FY26-1773 JOFOC NCO17 Granbury CBOC - HCA Approved 2_Redacted.pdf

Acquisition ID#: 36C257-26-AP-2192

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C257-26-AP-2192

1. Contracting Activity:

The Department of Veterans Affairs (VA), Network Contracting Office (NCO) 17, at 11495 Turner Road, El Paso, Texas, 79936, intends to enter into a sole source contract based on this Justification for Other Than Full and Open Competition for the VA North Texas Veterans Healthcare System (VANTHCS), Dallas VAMC, 4500 S. Lancaster, Dallas, Texas 76216. The purchase request number is 549-26-3-176-0064.

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

The Department of Veterans Affairs, Veterans Affairs North Texas Healthcare System (VANTHCS), has an emergent need to provide Community-Based Outpatient Clinic (CBOC) services to veteran beneficiaries in the Granbury, Texas area. The incumbent, Potomac Valor Healthcare 2, LLC, is a service-disabled veteran owned small business (SDVOSB) joint venture currently providing these services under Interim Contract Activity (ICA) contract 36C25725D0040. The ICA contract was awarded 1 April 2025 and is due to expire on 31 March 2026.

A new 10-year contract, 36C25726D0006, was awarded to Primary Care Solutions, Inc. (PCS) on 11 February 2026. The base period of performance was to begin on 4 April 2026 through 31 March 2027.

The Contracting Officer was notified of a post-award GAO protest on 24 February 2026. Due to the delay caused by the protest, there is a necessity for a follow-on sole source bridge contract, ensuring uninterrupted CBOC services to approximately 3,100 veteran beneficiaries each month as the current contract is due to expire on 31 March 2026.

The sole-source contract will include a six-month base period and, if required, one six-month option period with the period of performance starting on 1 April 2026. A firm-fixed-price Indefinite Delivery Indefinite Quantity (IDIQ) contract shall be awarded for this requirement.

This acquisition will not involve services that can be classified as inherently governmental as defined by FAR 7.503. Furthermore, there is no statutory authority available to permit personal services relative to this requirement. All work relative to this requirement shall be of a non-personal nature.

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

The requirement is for CBOC Services to be provided to approximately 3,100 monthly veteran beneficiaries. There is a continuing need to provide these services to veteran beneficiaries of VANTHCS. Therefore, a sole-source contract for a six-month base period and one six-month option period with the period of performance starting on 1 April 2026, needs to be executed. The total estimated value of this procurement is $3,246,072.00 with the six-month base period and the six-month option period valued at $1,623,036.00 each.

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

The CO anticipates the cost to be considered fair and reasonable based on comparison with the IGCE, historical and current pricing of similar contracts that were determined fair and reasonable for other MSO CBOCs within the VA.

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

Market Research was conducted pursuant to RFO Part 10 and VA Acquisition Regulation (VAAR) 810.001-70 Market Research Policy.

Market research was conducted on 8 February 2026. Research conducted on SAM.gov revealed awards made for CBOCs under Community-Based Outpatient Clinic (NAICS 621498) have been made to both service-disabled veteran owned small businesses and large businesses. Awards listed under FPDS ezSearch mirrored the same results as SAM.gov.

A SBA Small Business Search (SBS) listed the profiles of 303 Service-Disabled Veteran Owned Small Businesses (SDVOSBs) with the 621498 NAICS.

However, further research shows that many of the vendors listed do not currently operate clinics but provide supportive services in a sub-contractor capacity to clinics, such as, supply replenishment, maintenance services and staffing services.

Three (3) SDVOSB vendors were identified with VA CBOC experience, Clinovators LLC, Potomac Valor Healthcare LLC, and Primary Care Solutions, Inc. It is determined to be in the Government's best interest to award the contract to the incumbent contractor, Potomac Valor Healthcare 2, LLC.

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

N/A

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

N/A

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:

Requirements per 41 USC §3304(a)(1) as implemented by RFO 6.103-1, to ensure direct patient care is not jeopardized as a result of the active protest. Competition was sought for the long-term contract requirement that was awarded to Primary Care Solutions, Inc. on 11 February 2026.

There were four (4) offers received for the long-term contract awarded on 11 February 2026.

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.

Teri Stewart, COR II Chief, Outpatient Operations VA North Texas Healthcare System

TERI STEWART

Digitally signed by TERI

STEWART

Date: 2026.03.18 14:51:06 -05'00'

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

a. Contracting Officer Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Marisela Galarza Contracting Officer RPO West NCO 17

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $900K): I certify the justification meets requirements for other than full and open competition.

Lindsey Hooge Deputy Director of Contracting

RPO West, Network Contracting Office 17

c. Director of Contracting/Designee: I certify the justification meets requirements for other than full and open competition.

Mark A. Layman Director of Contracting RPO West, Network Contracting Office 17

d. 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 $90 million) or approve ($900K to $90 million) for other than full and open competition.

Curtis M. Jordan Executive Director, Regional Procurement Office West Head of Contracting Activity (HCA)

MARISELA

GALARZA

Digitally signed by

MARISELA GALARZA

Date: 2026.03.18 14:17:21 -06'00'

LINDSEY HOOGE Digitally signed by LINDSEY HOOGE Date: 2026.03.18 15:30:38 -05'00'

MARK LAYMAN

Digitally signed by MARK

LAYMAN

Date: 2026.03.19 11:08:41 -05'00'

CURTIS JORDAN

Digitally signed by CURTIS

JORDAN

Date: 2026.03.20 06:55:45 -06'00'