JandA signed.pdf

JUSTIFICATION AND APPROVAL

FOR OTHER THAN FULL AND OPEN COMPETITION

1. Agency/Contracting Activity: Oklahoma Area Office

2. Description of Action: Eye Glasses

Nature: New Requirement Follow-on Requirement

Modification to Existing Purchase Order/Contract Number

Pricing: Firm-Fixed Price Time & Materials Cost

Other:

Funds: OMA Other Funds: Agency Appropriations

Name of Proposed Contractor(s): Modern Eyes Street Address: 423 SW 11th ST City, State, Zip: Lawton, OK 73501 Phone: 580-248-3107

3. Description of Services or Supplies:

Basis for Approval (FAR 6.303-1(d)): Individual Basis Class Basis

The total estimated value of the proposed action, including all options is $100,000.00

The Government has a requirement for continuing Eyeglass manufacturing and disbursement at Pawnee Indian Health Center on an urgent and compelling basis to ensure a continuity of services. Currently there is no contract in place due to contract termination for cause. There are no Blanket Purchase Agreements (BPA) throughout the Area that are fulfilling this requirement.

The current contract was expected to expire March 31, 2024. Due to technical difficulties, quality of work, monthly invoicing errors, and inability to provide services in accordance with the Statement of Work, the contract was terminated September 14, 2023. A bridge contract for these services is requested to continue to maintain continuity of care and continued services for the patients of the Pawnee Indian Health Center.

The Government requires a six-month period of performance with the option for an additional six months (one month at a time). In order to maintain a continuity of services during the time required for a new solicitation, the six-month period of performance with a six one-month option periods will allow sufficient time for proper research, solicitation posting and award for new contract moving forward.

4. Authority and Rationale: Identify the statutory authority, FAR title, and FAR citation permitting other than full and open competition. It may be one of the following most commonly used citations by the operating divisions of the Department of Health and Human Services (HHS), but other exceptions may apply per FAR Subpart 6.3.

Actions other than simplified acquisition procedures (select only one and provide an explanation):

FAR 6.302-1: Only one responsible source and no other supplies or services will satisfy agency requirements, 41 U.S.C. 253(c)(1)

FAR 6.302-2: Unusual and compelling urgency, 41 U.S.C. 253(c)(2)

In March 2022, a Base + 4 option years contract was awarded to provide eyeglasses for eligible patients of the Pawnee Indian Health Center after successful solicitation and evaluation of proposal packages. Due to delays the program did not officially start until October 2022. From the first month there were problems with quality, invoicing issues and problems with pricing.

Between January and March 2023, the contractor was moving labs and continued to have problems providing services. Service was suspended temporality to allow contractor time to move, set-up and transition to new online portal. February and March of 2023, training was conducted on new portal and service resumed. From this time, there were issues with quality, prescription errors, timeliness of orders, pricing errors, etc. Numerous meetings were held to try to rectify issues which eventually led to termination of the contract.

The current contract was terminated for Cause on September 14, 2023. In light of the process for termination and timing of Fiscal Year end, a new solicitation to fulfill the requirements could not be started. If the services are not fulfilled, eligible patients, many with no alternate resources, will not be provided eyeglasses and this will affect the Government’s ability to provide direct patient care and carry out its mission. Additionally, if the services are not provided it will result in patients seeking eye care elsewhere, at their own expense, which can cause lost revenue from insurance billing. Many patients with no alternate resources will be unable to afford eyeglasses and will opt to go without.

FAR 6.302-5: Authorized or Required by Statute, 41 U.S.C. 253(c)(5)

Other (See FAR Subpart 6.3 for additional authority): ______________

5. Bridge Contracts:

The current need is for bridge contract with a small business to fulfill the needs until there is resolution to the termination of the current contract. This will give the service unit the appropriate time to begin preparations for the solicitation for a new contract. Additionally, requesting at least six months, with six month extension option, due to logistic of new program to order frames and lenses and setting up new frame boards. It is not feasible to do it for any less than the period requested.

The current bridge contract will provide the minimum period of performance to satisfy the lead-time necessary for proper solicitation for new contract. The contract termination was effective September 14, 2023.The bridge contract will allow time for resolution and any voluntary corrective action that may or may not need to be taken.

