36C26119Q0199-001.pdf

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

OFOC SOP Revision 08 Page 1 of 3 Original Date: 03/22/11 Revision 08 Date: 04/18/2018

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A)

For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C261-19-AP-0672

1. Contracting Activity: Department of Veterans Affairs, VISN 21, Palo Alto Healthcare System

Transaction # 640-19-1-221-0023, Supply Chain Services.

2. Nature and/or Description of the Action Being Processed: Single source award justification for new

IDIQ contract for the lease of bulk oxygen tanks & bulk delivery of medical grade oxygen. The period of performance/ordering period will be 24 months.

FAR13.5 Simplified Procedures for Certain Commercial Items: This procurement is for the lease of bulk oxygen tanks & bulk delivery of medical grade oxygen in accordance with FAR 13.5 Simplified Procedures for Certain Commercial Items and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR

Part 6, but still require a justification using the format of FAR 6.303-2.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The VA is contracting for bulk delivery of medical grade oxygen and the lease of bulk oxygen tanks for five (5) facilities which are the following: Palo Alto – Bldg. 100, 7, & 500, Livermore VA, Menlo Park – Bldg. 331

One Year – $135,289.92 Tank & Equipment Rental Only - One Year - $130,182.08 Oxygen Only

Total Annual Cost - $265,472.00 x Base Plus 1 Option Year = $530,944.00

Medical Center Locations Monthly Rental for Tanks Monthly Tank Telemetry Monitoring Oxygen Price Per CCF

Menlo Park – Bldg. 331 $2,650.00 $168.54 $0.99

Palo Alto – Bldg. 100 $2,650.00 $168.54 $0.99

Palo Alto – Bldg. 7 $2,650.00 $168.54 $0.99

Palo Alto – Bldg. 500 $2,650.00 $168.54 $0.84

Livermore VA Government Owned

Equipment

0 $0.61

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 FAR 6.302-1;

( ) (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;

OFOC SOP Revision 08 Page 2 of 3

Revision 08 Date: 04/18/2018

FAR13.5 Simplified Procedures for Certain Commercial Items: The authority for applying the Simplified

Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. 1901 and is implemented by for restricting competition on this procurement via FAR 13.106-1(b)(2).

5. Demonstration that the Contractor’s Unique Qualifications or Nature of the Acquisition Requires the

Use of the Authority Cited Above (applicability of authority):

The requirement is for the lease of bulk oxygen tanks and the delivery of medical grade oxygen. Tanks are located on numerous VA Medical Facilities that are not owned by the VA but are owned by Airgas. We lease the tanks and Airgas performs the deliveries and is also responsible for monitoring oxygen tanks levels.

However, the tank at the Livermore facility is monitored by the VA because it is government property. The existing infrastructure consists of Airgas equipment, therefore Airgas maintains control of filling and supply.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: All potential options have been identified and all historical purchases have been considered. The only option that meets the medical facility’s needs is to award to Airgas.

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

The lease price and the oxygen price have been considered fair and reasonable after reviewing historical prices and comparing them with the current prices.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons

Market Research Was Not Conducted: During market research, vendors were either contacted or their previous performance reviewed. Airgas (LB) stated that it was not their policy to provide a list of authorized vendors.

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:

Eagle Home, RAS, Irish Oxygen, Airgas

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: Purchasing our own tanks will remove the barrier to competition.

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.

OFOC SOP Revision 08 Page 3 of 3

Revision 08 Date: 04/18/2018

Name:

Facility: VA Palo Alto Healthcare System

Title: Facility Chief Logistics Officer

Date: Electronically Signed

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.

Facility: NCO 21 Network Contracing Office (NCO)

Title: Contracting Officer, Chief Supply Branch 1, NCO 21

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.

Facility: NCO 21 Network Contracing Office (NCO)

Title: Chief, Division II, NCO 21 http://vaww.pclo.infoshare.va.gov/PMWeb/VHAPM_Part_806.3.aspx vhapalhoke Typewritten Text Kevin Ho