Sources Sought Notice.pdf

Sources Sought Notice Contracts Disputes Act Claims Analysis Services

Title: Contracts Disputes Act Claims Analysis Services Agency: Indian Health Service Issue Date: May 21, 2026 Due Date: May 29, 2026, no later than 5:00pm EST Contacts: Responses must be submitted via email to cynthia.cason@ihs.gov and include “CDA

Claims Analysis Services – Your Company Name” in the Subject of the email.

This Sources Sought Notice (SSN) is for market research and planning purposes only and shall not be construed as a solicitation or an obligation or commitment to issue a solicitation by the Indian Health Service (IHS). This SSN seeks capability information from all interested business concerns to assess their capabilities in fulfilling the requirements set forth. The information from this SSN will be used to determine the appropriate acquisition strategy and set-aside approach, if any, in accordance with applicable regulations. The Government encourages interested entities to respond and identify their capabilities:

1. Indian Small Business Economic Enterprises (ISBEE)

2. Indian Economic Enterprises (IEE) in accordance with HHSAR 326.603-1

3. Small business concerns in accordance with FAR 19.502-2 (b)(1) & (2)

4. Other than small business concerns

Responses to the information requested will assist the Government in determining the appropriate acquisition method, including whether any ISBEE/IEE or small business set-aside or unrestricted acquisition strategy is appropriate based on the Contracting Officer’s reasonable expectation of obtaining offers from two or more responsible concerns that will be competitive in terms of market price, product quality, and delivery capability. The Government is considering the following NAICS codes for this requirement:

541611 – Administrative Management and General Management Consulting Services

541618 – Other Management Consulting Services

541990 — All Other Professional, Scientific and Technical Services

Generic capability statements are not sufficient and may not be considered when assessing entity capabilities. Please reference the Submission Information further below.

Special Considerations

1. The contractor shall not provide legal representation on behalf of the Government.

2. Contractor personnel shall have demonstrated prior expert level experience and understanding of

Indian Self-Determination and Education Assistance Act (ISDEAA), Contract Support Costs (CSC), and Contract Disputes Act (CDA) claims analysis.

3. The following personnel are considered key personnel by the Government:

a. Senior Partner, or equivalent.

b. Partner, or equivalent.

i. Positions at the Manager level and above must be Certified Public Accountant

(CPA).

c. Senior Manager, or equivalent.

i. Senior Manager positions and above must have a minimum of 3 years of experience working with ISDEAA contract support cost issues.

Capability Statement/Submission Information A response to this SSN will be in the form of a capability statement to demonstrate capability and experience in the objectives identified further below. Specifically, please provide the following information below to demonstrate capabilities:

Cover Page Please provide a cover page to include:

1. Company Name

2. Business Size Status and Socioeconomic Designation(s), as applicable (e.g. ISBEE, IEE, Small

Business, 8(a), Woman-Owned Small Business, HUBZone, Service-Disabled Veteran-Owned Small Business, Other Than Small Business)

3. Unique Entity Identifier (UEI) Number

4. Point of contact, email address, and phone number

5. Primary NAICS Code(s)

6. Existing federal contracting vehicle(s) numbers, as applicable (e.g. GSA MAS number, OASIS+, or other Government Wide Agency Contracts, etc.)

7. System for Award Management (SAM) registration status. Note: all respondents must be registered on SAM (https://sam.gov) prior to any potential award.

Executive Summary Provide a high-level overview of your services and include how it will benefit the Indian Health Service.

Technical Objectives Respondents are expected to submit a capability statement detailing and demonstrating their expertise and technical capabilities to meet (as a prime contractor) the objectives outlined further below in this SSN.

Past Performance The Government is particularly interested in vendors with experience supporting federal financial management, claims analysis, indirect cost analysis, ISDEAA contract support cost administration, litigation-support-adjacent financial analysis, or similar programs. Please provide past performance information that demonstrates your capabilities in the relevant technical objectives outlined further below.

Representation If identifying as an IEE or ISBEE, provide with your response to this notice a completed Indian Economic Enterprise Representation Form (attached).

Other Information (Optional) You may include any other information that may be helpful in developing or finalizing the requirements of the potential acquisition.

