Attachment 1 Single Source Justification MPT to SAT CO SIGNED.pdf

VHAPG Part 813.106 Simplified Acquisition Procedures: Soliciting from a Single Source Attachment 1: Single Source Justification for SAP up to SAT

Revision: 02 Page 1 of 3 Effective Date: 12/30/2025 Acquisition ID#36C263-26-AP-1471

DEPARTMENT OF VETERANS AFFAIRS

Justification for Single Source Awards IAW FAR 13.106-1 For

Over Micro-Purchase Threshold but Not Exceeding the SAT

Acquisition Plan Action ID: 36C263-26-AP-1471

1. Contracting Activity: Department of Veterans Affairs, VISN 23, Sioux Falls VA Medical Center

2237#438-26-1-1115-0200

2. Brief Description of Supplies/ Services required and the intended use/Estimated Amount:

Remove and replace failed condensate tank. Remove and replace failed piping, valves, and other fittings. Remove and replace condensate tank, piping, valve body insulation. Provide lockout/tagout for any applicable system. Repair broken pipe, recover waste and restore ground to conditions before breakage. Without a new tank, the remaining system components are subject to additional thermal stress. The total cost of these repairs is $116,000.00.

The existing boiler plant condensate tank is actively leaking and no longer maintains system integrity, creating an immediate operational, safety, and regulatory compliance risk to the VA Medical Center.

Replacement of the condensate tank is required to restore reliable boiler plant operation and maintain compliance with healthcare utility, safety, and accreditation standards.

1. Regulatory and Accreditation Compliance Risk Active leakage from the condensate tank constitutes a deficient utility system condition under:

• Joint Commission EC.02.05.01 – Failure to manage utility systems to reduce risk to patients, staff, and the environment

• Joint Commission EC.02.05.09 – Inability to ensure reliable heating, humidification, and steam-dependent services

• NFPA 99 (Health Care Facilities Code) – Requirement for reliable utility systems serving patient care areas

• CMS Conditions of Participation – Requirement to maintain essential utilities in safe operating condition

Continued operation of a leaking condensate tank places the facility at risk for regulatory findings, accreditation deficiencies, and potential citation during surveys.

2. Life Safety and Occupational Safety Concerns The condensate tank contains high-temperature condensate. Leakage presents:

• Burn and scalding hazards to boiler plant personnel

• Increased slip hazards in mechanical spaces

• Potential violation of OSHA 29 CFR 1910 requirements for safe industrial work environments

Allowing continued leakage represents a known unsafe condition that cannot be mitigated solely through administrative controls.

https://www.acquisition.gov/?q=/browse/far/13

Revision: 02 Page 2 of 3

3. Risk to Boiler Reliability and Hospital Operations The condensate tank is a critical component of the boiler feedwater system. Leakage results in:

• Loss of recovered condensate

• Increased dependence on cold makeup water

• Reduced system pressure stability

• Increased risk of boiler trips or forced shutdowns

Loss of reliable steam production directly impacts heating, humidity control, sterilization, and domestic hot water, all of which are essential to patient care and infection control.

4. Infection Control and Environmental Conditions Steam systems support temperature and humidity control in:

• Operating rooms

• Sterile processing

• Isolation and patient care areas

Unreliable condensate return compromises boiler stability and increases the risk of environmental condition excursions, creating infection prevention concerns and compliance exposure.

5. Equipment Protection and Secondary Damage Continued operation with a leaking condensate tank accelerates:

• Corrosion of adjacent piping and equipment

• Premature wear of feedwater pumps

• Chemical imbalance and scaling in boilers

This exposes the facility to secondary equipment failures and cascading system impacts beyond the tank itself.

6. VA Policy and Essential Infrastructure Requirements VA utility infrastructure is required to be maintained in a fully functional, safe, and reliable condition in accordance with:

• VA Directive 0055 – Environment of Care

• VA Directive 0320 – Emergency Management

• VA HVAC Design Manual and Master Construction Specifications

A leaking condensate tank does not meet VA requirements for mission-critical infrastructure supporting clinical operations and emergency readiness.

3. Unique characteristics that limit availability to only one source, with the reason no other supplies or services can be used:

This is a direct replacement for the current tank with it being the same size, configuration, footprint, and this will minimize downtime. This service/vendor is local and can provide service quickly, as they have immediate availability. On 12/16/2025 MIDWEST BOILER, INC was contacted to provide emergency repairs for SFVAHCS boiler plant’s condensate tank. MIDWEST BOILER, INC confirmed they are able to provide these repairs in a timely manner without further injury to the government.

4. Description of market research conducted and results or statement why it was not conducted:

Revision: 02 Page 3 of 3

This is an emergency acquisition in accordance with FAR 6.302-2 Unusual and compelling urgency. On 12/16/2025 MIDWEST BOILER, INC was contacted to provide emergency repairs for SFVAHCS boiler plant’s condensate tank. MIDWEST BOILER, INC confirmed they are able to provide these repairs in a timely manner without further injury to the government. No further market research was conducted.

5. Contracting Officer's Certification: Purchase is approved in accordance with FAR13.106-1(b). I certify that the foregoing justification is accurate and complete to the best of my knowledge and belief.

X Contracting Officer https://acquisition.gov/far/current/html/Subpart%2013_1.html#wp1125466