JA sole source WB CERS v2.1.pdf

VHAPG Part 806.3 OFOC Page 1 of 5 Revision: 03 Effective Date: 04/15/24 Acquisition ID#: 36C244-24-AP-2157

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C244-24-AP-4126

1. Contracting Activity: Department of Veterans Affairs, VISN 4, NCO 4, Wilkes-Barre VA Medical Center (WB VAMC) at 1111 E End Blvd, Wilkes-Barre, PA 18711. Funding is provided for the first ordering period under 693-24-3-892-0148 in the amount of $175,680.00. The total 3-year estimate is $526,080.00.

2. Nature and/or Description of the Action Being Processed: The WB VAMC has a requirement for a 3-year, sole source, Indefinite Delivery Indefinite Quantity (IDIQ) Contract for Healthcare for Homeless Veterans (HCHV) services. The services were previously provided on a Grant Per Diem (GPD) contract VHLV759-5227-693-PD-24. In 2023 five (5) beds were removed from the Grant program due to poor utilization. A new 3-year IDIQ contract is being pursued to regain possession of those beds in response to an increase of need. The facility is Victory House, located at 314 Fillmore Street, Bethlehem, PA 18015.

The plan is for Veterans that are placed in emergency shelter beds to transition to a Service Intensive GPD bed at Victory House and will start working with a Case Manager upon admission to complete an Initial Treatment Plan. The HCHV Coordinator will work closely with the Veteran and Case Manager to ensure housing success.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The Department of Veteran Affairs and the WB VAMC, located at 1111 East End Blvd, Wilkes-Barre PA 18711 requires a contractor to provide services as part of its HCHV program, in accordance with VHA Handbook 1162.09. The IDIQ will be for a 3-year ordering period, estimated at $526,080.00 with task orders to be written annually dependent upon funding availability. The goal of the HCHV program is to remove homeless Veterans from the street or habitation unfit for Veterans and place them in community-based, residential environment with sufficient therapeutic services to meet the needs of those Veterans.

The contractor shall provide residential placement and personal care services for approve five

(5) Veterans per day under the Health Care for Homeless Veterans (HCHV) program, for a three (3) year performance period, in accordance with all terms and conditions, provisions and requirements listed herein for the all-inclusive rate. This rate is inclusive of all services as may be necessary in the treatment of the Veteran to include transportation to healthcare appointments and meetings. Unless specifically excluded in this contract, the per diem rate established will include the services listed in this document and will also include all services normally provided other residents by the facility without extra charge. The contractor facility will not be used for detoxification or other hospital level treatment. The contractor facility shall be located within the catchment area of a 70-mile radius from the Wilkes-Barre VA Medical Center at 1111 E End Blvd, Wilkes-Barre, PA 18711.

VHAPG Part 806.3 OFOC Page 2 of 5

Acquisition ID#: 36C244-24-AP-2157

The price schedule will be written for a per diem rate per occupied bed per night. The pricing would be subject to inflation and Wage Determinations.

The contract period for 3-years 1095 days. For 5 beds per day that would equal 5,475 beds for the 3-year period. Monthly invoicing will be dependent upon the number of used beds per day in accordance with the PWS. VAAR 852.216-71 Economic Price Adjustment of Contract Price(s) Based on a Price Index (MAR 2018) will be included in the contract for situations that may require a price adjustment for unusual and extenuating circumstances related to changes in Wage Determinations and high levels of inflation.

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

(x ) (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;

( ) (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):

The HCHV program is dependent on location and bed availability, to fulfill the program mission. HCHV Personal Care homes must be within 70 miles of the main WB VAMC, located at 1111 E End Blvd, Wilkes-Barre, PA 18711. The facility for these services must be within this catchment area to allow for easy transport to the WB VAMC as well as the Community Based Outpatient Clinics (CBOC). Victory House (D2LKR7M7GB11) has five

(5) open beds that were designated as five (5) Bridge Grant Per Diem beds. The provider lost their Bridge beds due to poor utilization in November 2023. Bridge GPD beds are only approved for 90 days. There previously was difficulty housing Veterans within that time frame due to the lack of affordable housing, apartment inspection delays, and Veterans inability to save enough money in that time frame to secure and maintain stable housing.

