-20251.doc

VHAPM Part 806.3 Other Than Full and Open Competition (OFOC) SOP Attachment 2: Request for Sole Source Justification Format >SAT

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT) Acquisition Plan Action ID:__36C776-20-AP-1994__________________

1. Contracting Activity:

The Contracting Activity for this requirement is the Department of Veterans Affairs, Program Contracting Activity Central (PCAC), 6150 Oak Tree Blvd., Suite 300, Independence, OH 44131

2. Nature and/or Description of the Action Being Processed:

PCAC intends to execute a firm-fixed price open market contract for ventilators in support of COVID-19 National Emergency.

3. Description of Supplies/Services Required to Meet the Agency’s Needs:

PB980 DC Compressor Base with Accessories (50 units) ZMPC Rechargeable Li-Ion Battery (100 units)

980 Humidifier Bracket (50 units, 1/unit) 980 Cylinder Mount (50 units, 1/unit)

AERONEB Solo Starter Kit (50 units)

Ventilators and accessories Intended to be used in the treatment of COVID-19, which causes breathing difficulties in patients.

The estimated cost for the these goods is $2, 098,423.50

4. Statutory Authority Permitting Other than Full and Open Competition:

41 USC §3304(a)(1), as implemented by FAR 6.302-2.

( ) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy

Agency Requirements per FAR 6.302-1;

(X ) (2) Unusual and Compelling Urgency per FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services per FAR 6.302-3;

( ) (4) International Agreement per FAR 6.302-4

( ) (5) Authorized or Required by Statute FAR 6.302-5;

( ) (6) National Security per FAR 6.302-6;

( ) (7) Public Interest per FAR 6.302-7;

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

This acquisition was in direct support of the COVID-19 emergency. The goods described in paragraph 3 were an immediate need to deal with the COVID-19 pandemic which was declared a National Emergency. This requirement met the statutory definition of having unusual and compelling ungency as the impact of not having this contract in place immediatly was as follows:

While VHA’s primary mission is providing coordinated healthcare to Veterans, VHA is also a critical component of the national federal response framework. The VA’s “fourth mission” is to absorb non-Veteran civilian or military patients in the event that hospitals overflow in an emergency, such as a pandemic.

Since starting in China in late 2019, COVID-19 is now present on every continent except Antarctica, and as of the time this justification was written, there were more than 245,000 cases wordwide and over 10,000 deaths. On March 1, 2020, there were approximately 100 confirmed cases in the United States (US), that number is now 14,322 cases, including 218 deaths, with an upward trajectory that is now on track to peak at catastrophic levels in the next 45 days.

COVID-19 has over-whelmed the medical systems of every country unable to “flatten the curve” of infections. This resulted in global competition for countries seeking resources (e.g., clinical personnel and personal protective equipment – PPE). VHA must be able to provide these goods for its medical personel in order to fulfill it’s mission and service the public good in this time of crisis.

There is no time to spare, every day wasted by a lack of situational awareness down to the community level, and the inability to model scenarios and test alternative courses of action, increases the risk to the citizens of this nation, to include Veterans and our own employees. VHA requires a deployment ready capability to support life-and-death decision-making today.

Covidien Sales, LLC. was contacted by the Contracting Officer following recommendation by VHA leadership. Discussions with the vendor by the CO made it evident that they could both meet our requirement and do so immediately.

Based upon the above, and pursuant to the statute, Covidien Sales, LLC., 15 Hampshire St., Mansfield, MA 02048 was awarded a contract.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable:

The Contracting Officer was made aware of this requirement on 3/25/20. The need date was 3/26/20 due to the emergency nature of the VA COVID-19 response. Only one vendor was contacted who was Covidien Sales, LLC. They were the only company known by VHA leadership to already possess the ability to provide the goods with such short notice.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable:

The Contracting Officer given the short amount of time and emergency nature of the procurement was only able to do a minimal amount of price analysis. The quote was in-line with IGCE provided by VHA leadership as a ROM. The goods were briefly reviewed against similar goods using known rates by the CO for similar goods based upon experience and it was found to be comparable. The quote was reviewed by the VHA Acting Assistant Under Secretary for Health, Support Services and found to be acceptable.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:

No formal market research was conducted by the Contracting Officer as there was no time.

9. Any Other Facts Supporting the Use of Other than Full and Open Competition:

None

10. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

Covidien Sales, LLC. expressing interest in the acquisition.

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:

The emergent nature of this requirement given its for a specific National Emergency does not lend itself to farther action to remove future barriers as their will most likely not be future such requirements.

12. Requirements Certification: I certify that the requirement outlined in this justification is a Bona Fide Need of the Department of Veterans Affairs and that the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.

Deborah Kramer Date

Acting Acting Under Secretary for Health, Support Services

VHA

13. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

a. Contracting Officer or Designee’s Certification (required): I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

Nicholas Sparks Date

Contracting Officer Program Contracting Activity Central

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $700K): I certify the justification meets requirements for other than full and open competition.

Richard Dahmen Date

Director Program Contracting Activity Central

c. VHA RPO HCA Review and Approval: I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and recommend approval (if over $68 million) or approve ($700K to $68 million) for other than full and open competition.

Terry L. Spitzmiller Date

Executive Director

Regional Procurement Office Central

Veterans Health Administration OFOC SOP Revision 08

Original Date: 03/22/11

Revision 08 Date: 04/18/2018