Inactive

The Centers for Disease Control and Prevention intends to award a sole source firm fixed price bridge contract to McKesson Specialty Health (McKesson) for national vaccine distribution. McKesson is th... The Centers for Disease Control and Prevention intends to award a sole source firm fixed price bridge contract to McKesson Specialty Health (McKesson) for national vaccine distribution. McKesson is the only responsible source and no other supplies or services will satisfy agency requirements. The CDC previously awarded contract 200-2017-92968 to McKesson Specialty Health for centralized vaccine distribution services. The contract was originally awarded as a 12-month base year with four 12-month option years, from February 1, 2017 through January 31, 2022. During the third option year, CDC began preparations for a COVID-19 vaccination program, including planning for the role of managing centralized vaccine distribution for the national program. In August 2020, the option for pandemic vaccine distribution was signed, making this contract vital for carrying out distribution of COVID-19 vaccines for the United States. The criticality of the contract was further supported in November 2020 when a Defense Priorities Allocation System (DPAS) priority rating was added to the contract. As such, contract 200-2017-92968 is an essential and foundational element for the national response to the COVID-19 pandemic. Between the start of the COVID-19 vaccination program and mid August, McKesson Specialty Health has distributed more than 172M doses of COVID-19 and associated ancillary supply kits domestically. Projections of COVID-19 vaccine distribution look strong for the foreseeable future, with three vaccines currently authorized for use (two of which are centrally distributed) and two additional vaccine manufacturers preparing to submit applications to the FDA. Additionally, clinical trial data for children is currently being collected and expansion for use in younger children estimated to begin in the coming months. Finally, information about duration of immunity, as well as the presence of COVID-19 variants within the US and globally, indicates that booster doses are likely to be recommended in the fall. The program has been highly successful to date, with more than 70% of adults in the US having received at least one dose of vaccine and target groups such as those 65 and older with one dose and full series vaccination coverage rates of 91% and 81%, respectively (https://covid.cdc.gov/covid-data-tracker/#vaccinations, accessed August 16, 2021). Yet substantial and ongoing efforts remain to be done to expand vaccination activities to reach all US adults and to support expanded programs for vaccination of children and teens and the provision of booster doses over the next 6-12 months. In the context of this historical and unprecedented pandemic and all-of-government response, it is essential to mitigate the risks to the COVID-19 vaccine distribution process to the greatest extent possible. The risks associated with transitioning the distribution program while in the course of the COVID-19 response would have a significant negative impact to the response. Although there are other qualified industry vendors that are likely capable of conducting the performance requirements of this contract, the only option that will allow the government to eliminate the risks inherent to transitioning this requirement to a new vendor during the pandemic response is to make an award to the incumbent contractor, McKesson Specialty Health. If a contract is awarded to a vendor other than the incumbent, there is substantial risks associated with a new vendor coming on board, including the need to become familiar with and be able to implement all associated requirements for supporting the national COVID-19 distribution system in a very short window of time. In particular, implementing a new contract would require establishing and testing a new electronic interface between the vendor and CDC. The challenges and risks associated with rapidly establishing a new interface was one of several critical factors in the government's decision to leverage CDC's existing vaccine distribution contract for the COVID-19 vaccine distribution program. Distribution services provided by a vendor that does not possess the knowledge, experience, and familiarity of the program requirements are likely to be insufficient to support the demands of the current pandemic level response for the COVID-19 ordering and distribution. In addition, electronic data exchange between the incumbent and the USG provides information about vaccine availability that is critical for the USG management of its vaccination program. Awarding a contract to the incumbent vendor for a 12 month period of time covers the likely time period for continued COVID-19 vaccine distribution and planned program expansions and avoids risks related to transitioning to a new vendor to support this pivotal component of the pandemic response and vaccination program. The new contract is therefore being proposed as a sole source award to McKesson Specialty Health. The contract would consist of a 12-month base period of performance from August 1, 2022 through July 31, 2023, with one 6 month option period. The purpose of this 12-month, short-term contract is to ensure continuity during COVID-19 vaccine implementation and distribution, eliminating transition-related risks during the pandemic. Following this one year contract, CDC intends to award a longer-term follow-on contract for centralized vaccine distribution after the COVID-19 vaccine distribution has reached steady state. It is anticipated that the acquisition strategy for the subsequent contract would entail a full and open competition. The 6 month option period would be used to support a transition period in the event that the follow on contract is awarded to a new vendor. This contract action is for supplies or services for which the Government intends to solicit and negotiate with only one source under the authority of FAR 6.302-1 and 41 U.S.C. 3304(a)(1). Interested persons may identify their interest and capability to respond to the requirement or submit proposals. This notice of intent is not a request for competitive quotations; however, all quotations/responses received within fifteen (15) days of the issuance of this notice will be considered by the government. A determination by the government not to compete this proposed contract based upon responses to this notice is solely within the discretion of the government. Information received will normally be considered solely for the purpose of determining whether to conduct a competitive procurement. Any quotation/response should be emailed to Christina McMichael at wpn6@cdc.gov by 5:00 PM EST on September 4, 2021.