Attachment 1 24-RHCO-P-51 KO Determination for Brand Name Requirement Redacted.pdf

For All Actions At or Below the Simplified Acquisition Threshold FAR Subpart 13.1 Control No: 24-RHCO-P-51

Version – February 2017 Page 1 of 3

Memorandum for Record – Limiting Competition at or below the Simplified

Acquisition Threshold Brand Name Requirement

1. Contracting Activity: Regional Health Contracting Office-Pacific, Health Contracting Branch, Joint Base Lewis-McChord (JBLM), 673 Woodland Square Loop SE, Lacey WA 98503.

2. Description of Action:

Nature: New Requirement Purchase Request Number: 0012030531 Pricing/Contract Type: Fixed Price IDIQ Funds: Defense Health Program

FY: 2024

Name of Proposed Contractor(s) and Address:

Bayer Healthcare LLC.

100 Bayer Blvd. Whippany, New Jersey, US, 07981-1544

UEI: DAVLZMN2HEP5

Cage Code: 3KEK9

3. Description of Services:

This requirement is for the procurement of non-personal services for equipment maintenance and repairs of Bayer Healthcare Injector Systems. These systems are used for laboratory and patient care and are an integral part of the ability for Madigan Army Medical Center to provide proper patient care. The services to be provided include routine preventative maintenance and repairs, corrective maintenance, calibration services with a mandatory machine uptime of 98%, and includes any required original equipment manufacturer required modifications for operator and patient safety.

Estimated Total Contract Value and Period of Performance:

The estimated Period of Performance will be for 12 months only, starting from the date of award. Anticipated date of award is 1 February 2024.

4. Authority:

FAR 13.106-1(b)(1): For purchases not exceeding the simplified acquisition threshold (SAT), only one source reasonably available, urgency, exclusive licensing agreements, brand name, or industrial mobilization. As required by FAR 13.106-3(b)(3)(i), this memorandum explains the absence of competition for this acquisition, as only one source will be solicited for this requirement and the requirement is not expected to exceed the simplified acquisition threshold.

Version – February 2017 Page 2 of 3

5. Reasons for Authority Cited:

a. Madigan Army Medical Center (MAMC) at Joint Base Lewis McChord

(JBLM) Washington, currently utilizes 15 Bayer Healthcare Injector Systems throughout MAMC. These machines are sensitive scientific laboratory equipment used for patient care that require continual maintenance and specific calibration of the equipment and software.

The original equipment manufacturer, Bayer Healthcare LLC. is the only source available for this type of service. This is due to the proprietary software utilized in the machines and used during the calibration procedure. No other sources exist, and Bayer Healthcare does not provide certification or software to any other entities.

b. Bayer Healthcare LLC has confirmed that their business decision is to stop contracting directly with the Federal Government and has moved to a business strategy of having a network of authorized distributors and requiring federal contracts to be accomplished through their distributors.

c. As the OEM Bayer Healthcare LLC, will not contract directly to the government, however, the OEM Bayer Healthcare LLC is the only source available for Certified Service Technicians to maintenance, calibrate, and perform system software updates with the proprietary software that is required. As a result this necessitates the use of a brand name service requirement.

6. Publicizing Contract Actions: There is no exception to the requirement to synopsize. A notification will be posted to the government point of entry (www.SAM.gov).

7. Market Research: Market research has been conducted within the past 12 months over the Internet and has shown that the services being procured are commercial in nature. This is a new requirement for MAMC. Previously this requirement was satisfied under sole source contracts since at least 2018 on a sole source basis to the OEM Bayer Healthcare. This requirement was found to be commercial in nature based upon previous DoD procurement using commercial product acquisition procedures under FAR part 12 (DFARS 212.102(a)(ii)(A)).

8. Other Facts: N/A

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9. Technical/Requirements Certification: I certify 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.

Contracting Officer Representative

10. Contracting Officer Certification/Approval:

I hereby determine that the anticipated cost or price to the Government for this contract action will be fair and reasonable based upon price analysis techniques identified at FAR 13.106-3(a)(2).

I certify that this justification is accurate and complete to the best of my knowledge and belief, and that completing this purchase as a sole source is in the best interest of the Government. Additionally, I approve this justification to limit competition subject to the availability of funds and provided that the services or supplies herein described have otherwise been authorized for acquisition.

Scott Barr, Contracting Officer

BARR.SCOTT.

A.1078903208

Digitally signed by

BARR.SCOTT.A.1078903208

Date: 2023.12.28 09:10:13 -08'00'