0196C Fingerprinting JOFOC_Redacted.pdf

JUSTIFICATION AND

FOR OTHER THAN FULL AND OPEN

COMPETITION

Acquisition Title: Fingerprint-Based Background Checks for Medicare Provider/Supplier Fraud Prevention Agency: Centers for Medicare and Medicaid (CMS) Acquisition Year: FY 2020 Author: Dennis Adams

1. Description of Action:

Nature

____ New Requirement ____ Follow-On Order __X__ Modification of Existing Contract Number HHSM-500-2014-000196C

Contract Type

__X__ Firm-Fixed Price ____ Time and Materials ____ Cost Plus Fixed Fee (CPFF)

• ____ Term

• ____ Completion

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

Fingerprint-Based Background Checks for Medicare Provider/Supplier Fraud HHSM-500-2014-000196C JOFOC the fingerprints, logging the fingerprints into a CMS certified system, reporting the criminal history record information (CHRI) results and making recommendations to CMS on the outcomes of the CHRI results.

3. 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:

__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)

Due to the importance of the work provided by the fingerprint services contractor, it is important to maintain a continuation of fingerprint services, with no lapse, to maintain compliance with the ACA requirements. Fingerprint-based background checks are mandated by Section 6401 of the ACA as an additional screening tool to ensure that only eligible and legitimate providers and suppliers are permitted to enroll and maintain enrollment in the Medicare program. This screening tool flags providers and suppliers who have been convicted of criminal activities that could impact their participation in the Medicare program. These checks are essential to safeguarding the Medicare Trust Funds and Medicare beneficiaries from ineligible providers and suppliers.

Fraudulent activities from even a single provider or supplier could result in patient harm or the loss of millions of dollars in a relatively short period of time. The fingerprint screening services are important to the program integrity goal of reducing fraud, waste, and abuse throughout the Medicare program while protecting beneficiaries. Without this contract in place, CMS would not be in compliance with the ACA requirements and would be unable to appropriately screen providers and suppliers for Medicare eligibility.

Accurate Biometrics has the unique qualifications required to maintain continuity of finger print services as they have been successfully providing fingerprint services for CMS since July 2014.

Their past performance ratings have and continue to be very good. As the fingerprint services contractor, they are required to serve as a Federal Bureau of Investigations (FBI) Channeler for the fingerprint-based background checks, acting as a conduit for submitting fingerprints to the FBI and receiving the FBI CHRI, on behalf of an Authorized Recipient, for authorized noncriminal justice purposes. Currently, there are only 13 Channelers approved by the FBI that would be capable of providing these services. These services are only available from a limited number of responsible sources, and no other type of services will satisfy these requirements. Accurate Biometrics is the only responsible source that can assure that there is no interruption to these important services so that continuity of services is maintained until such time that a new task order is awarded inclusive of a transition period to assure a smooth transition occurs and there is no interruption to services.

Fingerprint-Based Background Checks for Medicare Provider/Supplier Fraud HHSM-500-2014-000196C JOFOC

Accurate Biometrics’ current contract period of performance will expire on January 2, 2020 with no available option periods to exercise. Currently, CMS is actively conducting a full and open competitive procurement for Multiple-Award Indefinite Delivery Indefinite Quantity (MA IDIQ) contracts for Provider Enrollment and Oversight (PEO) services. The new fingerprint services contract will be one of the initial small business task orders awarded under the PEO MA IDIQ.

The task order will be awarded through the competitive procedures of FAR 16.505. However, due to the large number of respondents, the technical evaluation panel requested additional time to review the proposals, extending the anticipated award date for PEO MA IDIQ contracts to May 2020. Re-procuring and bringing a new contractor on-board versus extending the current Accurate Biometrics’ contract will take considerable Government resources and time that, in the end, may only lead to a six-month contract. Therefore, based on the unique qualifications necessary and the limited number of qualified FBI Channelers, the extension of the current contract is in the best interest of the Government as it is more efficient and cost effective means by which to maintain continuity of fingerprint services.

CMS is requesting to extend the current fingerprinting contract until, potentially, January 2021 or until such time as the fingerprinting services task order can be awarded under the PEO MA IDIQ.

CMS anticipates the fingerprint services task order to be awarded by October/November 2020.

The program office is estimating that a two-month transition will be needed once the task order is awarded to accommodate the transitioning of services to a new contractor, if necessary.

Given that the competitive procurement is underway for the PEO MA IDIQ contracts and plans are underway to award a task order for fingerprint services to a Small Business PEO MA IDIQ holder, using the streamlined competitive acquisition procedures of FAR 16.505, conducting a separate and concurrent competitive procurement for fingerprint services would result in duplicative efforts for CMS acquisition and program office personnel. Additionally, the short procurement lead-time could potentially result in a lapse in service. It would be neither cost effective nor realistic to expect another contractor to perform during this brief interim period.

Given the estimated two-month transition period anticipated at the start of the contract and the time required to procure a new contractor, any interim contract would have a very limited fully-operational period of performance. This short timeframe would require a new contractor to expedite start-up, recruitment and staffing, significantly increasing the cost to the government. For these reasons, CMS sees no other alternatives to performing these services at this time.

__ _: 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 additionalauthority)

4. Actions to Increase Competition:

Actions to increase competition began with the PEO MA IDIQ Request for Information and Industry Day that was held prior to the release of the solicitation on October 9, 2018. These actions

Fingerprint-Based Background Checks for Medicare Provider/Supplier Fraud HHSM-500-2014-000196C JOFOC in part, led to a large number of offerors, both large and small businesses, responding to the solicitation. CMS will compete the task order for fingerprint services among the small business contractors awarded a PEO MA IDIQ contract.

5. Market Research:

CMS conducted Market Research for the PEO MA IDIQ, which included the release of a Sources Sought Notice (SSN) to finalize the small business strategy for procuring services for the PEO.

Respondents were asked to demonstrate experience with the PEO services, including the fingerprint services. Based on the information gathered from the SSN, it was determined that there would be sufficient small business competition for the Fingerprint Service, and as such it was designated as an anticipated small business set aside in the Solicitation. In addition, Offeror’s who submitted responses to the PEO Solicitation were required to identify which PEO services they would be submitting capability statements for. Based on the information gathered through the SSN and the Solicitation, CMS is confident that there will be adequate competition for this task order among Small Business PEO MA IDIQ contract awardees.

6. Procurement History:

Purchase order or contract number: HHSM-500-2014-00196C Was Action Competed? _X_ Yes ____ 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: N/A

7. Additional Information to support the justification

N/A

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

The Office of Acquisition and Grants Management (OAGM) has a list of potential small business contractors who expressed interest in participating in the PEO MA IDIQ and competing for the fingerprinting task order.

9. 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

N/A