S02 Document Destruction BHHCS 36C26327Q0001.docx

36C26327Q0001

PAGE 1 OF

1. REQUISITION NO.

2. CONTRACT NO.

3. AWARD/EFFECTIVE DATE

4. ORDER NO.

5. SOLICITATION NUMBER

6. SOLICITATION ISSUE DATE

a. NAME

b. TELEPHONE NO. (No Collect Calls)

8. OFFER DUE DATE/LOCAL

TIME

9. ISSUED BY

CODE

10. THIS ACQUISITION IS

UNRESTRICTED OR

SET ASIDE:

% FOR:

SMALL BUSINESS

HUBZONE SMALL

BUSINESS

SERVICE-DISABLED

VETERAN-OWNED

SMALL BUSINESS

WOMEN-OWNED SMALL BUSINESS

(WOSB) ELIGIBLE UNDER THE WOMEN-OWNED

SMALL BUSINESS PROGRAM

EDWOSB

8(A)

NAICS:

SIZE STANDARD:

11. DELIVERY FOR FOB DESTINA-

TION UNLESS BLOCK IS

MARKED

SEE SCHEDULE

12. DISCOUNT TERMS

13a. THIS CONTRACT IS A

RATED ORDER UNDER

DPAS (15 CFR 700)

13b. RATING

14. METHOD OF SOLICITATION

RFQ

IFB

RFP

15. DELIVER TO

CODE

16. ADMINISTERED BY

CODE

17a. CONTRACTOR/OFFEROR

CODE

FACILITY CODE

18a. PAYMENT WILL BE MADE BY

CODE

TELEPHONE NO.

UEI:

EFT:

PHONE:

FAX:

17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN OFFER 18b. SUBMIT INVOICES TO ADDRESS SHOWN IN BLOCK 18a UNLESS BLOCK BELOW IS CHECKED

SEE ADDENDUM

19.

20.

21.

22.

23.

24.

ITEM NO.

SCHEDULE OF SUPPLIES/SERVICES

QUANTITY

UNIT

UNIT PRICE

AMOUNT

(Use Reverse and/or Attach Additional Sheets as Necessary)

25. ACCOUNTING AND APPROPRIATION DATA

26. TOTAL AWARD AMOUNT (For Govt. Use Only) 27a. SOLICITATION INCORPORATES BY REFERENCE FAR 52.212-1, 52.212-4. FAR 52.212-3 AND 52.212-5 ARE ATTACHED. ADDENDA

ARE

ARE NOT ATTACHED.

27b. CONTRACT/PURCHASE ORDER INCORPORATES BY REFERENCE FAR 52.212-4. FAR 52.212-5 IS ATTACHED. ADDENDA

ARE

ARE NOT ATTACHED

28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN _______________

29. AWARD OF CONTRACT: REF. ___________________________________ OFFER

COPIES TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND

DATED ________________________________. YOUR OFFER ON SOLICITATION

DELIVER ALL ITEMS SET FORTH OR OTHERWISE IDENTIFIED ABOVE AND ON ANY

(BLOCK 5), INCLUDING ANY ADDITIONS OR CHANGES WHICH ARE

ADDITIONAL SHEETS SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED

SET FORTH HEREIN IS ACCEPTED AS TO ITEMS:

30a. SIGNATURE OF OFFEROR/CONTRACTOR 31a. UNITED STATES OF AMERICA (SIGNATURE OF CONTRACTING OFFICER) 30b. NAME AND TITLE OF SIGNER (TYPE OR PRINT) 30c. DATE SIGNED 31b. NAME OF CONTRACTING OFFICER (TYPE OR PRINT) 31c. DATE SIGNED

AUTHORIZED FOR LOCAL REPRODUCTION

(REV. NOV 2021)

PREVIOUS EDITION IS NOT USABLE

Prescribed by GSA - FAR (48 CFR) 53.212

7. FOR SOLICITATION

INFORMATION CALL:

STANDARD FORM 1449

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES

OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30

08-19-2026 Jeffrey Brown 651-293-3009 09-04-2026 17:00

CDT

36C263

DEPARTMENT OF VETERANS AFFAIRS

NETWORK CONTRACTING OFFICE 23

316 ROBERT STREET N, SUITE 506

SAINT PAUL MN 55101

X

561990 $16.5 Million

N/A

DEPARTMENT OF VETERANS AFFAIRS

Black Hills Health Care System Fort Meade, Hot Springs and Rapid City

SD

DEPARTMENT OF VETERANS AFFAIRS

NETWORK CONTRACTING OFFICE 23

316 ROBERT STREET N, SUITE 506

SAINT PAUL MN 55101

Y

FINANCIAL SERVICES CENTER

PO BOX 149971

AUSTIN TX 78714-9971

See CONTINUATION Page Contractor shall provide document destruction services to the Black Black Hills VA Health Care System in accordance with the Statement of Work and Schedule below.

Prior to submitting a quote, review all documentation within.

Review and follow the instructions in the INSTRUCTIONS TO OFFERORS in the Clause 52.212-1 Addendum.

Contract Ordering Period with pricing periods of:

Base Pricing Period: 10/01/2026-09/30/2027 Year One Pricing Period: 10/01/2027-09/30/2028 Year Two Pricing Period: 10/01/2028-09/30/2029 Year Three Pricing Period: 10/01/2029-09/30/2030 Year Four Pricing Period: 10/01/2030-09/30/2031

See CONTINUATION Page

Jeffrey Brown

VA-VHA-RPOC-2024-0033

Table of Contents

SECTION B - CONTINUATION OF SF 1449 BLOCKS

B.1 CONTRACT ADMINISTRATION DATA

1. Contract Administration: All contract administration matters will be handled by the following individuals:

a. CONTRACTOR:

b. GOVERNMENT: Contracting Officer 36C263 Jeffrey Brown

NETWORK CONTRACTING OFFICE 23

316 ROBERT STREET N, SUITE 506

SAINT PAUL MN 55101

2. CONTRACTOR REMITTANCE ADDRESS: All payments by the Government to the contractor will be made in accordance with:

3. INVOICES: Invoices shall be submitted in arrears:

4. GOVERNMENT INVOICE ADDRESS: All Invoices from the contractor shall be submitted electronically in accordance with VAAR Clause 852.232-72 Electronic Submission of Payment Requests.

ACKNOWLEDGMENT OF AMENDMENTS: The offeror acknowledges receipt of amendments to the Solicitation numbered and dated as follows:

B.2 SINGLE AWARD ORDER CONTRACT

Quantities listed are estimated only and are not guaranteed.

This is a 5-year Commercial Firm Fixed Price, Single Award Indefinite Delivery / Indefinite Quantity (IDIQ) contract, for document destruction services to support the Black Hills Health Care System.

Accordingly, funds are not obligated on this contract at the award; rather, funds are obligated via orders issued against the contract. Orders shall only be issued by a warranted VA Contracting Officer (CO). VA CO will issue task orders to the contractor authorizing services via Standard Form 1449. Each order shall clearly identify the dollar amount authorized under the individual task order and the period of performance of the individual order. When an order period of performance is completed, additional services shall not be provided unless a new order is issued in accordance with this IDIQ.

References to options in the schedule below refers to the pricing periods identified on the 1449 form of this document as this contract does not contain options.

The minimum dollar amount guaranteed under this contract for the performance period of the five year is $1,000.00. The maximum dollar amount or contract ceiling for this contract is $340,000.00. The maximum amount is not guaranteed. The combined total of all orders placed against this contract cannot exceed the maximum amount/ceiling of this contract.

(End of Clause)

B.3 PRICE/COST SCHEDULE

ITEM INFORMATION

Fort Meade shredding services in accordance with the Statement of Work Contract Period: Base POP Begin: 10-01-2026 POP End: 09-30-2027 PRINCIPAL NAICS CODE: 561990 - All Other Support Services PRODUCT/SERVICE CODE: R614 - Support - Administrative: Paper Shredding

Hot Springs shredding services in accordance with the Statement of Work

POP Begin: 10-01-2026 POP End: 09-30-2027

Rapid City CBOC shredding services in accordance with the Statement of Work

POP Begin: 10-01-2026 POP End: 09-30-2027

Fort Meade shredding services in accordance with the Statement of Work Contract Period: Option 1 POP Begin: 10-01-2027 POP End: 09-30-2028

Hot Springs shredding services in accordance with the Statement of Work

POP Begin: 10-01-2027 POP End: 09-30-2028

Rapid City CBOC shredding services in accordance with the Statement of Work

POP Begin: 10-01-2027 POP End: 09-30-2028

Fort Meade shredding services in accordance with the Statement of Work Contract Period: Option 2 POP Begin: 10-01-2028 POP End: 09-30-2029

Hot Springs shredding services in accordance with the Statement of Work

POP Begin: 10-01-2028 POP End: 09-30-2029

Rapid City CBOC shredding services in accordance with the Statement of Work

POP Begin: 10-01-2028 POP End: 09-30-2029

Fort Meade shredding services in accordance with the Statement of Work Contract Period: Option 3 POP Begin: 10-01-2029 POP End: 09-30-2030

Hot Springs shredding services in accordance with the Statement of Work

POP Begin: 10-01-2029 POP End: 09-30-2030

Rapid City CBOC shredding services in accordance with the Statement of Work

POP Begin: 10-01-2029 POP End: 09-30-2030

Fort Meade shredding services in accordance with the Statement of Work Contract Period: Option 4 POP Begin: 10-01-2030 POP End: 09-30-2031

Hot Springs shredding services in accordance with the Statement of Work

POP Begin: 10-01-2030 POP End: 09-30-2031

Rapid City CBOC shredding services in accordance with the Statement of Work

POP Begin: 10-01-2030 POP End: 09-30-2031

Page 1 of Page 1 of

B.4 STATEMENT OF WORK

DOCUMENT DESTRUCTION AND DISPOSAL

BLACK HILLS VA HEALTH CARE SYSTEM (BHVAHCS)

1. GENERAL:

a. The Contractor shall provide all labor, personnel, equipment, supplies, secured vehicles, materials, supervision, and other related services necessary to provide commercial document destruction and disposal services for these 3 campuses:

a. Fort Meade VA Campus, VA Black Hills Health Care System’s main hospital, located at 113 Comanche Road, Fort Meade, SD 57741.

