NNG15SD22B-185.pdf

VHAPM Part 816.5—Indefinite-Delivery Contracts Attachment 1: Request for Exception to Fair Opportunity Memo Format

VHAPM Part 816.5—Indefinite-Delivery Contracts Page 1 of 4 Original Date: 08/30/2017 Date: 03/11/2019 Rev 02

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval

For

Exception to Fair Opportunity Memo

Acquisition Plan Action ID: 36C260-20-AP-0096

1. Contracting Activity: Department of Veterans Affairs, Veterans Health Administration, Regional Procurement Office West, Network Contracting Office 20 on behalf of VISN 20. 648-20-1-9964- 0007.

2. Description of Action: This action is conducted under the authority of the Multiple Award Schedule Program. The services listed in paragraph 3 below are sole source as the vendor is the only authorized entity on SEWP and the pricing includes discounts from a prior purchase of equipment on action 36C26019F0504. The action in this procurement is to service the interface Philips patient monitors and eICU to Cerner EMR. The Philips Monitors/eICU EMR Integration requires servers and services to ensure that the production and non-production environment consisting of PiiC iX and teleICU can communicate with the Cerner EMR.

3. Description of Supplies or Services: The proposed action is to provide the service for an interface of existing Philips patient monitors and a teleICU to Cerner EMR. The contractor will ensure that the system developed can communicate with the VHA Cerner Baseline and the VISN 20 PiiC iX system.

The contractor will also conduct integration and system testing of the PiiC iX application to include conducting site surveys, installation of the software on the user system, system administrator testing, and user business process training. The total estimated value of the proposed action is $958,399.82. Note: the base year for Seattle is a negative because of a manufacturer rebate for the previously ordered equipment.

Spokane Seattle Base Year $23,478.25 ($5,152.99)

OY1 $73,374.65 $161,646.49

OY2 $73,364.65 $161,646.49

OY3 $73,374.65 $161,646.49

OY4 $73,374.65 $161,646.49

$316,966.85 $641,432.97 $958,399.82

VHAPM Part 816.5—Indefinite-Delivery Contracts Page 2 of 4 Original Date: 08/30/2017 Date: 03/11/2019 Rev 02

4. Statutory Authority: The statutory authority permitting an exception to fair opportunity is Section 41 U.S.C. 4106(c) as implemented by the Federal Acquisition Regulation (FAR) Subpart 16.505 Subpart 16.505(b)(2)(i):

( ) FAR Subpart 16.505(b)(2)(i)(A): The agency need for the supplies or services is so urgent that providing a fair opportunity would result in unacceptable delays.

(x) FAR Subpart 16.505(b)(2)(i)(B): Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized.

( ) FAR Subpart 16.505(b)(2)(i)(C): The order must be issued on a sole-source basis in the interest of economy and efficiency because it is a logical follow-on to an order already issued under the contract, provided that all awardees were given a fair opportunity to be considered for the original order.

( ) FAR Subpart 16.505(b)(2)(i)(D): It is necessary to place an order to satisfy a minimum guarantee.

( ) FAR Subpart 16.505(b)(2)(i)(E): For orders exceeding the simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source”. The statutory authority permitting an exception to fair opportunity for this action is 38 U.S.C. 8127(c), known as the Veterans First Contracting Program which provides the authority to directly contract with a Service-Disabled Veteran-Owned Small Business (SDVOSB) or a Veteran-Owned Small Business (VOSB).

( ) FAR Subpart 16.505(b)(2)(i)(F) In accordance with section 1331 of Public Law 111-240 (15 U.S.C.

644(r)), contracting officers may, at their discretion, set aside orders for any of the small business concerns identified in 19.000(a)(3). When setting aside orders for small business concerns, the specific small business program eligibility requirements identified in part 19 apply.

5. Rationale Supporting Use of Authority Cited Above: The infrastructure that is currently installed in VISN 20 for patient monitoring and eICU is provided by Philips. Philips monitors are the only bedside monitors in use within VISN 20. The award of this procurement would allow for the monitoring system to interfaced with Cerner at the Go-Live for the IOC sites in this application. With the timing of the required interface with Cerner and the fact that the patient monitors are already in use in VISN 20 supports the justification for other than full and open competition. Based on extensive market research, as described in paragraph 8 of this document, Four Points Technology is the only authorized distributor on SEWP.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. In accordance with FAR 5.301 and 16.505(b)(2), this action will be synopsized at award on the Federal Business Opportunities Page (FBO) and the justification will be made publicly available.

http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/19.htm#P3_64

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7. Actions to Increase Competition: The Government will continue to conduct market research to ascertain if there are changes in the market place that would enable future actions to be competed.

8. Market Research: The Government’s technical experts conducted market research by reviewing other similar software and monitoring systems. If we were to change monitoring systems in order to integrate with Cerner, we would need to replace all existing monitors, servers and infrastructure, which would yield a significantly higher cost. Based on market research efforts, the Government’s technical experts have determined that only Philips software can meet all of VA’s needs. No further action is planned; this is a service to the equipment integration specific to the Cerner EHRM implementation project. This requirement has a significant discount incorporated into the base year, any delay would be a substantial cost to the government (an additional $216,695.85 for the base year) and may cause unacceptable delays in the overarching Cerner integration project.

9. Technical and Requirements Certification: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

Date

Michael McDonald Biomedical Engineer

VISN 20

10. Determination that Anticipated Cost is Fair and Reasonable: A determination by the contracting officer that the anticipated cost to the Government will be fair and reasonable will be based on procedures in FAR Part 15.4 will be utilized.

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

Peggy Bowen Date Division Chief Network Contracting Office 20 J&A Tracker: 2019-11-15T12:53:21

12. Approvals in accordance with VHAPM Part 816.505 Indefinite Delivery Contracts: Ordering.

a. 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.

S. Dale Allen Date Director of Contracting Network Contracting Office 20 https://vaww.pclo.infoshare.va.gov/PCLO/PMWeb/VHAPM_Part_816.505.aspx

VHAPM Part 816.5—Indefinite-Delivery Contracts Page 4 of 4 Original Date: 08/30/2017 Date: 03/11/2019 Rev 02

HIGHER LEVEL APPROVAL (Required for orders over $700,000):

b. VHA SAO HCA REVIEW AND APPROVAL (over $700,000 to $13.5 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for other than full and open competition.

Curtis M. Jordan Date Executive Director, Regional Procurement Office West Head of Contracting Activity (HCA)

Date8_af_date: