NOTICE OF INTENT TO AWARD AN OUT-OF-SCOPE CONTRACT MODIFICATION
Agency: Department of Veterans Affairs (VA)
Contracting Activity: Office of Procurement, Acquisition and Logistics (OPAL), Enterprise Procurement Office (EPO)
Address: 5202 Presidents Court, Suite 103, Frederick, MD 21703
Contract Number: 36C10X26F0006
Incumbent Contractor: Deloitte Consulting, LLP, 1919 N Lynn Street, Arlington, VA 22209-1742
NAICS Code: 541611 Administrative Management and General Management Consulting Services
I. PURPOSE
Pursuant to Federal Acquisition Regulation (FAR) 5.201 and applicable Federal Supply Schedule (FSS) ordering procedures, the Department of Veterans Affairs (VA), Strategic Acquisition Center (SAC), on behalf of the VA Medical Supply Program Office (MSPO), hereby provides notice of its intent to modify contract 36C10X26F0006 to increase the level of effort during Option Period 1 (June 26, 2026 December 26, 2026) to a level commensurate with the base period of performance.
This notice is being published to afford any interested FSS contractors who believe they are capable of providing the required services the opportunity to submit a capability statement for consideration.
II. BACKGROUND
Task order 36C10X26F0006 was awarded on December 25, 2025, to Deloitte Consulting, LLP, under GSA Federal Supply Schedule 47QRAA18D001P, for a six-month base period with one six-month option period. The contract provides critical program management, strategic sourcing, clinical integration, and technology support services to the VA Medical Supply Program Office (MSPO) in support of the Medical/Surgical Prime Vendor (MSPV) program, which represents approximately $2.5 billion in annual medical and surgical supply spending serving more than 1,300 VA facilities nationwide.
At the time of award, the Government's intent was to draw down contractor support during Option Period 1, reflecting an anticipated reduction in program needs as key activities matured and responsibilities transitioned to Government staff or other contract vehicles. The total contract value, inclusive of base and option periods, is approximately $13,697,624.34. The base period level of effort was substantially greater than that planned for Option Period 1, particularly in the areas of Clinical Product Tool (CPT) managed services and Enterprise Modernization.
III. CHANGED CIRCUMSTANCES REQUIRING MODIFICATION
Subsequent to contract award, a series of unforeseen events have materially altered the program environment and precluded the planned drawdown of services. These circumstances include:
a. Unforeseen Operational Emergencies. During the base period of performance, MSPO encountered unplanned supply disruptions and operational emergencies requiring sustained contractor surge support that was not anticipated at time of award. These events consumed capacity originally allocated toward transitioning work to Government staff, preventing the planned reduction in contractor support.
b. Geopolitical Conflict and Associated Supply Chain Disruptions. The conflict in Iran has introduced significant volatility into global medical supply distribution networks, affecting manufacturing, transportation, and raw material inputs for critical medical and surgical products. This has increased the operational burden on MSPO logisticians and contracting personnel, requiring heightened real-time risk monitoring, supplier disruption communications, and field coordination at levels substantially beyond those anticipated during acquisition planning. These activities directly correspond to services provided under Task Areas 5.3 (Program Management) and 5.4 (Enterprise Modernization, Automation, and Innovation) of the Performance Work Statement.
c. Increased Compliance Requirements Make PPE in America. Federal emphasis on compliance with the Make Personal Protective Equipment (PPE) in America Act has intensified substantially during the base period, resulting in a materially greater compliance, sourcing, and oversight workload than was projected at the time of award. Implementing these requirements within the MSPV program has required expanded clinically driven strategic sourcing activities, supplier engagement, and regulatory reporting, all of which are within scope of Task Area 5.2 (Clinically Driven Strategic Sourcing) and 5.3 (Program Management).
Taken together, these developments have prevented MSPO from achieving the conditions necessary to reduce contractor support, and the program office has determined that continued services at or near the base period level of effort are essential to maintain MSPV program operations, protect Veteran care, and fulfill statutory and regulatory obligations.
IV. DESCRIPTION OF PROPOSED MODIFICATION
The VA intends to modify contract 36C10X26F0006 to increase the level of effort during Option Period 1 across the following four task areas to a level commensurate with the base period, for a duration of up to six (6) months or through December 26, 2026, whichever occurs first.
The modification will adjust Option Period 1 pricing to align with base period monthly rates as established under modification P00001, resulting in an estimated increase in contract value of approximately $6,167,519.94 for the six-month option period, subject to final negotiation and availability of funds. If exercised at the proposed rates, the total estimated value of Option Period 1 would be approximately $9,917,572.14, bringing the total estimated contract value (base plus option, as modified) to approximately $19,865,196.51. Deliverables for Option Period 1 will be updated to reflect the expanded scope consistent with those required during the base period, as described in the Performance Work Statement dated June 17, 2026.
V. BASIS FOR OUT-OF-SCOPE DETERMINATION
The Government acknowledges that the increase in level of effort beyond what was contemplated at the time of option exercise may constitute a modification outside the scope of the original task order as awarded. This notice is being published consistent with the Government's commitment to transparency and to afford interested vendors the opportunity to respond.
The Government's determination to proceed with modification, rather than a new competitive action, is based on the following considerations:
The underlying services remain within the four task areas and overall scope defined in the original Performance Work Statement and the preceding task order (47QRAA18D001P 36C10X26F0006).
The incumbent contractor possesses unique institutional knowledge of CPT, the MSPV program, and VA supply chain operations that cannot be replicated by a new contractor within the remaining contract term without unacceptable risk of operational disruption to Veteran care.
The remaining period of performance is limited to six (6) months, making a full competitive procurement neither practicable nor in the Government's best interest.
Failing to maintain current service levels poses direct risk to the $15 billion MSPV program, projected annual savings of $100 million, and patient safety at more than 1,300 VA facilities.
VI. RESPONSE INSTRUCTIONS
Any FSS contractor that believes it is capable of providing the services described herein at the required level of effort and within the remaining period of performance is invited to submit a written capability statement to the Contracting Officer. Responses must address, at a minimum:
The offeror's relevant experience supporting federal medical supply chain programs of comparable size and complexity, specifically including program management, supply chain risk management, and clinical integration services.
The offeror's demonstrated capability to sustain or transition complex federal IT tools (e.g., tools comparable to CPT) and assume operational responsibility within 30 days of award.
The offeror's GSA FSS contract number and applicable labor categories and rates.
A narrative describing how the offeror would mitigate transition risk and ensure continuity of MSPV program operations during any handoff period.
Responses must be submitted no later than 4:00 PM Eastern Time, five (5) business days from the date of this notice, to:
Felicia DeMita, Contracting Officer Enterprise Procurement Office Frederick Department of Veterans Affairs 5202 Presidents Court, Suite 103 Frederick, MD 21703 felicia.demita@va.gov
Capability statements shall not exceed ten (10) pages and must be submitted electronically in PDF format. Responses to this notice are not offers and will not be accepted as proposals. The Government will evaluate responses solely to determine whether full and open competition or other competitive procedures are appropriate before proceeding with modification of the existing contract.
This notice does not constitute a solicitation, a commitment to issue a solicitation, or an obligation on the part of the Government to award a contract. No award will be made on the basis of capability statements received in response to this notice.
VII. CONTACT INFORMATION
All questions regarding this notice shall be directed in writing to:
Felicia DeMita, Contracting Officer Enterprise Procurement Office Frederick, Department of Veterans Affairs 5202 Presidents Court, Suite 103, Frederick, MD 21703 felicia.demita@va.gov