6. Actions to Increase Competition:

The current action for bridge contracts will not be posted in accordance with FAR 5.202

(a) (2) Exceptions The proposed contract action is made under the conditions described in 6.302-2 (or, for purchases conducted using simplified acquisition procedures, if unusual and compelling urgency precludes competition to the maximum extent practicable) and the Government would be seriously injured if the agency complies with the time periods specified in 5.203;

A solicitation for Buy Indian Set-Aside will be posted for a new contractor that is able to meet the terms requested and provide service. If one is not capable of meeting the needs of the Government then a small business set-aside will be posted.

7. Market Research:

Oklahoma Area has awarded multiple contracts for eyeglass service. These services were solicited with Buy Indian and Small Business set-asides. There are several contractors in the market able to provide the requested services.

Market Research was based upon the previous awards from existing contracts within the area that have successfully provided the required services.

Once the bridge contract is in place, the process to solicit for a long term eyeglass provide will commence. Once an agreement is reached in regards to the previous contract, this service will be solicited first as Buy Indian then Small Business set-aside, if necessary.

Only after attempt for socio-economic businesses is exhausted, would the solicitation be posted as full and open competition. It is expected that there will be contractors able to fulfill the requirements requested.

Based on the market research above and HHSAR 326.603-3 (e) “If the CO determines after market research that there is no reasonable expectation of obtaining two or more offers that will be competitive in terms of market price, product quality, and delivery capability, from ISBEEs and/or IEEs, then the CO shall follow the Deviation process under

HHSAR 326.603-3.” Therefore, in this instance, based upon historical facts from the previous award procedures and lessons learned, a determination that there were not two or more Native-owned vendors that can satisfy this requirement and within the time required.

8. Procurement History:

Previous Purchase Order(s) or Contract(s): Yes No

Purchase order or contract number:

Vision Associates of Rochester 75H71122C00001

Was action competed? Yes No

If action was not competed, state the cited authority, summarize rationale, and describe the actions that were supposed to be taken to increase competition and the results thereof: Not Applicable

9. Additional Information to support the justification.

This action is for bridge contract so the Government may continue to provide direct patient care to our patients. This action is temporary and five year agreements will be awarded after the protest action is completed. Not awarding bridge contract will result in reduced continuity of care as well as access to care. This will cause a negative impact on direct patient care as many do not have the resources or means to afford frames and lenses outside what Indian Health Service can offer.

10. Technical / Requirements Certification: By my signature below, I certify that the supporting data under my review which is included in this J&A is accurate and complete.

NOT APPLICABLE, BRIDGE CONTRACTS

Program Manager Name: Joyce Oberly Position Title: Ancillary Services Director Email address: joyce.oberly@ihs.gov Phone: 918-762-6612 (No signature required)

Program Manager Supervisor (or one level above Program Manager) Name: Terry Burris Position Title: CEO (A) Email address: terry.burris@ihs.gov Signature: Terry L. Burris -

S Digitally signed by Terry L.

Burris -S Date: 2023.10.03 12:08:18 -05'00'

Date:

11. Fair and Reasonable Price Determination: As Contracting Officer, by my signature below, I hereby determine that the anticipated cost to the Government for this contract action will be fair and reasonable.

The current contract was competed and the prices were determined fair and reasonable at time of award. Additionally, the following price analysis was conducted to verify price fair and reasonableness.

Rochester 75H71122C00009

SINGLE VISION PLASTIC - $29

SINGLE VISION POLYCARBONATE - $39

SINGLE VISION HI-INDEX - $77

BI-FOCAL LINED PLASTIC - $32

BI-FOCAL LINED POLYCARBONATE - $42

BI-FOCAL LINED HI-INDEX - $122

BI-FOCAL NO LINE PLASTIC - $65

BI-FOCAL NO LINE POLYCARBONATE - $75

BI-FOCAL NO LINE HI-INDEX - $117

The pricing is on average with industry standards. The price variation between vendors during selection was contributed to business sizes, General and Administrative, and Overhead costs being different for each firm. Therefore, based on the analysis above and the competitive environment the pricing was received in, the pricing is hereby determined fair and reasonable.

12. Contracting Officer’s Approval: I hereby certify that this justification is accurate and complete to the best of my knowledge. I approve this sole source justification subject to availability of funds, and provided that the services and supplies herein described have otherwise been authorized for acquisition.

Signature: Date:

Typed Name: Sean L. Long Title: Chief Contracting Officer

Sean Long -S Digitally signed by Sean Long -S Date: 2023.10.05 10:24:14 -05'00'