Attachment 2 - CFM ORP FY2028 and FY2029 Capital Budget Documents Task Order - Updated PWS 04022026.docx

PERFORMANCE WORK STATEMENT FOR

DEPARTMENT OF VETERANS AFFAIRS CAPITAL INVESTMENT OPTIONS

FY2028 / FY2029 CAPITAL BUDGET DOCUMENTS

A. GENERAL INFORMATION

1. Title of Project: Capital Investment Options IDIQ - FY2028 / FY2029 Capital Budget Documents Task Order

2. Scope of Work: The contractor shall provide all resources necessary to accomplish the types of deliverables described in this Performance Work Statement (PWS) to assist the Department of Veterans Affairs (VA) in the preparation of Capital Budget Documents to inform the FY2028 President’s Budget Request and FY2029 Budget Request, if needed. Major Construction projects and Major and Mid-Level Leases anticipated for the Strategic Capital Investment Planning (SCIP) 2028 and 2029 cycles will have been identified and will be scored using the SCIP Decision Criteria Model, resulting in a prioritized list of projects developed through the VA governance process for inclusion in VA’s FY2028 Budget Submission. As part of VA’s submission to the Office of Management and Budget (OMB), an OMB300 Application and associated documents will be prepared for all Major Construction projects and Prospectuses and associated documents for Major and Mid-Level Leases.

This contract ensures VA’s ability to replace healthcare facilities that are significantly deficient in seismic compliance, infrastructure, or space through the authorization and approval by Congress of approved Major Construction projects and Major Leases. Without timely delivery of OMB300 Applications and supporting documentation, VHA’s strategic capital priority projects would fail to receive funding, approvals, or required authorizations. The services under this contract directly support the delivery of modern, safe, and accessible infrastructure that meets the evolving needs of Veterans—particularly underserved, rural, and women Veterans—ensuring that VA’s capital investments translate into improved access, reduced service gaps, and enhanced quality of care.

This contract builds upon more than a decade of programmatic support under similar scopes, benefiting from institutional knowledge, toolsets, and contractor familiarity with VA’s capital investment process. Maintaining continuity is essential for efficient onboarding, stakeholder coordination, and meeting complex statutory and regulatory submission requirements.

The FY2028 / FY2029 Capital Budget Documents contract is not merely a technical support mechanism, it is a mission-critical strategic tool that underpins the execution of VA’s capital investment portfolio. Managed by Office of Construction and Facilities Management’s (CFM) Office of Real Property (ORP), this contract enables the development and submission of Non-IT Business Case Applications essential to executing congressionally approved Major Construction projects and Prospectus packages for Major Leases as required by U.S.C. § 8104 and Title 40 U.S.C. § 3301 et seq., while also ensuring alignment with OMB Circular A-11, Appendix B. These statutory frameworks and guidance govern how VA submits Major Construction projects and Major Leases for Congressional approval, and manages, and scores real property lease obligations, with direct implications for Veteran’s access to modern, safe, and effective medical facilities.

In accordance with the Bona-Fide Needs Rule (31 U.S.C. § 1502(a)), this contract addresses an immediate and legitimate need of the VA to support the development of a well-structured and justified Budget Requests for Major Construction Projects and Leases that will enhance facilities and services for Veterans. The services provided under this contract are essential to ensuring that VA funding requests align with VA’s strategic priorities, comply with federal budgeting and procurement laws, and optimize the allocation of taxpayer dollars. By conducting rigorous assessments and preparing detailed Non-IT Business Case Applications, this effort directly supports the VA’s mission to improve healthcare, benefits, and services for Veterans, as mandated under 38 U.S.C. § 7301 (Functions of the Veterans Health Administration) and the VA Major Construction and Lease Authorization Act.

3. Background: The SCIP process is the basis for VA’s current and out-year capital budget requests. The SCIP process includes development of 10-Year Action Plans and budget year Business Cases to close performance gaps (space, utilization, facility condition, etc.) to enhance healthcare and delivery of services and benefits for the nation’s Veterans.

