P03 JnA Virtual Pharmacy Services.pdf

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition

Acquisition Plan Action ID: 36C252-25-AP-0921

1. Contracting Activity: Department of Veterans Affairs, Network Contracting Office (NCO) 12, Great

Lakes Acquisition Center, on behalf of the VA Illiana Health Care Systems, 1900 East Main Street, Danville, IL 61832. This is a justification for Other than Full and Open Competition.

Purchase Request: 550-25-2-044-0109

2. Nature and/or Description of the Action Being Approved: A sole source contract for Virtual Pharmacy Services for VA Illiana Health Care Systems (Danville VAMC) to Bliss Pharmacy, 13634 E.

Williams Field Rd, Gilbert, AZ 85295. The resultant contract will be awarded as a firm-fixed price Indefinite Delivery Indefinite Quantity Contract (IDIQ).

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The Danville VAMC has a requirement for a pool of virtual pharmacists who can provide remote pharmacy services to complete pending inpatient orders (including those administered by the intravenous route).

These services would be needed during off tour hours, to include weekends and all observed Federal Holidays when the inpatient pharmacy is closed. Contracted pharmacists must evaluate each prescription for drug-drug interactions, contraindications for recorded drug allergies, appropriate doses, accurate directions, and assure the final order will be understandable to the nurses administering the medication. All pharmacists must have an active license recognized by the National Association of Boards of Pharmacy in accordance with the regulations of the State in which the pharmacist is licensed. The contractor shall also provide technical support personnel, medical and telecommunication equipment, supplies, and supervision necessary to perform and implement pharmacy services to meet the needs of the Government.

The period of performance will be April 1, 2025 through March 31, 2030.

The estimated total amount of this award is $435,971.50.

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §3304(a)(5), 38 U.S.

Code § 8127(c), as implemented by FAR 6.302-5 (Authorized or Required by Statute). COs may use the non-competitive (sole source) procedures authorized in VAAR 819.7008 (DEVIATION) or VAAR

819.7009 (DEVIATION) up to $5,000,000. Check the specific VAAR 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 and/or Nature of the Acquisition Requires the Use of the Authority Cited Above: The authority allows sole source awards to SDVOSBs based on 38 U.S.C. 8127(c). Bliss Pharmacy Services is a SDVOSB concern that has been determined to be a responsible source with respect to performance. Additionally, Bliss Pharmacy Services meets eligibility requirements in 819.7003(DEVIATION).

https://www.va.gov/oal/docs/business/pps/deviationVaar20230216.pdf

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable, including whether a notice was or will be publicized as required by FAR Subpart 5.2 and, if not, which exception under FAR 5.202 applies: Market Research was conducted by the Contracting Officer’s Representative (COR) and the Contracting Office. The CO issued three Sources Sought Notices (SSNs) on June 10, 2024, July 31, 2024, and September 11, 2024. An Intent to Sole Source was posted to SAM.Gov on December 13, 2024.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The anticipated cost of the contract will be considered fair and reasonable based on pricing obtained through market research and the current contract rates. The CO will award the contract and the pricing will be fair and reasonable.

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

Market Research Was Not Conducted: In accordance with FAR Part 10, Market Research was conducted. An SBA Dynamic Search resulted in identifying three verified small businesses: Wong Pharmacy Services (Woman Owned Small Business), C&E Pharmacy Services (SDVOSB), and Bliss Pharmacy Services (SDVOSB).

The CO issued three (3) Sources Sought Notices to Home | SAM.gov “Contract Opportunities” as part of market research efforts to identify potential sources. An SSN was posted seeking SDVOSBs posted on June 10, 2024, which resulted in identifying 12 vendors of which seven were SDVOSBs.

However, only Bliss Pharmacy Services provided pricing in-line with the current contract rates that were negotiated five years ago. The second SSN seeking small businesses was posted on July 31, 2024, which resulted in identifying nine vendors of which five were SDVOSBs and four were SBs.

Pricing information was received from three of the SDVOSBs. Bliss Pharmacy Services was the only vendor that responded with rates that could be considered fair and reasonable. The other vendor’s rates were $2M to 12M higher that Bliss Pharmacy Services’ rates. The final SSN seeking large businesses was posted on September 11, 2024, which resulted in responses from four vendors of which one was Large, two were SBs and the other was not active in SAM.gov. The vendor responded with rates that were over $2M more than those of Bliss Pharmacy Services.

SAM.GOV: A search for active vendors that provide virtual pharmacy services revealed two SDVOSBs: Bliss Pharmacy and C&E Pharmacy and one Small Business: Mednovations.

GOOGLE Searches: A search utilizing the keywords “virtual pharmacy services” revealed the following vendors: Premise Health, CoverMyMeds Insights, Amazon Pharmacy, Home Delivery | Express Scripts Pharmacy, Optum, Truepill, ASHP, CVS Health and Cardinal Health. Upon further research, these vendors were online pharmacies rather than providers of virtual pharmacy services.

GSA eLibrary: A search utilizing keywords “virtual pharmacy” yielded no results.

Intent to Sole Source: The Intent to Sole Source Notice yielded results from the small business vendor, Mednovations, that inquired about setting aside a solicitation to small businesses to allow it an opportunity to compete.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition: None.

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: The following 23 vendors expressed interest in the acquisition: A2A Pharmaceuticals, Anuco Rx, A-Team Solutions, BHPE LLC, Bliss Pharmacy, C&E Pharmacy, Clean Cut & Trimmed, Edo Enterprise, Frantz Aubourg, Home Care Advantage, Honorvet, Knights Pharmacy, Lance Soft, MedNovations, Myles Consulting, https://www.acquisition.gov/far/part-5#FAR_Subpart_5_2 https://www.acquisition.gov/far/part-5#FAR_5_202 https://sam.gov/

PharmD USA, Rapid Temps, RGP Supply, Straight A Fitness, Synergyix, T12 Technologies, Virtu Inc and Zaid Solutions. Only 12 of the 23 vendors demonstrated a capability to perform these services.

However, Bliss Pharmacy Services is the only SDVOSB that can perform these services at a fair and reasonable price.

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 Contracting Officer will post another Sources Sought Notice to Contract Opportunities and conduct market research before making subsequent acquisitions for these services.

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.

Rhonda Hodgson Administrative Officer, COR VA Illiana Health Care System

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

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

Antanette Shellaugh Contracting Officer

NCO 12

b. One Level Above the Contracting Officer: I certify the justification meets requirements for other than full and open competition.

Patrice Bond Branch Chief, Medical Sharing Team

NCO 12

https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx