36C25522D0034_Awared Notice .pdf

Award Notice

*= Required Field Award Notice

SUBJECT* TPN Compounding IV Supply KC-Pharmacy

GENERAL INFORMATION

CONTRACTING OFFICE’S ZIP CODE* 66048

SOLICITATION NUMBER* 36C25522Q0180

BASE NOTICE TYPE

ARCHIVE 30 DAYS AFTER THE AWARD DATE

RECOVERY ACT FUNDS N

PRODUCT SERVICE CODE* 6505

NAICS CODE* 325412

SET-ASIDE

CONTRACTING OFFICE ADDRESS Department of Veterans Affairs

Network Contracting Office (NCO) 15 3450 S 4th Street Trafficway Leavenworth KS 66048

POINT OF CONTACT*

Contracting Officer Paul Hemenway paul.hemenway@va.gov

AWARD INFORMATION

AWARD NUMBER* 36C25522D0034

AWARD AMOUNT* $382,475.66

LINE ITEM NUMBER 0001 - 4006

AWARD DATE (MM-DD-YYYY)* 08-17-2022

AWARDEE NAME* CENTRAL ADMIXTURE PHARMACY SERVICES, INC.

CONTRACTOR’S UEI NDPWXJSVYVH9

AWARDEE ADDRESS LINE 1*

AWARDEE ADDRESS LINE 2*

AWARDEE ADDRESS LINE 3* 2525 MCGAW AVE

AWARDEE ADDRESS LINE 4*

AWARDEE CITY IRVINE

AWARDEE STATE CA

AWARDEE ZIP CODE 92614

ADDITIONAL INFORMATION

AGENCY’S URL https://www.va.gov AGENCY CONTACT’S EMAIL ADDRESS paul.hemenway@va.gov

DESCRIPTION

See attached document: Part806.3_Atch7_FAR6_JA Sole Source.

Part 806.3 Other Than Full and Open Competition (OFOC) Attachment 7: Request for Sole Source Justification Format >SAT

Rev: 12 Effective Date: 02/01/22 Page 1 of 3

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C255-22-AP-1824

1. Contracting Activity: Department of Veterans Affairs, VISN 15, Kansas City Veterans Affairs Medical Center (VAMC)

2. Nature and/or Description of the Action Being Processed: To award a sole source contract to Central Admixture Pharmacy Services (CAPS), Inc. for Total Parental Nutrition (TPN) Compounding Services in the Inpatient environment at the Kansas City, VAMC.

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

The Contractor, CAPS, Inc., shall provide TPN Compounding Services on behalf of the KC VAMC Pharmacy for the large volume and technical compounding needs that cannot be met by the current intravenous (IV) room equipment. These TPN Compounding services are for individual orders/prescriptions that are placed, and within hours, are delivered to KC VAMC for a specific patient.

Compounding: The term compounding can be defined as the act of professionally preparing, blending, putting together, packaging and labeling sterile medications in congruence with a licensed practitioner’s order or prescription for a patient. This requirement is based on a specific order/prescription and patient specific.

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

(X) (1) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements per 41 USC §3304(a)(1) as implemented by FAR 6.302-1;

( ) (2) Unusual and Compelling Urgency per 41 USC §3304(a)(2) as implemented by FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert Services per 41 USC §3304(a)(3) as implemented by FAR 6.302-3;

( ) (4) International Agreement per 41 USC §3304(a)(4) as implemented by FAR 6.302-4 ( ) (5) Authorized or Required by Statute per 41 USC §3304(a)(5) as implemented by FAR 6.302-5;

( ) (6) National Security per 41 USC §3304(a)(6) as implemented by FAR 6.302-6;

( ) (7) Public Interest per 41 USC §3304(a)(7) as implemented by 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):

Based on Market Research there are other vendors that provide compounding services, however, these other vendors bundle large quantities of IV medications (known as

Effective Date: 02/01/22 Page 2 of 3

“batching”) and they service private homes or in hospitals by virtue of administering the IVs to the patients. CAPS, Inc. is a very specific Federal Food Drug & Cosmetic Act (FD&C Act), Section 503B(b), Food and Drug Administration (FDA) facility that is a registered outsourcing facility that prepares extensive compounded (prepared from raw ingredients) IVs for administration in hospitals, that meet FDA and United States Pharmacopeia (USP) requirements for sterility and processing. The most recent expired contract, solicited for unrestricted competition, demonstrated only one offer was made by CAPS, Inc. and the feedback disclosed this was due to the specifics of the services for orders/prescriptions that are made for one patient at a time and only for patients in the KC VAMC facility and only to be administered to the patient by KC VAMC staff. Additionally, the orders/prescriptions are needed at specific times and within a few hours of the order. CAPS, Inc., is the only vendor that can provide this service within these established timeframes that conform with the established needs of the KC VAMC.

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

There have been solicitations in the past competing for these services and the results have been consistent that only one offer is made by CAPS, Inc. because they provide the specific required services as stated above in this document. CAPS, Inc. also provides consistent pricing and recent increased prices appear to be due to recent rapid rise of inflation.

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

Reasonable:

Total Value Estimate $690,703.91. The Contract Specialist searched FPDS and found that previous VA NCO-15 contracts have been awarded, (see information in Part 1 of this document). The most recent contract’s pricing awarded to CAPS, Inc. was awarded at $564,754.00 and the option period’s pricing is up to $123,151.90 Option Period IV.

Additionally, there were single Purchase Order contracts found awarded to CAPS, Inc. for VA NCO-15 and priced in the range of $1,200.00 up to $2,000.00.

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

Market research was conducted using a Sources Sought post on SAM.gov that resulted in no responses. VETBIZ/VIP website was searched and there were no SDVOSB or VOSB vendors found that could provide this service. The FPDS Government data base was searched for current/previous contracts and found VA NCO-15 contracts, in which, all were awarded to CAPS, Inc. There were no other vendors found for this specified type of requirement. A review of the previous contracts revealed unrestricted solicitations conducted and the result was only CAPS, Inc. responded with a proposal/quote.

https://gcc02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.capspharmacy.com%2Fen%2Fcompany%2Flocations.html&data=04%7C01%7C%7C4b6a614ffde245ff440908d9f6319e06%7Ce95f1b23abaf45ee821db7ab251ab3bf%7C0%7C0%7C637811515219565934%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000&sdata=wnd7SmW3kholv76HkN0MCl55KfArvXZpsh0EhIb3YWo%3D&reserved=0

Effective Date: 02/01/22 Page 3 of 3

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:

A Sources Sought was posted to www.sam.gov 15 March 2022 and responses were due on or before 25 March 2022. There were no responses submitted or received.

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 agency will continue to monitor the market for additional opportunities with other businesses that can provide this service. Currently, only CAPS, Inc. offers this service.

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.

Jonathan Corbett Date Administrative Officer, Pharmacy

KC VAMC

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.

Paul Hemenway Date Branch Chief Supply Team II

NCO 15

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

Randall Combs Date Division Chief II

NCO 15

http://www.sam.gov/ https://dvagov.sharepoint.com/sites/VHAProcurement/VHAPM/VHAPM_Part_806.3.aspx