36C24122P0148_1.docx

SUBJECT*

SERVICE CONTRACT: Clinical Information System (CIS) Intent to Sole Source Posted 11/17/21

GENERAL INFORMATION

BASE NOTICE TYPE

SET-ASIDE

VAMC White River Junction 215 North Main Street White River Junction VT 05009-0001

POINT OF CONTACT*

Contracting Specialist Deidra Thomas deidra.thomas@va.gov

AWARD INFORMATION

LINE ITEM NUMBER

AWARDEE ADDRESS LINE 1*

AWARDEE ADDRESS LINE 2*

AWARDEE ADDRESS LINE 4*

ADDITIONAL INFORMATION

AGENCY’S URL

URL DESCRIPTION

Award Notice

*= Required Field Award Notice Award Notice

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C241-21-AP-2760

1. Contracting Activity: Department of Veterans Affairs, VISN 01, VHA (Veterans’ Healthcare Administration) Boston MA.

Purchase Requisition: 523-22-1-7853-0010

2. Nature and/or Description of the Action Being Approved: This Base-Plus-Four (B+4) requirement is to provide full-service support of the DSS Databridge Interface between various CIS (Clinical Information Systems) groups and VistA/CPRS. This includes annual Preventative Maintenance (PM) and Servicing, and any required annual software and licensing upgrades.

This DSS Databridge System is located at multiple VISN 1 sites throughout VISN 1. The system components include middleware integrated with CIS Systems to afford management of all aspects of interface functionality between the respective CIS systems and VistA. The current period of performance (POP) began 12/01/16. Option Year Four (4), the current option year, concludes the current B+4 service contract: VA241-17-F-0865, on 11/30/21.

The DSS Databridge Service affords CIS Annual PM and Service, and any software licensing maintenance/upgrades to Clinical Engineering and Informatics at all VISN 1 sites where the DSS Databridge has been implemented. The DSS Databridge also provides VISN level staff support required for oversight and management of the interface.

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

The DSS (Document Storage System) is a proprietary software solution, that expands data storage capabilities for the CIS (Clinical Information System). The DSS Databridge provides an interface between CIS (Clinical Information Systems) and VistA/CPRS. The interface converts data flowing from CIS into computer language that can be read and integrated in the VistA/CPRS systems.

The DSS Databridge technology is proprietary to DSS, Inc., the Large Business (LB) OEM (Original Equipment Manufacturer). DSS service personnel have peculiar knowledge and technical expertise to provide the annual maintenance, and the annual software support and services required. DSS Inc. has stated in a Sole Source Letter that it is unique in its ability to provide the required annual service and support.

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §3304(a)(5), 38 U.S. Code § 8127(c), as implemented by FAR 6.302-5 (Authorized or Required by Statute). COs may use the non- competitive (sole source) procedures authorized in VAAR 819.7007 or 819.7008 up to $5,000,000. Check the specific VAAR clause used below:

( ) 819.7007 Sole source awards to a verified service-disabled veteran-owned small business; or ( ) 819.7008 Sole source awards to a verified veteran-owned small business

Neither VAAR 819.7007 nor 819.7008 can be applied. The service segment for the B+4 DSS Annual Servicing requirement is exclusive to the OEM. The OEM SDVOSB (Service-Disabled Veteran-Owned Small Business) and SB (Small Business) distributors are only authorized to distribute the DSS Databridge product. None are authorized to service the DSS Databridge System. Per the OEM, this requirement is exclusive to DSS. The applicable statute is FAR 6.302-1(a)(2).

VHAPM

Part

819.7007/7008 Original Date: 08/30/2017

Revision

Eff

Date:

04/03/2020 Page of

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

DSS, Inc. has provided VISN 1 Contracting with a Sole Source Letter stating that DSS is the OEM and its OEM- authorized distributors, are the sole sources of distribution for the DSS Databridge Clinical Information Systems (CIS) product in use in VISN 1. No other company, other than DSS, Inc., the OEM, and the designated DSS distributors, are licensed to sell the Clinical Information Systems (CIS) product.

The Sole Source Letter further specifies that “no vendor, other than DSS has the right or ability to deliver training or provide support for Clinical Information Systems (CIS). Clinical Information Systems (CIS) product software licenses, upgrades, training, and maintenance support can only be provided through DSS, Inc.” The service provision is peculiar and unique to DSS as the OEM.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable, including whether a notice was or will be publicized as required by subpart 5.2 and, if not, which exception under 5.202 applies:

Efforts to Maximize Opportunity to Compete:

Market Research was conducted by Contracting IAW FAR 10.001 and VAAR 813.003-70(c), in order to identify any mandatory sources and to provide first opportunities to the SD/VOSB where practicable, or as applicable, to the SB Class of vendors. Market research was conducted with the intent to maximize SB participation where practicable. Research included reviewing any limitations as set forth by the NMR (Non-Manufacturing Rule) 13 CFR 121.406(b), and the LOS (Limitations on Subcontracting) 13 CFR 125.6.