In the late 1990s, VA began a dramatic change in the way it delivers services, shifting from an in-patient, hospital-based model to one that focuses on preventive care in outpatient settings. That shift has left VA with an increasing inventory of aging and obsolete facilities, many in locations where there is diminished demand. To build upon past capital planning efforts, and to address the problem of aging infrastructure in poor condition, lack of infrastructure in some locations and unused infrastructure in others, the Department has embarked on the SCIP process. SCIP is a significant and critical initiative that will enable VA to better adapt to changes in the environment, demographics, capabilities, medical technology, and health care delivery, thereby allowing VA to deliver the highest quality healthcare, benefits, and memorial services to our Nation’s veterans.

SCIP ensures that all resources will be scrutinized and considered at the corporate level, with equitable and consistent distribution across markets and competing capital needs to address gaps in our service delivery. SCIP provides the Secretary with a project list that is integrated across all administrations and programs (Major and Minor Construction, Leases, and Non- Recurring Maintenance) to ensure resources are allocated to address the most critical gaps.

With the strategic goal to improve the delivery of services and benefits to Veterans, the SCIP process will be the basis for the Department’s FY2028 Capital Budget Request. Unlike previous capital planning models, SCIP links planning efforts of the Administrations and Staff Offices for both capital and non-capital solutions and takes a long-term departmental approach. SCIP also encourages investments that ensure delivery of services in a Veteran-centric, forward-looking, and results-driven manner, while placing particular emphasis on improving access, maintaining our capital portfolio, increasing market penetration, reducing homelessness, and ameliorating issues confronting women Veterans.

Currently, VA has a significant funding backlog in construction projects and Facility Condition Assessment deficiencies, and many of its facilities are over-utilized, resulting in higher maintenance costs and inefficient resource usage.

Closing critical identified gaps will be the basis for FY2028 SCIP Business Case applications developed by the Administrations and Staff Offices. Business Cases will be prepared for Major Construction, Minor Construction, Major Leases, and Mid-Level Leases, since these are more complex and represent a higher risk to VA.

The Business Cases will be scored using the SCIP Decision Criteria Model resulting in a prioritized list of projects through VA’s governance process for inclusion in the FY2028 or FY2029 Budget Request. This scope of work is to assist VA with the preparation of Non-IT Business Case Applications for Major Construction projects and Prospectus and Budget Documents for Major and Mid-Level Leases for inclusion in VA’s FY2028 and FY2029 President’s Budget Requests.

4. Performance Period: The period of performance is for 365 calendar days from date of award. Work at the Government site shall not take place on Federal holidays or weekends unless directed by the Contracting Officer (CO).

5. Type of Contract: Firm Fixed Price task order.

6. Place of Performance: The primary place of performance will be at the contractor’s facilities; however, some tasks may require work to be performed at a Government facility. Any work at the Government site shall not take place on Federal holidays or weekends, unless directed by the CO.

B. CONTRACT AWARD MEETING

The contractor shall not commence performance on the tasks in this PWS until the CO has conducted a kick-off meeting or has advised the contractor that a kick-off meeting is waived.

C. GENERAL REQUIREMENTS

The following general requirements apply to this task order:

1. Unless otherwise specified in an individual task, the following schedule requirements apply: Where a written milestone deliverable is required in draft form, the VA will complete their review of the draft deliverable within five calendar days from date of receipt. The contractor shall have seven calendar days to deliver the final deliverable from date of receipt of the Government’s comments.

2. The contractor shall provide to the Contracting Officer’s Representative (COR), via email, documentation related to all government-contractor meetings. The contractor shall provide this documentation within one calendar day after completion of the meeting unless otherwise specified in an individual task.

3. Except for proprietary information in company quotes identified and marked in accordance with FAR 52.215-1(e), the contractor shall not deliver to CFM any proprietary products or information of any type in completing the requirements of each task under this PWS. The contractor’s internal development tools (that is, those development tools not developed for CFM work and not required by CFM to install, use, or revise the deliverables) are exempted from this requirement. If the contractor believes an exception to this requirement is necessary for the effective or efficient execution of a task, the contractor shall request a specific exception, in writing, to the CO, and shall not use the proprietary tools or information in CFM work until approval is received from the CO.