Five (5) beds have remained open at Victory House since losing the Grant. Plan is for Veterans that are placed in emergency shelter beds to transition to a Service Intensive GPD bed at Victory House (Veterans can remain in the program for up to 12 months,) will start working with a Case Manager upon admission to complete an Initial Treatment Plan and have a housing plan in place within the first 7-10 days in the program. HCHV Coordinator will work closely with the Veteran and Case Manager to ensure housing success.

VHAPG Part 806.3 OFOC Page 3 of 5

Acquisition ID#: 36C244-24-AP-2157

A contract with the Victory House, is necessary due to a continued need for the highly specialized HCHV services for our homeless Veterans. Re-soliciting and procuring a new contractor with a new facility will be detrimental to the care the Veterans in the CERS program. Keeping the Contract Emergency Residential Services (CERS) beds within Victory House will allow for an easier transfer for all parties involved when the Veteran is ready to move to the GPD program. The commercial marketplace for these highly specialized services is greatly limited according to market research and previous contractual experience across the state of Pennsylvania.

Accordingly, Victory House is the only firm capable of providing the services described in Section III above without the Veteran’s Health Administration experiencing a disruption to the care of this unique, delicate population of homeless Veterans. Moving the Veterans from an emergency placement bed at another facility may cause Veterans stress, anxiety and potential abandonment that is otherwise avoidable allowing them to continue focusing on the care plan provided by the HCHV program services.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Routine market research efforts were made to promote competition proving a limited commercial market for the HCHV Personal Care Home services in the requested catchment area. The CO and program staff have experience and knowledge of the local facilities already existing to provide services and again confirm only one facility at Victory House. If a solicitation was opened for competition, it is expected that a new contractor would need to have to build or alter a building. The time it would take to do so would interrupt services as well as increase the pricing substantially.

Sources Sought (36C24424Q1008) posted to SAM.gov Contract Opportunities on 09/09/2024 until 09/13/2024. The results of the sources sought are as follows:

Nuway Express Inc (UEI: V1GGLNKR4821) submitted a response but after review of their capabilities statement, they were removed from consideration. The claim to service several areas however, none of which would be pertinent to this requirement. In addition, none of their past or present Government contracts found within FPDS show experience in emergency housing.

BHPE LLC (UEI: UPDJHPJUYQ71) also submitted a response interested in the requirement.

They did not include a capabilities statement with their email. Further research on this company removed them from consideration as well. They have Government contracts listed in FPDS, yet all are for supplies and not housing services.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The Grant Per Diem Contract with Victory House was determined fair and reasonable at the time of award. The nightly rate for emergency beds trends to be approximately $100.00 and is considered to be fair and reasonable for these services.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: As described in Section 6 above, market

VHAPG Part 806.3 OFOC Page 4 of 5

Acquisition ID#: 36C244-24-AP-2157 research, in accordance with FAR Part 10, was conducted with a sources sought and special notice with the intent to sole source, advising industry of the pending acquisition. Additional Market Research has been conducted and is included in the Contract Briefcase.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: A contract with Victory House is required for Veteran care and continuation of the HCHV Program Mission because the incumbent is currently providing care to homeless Veterans.

Relocation of these Veterans is not practical and may cause Veterans stress, anxiety, and potential abandonment, that is otherwise avoidable, allowing them to continue focusing on the care plan provided by the HCHV program services. A contract with this provider is also required to maintain services in this geographic location.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: There were two companies other than Victory House, that expressed interest in response to a sources sought notice. Neither were able to show experience in the services requested, nor provided an address within the catchment area.

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: The VA is unable to take any further steps to remove or overcome any barriers to competition at this time due to current Veteran care and geographically based provider needs.

Contracting is concurrently working on several other acquisitions for the HCHV services across the state of Pennsylvania and NCO4. The Contracting Officer is promoting competition for those contracts in which market research provides reasoning for solicitation.

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.

Program Support Assistant Date Wilkes-Barre VAMC

PAMELA

GRZELACZYK

Digitally signed by PAMELA

GRZELACZYK

Date: 2024.09.19 15:38:05 -04'00'

VHAPG Part 806.3 OFOC Page 5 of 5

Acquisition ID#: 36C244-24-AP-2157

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.

Stefanie Carter Date Contracting Officer RPOE, NCO4, Services 1

STEFANIE CARTER

Digitally signed by STEFANIE

CARTER

Date: 2024.09.19 16:18:13 -04'00'

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.

Jacob C, Silbaugh Contracting Officer Date RPOE, NCO4, Services 1