b. Hot Springs VA Campus, VA Black Hills Health Care System’s main hospital, located at 500 N. 5th st., Hot Springs, SD 57747

c. Rapid City CBOC, located at 2165 Promise Road, Rapid City, SD 57701

b. This service shall be performed once per week at a specified time, as agreed to by the Contractor and Contracting Officer Representative (COR). The agreed time must fall between 7:00am – 3:30pm, Monday through Wednesday.

c. Federal Holidays. Service days that fall on a Federal Holiday or any other day specifically declared by the President of the United States as a Federal Holiday will need to be rescheduled to the day before or after the Federal Holiday. The ten guaranteed Federal Holidays observed by the VA are:

· New Year’s Day

· Martin Luther King’s Birthday

· Memorial Day

· Juneteenth

· Independence Day

· Labor Day

· Columbus Day

· Veterans Day

· Thanksgiving Day

· Christmas Day

d. The Contractor will provide bins to be positioned onsite at each location, for the documents to be stored in until destruction. The bins should be approximately 96-gallon wheeled containers that have an attached lid and are lockable. Console keys shall only be provided to authorized VA employees at the discretion and approval of the VA COR. The COR shall maintain a listing of authorized VA employees.

e. These containers will consist of VA records and other material that may contain sensitive information. These records may include, but not limited to paper, carbon paper, binders, folders, DVD’s, CD’s, VHS tapes, prescription bottles with labels, and other non-paper materials.

f. The Contractor will shred paper material in accordance with VA Directive 6371 of Temporary Paper records. Guidelines require shredders to have cross-cutting capabilities which produce particles that are 1x5 millimeters in size, or disintegrator devices with a 3/32-inch security screen.

g. If on-site mobile shredding equipment does not shred documents to meet the 1x5 millimeters in size, the Contractor or it’s sub-contractor must complete the destruction process by pulverization, bleaching, pulping, or other means, approved in advance by the COR that will fully destroy the data to final destruction. Final destruction is defined as being non-readable and non-reconstructable to any degree.

h. The Contractor will shred all floppy disks, Reel and Cassette Format Magnetic Tapes according to appropriate guidelines. CD’s and DVD’s must be incinerated or shredded to a particle size with nominal edge dimension of 5mm and a surface area of 25mm(squared).

i. Prescription bottles with labels will be shredded to meet the requirement of Final Destruction as defined in VA Directive 6371.

j. The Contractor will service up to 8 bins total for all 3 locations, weekly and provide extra bins for overflow of sensitive documents. The quantities of bins may increase or decrease by 15% at no additional charge to the VA.

k. Estimated and/or historical weights provided by the Government are based on the best available information at the time of issuance of this solicitation. The Government does not guarantee these estimated weights to be factual. The weights are subject to change per the needs of the Government. For the fiscal year 2024, 72,000 pounds of documents were destroyed.

l. The Contractor will provide, at the minimum, “Interim Destruction” onsite and “Final Destruction” offsite. If the Contractor is able to provide “Final Destruction” onsite, this is also acceptable. In any case, a “Certification of Destruction” will be provided to the COR. Please see definitions below for reference.

m. The contractor shall complete a standard Business Associate Agreement (BAA) in accordance with the Health Insurance Portability and Accountability Act of 1996 (HIPAA) at the time of contract award.

n. The contractor shall maintain liability insurance for the duration of the contract.

2. DEFINITIONS:

a. Certificate of Destruction: Written documentation that attests to the completion of the destruction process after Final Destruction of the records. Certification of Destruction can be in the form of a letter, memo, or any formal document attesting to Final Destruction. This certificate is not considered valid if completed and submitted prior to the Final Destruction. If the Final Destruction is completed by a subcontractor, then the Certificate of Destruction can be completed by either the subcontractor or the main contractor (with assurance that the subcontractor completed the Final Destruction).

b. Final Destruction: The process, through which temporary paper records are pulped, macerated, shredded, or otherwise destroyed to a degree that definitively ensures that they are not readable or reconstructable to any degree. If this Final Destruction is performed away from a VA facility, it must be performed by an information destruction contractor (or its subcontractor or third party) who has demonstrated that:

(1) Its destruction process constitutes final destruction as defined by VA Directive 6371; and

(2) It has implemented reasonable physical safeguards to protect VA temporary paper, and other VA records containing personal information during their transportation, transfer, or short-term storage prior to the completion of their final destruction. Long-term storage (more than 30 days) must be approved in advance and in writing by the VA organization that generated the temporary paper and other records containing personal information.

c. Interim Destruction: Any physical destruction process that substantially reduces the risk that VA sensitive information (Personally Identifiable Information (PII), Protected Health Information (PHI), etc.) will be disclosed during transport and short-term storage (less than 30 days) of temporary paper and other personal records but does not meet the requirement of Final Destruction as defined in VA Directive 6371. Interim destruction is a reasonable physical safeguard that affords an additional layer of security for temporary paper records and other records containing personal information once they are identified for destruction. This may be while they are stored at a VA location awaiting Final Destruction or when they are removed from VA custody until Final Destruction is completed at an off-site location. It is generally accomplished through maceration, chopping, pulverization, or shredding where these processes do not render the material unreadable or where the material could be reconstructed.

d. Readable: Printed data is readable when strategies can be used to assist with decoding (the translation of letters and/or into sounds or visual representations of speech) data and arriving at comprehension through the use of morpheme, semantics, syntax, and contextual clues to integrate the information they have read into their existing framework of knowledge in order to arrive at a meaning.

e. Reconstructable: Printed data is reconstructable when methods can be employed to reassemble the various portions of material in such a fashion that data can be decoded as to make it readable so that meaning can be derived from the data found on the media.