Submission Format To assist the Government in an expeditious review of your capabilities, the capability statement should be organized as follows:

Cover page Executive Summary Technical Objectives Past Performance – limit to 5 examples Other Information, as applicable

The tailored capability statement should not exceed 10 pages, excluding past performance information. Font must not be less than 10-point and may be submitted in either Microsoft Word or Adobe Portable Document Format (PDF) using a standard 8-1/2 by 11 inch paper size. All proprietary information should be marked as such.

Generic capability statements are not sufficient and will not be considered compliant with the requirements of this notice.

Disclaimer and Important Notes This notice does not obligate the Government to award a contract. Any information provided by industry to the Government as a result of this SSN is strictly voluntary. Responses will not be returned. No entitlements to payment of direct or indirect costs or charges to the Government will arise as a result of contractor submission of responses or the Government's use of such information. The Government reserves the right to use information provided by respondents for any purpose deemed necessary and legally appropriate. Any organization responding to this notice should ensure that its response is complete and sufficiently detailed to allow the Government to determine the organization’s capabilities to perform the work. Respondents are advised that the Government is under no obligation to acknowledge receipt of the information received or provide feedback to respondents with respect to any information submitted. After a review of the responses received, a pre-solicitation synopsis and solicitation may be published on a Governmentwide Point of Entry (GPE). However, responses to this Notice will not be considered adequate responses to any resultant solicitation.

Confidentiality. No classified, confidential, or sensitive information should be included in your response.

The Government reserves the right to use any non-proprietary technical information in any resultant solicitation(s).

Thank you for your interest in IHS programs.

Background and Objectives The objective of this planned contract is to secure expert consultation services to address CSC and CDA claims and policy issues and conduct tasks and analysis for the Indian Health Service in its administration of its CDA and CSC responsibilities including Claims Analysis, Contract Support Cost Analysis, and Document Preparation.

The anticipated period of performance for this requirement is a 12-month base period and four 12-month options, with initial award anticipated in August 2026.

The Indian Health Service (IHS), an Agency of the U.S. Department of Health and Human Services (DHHS), is the principal Federal Agency charged with the mission of raising the physical, mental, social, and spiritual health of American Indians and Alaska Natives to the highest level. The IHS offers health care services to approximately 2.8 million American Indians and Alaska Natives through a network of over 600 hospitals, clinics, and health stations on or near Indian reservations. Facilities are predominantly located in rural primary care settings and are managed by IHS, Tribal, and Urban Indian health programs. The IHS provides a wide range of clinical, public health and community services primarily to members of 574 federally recognized Tribes in 37 states. Through the ISDEAA, Public Law 93-638, as amended, codified at 25 United States Code (U.S.C.) Section (§) 5301 et seq., Tribes and tribal organizations (T/TO) may choose to exercise their self-determination and take on full or partial funding, control, and accountability for those programs, services, functions, and activities (PSFAs), or portions thereof, that the T/TO chooses to assume.

Claims Analysis: The ISDEAA provides that T/TO receive not less than the amount of funding that the Secretary would have otherwise provided for the direct operation of the program for the period covered by the contract or compact (otherwise known as the “Secretarial amount”). The 1988 amendments to the ISDEAA authorized CSC be paid in addition to the Secretarial amount. The IHS Indian Health Manual (IHM) Chapter 3, Part 6 (https://www.ihs.gov/ihm/pc/part-6/p6c3/), provides instructional guidance on the

1) determination of amounts of pre-award, startup, direct, and indirect CSC funding; 2) payment of CSC funding to awardees; 3) reconciliation of CSC payments to awardees; and 4) reporting by IHS to all Tribes and to Congress. The Contract Disputes Act (CDA) at 41 U.S.C. §7101-7109 is applicable to ISDEAA contracts, 25 U.S.C. § 5331 (a) and (d), and a T/TO can submit a CDA claim to the Awarding Official of the Agency related to the contract for a decision. Since FY 2013, the IHS has been analyzing claims for shortfalls of CSC for litigation and conducting settlements of CDA claims.

On June 6, 2024, the United States Supreme Court decided Becerra v. San Carlos Apache Tribe and Becerra

v. Northern Arapaho Tribe, holding that the IHS must pay eligible CSC incurred by Tribes and Tribal organizations that expend program income, or third-party reimbursements, under their ISDEAA contracts and compacts. This decision created a window from 2016 to 2024 for claims to be made for additional CSC funds, over and above the routine work of CSC program administration. As claims owing from that period are processed, work is expected to diminish over the life of the contract requirement.

