P03 JA 6.302- 5 VOSB 36C10X22P0121_Redacted.pdf

DEPARTMENT OF VETERANS AFFAIRS

Office of Procurement, Acquisition and Logistics (OPAL)

Strategic Acquisition Center (SAC) 5202 Presidents Ct., Suite 103

Frederick, MD 21703

JUSTIFICATION AND APPROVAL FOR OTHER THAN FULL AND

OPEN COMPETITION

1. Identification of the agency and the contracting activity.

This Justification and Approval (J&A) for Other Than Full and Open Competition is executed by the Strategic Acquisition Center (SAC), on behalf of the Department of Veterans Affairs (VA), Veterans Health Administration (VHA) Office of Integrity and Compliance (OIC).

2. Nature and/or description of the action being approved.

This activity proposes to negotiate a non-competitive award (sole source) Firm Fixed Price (FFP) with Sigma Health Consultant LLC (SHC) a Veteran Owned Small Business (VOSB). UEID: E2T5XWDUKEP4

A description of the supplies or services required to meet the agency’s needs (including the estimated value).

The Department of Veterans Affairs (VA), Veterans Health Administration (VHA), Office of Integrity and Compliance (OIC) is seeking contractor support to assist with building the organizational framework, processes, and tools to ensure consistent organization-wide oversight and accountability (OA) across VHA. These efforts are in support of the execution of the Government Accountability Office (GAO) High Risk List (HRL) Action Plan for Managing Risks and Improving VA Health Care. Currently, VHA has a fragmented oversight operating model that impedes VHA’s ability to effectively communicate across program offices, oversee policy implementation and ensure organizational accountability. As the GAO HRL Outcome Executive and Lead of Oversight and Accountability, OIC is leading the development of a risk-informed oversight function in line with an oversight model and maturity model, which will define and guide the maturation of processes across all VHA entities.

This contact is to provide contactor support to provide oversight and accountability services for VHA OIC. Various tasks and deliverables align to several services across oversight, corrective action, risk governance, data monitoring, and compliance subject areas. These services will include specific deliverables and tasks that will be completed by the contractor to include: 1) assemble assessment and evaluation tools and techniques; 2) program and project management; 3) implement process and system improvement efforts; and 4) recommend data-driven improvements to policies, procedures, or systems.

The total estimated value

An identification of the statutory authority permitting other than full and open competition.

The statutory authority permitting other than full and open competition is 41 U.S.C.

§ 253(c)(5) as implemented by the Federal Acquisition Regulation (FAR) Subpart 6.302- 5 entitled, “Authorized or required by statute”. The applicable statute is Public Law 109- 461: “Veterans Benefits, Health Care, and Information Technology Act of 2006” specifically, the “Veterans First Contracting Program” outlined in 38 USC § 8127(c).

A demonstration that the proposed contractor’s unique qualifications or the nature of the acquisition requires use of the authority cited.

VAAR 819.7008 states explicitly, “A determination that only one VOSB can meet the requirement is not required,” and that using this authority, the following must be verified:

The anticipated award price of the contract (including options) will not exceed $5 million.

The estimated total contract value is

The justification prepared pursuant to FAR 6.302-5(c)(2)(ii) is posted in accordance with FAR subpart 5.301(d).

SHC, LLC is a registered and verified VOSB.

The VOSB concern has been determined to be a responsible source with respect to performance; and, The proposed action meets all three requirements of 38 U.S.C. 8127(c). Sigma Health has been verified by VIP as owned and controlled by a Veteran. Sigma Health possesses the capability to provide the required services as Sigma has successfully provided services to VA that are similar to the required services, most recently for VHA OIC and Internal Audit (IA), and are familiar with current policies, processes, and procedures. Sigma Health is determined to be a responsible source with the required knowledge, capabilities, and expertise with respect to performance of this opportunity.