3. TASKS:

a. Contractor shall arrive at a mutually-agreed upon time each week (must fall between 7:00am – 3:30pm, Monday through Friday) to perform Interim Destruction to documents that have been stored in contractor-owned bins at a single location at each designated VABHHCS Campus. If the contractor is able to provide Final Destruction onsite, this is also acceptable.

b. Contractor will submit one monthly bill through the Tungsten Network for all services during the billing period no more than 30 days after services have been rendered.

c. Contractor will provide the COR with the weight(s) of destroyed material monthly with the invoice submitted through the Tungsten Network.

d. Contractor shall deliver a Certificate of Destruction within thirty (30) days from day of pick up that includes the following:

1. Location of pickup and/or Interim Destruction (VA Black Hills Health Care System)

2. Date of pickup and Interim Destruction

3. Name of Government COR, or VA employee, at pickup location

4. Amount of destroyed documents in pounds

5. Date of Final Destruction

6. Location of Final Destruction

7. Method of Final Destruction

8. Name and Signature of person responsible for Final Destruction

4. NON-DISCLOSURE OF SENSITIVE INFORMATION

a. Contractor staff involved in this contract will have access to some privileged and confidential materials of the US Government. These printed documents are for internal use only and remain the sole property of the US Government. Some of the materials are protected by Privacy Act of 1974 (Amended) and Title 38. Unauthorized disclosure of Privacy Act or Title 38 covered materials, by any contractor or subcontracted staff, is a criminal offense. The contractor is responsible for actions of contract employees.

b. The Contractor acknowledges that in the performance of this contract, the contractor will have access to sensitive information, including information provided on a proprietary basis by carriers, equipment manufacturers, and other private or public entities. The contractor agrees to safeguard these privileges and use the information exclusively in the performance of this contract. The contractor shall comply with applicable Government regulations regarding information document security to prevent disclosure of sensitive information to unauthorized individuals or organizations.

c. Upon discovery of any known or suspected security/privacy incidents, or any unauthorized disclosure of sensitive information including that contained in system(s) to which the contractor has access, the contractor shall immediately notify the COR. The term ‘security incident’ means an event that has, or could have resulted in unauthorized access to, loss, or damage to VA assets, or sensitive information, or an action that breaches VA security procedures. See VA Handbook 6500.6, Appendix C, paragraph 6a.

5. MINIMUM STANDARDS FOR INFORMATION DESTRUCTION:

1. Contractor and any subcontractor must be able to meet the following standards:

a. Documentation and control of Employees

i. Documentation of who has access to materials (minimum necessary access only is allowed)

ii. Documentation of background investigations (types and frequency)

iii. Documentation of citizenship, naturalization (no non-US citizens)

iv. Documentation of drug screen

v. Documentation of re-evaluation of above items (at least every two years)

b. Documentation and control of destruction equipment

i. Type (Mobile or Plant-Based)

ii. Manufacturer and Model

iii. Serial Number

iv. Dates of non-operational downtime for repair

c. Documentation and control of destruction and collection vehicles

i. Vehicle make and model

ii. License plate number

iii. State/County of registration

iv. Acceptable overnight storage address and location

v. Acceptable roadworthiness of vehicles

vi. Locks and security of vehicles

vii. Driver logs to show who has control of vehicle at any given time

d. Documentation and control of all recipients of materials

i. Name of individual/company

ii. Address where received

iii. Method of final disposition

iv. Certifications of destruction (general documentation acceptable as long as it is attributable to VA’s data (e.g., “bails shipped on <date> were pulped on, date.)

e. Written Policies and Procedures

2. Contractor and any subcontractor must be able to meet the following standards ONLY IF FINAL DESTRUCTION IS COMPLETED OFFSITE:

a. Physical and Operational Security

i. Monitored Alarm System(s) that include the following

ii. Motion Detectors

iii. Door Contacts

iv. Battery Back-Up

v. Monitoring Service

b. Taped Closed Circuit TV (CCTV) monitors with the following

i. Fully Functional Cameras

ii. Recording Devices

iii. Security Recording Tape Library

c. Sufficient Lighting to allow CCTV

d. Locks and Key Controls

e. Visitor Logs

i. Visitor In/Out Logs

ii. Visitor ID Badges

f. All destruction will take place within the enclosure of the destruction facility, which consists of four solid walls and a ceiling, and meets all criteria related to physical building security.

g. The only permissible uses of a mobile destruction vehicle will be within the enclosure of the destruction, on-site at the VA’s premises, or at an off-site location if approved of in advance by VA and located within walking distance of the VA premises.

h. A log is kept to record, the dates and times that the mobile destruction vehicle is operating with the destruction facility, which shall be made available to VA during an audit, by means of review of CCTV images.

i. The mobile destruction vehicle will be made available to VA for audit, within the enclosure of the destruction facility, during the initial audit and during all scheduled re-audits, for demonstration purposes.

