Automation Line CPRR Bridge Contract Sole Source Justification_Redacted.pdf

VHAPG Part 808.405-6 Limiting Sources Page 1 of 4 Revision: 01 Effective Date: 09/01/2024 Acquisition ID#: 36C257-25-AP-1342

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID: 36C257-25-AP-1342 RPOW JOFOC Tracking Number: FY25-NCO17-516

(1) Contracting Activity: Department of Veterans Affairs (VA), Network Contracting Office (NCO) 17, located at 5441 Babcock Road, Ste 302, San Antonio, TX 78240, in support of the Central Texas Veterans Health Care System (CTVHCS), located at 1901 Veterans Memorial Drive, Temple, TX 76504. Purchase Request Number: 674-25-2-034-0029.

(2) Description of Action: This acquisition is conducted under the authority of the Multiple- Award Schedule Program (41 U.S.C. 152(3) and 40 U.S.C. 501). NCO 17 intends to award a sole source contract to Beckman Coulter, Inc. for an Automation Line Cost-Per-Reportable -Result (CPRR) program supporting the CTVHCS. The order will be placed as a bridge contract with a period of performance of 1/15/2025 through 10/14/2025. The contract will contain FAR 52.217- 9, Option to Extend the Term of the Contract if an extension is needed past the nine-month period. This will be one (1) three (3) month option. The contract will also contain FAR 52.217-8, Option to Extend Services.

Order against: FSS Contract Number: V797D-70260 Name of Proposed Contractor: Beckman Coulter, Inc.

Street Address: 250 South Kraemer Blvd.

City, State, Zip: Brea, CA 92821 Phone: (714) 872-6271

(3) Description of Supplies or Services: The Contractor will provide chemistry and immunochemistry analyzer rental, maintenance services, and estimated quantities of all required reagents, controls, and consumable supplies on a CPRR basis for Central Texas laboratories located at Temple and Austin. The Contractor is to provide two (2) AU5822 and two (2) DxI800 analyzers for Temple laboratory and one (1) AU700 and one (1) DxI600 for the Austin laboratory. The Contractor shall also provide a customized automation line with pre-analytic inlet and post-analytic storage for Temple laboratory and a power link for the Austin laboratory. The CPRR program will consist of 103 different chemistry and immunochemistry tests. The estimated value of the proposed action is $2,767,248.84

(4) Identify the Authority and Supporting Rationale.

FAR 8.405-6(a)(1)(A): An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays:

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Acquisition ID#: 36C257-25-AP-1342

FAR 8.405-6(a)(1)(B): Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized.

Beckman Coulter Inc. is the only contractor that can provide and maintain the equipment required to support the Automation Line CPRR program. The equipment currently used in the laboratories was provided through BPA 36C25719A0012, awarded to Beckman Coulter Inc.

Beckman Coulter Inc. also provided the same equipment through a bridge contract, 36C25724N0177, from 01/15/2024 to 01/14/2025. Installing any other equipment would require new construction, further delaying the installation and implementation of equipment required for BPA 36C25724A0003.

FAR 8.405-6(a)(1)(C): In the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order, provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.

FAR 8.405-6(b): Items peculiar to one manufacturer:

A patent, copyright, or proprietary data limits competition. The proprietary data is:

The material/service must be compatible in all aspects (form, fit, and function) with existing systems presently installed/performing.

(5) Describe Why You Believe the Order Represents the Best Value consistent with FAR 8.404(d) to aid the contracting officer in making this best value determination:

The offers submitted by Beckman Coulter, Inc., for Request for Quotes (RFQ) 36C25723Q1104 and 36C25724Q0226 were determined to be fair and reasonable based upon comparison with the Independent Government Cost Estimate (IGCE) and competition. Based upon a review of price list, the pricing is not expected to be significantly different than previously quoted. The Contracting Officer has determined that placing the proposed order represents the best value and results in the lowest overall cost alternative to meet the

(6) Describe the Market Research Conducted among schedule holders and the results or a statement of the reason market research was not conducted. Market Research was conducted pursuant to FAR Part 10 and VAAR 810.001-70. Market Research was conducted by Central Texas Pathology and Laboratory Medicine Services (P&LMS) from 12/02/2024 to 12/17/2024 and by the contracting team from 12/18/2024 to 01/03/2025. A review of the Veterans Affairs (VA) National Acquisition Center (NAC) Federal Supply Schedule (FSS) under Special Item Number (SIN) 66 III, Category 605-6A, was conducted on 12/18/2024. This review verified that there have not been significant changes in the market since the last contract.

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Acquisition ID#: 36C257-25-AP-1342

Searching the Interagency Contract Directory yielded no results for Automation Line CPPRR. A review of previous market research and the acquisition history of the same requirement for Automation Line CPRR resulted in three (3) large businesses that can provide Automation Line CPRR, but only Beckman Coulter Inc. can provide and maintain the equipment already in place at the Temple and Austin facilities. An internet search for other businesses that could provide the required equipment did not generate results other than Beckman Coulter Inc. A search of mandatory sources, Ability One and UNICOR, revealed that they do not offer the requested Automation Line on a CPRR basis. A search in VetCert using NAICS 334516 generated 234 results: 30 VOSB and 204 SDVOSB. A search in the Dynamic Small Business Database (DSBS) using NAICS 334516 generated 559 Small Business Administration (SBA) Certified small businesses. However, since the bridge contract intends to use equipment already in place, no small business can support this acquisition. A Special Notice Intent to Sole Source, 36C25725Q0213, was posted on Contract Opportunities on 01/02/2025 and closed on 01/07/2025. There were no responses as a result of this notice. Based on the market research, it is in the government's best interest to solicit this requirement as a sole-source acquisition directly from the OEM, Beckman Coulter Inc., IAW FAR 8.405-6(a)(1)(B).

(7) Any Other Facts Supporting the Justification: Beckman Coulter Inc. initially provided the equipment currently used in the laboratories through BPA 36C25719A0012. Using any other equipment would delay the installation and validation of the new equipment. In addition, using any other equipment would detrimentally stop the Integrated Chemistry CPRR program at the Temple and Austin laboratories.

(8) A Statement of the Actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made: The long-term contract, BPA 36C5724A0003, is already in place and was competed. The request for this action is to be submitted with nine (9) to twelve (12) months remaining until all equipment under the long-term contract has been delivered, installed, and validated. Weekly meetings are held between the Contractor, P&LMS staff, and the Contracting Officer where updates are provided, any issues are identified, and solutions are determined to mitigate the need for additional bridge contracts in the future.

(9) 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. I understand that processing this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4.

Administrative Officer Pathology and Laboratory Medicine Services Central Texas Veterans Health Care System

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Acquisition ID#: 36C257-25-AP-1342

(10) Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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

Contracting Officer Laboratory Support Services (LSS) Network Contracting Officer 17

b. One Level Above the Contracting Officer (Required over the SAT but not exceeding $750K):

I certify the justification meets requirements for other than full and open competition.

Branch Chief Laboratory Support Services (LSS) Network Contracting Officer 17

c. Director of Contracting: I certify the justification meets requirements for other than full and open competition.

Director of Contracting Network Contracting Officer 17

d. VHA RPO HCA Review and Approval (over $750,000 to $75 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for restricting consideration of the Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4.

Executive Director, Regional Procurement Office West Head of Contracting (HCA)