4. The contractor shall ensure contract employees maintain an open and professional communication with the staff at all VA facilities. For transparency purposes, email to the CO shall not be blind carbon copied (BCC) to other Government personnel. Complaints or violation validated by the COR or VA staff will be reported in writing to the CO, Office of Inspector General (OIG), or Head of Contracting Activities (HCA) for action. If the contractor fails to correct validated complaints raised by the COR and or CO, it will be considered a failure in performance.

5. The CO may require the contractor to meet with the COR, contract administrator, and/ or other Government personnel at least quarterly, and as often as deemed necessary. The contractor may request a meeting with the CO when deemed necessary.

D. SPECIFIC MANDATORY TASKS AND ASSOCIATED DELIVERABLES

Description of Tasks and Associated Deliverables: The contractor shall provide the specific deliverables described below within the performance period stated in Section A.4 of this PWS.

1. Task One: PMP and Briefing The contractor shall provide a Performance Management Plan (PMP) and briefing for the project team, which presents the contractor's plan for completing the task order. The contractor's plan shall be responsive to this PWS and describe, in further detail, the approach to be used for each aspect of the task as defined in the technical proposal. The contractor shall keep the PMP up to date throughout the period of performance.

Deliverable 1: PMP and Briefing

2. Task Two: Communications

2.1 Kick-off Meeting

2.2 Status Teleconferences (weekly)

Deliverable 2: Kick-Off Meeting and up to fifty-two weekly Status Teleconferences with all related documentation distributed prior to call and after each call.

3. Task Three: Prospectus and Non-IT OMB300 Business Case Packages – Major Construction (Up to 10- Approved Projects)

Non-IT Business Case Forms & Attachments Provide services, information, and data as necessary to assist VA in the preparation of budget documentation, Non-IT OMB300 Business Cases (also known as OMB Exhibit 300 Forms), for the designated projects.

a. Prepare responses (with assistance from appropriate Veterans Integrated Service Network (VISN)/ VA Medical Center (VAMC) staff) to all Non-IT OMB300 Business Case Form questions.

b. Conduct site searches to confirm availability of vacant land in given markets and determine average land costs for lease alternatives.

c. Perform high level real estate market studies to determine average rent and operating/maintenance costs for use in lease alternatives.

d. Work with CFM to validate project scope and cost and obtain latest cost estimates. This includes comparison of current project scope to the previously approved project baseline, with any project scope or project size discrepancy being fully documented.

e. Conduct Cost Effectiveness Analyses (CEAs). VA will provide the CEA template to ensure use of the latest SCIP guidance.

f. Perform Risk Analyses. Attachment A provides a sample of the expected Risk Analysis deliverable.

g. Prepare Alternatives Analyses. Attachment B provides a sample of the expected Alternatives Analysis deliverable.

h. Distribute draft Non-IT OMB300 Business Case Forms and Attachments to CFM and Office of Asset Enterprise Management (OAEM) staff for review and approval.

i. Prepare prospectuses for each of the designated sites as detailed in 38 U.S.C 8104. The VA Construction Prospectus format is publicly available in VA’s congressional budget submission.

j. Prepare form 1391-C for each of the designated sites. Attachment C is the required form.

k. Distribute draft prospectuses and 1391-C’s to CFM, OAEM, VISN, and VAMC staff for review and approval.

l. Revise draft prospectuses and 1391-C’s as necessary and prepare final drafts.

m. All Non-IT OMB300 Business Case forms and attachments must meet the criteria defined in OMB Circular A-11 and be consistent with prospectus requirements from Title 38, U.S.C, Section 8104, including new requirements added by P.L. 112-37.

n. All final Non-IT OMB300 Business Case forms and attachments must be loaded to the SCIP FY2028 and FY2029 SharePoint sites in specific project folders.

Deliverables 3: Up to 10- Draft and Final Non-IT OMB300 Business Case Forms and Attachments, including OMB300 Business Cases, CEAs Risk Analysis, Alternatives Analysis, and 6227’s.

