B 38154 JPMC Tray Inserts SSJF APO signed 082823.pdf

Sole Source Justification Form

Version 7.01 Page 1 of 5

Bulletin Reference Number 24-416CMS-BOSS4-B-38154

Requesting Agency/University Central Management Services

Sole Source Justification Form - Part I Section I - General Information

Department/Bureau/Section: Bureau of Strategic Sourcing / Equipment and Commodities

Need Identified Date: Jun 15, 2023 Supply/Service Need By Date: Nov 2, 2023

Project Title: JPMC Tray Inserts Approved Brand SEFS

Vendor: Aladdin Temp Rite LLC

Provide a description of the supplies or services required: Disposable plastic tray inserts and reusable dishware for food delivery systems currently being utilized by residential institutions.

Value: Estimated Value of Initial Term, this Change Order or Amendment: 250,708.06

Will this Sole Source amend a Professional or Artistic Services contract? Yes No

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Type: New Sole Economically Feasible Source

Section II - Proposed Term

One-Time Purchase Term Contract

Estimated Contract Begin Date: Nov 3, 2023

Estimated Contract End Date: Nov 2, 2024

Number of Potential Renewals: 0

Length of Each Renewal in Months: 0

Total Value of All Renewals: 0

If a Term Contract, does the term, including renewals, exceed 12 months? Yes No

Section III - Funding Source Select the type of funding to be used (Check all that apply): State Appropriate Funds Federal Funds Other (Explain):

Section IV - Sole Source Justification

This purchase is economically only available from a single source primarily because it is: (If "Other" explain in one sentence)

Compatibility of Equipment, Accessories, Replacement Parts or Service

Are there secondary justification(s) for this sole source? Yes No

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Bulletin Reference Number 24-416CMS-BOSS4-B-38154

Requesting Agency/University Central Management Services

Section V - Purchase History

Has the Agency or University Purchased these supplies or services in the past? Yes No

Term Term From Term To Value Description Contract Number Type

1 Sept 1, 2009 Aug 31, 2010 174,638 Disposable plastic tray inserts and reusable dishware for food delivery systems.

4015864 IFB

2 Sept 1, 2010 Aug 31, 2011 174,638 Disposable plastic tray inserts and reusable dishware for food delivery systems.

4015864 Renewal

3 Sep 1, 2011 Aug 31, 2012 110,476.5 Disposable plastic tray inserts and reusable dishware for food delivery systems.

4017018 IFB

4 Jul 10, 2013 Jul 9, 2015 214,877.5 Disposable plastic tray inserts and reusable dishware for food delivery systems.

4017536 IFB

5 Jul 10, 2015 Jul 9, 2017 218,360

Disposable plastic tray inserts and reusable dishware for food delivery systems. 4017536 Renewal

6 Jan 19, 2018 Jan 18, 2019 120,000 Disposable plastic tray inserts and reusable dishware for food delivery systems.

4018495/P-543 Sole Source

7 Jun 11, 2019 June 10, 2020 217,591.84 Disposable plastic tray inserts and reusable dishware for food delivery systems.

P-9315 Sole Source

8 June 10, 2020 Sept 10, 2020 54,397.96 Disposable plastic tray inserts and reusable dishware for food delivery systems.

P-9315 Amendment

9 Sept 10, 2020 Dec 10, 2020 0 Disposable plastic tray inserts and reusable dishware for food delivery systems.

P-9315 Amendment

10 Nov 3, 2022 Nov 2, 2023 1,063,193.45 Disposable plastic tray inserts and reusable dishware for food delivery systems.

P-40614 Sole Source

If more than 10, or if other comments, explain:

Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

Meals are provided via the Aladdin food delivery sanitation systems to accommodate patients/clients who are unable to travel through cafeteria lines. Food may be prepared ahead and stored in refrigerator or kept warm until serving time.

2. Provide a list and describe in detail the specifications required to satisfy the need:

To obtain both disposable and reusable items such as entree dishes, bowls, lids, and various dish sizes to be used in the existing food delivery sanitation systems.

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

This contract will allow the Agencies to purchase disposable and reusable dishware that fit their existing Aladdin food delivery systems at a constant price.

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Bulletin Reference Number 24-416CMS-BOSS4-B-38154

Requesting Agency/University Central Management Services

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

The tray inserts are manufactured by Aladdin Temp Rite and are specific to the food sanitation systems currently in use by the State. In addition, for compatibility purposes they are designed to nest and fit within the compartmental sections during transport to our Veterans and our other State clientele population.

5. Has the Agency or University considered alternative supplies or services to satisfy their need? Yes No

5a. If yes, name the alternative vendors whose supplies or services were evaluated:

The State has solicited 3 IFBs (B-15962, B-18785 and B-21775) and no successful contract was produced; however, prior to that Aladdin Temp Rite has been the only responsive vendor to meet the State's needs.

5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Be specific with regard to features, characteristics, requirements, capabilities and compatibility:

The facilities have the Aladdin delivery food system. The trays used to deliver the food must have the correct fitting tray inserts used with them or the lids will not fit tightly, causing spillage of the food during transport.

Other food containers have been ordered and used from small vendors, but have not fit correctly issues have occurred. As a result of these issues, new food trays had to be prepared and to be hand delivered to the unit by Dietary staff.

5c. Explain how the market evaluation was conducted?

*This evaluation is to determine available options within a market. If the evaluation is to determine quality or best suited option, this is not the appropriate source selection. Under no circumstances shall the evaluation consist of testing alternative options. These activities must be conducted in a competitive transparent environment (i.e. IFB or RFP).

