Attachment 6 - 692-CSI-101 JA Partial Sole Source_Redacted.pdf

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Y1DA--692-CSI-101 MRI Site Prep Presolicitation and Virtual Presolicitation Conference
Solicitation number
36C26025R0023
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This is a Justification and Approval (J&A) document for Other Than Full and Open Competition from the Department of Veterans Affairs (VA) regarding project 692-CSI-101 MRI Site Preparation at the VA Southern Oregon Rehabilitation Center and Clinics (VASORCC). The document justifies a partial sole-source award to GE Healthcare for the de-installation, installation, inspection, and certification of a GE MRI system being relocated from the Portland VA Medical Center's Vancouver campus to VASORCC in White City, OR.

The J&A cites "Only One Responsible Source" as the authority, explaining that GE Healthcare must perform these specific services to maintain the existing maintenance service contract and comply with VAAR requirements. While the overall project will be competed as a Service-Disabled Veteran-Owned Small Business (SDVOSB) set-aside, the MRI-related services must be sole-sourced to GE as they confirmed they have no authorized third-party contractors for this work. Market research was conducted via a sources sought notice in December 2023, though it did not specifically address the MRI transport requirements. The document is signed by John Murphey (Projects Chief) and Helen Woods (Contracting Officer) in July 2024, with an effective date of April 15, 2024.

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VHAPG Part 806.3 OFOC Page 1 of 4 Revision: 03 Effective Date: 04/15/24 Acquisition ID#: 36C260-23-AP-4037

DEPARTMENT OF VETERANS AFFAIRS

Justification and Approval (J&A) For

Other Than Full and Open Competition (>SAT)

Acquisition Plan Action ID: 36C260-23-AP-4037

1. Contracting Activity:

Department of Veterans Affairs, VISN 20, White City VA Southern Oregon Rehabilitation Center and Clinics through Regional Procurement Office West, Network Contracting Office 20, Construction Branch 2

2. Nature and/or Description of the Action Being Processed:

This justification is only for the de-installation, installation, inspection, and certification of the MRI equipment before and after transport and does not cover any other work included.

This is a new requirement and will require this portion of the scope to be sole-sourced to GE Healthcare.

3. :

This justification is in support of project 692-CSI-101 MRI Site Preparation, which will (1) prepare a site at the VA Southern Oregon Rehabilitation Center and Clinics (VASORCC) located in White City, OR campus for a new MRI, (2) remove the MRI at the Portland, OR VA Medical Center, Vancouver campus (Vancouver) and (3) relocate the MRI to the VASORCC campus and finish set-up of the MRI at the new site.

VASORCC is recyling the GE MRI from Vancouver. This MRI has an existing maintenance service contract in place with GE. To be able to utilize the MRI for patient care and maintain the existing service contract that complies with VAAR 812.301 after completion of the construction project, VASORCC needs the MRI to be inspected before and after transport and recer authorized service provider. Per GE, they do not presently have or recommend any 3rd party contractors, so there is no OEM authorized service provider.

This justification is only for the de-installation, installation, inspection, and certification of the MRI equipment before and after transport and does not cover any other work included.

All other project work will be done by awarded SDVOSB contractor, who will need to coordinate with GE for the portion of the work covered under the partial sole-source.

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 41 USC §3304(a)(1) as implemented by FAR 6.302-1;

( ) (2) Unusual and Compelling Urgency per 41 USC §3304(a)(2) as implemented by FAR 6.302-2;

( ) (3) Industrial Mobilization, Engineering, Developmental or Research Capability

VHAPG Part 806.3 OFOC Page 2 of 4

Acquisition ID#: 36C260-23-AP-4037 or Expert Services per 41 USC §3304(a)(3) as implemented by FAR 6.302-3;

( ) (4) International Agreement per 41 USC §3304(a)(4) as implemented by FAR 6.302-4

( ) (5) Authorized or Required by Statute per 41 USC §3304(a)(5) as implemented by FAR 6.302-5;

( ) (6) National Security per 41 USC §3304(a)(6) as implemented by FAR 6.302-6;