Deliverable 4: Up to 10- Draft and Final Construction Prospectuses; and Deliverable 5: Up to 10- Draft and Final 1391-Cs.

Deliverable 6: Up to 10- Catalogued Repository, by Project, of All Data Collected – OMB300/ Non-IT Business Cases, CEAs, Risk Analysis, Alternatives Analysis, and 6227’s, for all Major Construction Projects

4. Task Four: Prospectus Packages – Major Leases (Up to 15- Leases)

4.1 Space Planning: Prepare scope and services workload analyses workbooks, facilitate high-level concept of operations, and develop Space Equipment and Planning Software (SEPS) space programs for design (PFD). This includes coordination with the VISN, VAMC, Veterans Health Administration’s (VHA) Capital Asset Management (CAM) office, and CFM Planners for the initial draft and final draft PFDs.

Deliverable 7: Develop Draft and Final SEPS PFDs in Adobe PDF format for up to 15- Major Leases.

4.2 Lease Forms & Attachments

Provide services, information, and data as necessary to assist VA in the preparation of space planning, budget documentation, and supporting documentation for the designated leases.

a. Considering Government requirements for location of VA medical space, conduct site searches to confirm availability of existing buildings and vacant land in given markets; advise Government if sufficient competition exists in the delineated area requested, and if not, propose expansion based on availability of existing buildings and vacant land. Provide detailed report on the determination of the delineated area, considering the needs of the Veteran patient population and ensuring sufficient competition. Obtain respective VAMC, VISN, and VHA CAM leadership concurrences for the final delineated market areas (DMA.)

b. Utilize real estate systems to determine reasonable, anticipated land values for property required for each project, within the delineated area identified for each lease. Provide detailed market analysis to Government that reviews comparables and provides range of potential market value.

c. Utilize real estate systems to determine if leased space is available in existing buildings for leases. Add the existing buildings and associated rent and estimated build-out into the 1391-L.

d. Perform market analysis to determine appropriate shell rental rate per approved rental rate methodology, which will be provided by VA.

e. Coordinate with CFM’s Cost Estimating Service (CES) to finalize estimates for lease build-out (specifically, Agency Specific Requirements) and to validate rent estimates, including operating and maintenance estimates for leases.

f. Coordinate with CFM, VHA, and OAEM to ensure that market analysis is consistent with General Services Administration’s (GSA) and/ or GSA OMB Examiners’ requirements or clearly document when a departure is necessary, and rationale for that departure.

g. Technical assistance in creating options for VA to refining DMAs.

h. Perform non-public facing market research, including more detailed analysis of land and market comparables and availability of existing buildings, to finalize lease requirements.

i. Create heat maps and statistical information, including the final DMA.

j. Create Market Research documents for each lease.

k. Create Lease Abstracts for each lease using the latest template. See Attachment D for template.

l. Run the Lease Scoring Model for each prospective lease per GSA’s requirements. Draft runs shall be prepared based on preliminary size with Final runs being completed after prospectuses are finalized. VA will provide the Lease Scoring Template based on latest SCIP guidance.

m. Coordinate new construction estimates with CFM’s CES for use in CEA and create CEAs. VA will provide the CEA based on latest SCIP guidance.

n. Conduct an Alternatives Analyses to be uploaded into VA’s prospectus.

o. Create VA and GSA prospectuses. VA’s prospectus is detailed in 38 U.S.C. 8104. VA and GSA’s prospectus formats are publicly available in VA and GSA’s congressional budget submissions.

p. Create 1391-L forms for each lease. Attachment E is the required form.

q. Distribute draft market analyses, heat maps, Market Research, Lease Scoring Runs, CEAs, 1391-Ls, and VA and GSA prospectuses to CFM, OAEM, VISN, VAMC, and VHA CAM staff for review and approval.

r. Revise draft documents as necessary and prepare final drafts.

s. All lease packages, including all attachments, and prospectuses, must meet the criteria defined in OMB Circular A-11 and be consistent with prospectus requirements from Title 38, U.S.C, Sections 8103 and 8104, including new requirements added by P.L. 112-37 and the August 2022 PACT Act.

t. All documents, including SEPS PFDs, market analyses, heat maps, Market Research, Lease Scoring Runs, CEAs, 1391-Ls, and VA and GSA prospectuses, must be loaded to the SCIP FY2028 and FY2029 SharePoint sites by lease site.

