. Additionally, based upon market research and the requirement included in VAAR 819.7005, VA service-disabled veteran-owned small business set-aside procedures. There are sufficient vendors that have provided capability statements for this procurement to be set aside for SDVOSB VIP verified companies. Based upon the historical market research conducted and the resulting analysis, adequate sources of supply for small business concerns were obtained. On February 14th 2022, Sources Sought/RFI Notification was posted to Beta.SAM and closed on February 18th 2022 resulted in 7 (SDVOSB’S) that responded and after reviewing VA's VIP database to identify verified and capable 7 SDVOSBs ; Eagle Home Medical CORP. – SDVOSB, HomeTown Veterans Medical, LLC – SDVOSB, Lambert Financial/Medico Plus, LLC – SDVOSB, Mid-Cities Home Medical Delivery Service, LLC (Mid-Cities Medical) – SDVOSB, Panakeia, LLC – SDVOSB, TransOx, Inc. – SDVOSB, Reliable Vets LLC – SDVOSB and of the 7 SDVOSB's contacted – TransOX, Inc was the lowest vendor who could satisfy these services at the time of need, the data supports setting aside the procurement to SDVOSB in accordance with 38 USC 8127 (i).

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable:

The CO anticipated the cost to the Government would be fair and reasonable. The CO will compare the new unit pricing received against the pricing on the previous contracts listed below:

CONTRACT# STATION 3 Month EST.

36C24722C0070 508 Atlanta $850,536

36C24722P0275 509 Augusta $420,000

36C24722C0067 521 Birmingham/679

Tuscaloosa

$592,500

36C24722C0065 534 Charleston $505,383

36C24722C0064 544 Columbia $496,791

36C24722P0257 557 Dublin $ 225,000

36C24722C0067 619 CAVHCS $330,000

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: The market research displayed twenty-four (24) SDVOSBs and two (2) VOSB's using NAICS:

532283 on VIP. Section 10 lists all the current vendors are providing similar services within the VISN. These vendors are small businesses with a standard size of $35,000,000 and no exclusion; however, only one is an SDVOSB. In addition, there are no known Government-Wide Agency Contracts (GWAC) or Federal Supply Schedule (FSS) contracts that provide these services. This service is not available from any mandatory sources. On February 14th 2022, Sources Sought/RFI Notification was posted to Beta.SAM and closed on February 18th 2022 resulted in 7 (SDVOSB’S) that responded.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: This acquisition is critical to patient life & safety, and there can be no lapse in services.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

TYPE VENDOR

SDVOSB Eagle Home Medical

Corp.

SDVOSB Hometown Veterans

Medical, LLC

SDVOSB TransOX, Inc

SDVOSB Mid-Cities Home

Medical Delivery

Service, LLC

SDVOSB Reliable Vets, LLC

SDVOSB Lambert Financial/Medico Plus, LLC

SDVOSB Panakeia, LLC

11. A Statement of the Actions, if any, the Agency May Take to Remove or Overcome any Barriers to Competition before Making subsequent acquisitions for the supplies or services required: The agency will continue to seek additional vendors capable of providing this service on future procurements. The agency will also conduct all necessary market research as required by FAR Part 10 and the Veterans First Contracting Program while using the market research results from this requirement. In addition, the agency will review the possibility of competing a new long-term competitive contract before the end of the first ordering period.

12. Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

3/10/22

David L. Bradbury Date Chief Prosthetics and Sensory Aids Charleston VAMC

a. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP: Contracting Officer or Designee's Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Digitally signed by DARLENE CHASE

Date: 2022.03.10 16:53:19 -05'00'

Darlene Chase Date Contracting Officer RPO-East/NCO-7/Specialized Teams

a. One Level Above the Contracting Officer (Required over SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.

Digitally signed by CHAZ D.

BOWLING 1354540

1354540 Date: 2022.03.10 17:33:17

-05'00'

Chaz D. Bowling Date RPO-East/NCO-7/ Branch Chief VISN Team

c. VHA RPO HCA Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve ($750K to $7.5 million (or $15.0 million for acquisitions described in FAR 13.500(c)) for other than full and open competition.

Digitally signed by JOSEPH

MALETTA 1347841

1347841 Date: 2022.03.14 13:33:31

-04'00'

Joseph P. Maletta Date Executive Director Regional Procurement Office - East

JOSEPH MALETTA