6. INSPECTION:

a. Representatives of the Government shall have the right to inspect the contractor’s and subcontractor’s facilities and operations provided for the performance of work under this agreement. Upon request, the contractor and/or subcontractor will provide the COR with samples of shredded records for both Interim (if applicable) and Final Destruction.

7. CONTRACTOR QUALITY CONTROL:

a. The contractor shall develop and maintain quality control programs to ensure destruction services are performed in accordance with mandated specifications, regulations and laws. The contractor shall develop and implement procedures to identify and prevent the occurrence of defective services.

8. CONTRACTOR PERSONNEL BADGES AND PARKING:

a. The contractor’s employees performing these services must wear a company uniform while on Government property.

b. The contractor shall provide the COR with a list of contractor employees expected to perform any services on VA premises. While on VA premises, all contractor personnel shall comply with the rules, regulations, and procedures governing the conduct of personnel and the operation of the facility. A VA Employee must supervise the services performed onsite.

c. Contractor staff must display identification while on VA premises that include Employee’s name as well as the company that is performing the services.

d. It is the responsibility of the Contractor’s personnel to park in the appropriate designated parking areas. Parking information shall be coordinated with the COR.

e. The VA Black Hills Health Care System does not validate or make reimbursement for parking violations of the Contractor’s personnel under any circumstance.

f. The Contractor shall comply with BHVAHCS security, access, and badging requirements. Employees must provide fingerprints and be able to pass a background check so they can obtain a security access badge.

g. All Contractor staff will need a valid individual personal or professional email account that can be easily checked. Notifications regarding fingerprint scheduling/appointments, background investigation tasks, and Training Management System (TMS) required classes will be sent to their email address throughout the badging process.

h. Appropriate vendor staff (as determined by the VA) performing the duties of the Statement of Work shall complete the computer-based training courses “TMS 10203 HIPPA” and “TMS 20939 No Access”.

i. Contractor staff shall be escorted while on VHA property.

j. Contractor personnel, as determined by the VA, who will perform services at the VA Facility must acquire VA identification through the VA’s Personal Identification Verification (PIV) system. The Contractor personnel must wear visible VA Contractor Identification at all times while on VA premises. The documentation to obtain a PIV badge or non-PIV badge will be provided by VA to the contractor after award. Contractor personnel will be required to be fingerprinted to receive a PIV badge. Any cost associated with badges (i.e. judication) is the responsibility of the Contractor.

i. As requested by the VA the Contractor will submit all required security badging documents for onsite employee within ten (10) business days from the date of request. All documents must be legible. The following documents will be sent to the Contractor via email after contract is awarded:

1. OF 306 – Must be Typed. Submission of handwritten forms will not be acceptable.

2. Self-Certification

3. VA 10-2417

4. Employee Fingerprint Resource Form

ii. Contractor staff will utilize a temporary vendor’s security badge until a permanent security badge can be issued. Temporary badge use will not exceed 30 calendar days.

k. Contractor shall adhere to the following sections of the IT Contract Security Clause below:

(1) General

(4) Training

(5) Security Incident Investigation

B.5 IT CONTRACT SECURITY

VA INFORMATION AND INFORMATION SYSTEM SECURITY/PRIVACY

1. GENERAL

Contractors, contractor personnel, subcontractors, and subcontractor personnel shall be subject to the same Federal laws, regulations, standards, and VA Directives and Handbooks as VA and VA personnel regarding information and information system security.

4. INFORMATION SYSTEM DESIGN AND DEVELOPMENT

a. Information systems that are designed or developed for or on behalf of VA at non-VA facilities shall comply with all VA directives developed in accordance with FISMA, HIPAA, NIST, and related VA security and privacy control requirements for Federal information systems. This includes standards for the protection of electronic PHI, outlined in 45 C.F.R. Part 164, Subpart C, information and system security categorization level designations in accordance with FIPS 199 and FIPS 200 with implementation of all baseline security controls commensurate with the FIPS 199 system security categorization (reference Appendix D of VA Handbook 6500, VA Information Security Program). During the development cycle a Privacy Impact Assessment (PIA) must be completed, provided to the COR, and approved by the VA Privacy Service in accordance with Directive 6507, VA Privacy Impact Assessment.

b. The contractor/subcontractor shall certify to the COR that applications are fully functional and operate correctly as intended on systems using the VA Federal Desktop Core Configuration (FDCC), and the common security configuration guidelines provided by NIST or the VA. This includes Internet Explorer 7 configured to operate on Windows XP and Vista (in Protected Mode on Vista) and future versions, as required.

c. The standard installation, operation, maintenance, updating, and patching of software shall not alter the configuration settings from the VA approved and FDCC configuration. Information technology staff must also use the Windows Installer Service for installation to the default "program files" directory and silently install and uninstall.

d. Applications designed for normal end users shall run in the standard user context without elevated system administration privileges.

e. The security controls must be designed, developed, approved by VA, and implemented in accordance with the provisions of VA security system development life cycle as outlined in NIST Special Publication 800-37, Guide for Applying the Risk Management Framework to Federal Information Systems, VA Handbook 6500, Information Security Program and VA Handbook 6500.5, Incorporating Security and Privacy in System Development Lifecycle.

