VA to Raise Ceiling Value of Integrated Healthcare Transformation Contract, Begin Work on Follow-On IDIQ

The Department of Veterans Affairs plans to increase the ceiling value of its existing 10-year, $1 billion Integrated Healthcare Transformation contract by $450 million and start developing the requirements for the follow-on IHT vehicle.

In April 2020, the Veterans Health Administration awarded six small businesses spots on the multiple-award IHT indefinite-delivery/indefinite-quantity contract for professional consulting and health care services.

The IHT contract has nearly reached its ceiling value due to an increase in its use in response to the COVID-19 pandemic and increasing the maximum contract amount will enable task order competitions to continue for a year until the recompete contract is solicited and awarded, according to a special notice published March 29.

VA will retain the team-based structure led by service-disabled veteran-owned small businesses for IHT 2.0 and intends to kick off industry days, issue requests for information and conduct other industry outreach efforts for the follow-on contract in the next few months.

The department plans to brief industry stakeholders on the recompete contract at an upcoming event in late May in Orlando, Florida.

“While VA originally anticipated that the next contract would be competed in 2028-2029, Industry (SDVOSBs with teaming partners) will now compete for the next IHT contract this year,” the notice reads.

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