Justification and Approval BEAVER CBOC.pdf

36C244-23-AP-0716 | Beaver CBOC

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval For

Other Than Full and Open Competition

1. Contracting Activity:

Department of Veterans Affairs, Veterans Integrated Service Network 04 (VISN04), VA Pittsburgh Healthcare System (VAPHS), Network Contracting Office 4 (NCO4), PR# 646-23-2-093-0004

2. Nature and Description of the Action Being Processed:

This is a sole source request to maintain continuity of healthcare services at the VA Community Based Outpatient Clinic at Beaver County, Pennsylvania (Beaver CBOC), pending the clinic’s transition from a CBOC service contract to a leased facility staffed by VA personnel. The government anticipates award of a firm fixed price contract to include a one-year base performance period and one option year. The total estimated value of the base year is $3,836,448.00, and the total estimated contract value is $10,001,628.00.

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

The Beaver CBOC, operating under the VA Pittsburgh Healthcare System (VAPHS), currently provides healthcare services to veterans residing primarily in Beaver County, PA. Beaver CBOC 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 VAPHS. The CBOC provides coordinated care that is accessible, patient-centered, and consistent with the thirteen service standards detailed in VHA Directive 2006-041, “Veterans Health Care Service Standards,” dated 6/27/06 (and subsequent revisions thereto).

VA currently contracts professional medical staff, diagnostic testing, referral arrangements, and associated services for Beaver CBOC through a CBOC contractor. The agency is in the process of transitioning to a leased facility staffed by VA personnel which will be completed in approximately two years. While it is not in the agency’s interest to compete a new five-year CBOC contract, the agency requires a short-term contract to maintain continuity of health care at the Beaver CBOC pending execution of the long-term lease arrangement.

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 FAR 6.302-1;

( ) (2) Unusual and Compelling Urgency per FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services per FAR 6.302-3;

( ) (4) International Agreement per FAR 6.302-4 ( ) (5) Authorized or Required by Statute FAR 6.302-5;

( ) (6) National Security per FAR 6.302-6;

( ) (7) Public Interest per 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 incumbent contractor, Valor Healthcare, Inc., a large business, is the only firm with the capability to provide continuity of CBOC services within the required performance period. The agency is in the process of transitioning Beaver CBOC services from a contracted CBOC to a leased facility staffed by VA personnel. Recompeting the Beaver CBOC would entail significant administrative burden, and potentially require transition of services to a new physical location staffed by new healthcare providers, creating disruption for veteran beneficiaries. 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 two 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 Beaver CBOC services in the interim would entail. The incumbent contractor has provided Beaver County CBOC services for five 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:

Because the agency intends to maintain continuity of Beaver CBOC healthcare services with minimal disruption pending transition within approximately two years to a long-term lease agreement, only the incumbent contractor will be solicited for this interim contract. As indicated in Section 5 above, only the incumbent contractor has the necessary systems and processes in place to ensure continuity of healthcare services at the physical site in accordance with Joint Commission, OIG, and VA standards of care.

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

The incumbent contractor holds several competitively-awarded CBOC contracts within VISN04, including the current contract for Beaver CBOC services. This demonstrates the incumbent contractor’s understanding of fair and reasonable market pricing and capability to provide the healthcare services required within those parameters. The contracting officer intends to evaluate pricing for the interim services in relation to current contract pricing, which was determined fair and reasonable at award, and the Independent Government Cost Estimate (IGCE).

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

Market research was limited to confirming the capability of the incumbent contractor to provide continuity of services required.

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

Intentionally left blank.

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

None.

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 agency anticipates subsequent acquisition of these services to be fulfilled through a long-term lease arrangement, which is currently being pursued in accordance with appropriate agency policy and regulation.

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.

Jocelyn Connelly

Date

CBOC Business Manager

13. Approvals in accordance with FAR 6.304

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

Kevin Balser Date Branch Chief, Medical 1, NCO 4

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.

Caroline Robinette Date Division 1 Chief, NCO 4

JOCELYN

CONNELLY

Digitally signed by

JOCELYN CONNELLY

Date: 2022.12.13 13:29:20 -05'00' kevin balser 1496982

Digitally signed by kevin balser 1496982 Date: 2022.12.13 13:33:59 -05'00'

Caroline L.

Robinette 135596

Digitally signed by Caroline L. Robinette 135596 Date: 2022.12.14 07:45:45 -05'00'

c. 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 approve for other than full and open competition.

Date

Joseph P. Maletta VHA Head of Contracting Activity Executive Director, RPO-East