¾ An initial Market Research Survey was dispatched to the OEM (Original Equipment Manufacturer), DSS, Inc., to determine capable resources and to determine if any proprietary market limitations exist for the services required. The OEM initially indicated that there three (3) OEM-authorized distributors who can distribute the DSS Databridge product. These same distributors are not authorized to perform the actual annual servicing requirements/downloads required to maintain DSS Databridge Systems. DSS has indicated that GMC TEK LLC, a SB, may require re-consideration for eligibility as a SB distributor. GMC TEK has recently been acquired by a large business.

¾ An initial VetBiz search indicated that there are thirty (30) potentially capable SDVOSB vendors for NAICS: 541519 and the Keywords: DSS Databridge VistA Interface. None of the SDVOSB vendors listed are authorized to service the DSS Databridge Systems.

¾ Individual SBA DSBS searches for three known OEM-Authorized DSS product distributors verified that there are three (3) potentially capable vendors within the straight SB class: One (1) SDVOSB: Minburn Technology Group LLC, and two (2) SB distributors: GMC TEK LLC a WOSB (Woman-Owned Small Business) and Ideal System Solutions Inc., a EWOSB (Economically-Disadvantaged Woman-Owned Business).

¾ There are IDV (Indefinite Delivery vehicles) available for the distribution side of acquisition. The SDVOSB distributor holds a SEWP Contract. The SB vendors hold either a SEWP or a NITAAC contract.

¾ The OEM has provided a Sole Source Letter stating that the services required for this B+4 Annual PM/Service/Software and Licensing Upgrade is exclusive to and is only provided by the OEM, DSS, Inc. The OEM distributors can distribute/sell the DSS product; they cannot perform services.

¾ Per response to the Initial Market Survey, and per the follow-up email and phone conversation, there is no value added by any of the distributors for required servicing. The OEM performs 100% of all annual servicing and annual software/licensing for DSS Databridge. The OEM also stated that the distributors would not add any administrative value, nor would they offer any additional pricing value via their SEWP or NITAAC contracts.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: The pricing provided by the OEM is equal to the pricing available via the current GSA FSS MAS contract held by DSS. This contract, GS-35F-0485 expires 04/03/23. The service period extends beyond the expiration of the FSS vehicle. The software subscription includes software maintenance included as part of the GSA service. Pricing for the proposed service contract is open market pricing. The B+4 pricing throughout the POP: 12/01/21- 11/30/26 is deemed to be reasonable.

8.

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

Market Research Findings: DSS is proprietary to OEM for distribution and servicing of the product. DSS is the OEM and designer of the proprietary system. Past awards have been awarded to other parties, who have then sub-contracted to DSS to provide the direct support. This support has been by trained DSS personnel.

¾ Process: Market Research was conducted in the traditional manner IAW FAR 10.0001 and VAAR 813.003-70(c); followed by excluding mandatory sources IAW FAR 8.002, and IAW FAR 8.004, by researching available mandatory National Contracts and by researching non-mandatory contracts.

¾ VAAR 813.003-70(c) VFCP, Rule of Two: The Rule of Two (2) for VFCP class vendors cannot be met; there is only one (1) SD/VOSB OEM-Authorized Distributor for DSS Databridge products; servicing these systems is exclusive to the large business (LB) OEM.

¾ FAR 8.002: Mandatory Sources:

· Ability One and FPI (Federal Prison Industries): Ability One and FPI do not provide these types of services; they do not produce or resell Software Interfacing Systems.

· Servicing Capabilities by VA and Other Government Agencies: Systems Software are procured outside the VA.

¾ FAR 8.004: All SB class distributors hold IDV contracts via SEWP or NITAAC. These contract vehicles are only available for procurement of DSS Databridge Systems product. GSA E-Library was researched for NAICS 541519:

· There are twelve (12) MAS BPAs and 1203 FSS contracts.

· None of these contracts offer annual PM & Servicing for the DSS Databridge.

· The DSS Databridge product can currently be distributed by:

· Minburn (SDVOSB) via SEWP V: NNG15SD34B (Class B SDVOSB)

· GMC TEK LLC (WOSB) via SEWPV: NNG15SC76B (Class C SB)

· Ideal Systems Solutions Inc. (EWOSB) NITAAC NIH: HHSN316201500028W.

· These contracts cannot apply to services; services are exclusive to the OEM, DSS, Inc.

