Q517--Notice of Intent to Sole Source Pharmacy First Fill Services for VISN 12

The Department of Veterans Affairs Veterans Health Administration Veterans Integrated Service Network 12 has issued a Special Notice announcing its intent to award a sole source contract for pharmacy first fill services. The Great Lakes Acquisition Center (GLAC) plans to negotiate directly with Palisade-Heritage JV, LLC, a verified service-disabled veteran-owned small business (SDVOSB), for these services. This procurement action is being conducted under the authority of Public Law 109 Section 502 and Veterans Affairs Acquisition Regulations 819.7008, which specifically allows for sole source awards to verified SDVOSBs. The contract is classified under NAICS code 524292 for Pharmacy Benefit Management and Other Third Party Administration of Insurance and Pension Funds, with a business size standard of $45.5 million. The contracting officer has determined that issuing a sole source award to an SDVOSB is appropriate as a business decision within their discretionary authority.

The purpose of this Special Notice is to inform the marketplace of the VA's intent to proceed with sole source negotiations rather than conducting a competitive procurement process. The contract will be structured as a fixed-price indefinite delivery indefinite quantity (IDIQ) arrangement for a one-year performance period from August 1, 2025, through July 31, 2026. Importantly, this notice explicitly states that it is not a request for competitive quotes, no solicitation documents are available, and telephone requests will not be accepted. The only eligible contractor for this opportunity is Palisade-Heritage JV, LLC, which must maintain its verified SDVOSB status. Interested parties have until July 11, 2025, to respond, though the notice primarily serves as a notification of the VA's procurement strategy rather than an invitation for proposals from other contractors.