AWARD
G -- G - Patient Employment
- Notice Date
- 1/29/2010
- Notice Type
- Award Notice
- NAICS
- 624310
— Vocational Rehabilitation Services
- Contracting Office
- Department of Health and Human Services, Health Resources and Services Administration, National Hansen's Disease Program, 1770 Physician Park Drive, Baton Rouge, Louisiana, 70816-1770, United States
- ZIP Code
- 70816-1770
- Solicitation Number
- 09-258-SOL-00019
- Archive Date
- 2/9/2010
- Point of Contact
- Suzanne S Shumate, Phone: 225-756-3787
- E-Mail Address
-
sshumate@hrsa.gov
(sshumate@hrsa.gov)
- Small Business Set-Aside
- N/A
- Award Number
- HHSH258201000003C
- Award Date
- 1/25/2010
- Awardee
- GWLHDC Patient Employment Corporation, 5445 Point Clair Road #13<br />, Carville, Louisiana 70721, United States
- Award Amount
- $156967.20, Including Options
- Description
- Justification for Other Than Full and Open Competition 1. AGENCY IDENTIFICATION: National Hansen's Disease Programs (NHDP) Baton Rouge, LA Bureau of Primary Health Care Health Resources and Services Administration Public Health Service Department of Health and Human Services Project Officer: Pam Bartlett 2. DESCRIPTION OF THE PROPOSED ACTION The NHDP proposes to award a labor-hour contract to the Gillis W. Long Patient Employment Corporation (GWLPEC) to provide therapeutic, vocational, rehabilitative, and diversionary employment for the long-term resident patients at the center. This is a follow-on contract. Only those persons designated as long-term patients of the NHDP are eligible for employment under the contract. The contract period is one year, with two one-year options for a total of three years. Background Information : The NHDP, with statutory responsibility for treatment of persons with Hansen's Disease, has a long standing program providing therapeutic, vocational, rehabilitative, and diversionary employment for the patients residing at the center. Originally, the patients performing the services were part-time government employees. A decision was made that the services should be handled under contract. In 1986 the patients formed the Gillis W. Long Patient Employment Corporation, a not-for-profit corporation whose stated purpose is "the operation of a patient oriented rehabilitation work program providing work evaluation, vocational counseling, testing, employment information and training information." The original contract was awarded to the GWLPEC in 1987. The current contract, HHSH248200860007C was conducted under 41 U.S.C. 253(c)(1) and FAR 6.302-1(a) (2) Only one responsible source and no other supplies or services will satisfy agency requirements. Previous contracts were advertised in the Commerce Business Daily and conducted using competitive acquisition procedures. Since 1987, only one other firm submitted a proposal in response to the government requirement. This proposal continued the resident-patient employment, and proposed to hire a local manager and added corporate overhead and profit. The role of the manager was to interface with the government - a responsibility which has historically been handled by a resident-patient of the GWLPEC. The proposed manager and the corporate overhead and profit only served to increase the proposed price of the contract. The GWLPEC is comprised entirely of those patients working under the contract. They have no overhead or profit and are capable of managing their own resources to provide the services under this contract. Because they are a not-for-profit corporation, they fall under statutory exemption from certain tax requirements. The Federal Unemployment Tax Act (statute U.S.C. 3309(b)(4)) states that it shall not apply to services performed "in a facility conducted for the purpose of carrying out a program of (A) rehabilitation for individuals whose earning capacity is impaired by age or physical or mental deficiency or injury, or (B) providing remunerative work for individuals who because of their impaired physical or mental capacity cannot be readily absorbed in the competitive labor market..." As a result of their not-for-profit status, their self-management and this exemption, the GWLPEC provides labor under the contract at rates which do not include overhead, profit or taxes for which they are exempt. 3. DESCRIPTION OF SERVICES REQUIRED TO MEET AGENCY NEEDS AND ESTIMATED VALUE The services under the proposed contract will be performed by approximately 13 residents currently receiving long-term care at the NHDP. The work to be provided under this contract consists of furnishing labor necessary for the performance of services in various areas of operation at the National Hansen's Disease Programs, both at Carville and in the two buildings that make up the Baton Rouge Campus. The work is assigned considering the physical and mental health disabilities of the patients as well as the advanced ages of the whole group, ranging from 63 to 101 years of age and will provide therapeutic, vocational, rehabilitative, and diversionary employment for this group of patients. Flexibility is shown in working hours so that the patients may attend medical appointments. The initial period of performance will be one year with two one-year options. The total contract performance period is three years. The total estimated value of the contract is $156,968, including options. 4. STATUTORY AUTHORITY 41 U.S.C. 253(c)(1) and FAR 6.302-1(a) (2) Only one responsible source and no other supplies or services will satisfy agency requirements. 5. DEMONSTRATION OF UNIQUENESS The GWLPEC has the unique capability to perform the services required under this contract. In 1986, the resident patients formed a non-profit corporation whose stated purpose is "the operation of a "patient oriented rehabilitation work program providing work evaluation, vocational counseling, testing, employment information and training information." The work assignments are made considering the physical and mental health disabilities of the patients as well as the advanced ages of the whole group, ranging from 63 to 101 years of age. Flexibility is shown in working hours so that the patients may attend medical appointments. The GWLPEC is comprised of the entire population the contract is intended to benefit. No other entities can directly provide the services to these patients. Any other entity brought in to this arrangement would only add layers of management and administration to the process, and as such additional cost to the program. Additionally, it would be extremely difficult for this group to deal with new leadership at this point in their lives. The GWLPEC is the only source capable of providing the required services. 6. EFFORTS WHICH ENSURE OFFERS ARE SOLICITED FROM PRACTICAL NUMBER OF SOURCES A notice will be publicized at the Government Point of Entry (GPE) as required by FAR 5.2 of the intent to negotiate on a sole source basis with GWLPEC to perform the required services. 7. CONTRACTING OFFICER'S DETERMINATION CONCERNING COST The estimated cost of the contract is $156,968, including options. The Contracting Officer will determine price reasonableness of the contract based on price and/or cost analysis as required. The Contracting Officer will determine that all costs are fair and reasonable prior to award. 8. MARKET SURVEY Beginning in 1987, this requirement has been synopsized and competitive procedures have been used to conduct the acquisition. Since 1987, only one other firm has provided a proposal in response to the solicitation. The only contribution provided by this offeror was to add a local manager and corporate overhead and profit - which only served to increase the proposed price of the contract. 9. OTHER SOURCES With the stated purpose of the contract to provide therapeutic, vocational, rehabilitative, and diversionary employment for long-term patients of the National Hansen's Disease Programs, it is not reasonable to contract with anyone other than the patients themselves. Contracting with or through another entity would dilute the benefit to the very parties the contract is designed and intended to benefit. 10. ACTIONS TAKEN TO PROMOTE COMPETITION Beginning in 1987, this requirement has been synopsized and competitive procedures have been used to conduct the acquisition. Since 1987, only one other firm has provided a proposal in response to the solicitation. The only contribution provided by this offeror was to add a local manager and corporate overhead and profit - which only served to increase the proposed price of the contract.
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