( ) (7) Public Interest per 41 USC §3304(a)(7) as implemented by FAR 6.302-7;

5. Demonstration that the Acquisition Requires the Use of the Authority Cited Above (applicability of authority):

Pursuant to VAAR 812.301(f)(1), VA is required to insert the clause VAAR 852.212-71 in all solicitations and contr to the requirements of VAAR 852.212-71 wherein the provider of said maintenance and parts will need to be demagnetized, transported to the new facility, then remagnetized. Is there any handles these processes? In terms of any warranty or service currently on the MRI, is GE the

If the system is moved by others the expectation would be the system would be inspected prior to the move and after the move.

Any issues found after the move would be corrected before continuing service coverage. We

As a follow up to the previous conversation MRI pre and post transport stated the system using GE would also be the only way to ensure the continuation of maintenance services.

As there currently appears to be no other OEM authorized service provider based on market research, unless the MRI is inspected by GE pre- and post-transport, VASORCC may not be able to utilize the MRI for patient care , as they may not be able to comply with the requirements of VAAR 852.212-71 wherein the service provider must be the original

Based on this information, the project needs to partially sole-source to GE for the work outlined above.

Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable:

692-CSI-101 as a whole will be competed full and open after total set-aside for Service Disabled Veteran Owned Small Businesses (SDVOSBs) based on overall market research.

The only restriction is on a small portion of the work- the inspection of the MRI pre- and post-transport. All other project work will be done by the awarded SDVOSB contractor, who

VHAPG Part 806.3 OFOC Page 3 of 4

Acquisition ID#: 36C260-23-AP-4037 will need to coordinate with GE for the portion of the work covered under the partial sole-source.

Any SDVOSB registered as a SDVOSB under the NAICS code for the solicitation will be able to submit an offer and use subcontractors of their choice for all work other than the inspection of the MRI pre- and post-transport. This maximizes possible competition since the sole source portion of the project is just one small piece of the larger project. The work required by this sole source to be performed by a large business, GE, will not impact the

-aside requirements to maximize opportunities to small businesses.

6. Determination by the CO that the Anticipated Cost to the Government will be Fair and

Reasonable:

Determination of price fair and reasonable will be made at award based on the project cost as a whole and document on the S19 Source Selection Decision Document at time of award.

The anticipated cost for the GE sole source portion of the work is based on the Architect/Engineer

7. Description of the Market Research Conducted and the Results, or a Statement of the Reasons Market Research Was Not Conducted:

As described in Section 6 above, market research, in accordance with FAR Part 10, was conducted by synopsis of the proposed acquisition, advising industry of the pending acquisition and soliciting inquiries from interested parties. Contracting posted a sources sought in December 2023 and received several responses, however, the Sources Sought notice did not include any mention of the transport or inspection requirements for the MRI.

BAA/TAA does not apply to this acquisition.

8. Any Other Facts Supporting the Use of Other than Full and Open Competition:

No additional facts at this time.

9. Listing of Sources that Expressed, in Writing, an Interest in the Acquisition:

After reviewing the requirement thoroughly, GE was emailed to obtain the required information regarding transport of the MRI as the OEM of the subject equipment. Based on the responses received from GE, (as detailed previously), no additional sources were sought for the specific portion of the scope that is the subject of this document.

10. 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:

Market research will be performed on an on-going basis to determine the need for subsequent acquisitions and the appropriate actions to mitigate barriers prior to those acquisitions.

VHAPG Part 806.3 OFOC Page 4 of 4

Acquisition ID#: 36C260-23-AP-4037

11. 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.

Name Date Title

VA SORCC

12. Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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

Helen Woods Date Contracting Officer NCO 20, Construction Branch 2

13. Approvals in accordance with the NCO 20 Desk Manual:

One Level Above the Contracting Officer Approval: I certify the justification meets requirements for other than full and open competition.

Supervisory Contract Specialist Date

NCO 20, Construction Branch 2

RPOW Log Number: FY24-NCO20-2026

John Murphey, PE Projects Chief

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