JandA 36C244-26-AP-1199_Redacted.pdf

36C244-26-AP-1199 | Interim Westmoreland Cty CBOC

Effective Date: 12/30/2025 Page 1 of 4 Revision: 02 Acquisition ID#: 36C244-26-AP-1199

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH FAR 12.201-1 SIMPLIFIED PROCEDURES, IMPLEMENTED IN

ACCORDANCE WITH FAR 12.102, INCLUDING CONTENT ADDRESSED BY FAR 6.104-1

Acquisition Plan Action ID: 36C244-26-AP-1199

1. Contracting Activity:

Department of Veterans Affairs, Network Contracting Office 04, located at 1010 Delafield Road, Pittsburgh, PA 15215-1802, in support of VISN 04, VA Pittsburgh Healthcare System (VAPHS), 1010 Delafiel Road, Pittsburgh, PA 15215-1802, Purchase Request (VA2237): 646-26-3-483-0012.

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

This is a sole source request to maintain continuity of healthcare services (current contract 36C24425D0001) is for the VAPHS administered Community-Based Outpatient Clinic (CBOC) at Westmoreland County (Cty). The current contract expires 03-31-2026 and was awarded to serve as a bridge to the full activation of a Government Leased CBOC facility (36C24423L0024). Unfortunately, the schedule for the Government Leased CBOC through full activation and assumption of the primary care mission is delayed and is extended beyond the contracted CBOC’s period of performance. VAPHS anticipates that the Government Leased CBOC will assume the primary care mission by 03-31-2027. In the mean time, this procurement is conducted in accordance with (IAW) FAR 12.102(b) and must obtain approval of the justification as described in FAR 6.104 IAW the authority vested by 41 U.S.C. 1901. The Government anticipates award of a new firm fixed priced indefinite delivery indefinite quantity contract to include a twelve-month period.

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

The Westmoreland Cty CBOC currently provides healthcare services to veterans under the authority of 38 U.S.C. 8153. The clinic provides a continuum of critical primary care services including prevention, diagnosis, treatment, and appropriate referral and follow-up services. Those patients that require specialty or follow-up care may be referred to the clinic’s administrative parent facility:

VAPHS. The clinic provides coordinated care that is accessible, patient-centered, and consistent with VA standards as defined in VHA directive 2006-41, “Veterans Health Care Service Standards” dated 06-27-2006 (and subsequent revisions thereto). VAPHS requires a short-term interim contract to provide for the professional medical staff, diagnostic testing, referral arrangements, and associated services. The period of performance for this service is 04-01-2026 to 03-31-2027. A determination for Option FAR 52.217-8 is included in the contract briefcase.

NCO4 estimates total cost for this procurement is

4. Statutory Authority Permitting Restricted Competition:

FAR 12.201 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 12.201 is 41 U.S.C. § 1901 and is

36C244-26-AP-1199 | Interim Westmoreland Cty CBOC

Effective Date: 12/30/2025 Page 2 of 4 Revision: 02 Acquisition ID#: 36C244-26-AP-1199 implemented by FAR 12.102 for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

(X) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

( ) Unusual and Compelling Urgency ( ) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert

Services ( ) International Agreement ( ) Authorized or Required by Statute ( ) National Security ( ) Public Interest

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 incumbent contractor, Valor Healthcare, Incorporated, a large business, is the only firm with the capability to provide continuity of healthcare services within the required performance period. The Westmoreland Cty CBOC is under the purview of the Administrative Parent VAPHS and is operated by the incumbent contractor. The required services have been vetted and certified, and a competitive procurement at this time would result in unacceptable delays that would disrupt patient care. Additionally, award to a new contractor would necessitate a period of at least four months to identify a physical location, demonstrate compliance with Joint Commission, OIG, and VA standards of care for veterans, and commence services. Given that the agency will move within approximately 1 to 1.5 years to a long-term lease arrangement, it is not practicable to assume the administrative burden and potential disruption to continuity of care that recompeting the Westmoreland Cty CBOC services in the interim would entail. The incumbent contractor has provided Westmoreland Cty CBOC services for 16(+) years and is the only source with the necessary systems and processes in place pertinent to veteran eligibility, electronic patient records, diagnostic requests, invoicing, telemedicine, and other requirements to provide services in accordance with Joint Commission, OIG, and VA standards of care.

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

NCO4 synopsized this requirement as an Intent to Sole Source Presolicitation Notice (36C24425Q0185) to System for Award Management (SAM) Contract Opportunities (CO) on 02-06- 2026, requesting vendor(s) response by 02-13-2026. NCO4 received no vendor reponse.

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

The incumbent large business contractor currently provides the required services to VAPHS and meets the standards detailed in item 5. The Government will determine fair and reasonable pricing by evaluating pricing for the interim services in relation to current contract pricing, Bureau of Labor Statistics Consumer Price Index for Outpatient Hospital Services in the US, and the Independent Government Cost Estimate (IGCE). Any additional mandate for meeting the subcontracting