Deliverable 8: Up to 15- Draft and Final Rent Estimates.

Deliverable 9: Up to 15- Lease Package Attachments, including Draft and Final Market Analyses, i.e., Co-Star Land and Lease Comparables; Heat Maps, including VAMC and VISN approved DMA; Market Research; Lease Abstracts; Lease Scoring Runs; and CEAs Deliverable 10: Up to 15- Draft and Final VA and GSA Prospectuses Deliverable 11: Up to 15- Draft and Final 1391 L’s

5. Task Five: Provide Technical Assistance and Related Documents – Mid-Level Leases (Up to 15- Leases)

5.1 Space Planning: Prepare scope and services workload analyses workbooks, facilitate high-level concept of operations, and develop SEPS space PFD. This includes coordination with the VISN, VAMC, VHA CAM, and CFM Planners for the initial draft and final draft PFDs.

Deliverable 12: Develop Draft and Final SEPS PFDs for up to 15- Mid-Level Leases.

5.2 Technical Assistance and Related Documents for Mid-Level Leases (Up to 15- Leases)

Provide services, information, and data as necessary to assist VA in the preparation of lease execution related documentation for Mid-Level Leases.

a. Considering Government requirements for location of VA medical space, conduct site searches to confirm availability of existing buildings and vacant land in given markets; advise Government if sufficient competition exists in the delineated area requested, and if not, propose expansion based on availability of existing buildings and vacant land. Provide detailed report on the determination of the delineated area, considering the needs of the Veteran patient population and ensuring sufficient competition.

b. Utilize real estate systems to determine reasonable, anticipated land values for property required for each project within the delineated area identified for each lease. Provide detailed market analysis to Government that reviews comparables and provides range of potential market value.

c. Utilize real estate systems to determine if leased space is available in existing buildings for leases. Add the existing buildings and associated rent and estimated build-out into the 1391-L.

d. Perform market analysis to determine appropriate shell rental rate per approved rental rate methodology, which will be provided by VA.

e. Coordinate with CFM’s CES to finalize estimates for lease build-out (specifically, Agency Specific Requirements) and to validate rent estimates, including operating and maintenance estimates for leases.

f. Coordinate with CFM, VHA, and OAEM to ensure that market analysis is consistent with GSA’s and/ or GSA OMB Examiners’ requirements or clearly document when a departure is necessary, and rationale for that departure.

g. Technical assistance in the creation of options for VA to refine the DMA.

h. Perform non-public facing market research, including more detailed analysis of land and market comparables and availability of existing buildings to finalize lease requirements.

i. Create heat maps and statistical information, including the final DMA.

j. Create Market Research documents for each lease.

k. Run the Lease Scoring Model for each prospective lease. Draft runs shall be prepared based on preliminary size with Final runs being completed after 1391-Ls are finalized. VA will provide the Lease Scoring Template based on latest SCIP guidance.

l. Coordinate new construction estimates with CFM CES’s for use in CEA and create CEAs. VA will provide the CEA based on latest SCIP guidance.

m. Create 1391-L forms for each lease. Attachment E is the required form.

u. Distribute draft market analyses, heat maps, Market Research, Lease Scoring Runs, CEAs, and 1391-Ls to CFM, OAEM, VISN, VAMC, and VHA CAM staff for review and approval.

n. Revise draft documents as necessary and prepare final drafts.

o. All documents, including SEPS PFDs, market analyses, heat maps, Market Research, Lease Scoring Runs, CEAs, and1391-Ls must be loaded to the SCIP FY2028 SharePoint site by lease site.

Deliverable 13: Up to 15- Draft and Final Rent Estimates.