Since 2019, Sigma has worked closely with the Office of Integrity and Compliance gaining knowledge of the program office, its operations, priorities, policies, and processes. Sigma has successfully performed compliance, risk, audit and Fraud, Waste and Abuse (FWA) work to improve efforts to increase oversight of various programs initiatives. This exposure and knowledge gained will be crucial to continuity of services as new components are integrated with the legacy components. If another vendor is selected, additional risk would be incurred as the new contractor’s staff may not fully understand the intent and context of the complex requirements included in this application. Furthermore, another source would require a steep learning curve while gaining familiarity with the critical work of the Enterprise Risk Management Functions including Oversight and Accountability.

In the estimation of the contracting officer, contract award can be made at a fair and reasonable price that offers best value to the Government. Historical prices along with market research for similar will assist with making a fair and reasonable price determination prior to award.

(7) The Contracting Officer has determined that the use of this authority is in the best interest of the Government based upon the fact that SHC, LLC is a VOSB team that possesses experience working “organization-wide oversight and accountability (OA) across VHA” This experience and expertise are required to ensure successful performance under this contract.

Furthermore, the proposed source for this acquisition is SHC, LLC, a certified VOSB that is technically qualified to complete this work, and has unique capabilities not prevalent in the commercial marketplace.

6. A description of efforts made to ensure that offers are solicited from as many potential sources as is practicable, including whether a notice was or will be publicized as required by Subpart 5.2 and, if not, which exception under 5.202 applies.

In accordance with 819.7008(b), the determination to make a sole source award to a VOSB is a business decision wholly within the discretion of the contracting officer; therefore, the requirement to ensure that offers are solicited from as many potential sources as practicable is not applicable to this procurement. In addition, 819.7008(c) further authorizes the contracting officer to make the award without first determining that only one VOSB source can meet the requirement.

A notice of the proposed action will be synopsized via the Government Point of Entry (GPE) in accordance with FAR Section 5.201, and the agency will make publicly available the justification required by 6.305(a) within 14 days after contract award.

7. A determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

No award shall be made until the Contracting Officer determines the cost to the Government to be fair and reasonable. This determination will be based on a comparison of current contract pricing, past proposal submissions (if available), other information made available, and an Independent Government Cost Estimate.

8. A description of the market research conducted (see Part 10) and the results or a statement of the reason market research was not conducted.

Market research was conducted and SHC, LLC has been determined to be a responsible source with respect to performance. They are registered and certified in VetBiz.gov (VIP) as a VOSB with the NAICS 541611, Administrative Management and General Management Consulting Services, which is the NAICS code for this requirement and in accordance with (IAW) Public Law 109-461 Section 502 (c), meets the requirement of this statute to sole source to a VOSB. In addition, a review of their Representations and Certifications was conducted in the System for Award Management (SAM) and SHC, LLC represented that they are a small business under this NAICS code verified by the Contracting Officer on VIP on 8/12/2022.

In addition, the Federal Awardee Performance and Integrity Information System (FAPIIS) was reviewed and FAPIIS shows no reports for SHC that would indicate defective pricing, instances of contractor fault or recipient not-qualified, terminations for cause, default, or material failure to comply, or non-responsibility of the contractor.

9. Any other facts supporting the use of other than full and open competition.

The Procuring Contracting Officer has determined that this proposed action meets all the requirements of 38 U.S.C. 8127(c). This acquisition is below the $5,000,000.00 threshold, SHC, LLC is a responsible VOSB for performance of the services described herein, and the proposed contract can be awarded at a fair and reasonable price.

10. A listing of the sources, if any, that expressed, in writing, an interest in the acquisition.

Sigma Health Consulting, LLC 204 Eldrid Drive Silver Spring, MD 20904

11. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before any subsequent acquisition for the supplies or services required.

All future requirements will be handled on a case-by-case basis. Toward the expiration of this contract, consideration will be given as to whether the future acquisition should be competitive.