¾ VAAR 819.202-2 Preference for SD/VOSBs: The Rule of Two (2) cannot be satisfied. The NMR does not provide for a waiver for the service application of 541519. Minburn as a SDVOSB is authorized to distribute DSS products; they are not authorized by the OEM to perform any annual PM or servicing for DSS Databridge Systems.

¾ VAAR 819.0007 and VAAR 819.0007: VAAR 819.0007 and VAAR 819.0008 allow for a sole source to a SDVOSB up to $5M, if the SDVOSB is deemed capable of providing the product or service. The SDVOSB distributor is not authorized to service the DSS Databridge System.

¾ 38 USC 8127(d) Rule of Two: The Rule of Two (2) cannot be met, there is one (1) OEM-Authorized SDVOSB distributor; this SDVOSB is not authorized by DSS to perform services.

¾ FAR 19.202-2: Preference for Small Business: There are few vendors in the straight SB class who are authorized to distribute this product. There are three (3) OEM-Authorized distributors for the supply of DSS. Minburn is the only SDVOSB distributor for DSS. GMC TEK and Ideal System Solutions are the only two (SB) suppliers for DSS Databridge.

· Per DSS, none of the authorized distributors are authorized to provide Annual PM and Service for the DSS Databridge. All servicing is performed by the OEM. This service capability is peculiar and unique to the OEM.

¾ NMR and LOS: The B+4 Annual Service/Software/Licensing requirement is anticipated to exceed SAT. Per the NMR and the LOS, neither the SDVOSB nor the SB distributors can satisfy the “value-added” prong of the NMR. There for LOS cannot be satisfied and the service requirement cannot be set-aside.

¾ VAAR 852-819-10(a)(1)(v): In order to apply VFCP for a SDVOSB or a SB set-aside, the NMR and the LOS must be satisfied. The SB distributors are authorized to distribute the DSS Databridge product. They are not authorized to service the DSS System. The OEM is a LB and is not similarly situated with the SB Class distributors. Since LOS applies, none of the SB Class distributors can satisfy the “value- added” criteria. The OEM has indicated that the service elements are exclusive to the OEM.

FAR 6.301-1(a)(2): The recommendation is for an open market sole source to the OEM, DSS, Inc. as the sole brand name service provider. Per the OEM, DSS, Inc as the OEM, is the only responsible source for the required annual PM and Service, and software/licensing updates, throughout the B+4 period: 12/01/21-11/30/26. Only DSS is authorized to perform and provide services.

10. Any Other Facts Supporting the Use of Other than Full and Open Competition: The OEM has provided a sole source letter indicating that services for DSS Databridge Systems can only be provided and performed by the OEM.

11. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: An Intent to Sole Source was dispatched 11/17/21. The response for interested parties is 11/24/21. To date, there have been no responses to the Intent to Sole Source.

12.

13. 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:

As a follow up to the Initial Market Research Survey and the Sole Source Letter, the OEM was asked if there was any potential for the provision of services via any of the SB Class Distributors. The OEM restated that the authorized distributors are authorized to distribute/sell the DSS product; they are not authorized to perform any services/installations/ trainings. All requirements of this nature are exclusive to the OEM. An Intent to Sole Source was posted on Contract Opportunities on 11/17/21 with a due date of 11/24/21. An opportunity was provided for distributors to respond to the Intent to Sole Source for DSS Databridge Services to DSS, the OEM. To date, none of the distributors, nor any other vendors, have responded to the Intent to Sole Source.

14. ( Paul

H

Neuhaus

264794 Digitally signed by

Paul

H

Neuhaus

264794 Date:

2021.11.22

16:27:28 -05'00' )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.

Paul Neuhaus Date:

CIS/ARK Project Manager VAMC Manchester NH, NC01/RPO1 East

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

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

Deborah

L.

Digitally signed by

Deborah L.

Reardon

350203 R e a r d o n

35020

D a t e

-05'00' Deborah Reardon Date:

Contracting Officer:

VAMC Bedford MA, NC01/RPO1 East

b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.

MICHAEL R. CORRIVEAULT Digitally signed by MICHAEL R.

CORRIVEAULT 223457

223457 Michael Corriveault

Date: 2021.11.26 10:32:31 -05'00'

11/26/2021

Date:

Deputy Director of Contracting:

VAMC Togus ME, NC01/RPO1 East

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.

d.

Page 1 of

JOSEPH MALETTA 1347841

Digitally signed by JOSEPH MALETTA 1347841 Date: 2021.11.29 07:35:26 -05'00'

Page 1 of

Joseph P. Maletta Date:

Executive Director, RPO East VHA Head of Contracting Activity (HCA) Page 1 of image1.png image2.png