In the past, IFBs have been issued by the State in order to evaluate the market for these products. Upon review of the US Bureau of Labor Producer Price Index prior to award or renewal we identify any changes in the market in conjunction with prices received to determine if prices are fair and reasonable. In addition, a comparative analysis is conducted with the previous contract prices vs the new pricing to determine if pricing is In the best interest of the State.

6. Are there resellers or distributors?

Yes No N/A

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

A price comparison was conducted between the previous contract pricing versus the 2024 pricing resulting in 109% of total increases averaging 7% overall. In addition, the Producer Price Index (PPI) (WPU072B) disclosed a 38% increase which was 194.877 in July 2022 (when the last contract prices were established) to 195.615 in June 2023 (the most recent posting when this pricing was received). Due to Aladdin's higher pricing averaging 7% overall, the State requested better pricing. As a result, the State offered a 6-month Economic Adjustment Clause in this new contract in exchange for better pricing. Aladdin agreed and reduced their 2024 pricing to a 5% overall average resulting in a 2% negotiated savings. Although Aladdin's pricing is still above what PPI justifies; however, it does not supersede the State's need to have these products available for the State's clientele populations.

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

Yes No

8a. If yes, please provide details regarding future obligations and/or needs:

This is a continuing need due to fact that the existing Aladdin food delivery systems are already in use by the State.

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

The State will be forced to make multiple small purchases at higher costs until a new contract is established.

10. Is there any additional information you would like to add to justify this sole source?

No.

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Bulletin Reference Number 24-416CMS-BOSS4-B-38154

Requesting Agency/University Central Management Services

Section VII

Requesting Department Representative

Requesting Department Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

Date Aug 25, 2023

Printed Name Linda Tribbet E-mail Address Linda.Tribbet@Illinois.gov

Phone Number 217-557-4306

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed)

E-mail Address David.Thomas2@illinois.gov

Phone Number 217-414-8581 Date Aug 28, 2023

Printed Name David W. Thomas

Agency Bureau/Division Head or University Purchasing Director and Not a Designee

SPO Approval and Signature Required

I have reviewed and understand the contents of this Sole Source Justification and agree with the State Agency or University determination.

I have reviewed and understand the contents of this Sole Source Justification and do not agree with the State Agency or University determination. As a result, the State Agency or University must explore other sourcing methods to satisfy their need.

State Purchasing Officer Signature Phone Number Date

Printed Name E-mail Address

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Bulletin Reference Number 24-416CMS-BOSS4-B-38154

Requesting Agency/University Central Management Services

Sole Source Justification Form - Part II Section I - General Information

Project Title

Vendor

Initial Date of Procurement Bulletin Posting

Was a Sole Source hearing held per 30 ILCS 500/20-25?

Yes - Complete Section II and III below (Section II will only be visible when this option is selected)

No - Section II not required, go to Section III below Section III - CPO Approval and Signature Required

Based on my review, I authorize the Agency/University to proceed in accordance with the published Notice referenced above.

Based upon my review, I authorize the Agency/University to proceed with the following Changes.

Based on my review, the Agency/University is not authorized to proceed with this sole source as presented and my recommendation is that it be cancelled.

Other

CPO Signature CPO Phone

Printed Name Date

CPO E-mail

Version 7.01 Page of Sole Source Justification Form - Part I Section I - General Information Will this Sole Source amend a Professional or Artistic Services contract?

If yes, what was the original contract value?

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Section II - Proposed Term If a Term Contract, does the term, including renewals, exceed 12 months?

If yes, provide a detailed justification including any economic benefit received for agreeing to a multi-year term:

Section III - Funding Source Select the type of funding to be used (Check all that apply):

Section IV - Sole Source Justification Are there secondary justification(s) for this sole source?

Section V - Purchase History Has the Agency or University Purchased these supplies or services in the past?

Term Term From Term To Value Description Contract Number Type Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

2. Provide a list and describe in detail the specifications required to satisfy the need:

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

5. Has the Agency or University considered alternative supplies or services to satisfy their need?

5a. If yes, name the alternative vendors whose supplies or services were evaluated:

5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Be specific with regard to features, characteristics, requirements, capabilities and compatibility:

5c. Explain how the market evaluation was conducted?

*This evaluation is to determine available options within a market. If the evaluation is to determine quality or best suited option, this is not the appropriate source selection. Under no circumstances shall the evaluation consist of testing alternative options. These activities must be conducted in a competitive transparent environment (i.e. IFB or RFP).

5a. If no, why weren't alternatives evaluated?

6. Are there resellers or distributors?

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

8a. If yes, please provide details regarding future obligations and/or needs:

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

10. Is there any additional information you would like to add to justify this sole source?

Section VII Requesting Department Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed) SPO Approval and Signature Required Sole Source Justification Form - Part II Section I - General Information Was a Sole Source hearing held per 30 ILCS 500/20-25?

Section II - Sole Source Hearing Details The State posted to the Illinois Procurement Bulletin a description of the State's need, the justification for the sole source decision, and information regarding the opportunity to submit comments and testify at a public hearing. Notice of the hearing was also posted outside of the hearing room 48 hours prior to the hearing.

The public hearing was conducted for the purpose of receiving testimony regarding the sole source determination. The Hearing Officer recommends the following:

The following relevant documents are attached:

Section III - CPO Approval and Signature Required 9.0.0.2.20101008.1.734229

Other food containers have been ordered and used from small vendors, but have not fit correctly issues have occurred. As a result of these issues, new food trays had to be prepared and to be hand delivered to the unit by Dietary staff.