f. The contractor/subcontractor is required to design, develop, or operate a System of Records Notice (SOR) on individuals to accomplish an agency function subject to the Privacy Act of 1974, (as amended), Public Law 93-579, December 31, 1974 (5 U.S.C. 552a) and applicable agency regulations. Violation of the Privacy Act may involve the imposition of criminal and civil penalties.

g. The contractor/subcontractor agrees to:

(1) Comply with the Privacy Act of 1974 (the Act) and the agency rules and regulations issued under the Act in the design, development, or operation of any system of records on individuals to accomplish an agency function when the contract specifically identifies:

(a) The Systems of Records (SOR); and

(b) The design, development, or operation work that the contractor/ subcontractor is to perform;

(1) Include the Privacy Act notification contained in this contract in every solicitation and resulting subcontract and in every subcontract awarded without a solicitation, when the work statement in the proposed subcontract requires the redesign, development, or operation of a SOR on individuals that is subject to the Privacy Act; and

(2) Include this Privacy Act clause, including this subparagraph (3), in all subcontracts awarded under this contract which requires the design, development, or operation of such a SOR.

h. In the event of violations of the Act, a civil action may be brought against the agency involved when the violation concerns the design, development, or operation of a SOR on individuals to accomplish an agency function, and criminal penalties may be imposed upon the officers or employees of the agency when the violation concerns the operation of a SOR on individuals to accomplish an agency function. For purposes of the Act, when the contract is for the operation of a SOR on individuals to accomplish an agency function, the contractor/subcontractor is considered to be an employee of the agency.

(1) "Operation of a System of Records" means performance of any of the activities associated with maintaining the SOR, including the collection, use, maintenance, and dissemination of records.

(2) "Record" means any item, collection, or grouping of information about an individual that is maintained by an agency, including, but not limited to, education, financial transactions, medical history, and criminal or employment history and contains the person's name, or identifying number, symbol, or any other identifying particular assigned to the individual, such as a fingerprint or voiceprint, or a photograph.

(3) "System of Records" means a group of any records under the control of any agency from which information is retrieved by the name of the individual or by some identifying number, symbol, or other identifying particular assigned to the individual.

i. The vendor shall ensure the security of all procured or developed systems and technologies, including their subcomponents (hereinafter referred to as "Systems"), throughout the life of this contract and any extension, warranty, or maintenance periods. This includes, but is not limited to workarounds, patches, hotfixes, upgrades, and any physical components (hereafter referred to as Security Fixes) which may be necessary to fix all security vulnerabilities published or known to the vendor anywhere in the Systems, including Operating Systems and firmware. The vendor shall ensure that Security Fixes shall not negatively impact the Systems.

j. The vendor shall notify VA within 24 hours of the discovery or disclosure of successful exploits of the vulnerability which can compromise the security of the Systems (including the confidentiality or integrity of its data and operations, or the availability of the system). Such issues shall be remediated as quickly as is practical, but in no event longer than 7 days.

k. When the Security Fixes involve installing third party patches (such as Microsoft OS patches or Adobe Acrobat), the vendor will provide written notice to the VA that the patch has been validated as not affecting the Systems within 10 working days. When the vendor is responsible for operations or maintenance of the Systems, they shall apply the Security Fixes within 7 days.

l. All other vulnerabilities shall be remediated as specified in this paragraph in a timely manner based on risk, but within 60 days of discovery or disclosure. Exceptions to this paragraph (e.g. for the convenience of VA) shall only be granted with approval of the contracting officer and the VA Assistant Secretary for Office of Information and Technology.

5. INFORMATION SYSTEM HOSTING, OPERATION, MAINTENANCE, OR USE

a. For information systems that are hosted, operated, maintained, or used on behalf of VA at non-VA facilities, contractors/subcontractors are fully responsible and accountable for ensuring compliance with all HIPAA, Privacy Act, FISMA, NIST, FIPS, and VA security and privacy directives and handbooks. This includes conducting compliant risk assessments, routine vulnerablity scanning, system patching and change management procedures, and the completion of an acceptable contingency plan for each system. The contractor's security control procedures must be equivalent, to those procedures used to secure VA systems. A Privacy Impact Assessment (PIA) must also be provided to the COR and approved by VA Privacy Service prior to operational approval. All external Internet connections to VA's network involving VA information must be reviewed and approved by VA prior to implementation.

b. Adequate security controls for collecting, processing, transmitting, and storing of Personally Identifiable Information (PII), as determined by the VA Privacy Service, must be in place, tested, and approved by VA prior to hosting, operation, maintenance, or use of the information system, or systems by or on behalf of VA. These security controls are to be assessed and stated within the PIA and if these controls are determined not to be in place, or inadequate, a Plan of Action and Milestones (POA&M) must be submitted and approved prior to the collection of PII.

c. Outsourcing (contractor facility, contractor equipment or contractor staff) of systems or network operations, telecommunications services, or other managed services requires certification and accreditation (authorization) (C&A) of the contractor's systems in accordance with VA Handbook 6500.3, Certification and Accreditation and/or the VA OCS Certification Program Office. Government- owned (government facility or government equipment) contractor-operated systems, third party or business partner networks require memorandums of understanding and interconnection agreements (MOU-ISA) which detail what data types are shared, who has access, and the appropriate level of security controls for all systems connected to VA networks.