Deliverable 14: Up to 15- Lease Attachments, including Draft and Final Market Analyses, i.e., Co-Star Land and Lease Comparables; Heat Maps, including VAMC and VISN approved DMA; Market Research; Lease Scoring Runs; CEAs, and 1391 L’s

Deliverable 15: Catalogued Repository, by Site, of All Data Collected, Delineated Market Areas, and Detailed Market Research for all Major and Mid-Level Leases

6. Task Six: On-going Subject Matter Expertise Provide on-going technical assistance to CFM, VHA, and OAEM for each prospective lease or construction project. Reference materials, assistance with GSA or OMB questions, and preparation of any supplemental material needed.

Deliverable 16: Written responses, supplemental documentation, or classification memoranda as directed by the COR.

Performance Standards and Methods As specified in each task order, past performance will be documented in accordance with IL 001AL-10-03, dated February 22, 2010.

Status Meetings are scheduled on time, with appropriate Vendor staff attending and issues.

Review of Monthly Status Reports and Status Meetings

Corrections and Re-submittal to VA within five calendar days of rejected deliverables.

Low Turnover of Key Personnel.

Contractor develops and maintains a staffing plan that effectively meets the requirements of the task orders 98% of the time.

Open communication between VA and Vendor.

Review of Final deliverables, Status Reports and Status Meetings

Review and approval of Key Personnel changes.

VA customer satisfaction

E. SCHEDULE FOR DELIVERABLES

See Attachment A for Schedules of Deliverables.

1. If for any reason the scheduled time for a deliverable cannot be met, the contractor is required to explain why (include the original deliverable due date) in writing to the CO, including a firm commitment of when the work shall be completed. This notice to the CO shall cite the reasons for the delay, and the impact on the overall project. The CO will then review the facts and issue a response in accordance with applicable regulations.

2. Any hard copy documents the Contractor provides to CFM must be printed double-sided on recycled paper with at least 30 percent post-consumer fiber.

Attachment A: Schedule of Deliverables Deliverable No.

Kick-off

Teleconferences

10- Final Draft, 20 calendar days after receipt of CPRMP or cost estimates (internal to VA – target is September 2, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is September 9, 2026)

10- Final Draft, 30 calendar days after receipt of CPRMP or cost estimates (internal to VA – target is September 2, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is September 9, 2026)

10- Final Draft, 120 calendar days after contract award (internal to VA – target is January 29, 2027);

Final, 14 calendar days after receipt of Draft (internal to VA – target is February 12, 2027)

15- Final Draft, 40 calendar days after contract award (internal to VA – target is August 5, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is August 12, 2026)

15- Final Draft, 49 calendar days after contract award (internal to VA – target is August 14, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is August 21, 2026)

15- Final Draft, 60 calendar days after contract award (internal to VA – target is September 2, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is September 9, 2026)

15- Final Draft, 60 calendar days after contract award (internal to VA – target is September 2, 2026);

Final, 7 calendar days after receipt of Draft (internal to VA – target is September 9, 2026)

15- Final Draft, 120 calendar days after contract award (internal to VA – target is January 29, 2027);

Final, 14 calendar days after receipt of Draft (internal to VA – target is February 12, 2027)

15- Final Draft, 90 calendar days after contract award (internal to VA – target is January 29, 2027);

Final, 14 calendar days after receipt of Draft (internal to VA – target is February 12, 2027)

15- Final Draft, 100 calendar days after contract award (internal to VA – target is January 29, 2027);

Final, 14 calendar days after receipt of Draft (internal to VA – target is February 12, 2027)

15- Final Draft, 120 calendar days after contract award (internal to VA – target is January 29, 2027);

Final, 14 calendar days after receipt of Draft (internal to VA – target is February 12, 2027)

Mid-Level Leases, 120 calendar days after contract award

As needed

*This Schedule of Deliverables is for illustrative purposes only and will be revised and finalized after award during the project kickoff meeting. All due dates are tentative and subject to change based on the award date. Scheduled delivery dates will be confirmed at the kick-off meeting.