P03. 36C262-24-AP-4069-FY24-612 JOFOC NCO22 Medical Transportation Tucson - HCA Approved.pdf

SDVOSB Sole Source Justification

VHAPG Part 806.3 OFOC Page 1 of 4

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: 36C262-24-AP-4069

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C262-24-AP-4069

1. Contracting Activity: Department of Veterans Affairs (VA), VISN 22, Southern Arizona

VA Healthcare System (SAVAHCS), 3601 S. 6th Avenue, Tucson, Arizona 85723. Network

Contracting Office (NCO) 22, 3601 S. 6th Avenue, Tucson, Arizona 85723.

PR: 678-25-1-139-0002.

2. Nature and/or Description of the Action Being Processed: A new nine-month, sole-source, firm-fixed price, Indefinite Delivery, Indefinite Quantity contract, providing Veterans assigned to SAVAHCS convenient, safe, and reliable Non-Emergent Medical Transportation

Services to and from their VA health care appointments.

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

Non-Emergent Medical Transportation Services is required from October 1, 2024 to June 30, 2025. Services include pre-arranged, scheduled, unscheduled, and will call door to door service from beneficiary’s homes, apartments, and other areas designated by the Patient

Travel Office (PTO) on an as needed basis, twenty-four (24) hours a day, seven (7) days a week (Including holidays).

Period Estimated Price Quantity

10-01-2024 to 06-30-2025 $4,809,955.90 9-Months

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC

3304(a)(5), 38 USC 8127(c), as implemented by FAR 6.302-5 (Authorized or Required by

Statute). A Contracting Officer (CO) may use non-competitive (sole source) procedures authorized in VAAR 819.7008 (DEVIATION) or VAAR 819.7009 (DEVIATION) up to

$5,000,000.00. Check the specific clause used below:

(X) 819.7008 Sole source awards to a certified service-disabled veteran-owned small business; or

( ) 819.7009 Sole source awards to a certified veteran-owned small business

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the

Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

38 U.S.C. 8127(c) provides the statuatory authority for a CO to award a contract using other than competitive procedures to a Veteran Owned Small Business (VOSB) or Service

Disabled Veteran Owned Small Business (SDVOSB). A CO’s determination to make a sole sole-source award is a business decision wholly within the discretion of the CO. A determination that only one SDVOSB can meet the requirement is not required. Trans 28, Limited Liability Company (LLC). meets all eligibility requirements stated in VAAR

819.7003 and has been determined to be a responsible source with respect to performance.

Trans 28, LLC. currently provides services of similar size and scope to other VA medical facilities.

VHAPG Part 806.3 OFOC Page 2 of 4

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: 36C262-24-AP-4069

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: To ensure that opportunities remain available to as many VOSB and SDVOSBs as possible, the CO along with the Office of General

Counsel’s (OGC) recommendation, will exercise 38 USC 8127 authority only when the government has no other recourse in awarding essential services in a timely manner that directly support our nation’s veterans. In accordance with FAR 5.2 and FAR 6.305(a), the

CO will make publicly available the justification within 14 days of contract award.

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

Reasonable: CO will determine price reasonableness by comparing proposed prices with prices found reasonable on previous purchases..

8. Description of the Market Research Conducted and the Results, or a Statement of the

Reasons Market Research Was Not Conducted:

Market Research was conducted from June 16, 2023, to June 10, 2024. It consisted of:

• A search on the Veteran Small Business Certification database revealed 313 verified

VOSB and SDVOSBs were available nationwide under North American Industry Class

(NAICS) code 485991. CO confirmed there were two or more SDVOSB interested parties under NAICS 485991 certified in the VetCert database.

• CO used Phoenix VA Health Care System’s Sources Sought Notice, 36C26223R0159, posted from June 16, 2023, to June 30, 2023, to expedite finding interested parties capable of providing Non-Emergent Medical Transportation Services for SAVAHCS.

-- CO received eleven responses. Of the eleven responses, five verified SDVOSBs and two small business concerns expressed interest for SAVAHCS.

• Anticipating a protest, CO sent an email on February 22, 2024 to interested parties who had initially responded to Sources Sought Notice 36C26223R0159. It asked for vendors who were capable of providing services within 30 to 90 days. Three responded.

• All were asked to attend a site visit on June 10, 2024, for vehicle inspections, ask any questions they may have, and provide a quote no later than June 14, 2024.

• In accordance with VAAR 819.7003 and VAAR 819.7008(d), the CO confirms 28 Trans, LLC. meets all requirements for award under 38 USC 8127.

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

Non-emergent Medical Transportation Services provide VA patients the ability to attend medical appointments when they are unable or cannot provide for themselves. Patients attending medical appointments on-time allow hospitals to operate effectively and efficiently.

Veterans not able to attend scheduled appointments due to gap in service outweighs the government’s requirement to promote full and open competition, preventing serious injury to agency’s veterans, and their ability to access timely healthcare.

On October 1, 2023, VA contract, 36C25818D0031 was extended three months to gain

Head of Contracting Activity (HCA) J&A approval using FAR 6.301-1, Only One

Responsible Source and No Other Supplies of Services will Satisfy Agency Requirements.

On January 1, 2024, 36C26224D0063 was awarded to 36C25818D0031’s incumbent

(Former SDVOSB who in FY23 became a large business), the only known source capable of providing Non-Emergent Medical Transportation services and not have any gaps ins service.

This action was protested immediately. On May 28, 2024, the Executive Director, Office of

VHAPG Part 806.3 OFOC Page 3 of 4

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: 36C262-24-AP-4069

Acquisition and Logistics issued a letter stating that the agency would take corrective action and terminate the award.

With limited time to correct previous actions, OGC recommended using 38 USC 8127. This would allow a CO to award a sole-source ‘bridge contract’ to a responsible SDVOSB as long as the award exceeds the simplified acquisition threshold but does not exceed $5 Million and the contract award can be made at a fair and reasonable price that offers best value to the

United States, giving Contracting the necessary time to solicit a follow-on contract.

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

28 Trans, LLC.

204 Danventry Drive

Debary, Florida 32713

UEI: QFBWKAW12YT7

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 will continue conducting market research for Non-Emergent

Transportation Services during the nine-month period of performance (10-01-2024 to 06-30-

2025) providing the time required to properly conduct a full and open competition for a new base plus four (4) year contract.

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.

Sherrie Miller Date

Chief of Business Operations

Southern Arizona VA Healthcare System

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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

Mayte Diaz Date

NCO 22 Services 1 Branch Chief/Contracting Officer

September 9, 2023 https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx

VHAPG Part 806.3 OFOC Page 4 of 4

Revision: 03 Effective Date: 04/15/24

Acquisition ID#: 36C262-24-AP-4069

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.

Jarrod Washington Date

NCO 22 Division 1 Chief

b. Director of Contracting, NCO 22: I certify the justification meets requirements for other than full and open competion.

Sabrina J. Smith Date

Director of Contracting (DoC)

NCO 22, Regional Procurement Office (RPO) West

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 recommend approval (if over $75 million) or approve ($750K to $75 million) for other than full and open competition.

Curtis M. Jordan Date

Executive Director, Regional Procurement Office West

Head of Contracting Activity (HCA)