d. The contractor/subcontractor's system must adhere to all FISMA, FIPS, and NIST standards related to the annual FISMA security controls assessment and review and update the PIA. Any deficiencies noted during this assessment must be provided to the VA contracting officer and the ISO for entry into VA's POA&M management process. The contractor/subcontractor must use VA's POA&M process to document planned remedial actions to address any deficiencies in information security policies, procedures, and practices, and the completion of those activities. Security deficiencies must be corrected within the timeframes approved by the government. Contractor/subcontractor procedures are subject to periodic, unannounced assessments by VA officials, including the VA Office of Inspector General. The physical security aspects associated with contractor/ subcontractor activities must also be subject to such assessments. If major changes to the system occur that may affect the privacy or security of the data or the system, the C&A of the system may need to be reviewed, retested and re- authorized per VA Handbook 6500.3. This may require reviewing and updating all of the documentation (PIA, System Security Plan, Contingency Plan). The Certification Program Office can provide guidance on whether a new C&A would be necessary.

e. The contractor/subcontractor must conduct an annual self assessment on all systems and outsourced services as required. Both hard copy and electronic copies of the assessment must be provided to the COR. The government reserves the right to conduct such an assessment using government personnel or another contractor/subcontractor. The contractor/subcontractor must take appropriate and timely action (this can be specified in the contract) to correct or mitigate any weaknesses discovered during such testing, generally at no additional cost.

f. VA prohibits the installation and use of personally-owned or contractor/ subcontractor-owned equipment or software on VA's network. If non-VA owned equipment must be used to fulfill the requirements of a contract, it must be stated in the service agreement, SOW or contract. All of the security controls required for government furnished equipment (GFE) must be utilized in approved other equipment (OE) and must be funded by the owner of the equipment. All remote systems must be equipped with, and use, a VA-approved antivirus (AV) software and a personal (host-based or enclave based) firewall that is configured with a VA-approved configuration. Software must be kept current, including all critical updates and patches. Owners of approved OE are responsible for providing and maintaining the anti-viral software and the firewall on the non-VA owned OE.

g. All electronic storage media used on non-VA leased or non-VA owned IT equipment that is used to store, process, or access VA information must be handled in adherence with VA Handbook 6500.1, Electronic Media Sanitization upon: (i) completion or termination of the contract or (ii) disposal or return of the IT equipment by the contractor/subcontractor or any person acting on behalf of the contractor/subcontractor, whichever is earlier. Media (hard drives, optical disks, CDs, back-up tapes, etc.) used by the contractors/ subcontractors that contain VA information must be returned to the VA for sanitization or destruction or the contractor/subcontractor must self-certify that the media has been disposed of per 6500.1 requirements. This must be completed within 30 days of termination of the contract.

h. Bio-Medical devices and other equipment or systems containing media (hard drives, optical disks, etc.) with VA sensitive information must not be returned to the vendor at the end of lease, for trade-in, or other purposes. The options are:

(1) Vendor must accept the system without the drive;

(2) VA's initial medical device purchase includes a spare drive which must be installed in place of the original drive at time of turn-in; or

(3) VA must reimburse the company for media at a reasonable open market replacement cost at time of purchase.

(4) Due to the highly specialized and sometimes proprietary hardware and software associated with medical equipment/systems, if it is not possible for the VA to retain the hard drive, then;

(a) The equipment vendor must have an existing BAA if the device being traded in has sensitive information stored on it and hard drive(s) from the system are being returned physically intact; and

(b) Any fixed hard drive on the device must be non-destructively sanitized to the greatest extent possible without negatively impacting system operation. Selective clearing down to patient data folder level is recommended using VA approved and validated overwriting technologies/methods/tools. Applicable media sanitization specifications need to be pre-approved and described in the purchase order or contract.

(c) A statement needs to be signed by the Director (System Owner) that states that the drive could not be removed and that (a) and (b) controls above are in place and completed. The ISO needs to maintain the documentation.

(End of Clause)

SECTION C - CONTRACT CLAUSES

C.1 52.212-4 CONTRACT TERMS AND CONDITIONS—COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES (OCT 2025) (DEVIATION)

(a) Definitions. The clause at Federal Acquisition Regulation (FAR) 52.202-1, Definitions, is incorporated by reference.

(b) Inspection/Acceptance. The Contractor shall only tender for acceptance those items that conform to the requirements of this contract. The Government reserves the right to inspect or test any supplies or services that have been tendered for acceptance. The Government may require repair or replacement of nonconforming supplies or reperformance of nonconforming services at no increase in contract price. If repair/replacement or reperformance will not correct the defects or is not possible, the Government may seek an equitable price reduction or adequate consideration for acceptance of nonconforming supplies or services. The Government must exercise its post acceptance rights—

(1) Within a reasonable time after the defect was discovered or should have been discovered; and

(2) Before any substantial change occurs in the condition of the item, unless the change is due to the defect in the item.

(c) Assignment. The Contractor or its assignee may assign its rights to receive payment due as a result of performance of this contract to a bank, trust company, or other financing institution, including any Federal lending agency in accordance with the Assignment of Claims Act (31 U.S.C. 3727). However, when a third party makes payment (e.g., use of the Governmentwide commercial purchase card), the Contractor may not assign its rights to receive payment under this contract.

