36C26318Q9989-000.docx

VHAPM Part 819.7007/7008 Sole Source Awards to a Verified Service-Disabled Veteran-owned Small Business/Veteran-owned Small Business Attachment 1: Request for SDVOSB/VOSB Sole Source Justification Format >SAT

FedBizOpps Award Notice

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* = Required Field FedBizOpps Award Notice Rev. March 2010 Edwards EV1000 Anesthesia Monitors for Minneapolis VA 1st American Medical Distributors 56303 36C26318Q9989 N 339112 Department of Veterans Affairs

NETWORK 23 CONTRACTING OFFICE

Eric Zintek 4801 Veterans Drive St. Cloud MN 56303 Jody M. Peterson Jody.Peterson2@va.gov 36C26318P3769 167,957.25 09-26-2018

1ST AMERICAN MEDICAL DISTRIBUTORS, INC.

802239751

151 HERITAGE PARK DR SUITE 201

MURFREESBORO

TN

37129 Jody.Peterson2@va.gov

DEPARTMENT OF VETERANS AFFAIRS

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

Acquisition Plan Action ID: ___VA263-18-AP-4848__________________

1. Contracting Activity: Department of Veterans Affairs, Network Contracting Office 23, 4801 Veterans Drive, Saint Cloud, MN 56303-2099. Ordering Activity: Department of Veterans Affairs, Minneapolis VA Health Care System, One Veterans Drive, Minneapolis, MN 55417

2237: 618-18-2-040-0150

2. Nature and/or Description of the Action Being Processed: Firm fixed-price, sole source purchase order for Edwards EV1000 monitoring systems for the Minneapolis VA Health Care System from 1st American Medical Distributers a SDVOSB.

3. Description of Supplies/Services Required to Meet the Agency’s Needs: The Minneapolis VA requested five additional Edwards EV1000CS Anesthesia monitors, which are the type currently used by the Surgical Department. The Edwards EV1000 system allows for monitoring of the patient’s heartrate and oxygen levels during surgical procedures, but also includes a Flo Trac System that monitor’s the patient’s fluid status, a ClearSight finger cuff that allows for non-invasive hemodynamic measurements and an Oximetry Central Venous Catheter which can reveal blood gas levels by taking measurements through a central catheter. The estimated cost of these monitors is $167,957.25 and delivery is expected four to six weeks after the receipt of the order.

4. Statutory Authority Permitting Other than Full and Open Competition: 41 USC §3304(a)(5), 38 U.S. Code § 8127, 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:

(XX) 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

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): The Minneapolis VA currently utilizes Edwards Lifescience EV1000 monitoring systems and has a need for additional monitors due to increased usage in the Sugical Center. The new monitors must be Edwards Lifescience equipment for compatiblity with the current EV1000 systems. No other manufacture’s monitoring systems are compatible with the current EV1000 systems. Edwards Lifescience confirmed that 1st American Medical Distributors, a SDVOSB, is the sole authorized distributer of the Edwards EV1000 monitoring system. Additionally, 38 U.S.C. 8127 allows Sole Source Awards to SDVOSB vendors and 1st American Medical Distributors is a VetBiz registered SDVOSB vendor.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Searches for anesthesia monitors on GSA eBuy brought up a total of 43 vendors so the decision was made to post a Sources Sought to both FBO and to eBuy to see how many responses would be received. Sources Sought 36C26318Q9650 notice was posted to eBuy and FBO on June 30, 2018. No eBuy responses were received, but two open market responses were received – one from Edwards Lifesciences, a large business, and one from 1st American Medical Distributors, a SDVOSB. As there is only 1 large business and 1 SDVOSB that can provide the EV1000 monitors a sole source to the SDVOSB is in the best interest of the government to meet socio-economic goals and Kingdomeware.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: Both Edwards Lifesciences and 1st American Medical Distributors submitted pricing in their responses for the initial sources sought. The price submitted by 1st American Medical Distributors was only 5% over the price submitted by the manufacturer, Edwards Lifesciences. In order to ensure that prices were comparable to other orders, purchase orders 36C24418P4588, 36C24518P3654 and 36C25718P2506 were found on FPDS for the EV1000 monitoring system. All of these items had been determined to be fair and reasonable and had been provided by 1st American Medical Distributors.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted: VetBiz was reviewed using NAICS code 339112 which brought up a total of 302 responses, but adding keyword “anesthesia monitor” to that same NAICs code brought up a total of five vendors. Using the keyword “Edwards” brought up a total of 5 vendors. A Sources Sought was posted to both FBO and to eBuy. No responses were received through eBuy and 2 responses were received through FBO. One response was from Edwards Lifesciences, a large business and the manufacturer of the EV1000 monitors and another from 1st American Medical Distributors, a SDVOSB. Edwards Lifesciences was contacted to determine if there were other authorized distributors and they confirmed that 1st American Medical Distributors is the only authorized vendor they have worked with for the last ten years.

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

10. Any Other Facts Supporting the Use of Other than Full and Open Competition: The procurement request specified that all items must be compatible with the current Edwards Lifesciences system already in use at the Minneapolis VA.

11. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition: Edwards Lifesciences and 1st American Medical Distributors.

12. 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: When the Edwards platform needs to be replaced at the Minneapolis VA, a competitive solicitation will be issued.

13. 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.

Assistant Chief, Biomed Minneapolis VA Health Care System

14. 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.

Contract Officer NCO 23 Contracting Office – St Cloud VHAPM Part 819.7007/7008 Page 4 of 4 Original Date: 08/30/2017 Revision 01 Eff Date: 04/23/2018