Contract Support Cost Analysis Support: The CSC Division provides Agency leadership in the development of CSC policy and analysis, and fulfills national operational responsibilities, with respect to the CSC program administration. The IHS CSC Policy serves as a guide for the IHS and Tribes in the preparation, negotiation, determination, payment, and reconciliation of CSC funding used to support new, expanded, and ongoing services provided through contract and compacts pursuant to the ISDEAA. The IHS reviews and negotiates CSC with Tribes in accordance with the ISDEAA, the IHS Contract Support Cost Policy, Part 6 Chapter 3, and Uniform Administrative Requirements, Cost Principles, and Audit requirements for Federal Awards, 2 CFR Part 200. The CSC Division provides technical assistance, guidance, and support to Tribes in their development of CSC proposals.

Document Preparation: IHS conducts correspondence with Tribal governments, Tribal Health Organizations, their legal counsel, and internal government partners. Preparation of these documents related specifically to CDA claims, CSC related subjects and related business with subject matter expertise is a requirement IHS must cost effectively carry out these areas of responsibility.

Scope of Work Claims Analysis Process

1. Obtain Claims

a. The contractor shall obtain from the Project Officer (PO) all necessary claims (or proposals/final offers or claims subject to litigation) submitted to date, along with supporting documentation maintained by IHS. After a brief review of the claims information, the contractor shall meet with IHS representatives (PO/Contracting Officer’s Representative (COR)):

i. To clarify further understandings of the population of claims submitted to date and anticipated.

ii. To understand any background CDA claims analysis work that has been done to date and understanding as to what has been communicated to the Tribes.

iii. To understand the location and accessibility of supporting documentation maintained by IHS.

iv. To ask any clarifying questions regarding current claims submitted and status of any litigation activities.

2. Claims Review

a. Based on a review of available claims previously submitted to IHS, the contractor shall identify the type, claim methodology used, and any documentation provided or needed to support the claim. The contractor shall obtain claims and review each claim in detail to specifically analyze:

i. Whether claims were accurately prepared by the T/TO or if additional information is needed to complete the claims analysis.

ii. Whether claims recognize actual costs incurred based on Agency policy.

iii. Whether Tribes are using Negotiated Indirect Cost Rate Agreements (NICRAs) as support for claims on indirect costs for non-secretarial program income amounts, including the appropriate NICRA.

b. Organize claims by established methodology used to prepare claim amounts. Additionally, identify those claims that include additional claim elements, such as expectancy damages, and to note whether documentation exists, and if claims appear to be using a consistent methodology.

c. Recommendations for methodologies to be applied for the evaluation of each claim. Based on the review of claims submitted to IHS and the available supporting documentation, recommend and develop a methodology to evaluate each claim group/type/cost element.

The methodology shall include gathering the applicable documentation already maintained by the government, including an understanding of work performed by Department of Interior (DOI) National Business Center (NBC) in obtaining and evaluating Tribes OMB Circular A-133 Single Audit reports, indirect cost rate proposals, and any negotiated indirect cost rate agreements. Ultimately, the objective will be to identify those additional documents needed from each tribe to support its claim(s). These documents will vary by tribe.

d. Provide methodology and high-risk areas documentation to IHS. From the Contractor's review of CDA claims, they shall identify high-risk areas that pose the most challenge identified in those claims through reviewing the following elements:

i. Documentation of actual costs incurred from the T/TO submitting claims.

ii. Reconciling costs incurred by Tribes to their audited financial statements, OMB

A-133 Single Audit reports, incurred cost submission and indirect cost rate proposals and any other pertinent information.

iii. Ensuring that proposed, budgeted and actual CSC (both Direct CSC (DCSC) and Indirect CSC) were not duplicative of the base Secretarial amount.

iv. Ensuring that DCSC has been treated appropriately in the development and application of the T/TO’s negotiated indirect cost rate.

v. Ensuring that CSC calculations are consistent with the ISDEAA’s requirements, directives in case law, or any other applicable law as determined in discussion with the Agency.

vi. Support the agency in potential litigation settlement negotiations by preparing data analysis, reviewing proposals, and assisting the Agency in preparing and responding to offers.

Document Process and Develop Evaluation Tools

1. The contractor shall use lessons learned from ongoing and prior CSC, CDA claims analysis, litigation, and negotiations to assess and document the end-to-end CSC and CDA claims business process. The end-to-end business process shall include, at a minimum: negotiations, payments, reconciliations, and closeout as well as resolving under and overpayments of CSC. A clearly defined and documented process is critical in identifying internal controls and control gaps needed for improving and enhancing the overall CSC business process to ensure consistency and compliance with laws and regulations. The contractor shall work with the PO/COR to develop process flows, document, and streamline processes and develop evaluation tools to conduct ongoing monitoring and provide agency oversight to evaluate activities in compliance with agency policy.

2. Tools shall be developed to:

a. Assess Headquarters and Area Office business processes for quality improvement opportunities.

b. Provide a CSC/CDA claims dashboard and activity tracker of claims analysis by claims received, claims under review, claims rejected, claims in litigation or settlement and claims that have been closed.

c. Develop a CSC/CDA claims analysis procedures document for use within the Agency.

d. Document process control gaps.

e. Develop corrective action plans for internal control weaknesses.

f. Assist with Agency CSC improvement strategies that improve on the current policy to enhance and strengthen current CSC negotiations between the T/TO and Agency.

g. In order to document the end-to-end business process, the contractor shall, at a minimum:

i. Conduct a walkthrough and evaluation of the CSC business processes by reviewing current policies and procedures and conducting interviews with relevant CSC subject matter experts to identify, assess, and document internal controls and control gaps.

ii. Develop a CSC business process matrix and narrative document that outlines the end–to-end CSC business process, including flow charts of the CSC business process and sub-processes, internal controls, and identify potential risk areas for compliance with laws and regulations.

iii. Provide recommendations and tools for CSC staff to periodically assess internal controls within the CSC business process to ensure compliance and consistency with laws and regulations.

iv. Assist in the development of CSC training tools to ensure that Agency Lead Negotiators and CSC analysts are familiar with any methodology tools and resources to calculate CSC.

v. Assist the CSC staff in recommended revisions to current CSC templates and instructions for negotiations, reconciliations and close out based using lessons learned from CSC claims analysis and walkthrough/evaluation work described above.

vi. Work with CSC staff to develop a quality assurance and improvement process that ensures CSC negotiations, reconciliations, and closeout activities are consistent with IHS CSC Policy.

Contract Support Cost Analysis

1. Provide analytical assistance to Agency Negotiators, CSC Division on CSC proposals relating to

ISDEAA contracts and compacts and associated regulations, 25 U.S.C. § 5301 et seq.; 42 C.F.R. Part 137, and 25 CFR Part 900. The technical contractor shall work with the CSC Division.

2. Conduct analysis of CSC calculations for Title I and V ISDEAA to ensure that direct and indirect CSC amounts incorporated in the agreement are consistent with the CSC requirements of 25 U.S.C. § 5325 of the ISDEAA, the IHS CSC Policy, Part 6 Chapter 3 of the Indian Health Manual, and applicable federal regulations, i.e., Uniform Administrative Requirements, Cost Principles, and Audit requirements for Federal Awards, 2 CFR Part 200.

3. Work with the CSC Director and staff to resolve any discrepancies or inconsistencies in the application of the IHS CSC Policy during Title I and V negotiations.

4. Evaluate and analyze CSC calculations in preparation for Title I and V negotiations, Final Reconciliations.

5. Ensure all indirect-cost rate agreements and proposals, CSC Negotiation Workbooks, and the CSC SharePoint are current on a weekly basis.

6. Plan, research, conduct, and evaluate ISDEAA compact, contracts, and funding agreement issues with the application of quantitative and qualitative evaluations using analytical tools.

7. Provide analysis of the CSC Hub as a repository of CSC information.

8. Assist in the development of training materials, templates, and instructions in accordance with the

ISDEAA, and the IHS Contract Support Cost Policy.

Document Preparation

1. Prepare documents, documentation and other required materials related to CDA or CSC items; including researching and collection references, creating, drafting, and finalizing, including reviewing for correctness.

This could include letters related to legal matters, internal IHS memorandum, slide-based presentations, etc. The task requires attentive noticing of details for exact completion and formatting, organizational abilities to handle multiple tasks and track deadlines, dates and claim information, and understanding the CDA, CSC and related legal processes. Documents should be well-organized, utilize clear headings, sections, and formatting elements and be prepared in line with appropriate style guides.