(d) Changes. Changes in the terms and conditions of this contract may be made only by written agreement of the parties.

(e) Disputes. This contract is subject to 41 U.S.C. chapter 71, Contract Disputes. Failure of the parties to this contract to reach agreement on any request for equitable adjustment, claim, appeal or action arising under or relating to this contract shall be a dispute to be resolved in accordance with the clause FAR 52.233-1, Disputes, which is incorporated in this contract by reference. The Contractor shall proceed diligently with performance of this contract, pending final resolution of any dispute arising under the contract.

(f) Excusable delays. The Contractor shall be liable for default unless nonperformance is caused by an occurrence beyond the reasonable control of the Contractor and without its fault or negligence. Examples of occurrences include acts of God or the public enemy, acts of the Government in either its sovereign or contractual capacity, fires, floods, epidemics, quarantine restrictions, strikes, unusually severe weather, and delays of common carriers. When an excusable delay occurs, the Contractor shall—

(1) Notify the Contracting Officer in writing as soon as possible;

(2) Remedy the delay as quickly as possible; and

(3) Notify the Contracting Officer when the occurrence is over.

(g) Invoice. The Government will handle invoices according to the Prompt Payment Act (31 U.S.C. 3903) and 5 CFR part 1315. The Contractor shall submit invoices to the address designated in the contract to receive invoices. An invoice must include the information required by 5 CFR part 1315.9(b).

(h) Patent indemnity. The Contractor shall indemnify the Government and its officers, employees, and agents against liability, including costs, for actual or alleged direct or contributory infringement of, or inducement to infringe, any United States or foreign patent, trademark, or copyright, arising out of the performance of this contract, provided the Contractor is reasonably notified of such claims and proceedings.

(i) Payment—

(1) Items accepted. Payment shall be made for items accepted by the Government that have been delivered to the delivery destinations set forth in this contract.

(2) Prompt payment. The Government will make payment in accordance with the Prompt Payment Act (31 U.S.C. 3903) and prompt payment regulations at 5 CFR part 1315.

(3) Discount. In connection with any discount offered for early payment, time shall be computed from the date of the invoice. For the purpose of computing the discount earned, payment shall be considered to have been made on the date that appears on the payment check or the specified payment date if an electronic funds transfer payment is made.

(4) Overpayments. If the Contractor becomes aware of a duplicate contract financing or invoice payment or that the Government has otherwise overpaid on a contract financing or invoice payment, the Contractor shall—

(i) Remit the overpayment amount to the payment office cited in the contract along with a description of the overpayment including the—

(A) Circumstances of the overpayment (e.g., duplicate payment, erroneous payment, liquidation errors, date(s) of overpayment);

(B) Affected contract number and delivery order number, if applicable;

(C) Affected line item or subline item, if applicable;

(D) Contractor point of contact; and

(ii) Provide a copy of the remittance and supporting documentation to the Contracting Officer.

(5) Interest.

(i) All amounts that become payable by the Contractor to the Government under this contract shall bear simple interest from the date due until paid unless paid within 30 days of becoming due. The interest rate shall be the interest rate established by the Secretary of the Treasury as provided in 41 U.S.C. 7109, which is applicable to the period in which the amount becomes due, as provided in (i)(6)(v) of this clause, and then at the rate applicable for each six-month period as fixed by the Secretary until the amount is paid.

(ii) The Government may issue a demand for payment to the Contractor upon finding a debt is due under the contract.

(iii) Final decisions. The Contracting Officer will issue a final decision as required by FAR part 33 if—

(A) The Contracting Officer and the Contractor are unable to reach agreement on the existence or amount of a debt within 30 days;

(B) The Contractor fails to liquidate a debt previously demanded by the Contracting Officer within the timeline specified in the demand for payment unless the amounts were not repaid because the Contractor has requested an installment payment agreement; or

(C) The Contractor requests a deferment of collection on a debt previously demanded by the Contracting Officer (see FAR part 32).

(iv) If a demand for payment was previously issued for the debt, the demand for payment included in the final decision shall identify the same due date as the original demand for payment.

(v) Amounts shall be due at the earliest of the following dates:

(A) The date fixed under this contract.

(B) The date of the first written demand for payment, including any demand for payment resulting from a termination for cause.

(vi) The interest charge shall be computed for the actual number of calendar days involved beginning on the due date and ending on-

(A) The date on which the designated office receives payment from the Contractor;

(B) The date of issuance of a Government check to the Contractor from which an amount otherwise payable has been withheld as a credit against the contract debt; or

(C) The date on which an amount withheld and applied to the contract debt would otherwise have become payable to the Contractor.

(vii) The interest charge made under this clause may be reduced under the procedures for interest credits prescribed in FAR part 32 in effect on the date of this contract.

(j) Risk of loss. Unless the contract specifically provides otherwise, risk of loss or damage to the supplies provided under this contract shall remain with the Contractor until, and shall pass to the Government upon—

(1) Delivery of the supplies to a carrier, if transportation is f.o.b. origin; or

(2) Delivery of the supplies to the Government at the destination specified in the contract, if transportation is f.o.b. destination.

(k) Taxes. The contract price…