____________________________________________________________________________________ The Department of Veterans Affairs intends to negotiate and award a sole source commercial Basic Ordering Agreement for Nursing Home services with Grant County Nursing Home located at 27 Early Ave, Petersburg, WV. The purpose of the award is to allow for the placement of Veterans in a facility that is within close proximity to their home or family. The Government intends to negotiate a Basic Ordering Agreement for the period of one base year plus four option years. The proposed contract action is for services which the Government intends to solicit and negotiate with only one source in accordance with FAR 6.302. This notice is not a request for competitive quotes, proposals, or information. Please direct any questions to Krista Shreet at
[email protected]. DEPARTMENT OF VETERANS AFFAIRS VISN 5 Justification and Approval For Other Than Full and Open Competition 1. Contracting Activity: Department of Veterans Affairs, NCO 5, 849 International Dr., Ste. 450, Linthicum, MD 21090 Requisition No. Funded/Paid thru 1358 Obligation 2. Nature and/or Description of the Action Being Processed: Pursuant to FAR 6.302-1 and 41 U.S.C. 253(c)(1), the VA has a requirement which can only be reasonably met by a single supplier. Services at this time may be deemed to be available only from the original source in the case of a follow on contract, when it is likely that an award to another source would result in unacceptable delays in fulfilling the agency's requirement and substantial duplication of cost to the Government that is not expected to be recovered through competition. The Government anticipates entering into a sole source acquisition negotiation for placement and services of eligible veterans into a community nursing home facility located in Petersburg, WV. Grant County Nursing Home is supporting the Martinsburg WV VA Medical Center in meeting its strict requirements for placement of eligible veterans into a community nursing home facility. The Government anticipates an award of a Basic Ordering Agreement for a total of sixty (60) months, a base year and four (4) one-year options. 3. Description of Supplies/Services Required to Meet the Agency's Needs: Award a sole source contract to Grant County Nursing Home in Petersburg WV to provide community nursing home (CNH) services to veterans and eligible beneficiaries. Grant County Nursing Home, hereafter referred to as "Nursing Home" will provide nursing home care to include: provider visits, laboratory work, x-ray, special services, room, meals, nursing care, and other services or supplies commensurate with the VA authorized level of care. Striving to meet healthcare needs and promote maximum wellbeing, a break in continuity of care to our Veterans would prove detrimental and negatively impact the quality of life for this aged Veteran population who require critical assisted services and supportive environment. The follow-on Ordering Agreement will mirror the Nursing Home Services Grant County Nursing home is currently providing. Period of Performance Annual Amount Increase Amount % Annual Increase Estimate Base Period $90000 1.8% $1620 Option Period 1 $91620 1.8% $1649 Option Period 2 $93269 1.8% $1678 Option Period $94948 1.8% $1709 Option Period 4 $96656 Grand Est. 5 Years $466,493 COR's total estimated value of the acquisition is $466,493 (base year plus four options). Contracting Officer's (CO) Cost Estimate: Placements will be made in contract facilities based in availability of facilities and the desires of the veterans and their respective families. As it is impossible to determine actual usage of any particular contract facility, the VA uses Basic Ordering Agreements with no guaranteed minimums. However, based on a typical usage rate of 1 veteran for 365 days, a reasonable estimate for the value of any particular contract would be around $50,000 per year, with many facilities experiencing authorized veteran populations in excess of 15 per year. Daily rates differ depending on case mix and location. Five year minimum estimate is $250,000. 4. Statutory Authority Permitting Other than Full and Open Competition: . FAR 6.302-1 and 41 U.S.C. 253(d)(1)(A): Only one responsible source and no other suppliers or services will satisfy agency requirements. 5. Demonstration that the Contractor's Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority): PL 88-450, PL 106-117 and 38 U.S.C. 1720 create the expectation that qualified veterans will receive Community Nursing Home (CNH) services in their community. The VA Medical Center (VAMC) provides care to veterans whose primary residence is Grant County, nursing home, the Veteran's Health Administration (VHA) has a policy that nursing home care may be provided in licensed nursing facilities at the Department of Veterans Affairs (VA) expense. The VA Community Nursing Home (CNH) Program is designed to assist Veterans and their families in making the transition from an episode of hospital care, nursing home care, or domiciliary care to the community. The primary goal of the CNH program is to maintain or restore the Veteran to the highest attainable level of health and well-being. The CNH program has two cornerstones: some level of patient choice in choosing a nursing home in close proximity to their home and family and an approach to local oversight of CNHs consisting of annual reviews and monthly patient visits. Following this approach, the VAMC has established contracts in various areas throughout Maryland. This entails placement of the Veteran in a facility that is in proximity to the Veteran's home or place of residence or in proximity to the Veteran's family or social connections. Contracts and agreements under the referenced authority carry out the essential purpose of providing nursing home services to the Veteran and in the Veteran's social community. Grant Count Nursing Home is the only facility providing CNH services within 20 miles of zip code 26847 service the counties of Grant, Hampshire, and Hardy counties and within the VAMC catchment area. Discontinuation of the current contract services will cause an unacceptable delay in fulfilling the agency's requirement for Veteran support and cause substantial duplication of cost to the Government that is not expected to be recovered through competition. The Contractor is to provide nursing home care in accordance with the VHA CNH procedures specified in VHA 1143.2. The facility has to meet all state licensing requirements including the state requirement pertaining to level of medical liability insurance. 6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: A notice of Intent to sole source will be published on FedBizOpps. 7. Determination by the Contracting Officer that the Anticipated Cost to the Government will be Fair and Reasonable: Payment to the CNH is subject to the State Medicaid rates which change semi-annually, however, our agreement allows only an annual change to reduce administration. In order to determine whether the contractor's proposed price is fair and reasonable, the Contract Specialist will review the proposed rates against State Medicaid rate. If the contractor's proposed price appears to be questionable for reasonableness, a justification from the contractor will be required in order to determine whether the proposed price is fair and reasonable before award. The negotiated rates are required to be within the guidelines established by M-5, Part II, Chapter 3, dated March 28, 1995 and IL 049-02-15 dated September 19, 2002. The guidelines require: a factor of not more than 18 percent be added to routine ancillary services; the daily cost of rehabilitation therapy would require written permission or approval. 8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: Research was conducted on a limited basis due to the limitation of the geographic area. Research was conducted to establish nursing home contract services located throughout the local VA's catchment area in order to provide services to Veterans as neat as possible to family and friends. Market research for future agreements is dependent on the needs of the patients and resources of the VA Medical Center. 9. Any Other Facts Supporting the Use of Other than Full and Open Competition: All pertinent facts have been noted above. 10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: N/A 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: No other known CNH source has expressed interest in this action. The procurement action will be posted to the Government Point of Entry. Any responses will be referred the GEC coordinator to determine if additional sources capable of satisfying the agency's requirements exist.