Erie Home Oxygen JA Unusual and Compelling.pdf

VHAPM Part 806.3 Other Than Full and Open Competition (OFOC) SOP Attachment 2: Request for Sole Source Justification Format >SAT

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C244-21-AP-0772

1. Contracting Activity: Department of Veterans Affairs, VISN 04, Erie VA Medical Center

2. Nature and/or Description of the Action Being Processed:

The Erie VAMC is requesting an urgent and compelling award to Eagle Home Medical for the procurement of Home Oxygen services for Veteran patients. This award will serve as an interim contract action until a new, long term VISN contract can be awarded. Currently these services and supplies are being procured from Eagle Home Medical via contract VA244-15-D-0450, which expires March 31, 2021. The total estimated value of this request is $ 948,750.00 for a 6-month period of performance from April 1, 2021 thru September 30, 2021. The estimated value is based upon actual expenses from both FY19 and FY20. In accordance with VA Financial Policies and Procedures, Volume II, Chapter 6, Appendix A, it is not possible to estimate the annual amount used per patient via a VA Form 2237, as the number of patients provided home oxygen services varies from month to month.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

Eagle Home Medical will provide Home Oxygen and associated services to Veteran beneficiaries serviced by the Erie VAMC Prosthetics and Sensory Aid Service (P&SAS). Supplies and services provided will include all materials, equipment, transportation of equipment, set-up, labor, supervision, patient education, safety management, and infection control as necessary for patients receiving home respiratory care therapy. These supplies and services are required 24 hours per day, seven (7) days per week, including holidays.

4. Statutory Authority Permitting Other than Full and Open Competition:

( ) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements per 41 USC §3304(a)(1) as implemented by FAR 6.302-1;

( X ) (2) Unusual and Compelling Urgency per 41 USC §3304(a)(2) as implemented by FAR 6.302-2;( )

(3) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services per 41 USC §3304(a)(3) as implemented by FAR 6.302-3;

( ) (4) International Agreement per 41 USC §3304(a)(4) as implemented by FAR 6.302-4 ( ) (5) Authorized or Required by Statute per 41 USC §3304(a)(5) as implemented by FAR 6.302-5;

( ) (6) National Security per 41 USC §3304(a)(6) as implemented by FAR 6.302-6;

( ) (7) Public Interest per 41 USC §3304(a)(7) as implemented by FAR 6.302-7;

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority

Eagle Home Medical has a proven track record of providing these services to the Erie VAMC for the past several years and is currently providing these services on a bridge contract that expires March 31, 2021. It will take approximately 6 months or longer to process and award a new VISN-wide contract for home oxygen. Home oxygen and related oxygen therapy interventions are lifesaving medical treatments that provide increased physical function and quality of life to the Veterans that rely on it. Without these needed supplies and services in place, patients’ lives and health are at risk. Currently the Erie VAMC provides home oxygen services to roughly 800 home oxygen patients and 2,000 home PAP patients.

Due to the high start-up costs and lengthy transition period required for another vendor to assume the supply of services, it is unrealistic have the time needed to solicit for and award a contract for these supplies and services effective April 1, 2021. Doing so could jeopardize the health and lives of a large number of Veteran patients.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable:

As this is an urgent requirement, additional sources were not sought for this requirement. It is critical that existing services are maintained upon expiration of the existing contract, and it is not feasible to solicit for, evaluate and award a new long-term contract by March 31, 2021.

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

The pricing for the original contract was competed, and pricing offered by Eagle Home Medical, the awardee, was determined to be fair and reasonable based upon competition received. The current IGCE of $948,750.00 for the bridge period is based upon the fair and reasonable price determined under the existing final option period under VA24415D0450. For this urgent bridge procurement, Eagle Home Medical was contacted and has agreed to hold current pricing as well as all terms and conditions for a new 6 month bridge contract.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:

Market research was not conducted beyond contacting Eagle Home Medical regarding their ability to supply services for a new, short term contract. Competition will be sought to the maximum extent practicable with the new, long term VISN contract.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

The Home Oxygen Service Contract is for lifesaving medical treatments that provide increased physical function and quality of life to the Veterans that rely on them for survival. Any delay in contract transition or contractor transition could jeopardize the Veteran gravely. It is of the utmost importance to have a smooth, timely and phased transition for these services once the long term, VISN wide-contract is awarded.

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

NONE

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:

Competition was not sought because Eagle Home Medical is currently providing these same supplies and services on a contract that expires March 31, 2021. At this time, the current bridge contract expiration date does not allow for adequate time for solicitation and evaluation of offers.

Future actions such as the VISN-wide home oxygen contract will ensure that competition is sought to the maximum extent practicable.

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.

Janice Barcley, Date Supervisor of Prosthetics Facility Erie VAMC

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

a. 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.

Jennifer A. Cutshall, Date Contracting Officer NCO4/ Commodities 3

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $700K): I certify the justification meets requirements for other than full and open competition.

Shawn E. Smith, Date Division 2 Chief, NCO4

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 recommend approval (if over $75 million) or approve ($750K to $75 million) for other than full and open competition.

Date

Joseph P. Maletta

Executive Director, Regional Procurement Office – East (RPO-E) Head of Contract Activity http://vaww.pclo.infoshare.va.gov/PMWeb/VHAPM_Part_806.3.aspx