Brand Name Justification-Redacted.pdf

VHAPG Part 813.5 Simplified Acquisition Procedures for Certain Commercial Items Attachment 1: Request for Sole Source Justification Template >SAT-$7.5M under FAR13.5

Effective Date: 11/15/24 Page 1 of 5

REVISION: 01

Acquisition ID#: 36C244-25-AP-0938

DEPARTMENT OF VETERANS AFFAIRS

SOLE SOURCE JUSTIFICATION UNDER SIMPLIFIED PROCEDURES FOR CERTAIN COMMERCIAL

ITEMS IN ACCORDANCE WITH FAR 13.5

Acquisition Plan Action ID: 36C244-25-AP-0938

1. Contracting Activity: Department of Veterans Affairs, Regional Procurement Office-East (RPOE), Network Contracting Office 4 (NCO 4) provides contracting support for Veterans Integrated Services Network 4 (VISN 04), Pittsburgh VA Medical Center, University Drive C , Pittsburgh, PA, 15240. The funding purchase request has been approved and identified as: .

2. Nature and/or Description of the Action Being Processed: This procurement is for a new follow-on contract for the preventative maintenance, repair, and inspection of the 238 Arjo overhead ceiling lift systems identified in the statement of work (SOW) in accordance with FAR 13.5 Simplified Procedures for Certain Commercial Items and specifically FAR 13.501 Special Documentation Requirements, where acquisitions conducted under Simplified Acquisition Procedures are exempt from the requirements of FAR Part 6, but still require a justification using the format of FAR 6.303-2.

The usage of a Firm Fixed Price (FFP) type order is appropriate for this procurement action.

The previous procurement , was awarded to Arjo Inc. on a sole source basis for the replacement of 231 Arjo ceiling lifts throughout the hospital. The previous lift systems became obsolete and the new lifts required the Arjo brand in order to fit in the existing ceiling track system. Per the previous justification, the track system in use has a lifetime manufactures warranty and any lift system outside the Arjo brand would void the warranty. See paragraph 5 below for additional details.

The patient lift systems are used to support patient transfer. These building integrated systems transfer patients safely between beds, chairs, stretchers, and procedural tables. Additionally, these lifts are utilized for routine patient handling tasks that require the generation of excessive force, such as repositioning a patient in a bed by pushing or pulling. Per VHA Directive 1611: Safe Patient Handling and Mobility (SPHM) Program, SPHM technology has been proven to reduce manual patient handling injuries and is a required technology within VA Medical Centers. The system requires regular inspection and maintenance including deflection/safety testing, replacement parts, and repair services to keep the lifts operational.

Like the previous procurement, only Arjo factory authorized replacement parts and accessories are to be used in the Arjo brand ceiling lifts. Arjo is the original equipment manufacturer (OEM) and only specifications. Pittsburgh VAMC also relies on the original OEM system specifications and inspection requirements. Only Arjo certified technicians have access to the OEM manuals and documentation needed to maintain equipment systems to their original specifications. Certified technicians are the only service providers that receive OEM recommended operational and safety updates and training for improving performance of the ceiling lift systems installed at Pittsburgh VAMC. Lastly, Arjo parts warranties are void if service work is not completed by a certified technician.

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Acquisition ID#: 36C244-25-AP-0938

The systems must ations for continuous patient care and safe patient handling throughout VA Pittsburgh Medical Center. The safe, reliable operation of the equipment is critical for transferring patients and preventing injuries to staff.

3. : VA Pittsburgh requires full equipment and software support for the continuous reliability of the Arjo overhead ceiling lift systems. Requirements include:

A. Maintenance Agreement

a. Service coverage for all hardware, installation, parts, labor, corrective and preventive maintenance

b. On-site response within twenty four hours by certified technician, during normal business hours

c. Replacement OEM parts as required.

d. Travel expenses to and from site.

B. All parts, labor, travel, shipping and handling necessary for support.

C. Annual periodic maintenance inspections (PMI) in accordance with OEM specifications

4. Statutory Authority Permitting Restricted Competition:

FAR 13.5 Simplified Procedures for Certain Commercial Items. The statutory authority for applying the Simplified Procedures for Commercial Items of FAR 13.5 is 41 U.S.C. § 1901 and is implemented by FAR 13.106-1(b)(2) for restricting competition on this procurement. Competition is restricted on this procurement for the reason below:

( X ) Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements

( ) Unusual and Compelling Urgency ( ) Industrial Mobilization, Engineering, Developmental or Research Capability or Expert

Services ( ) International Agreement ( ) Authorized or Required by Statute ( ) National Security ( ) Public Interest

5.

the Use of the Authority Cited Above (applicability of authority): This is a brand name justification in support of FAR 11.105, Items Peculiar to One Manufacturer. Arjo Inc. is the sole manufacturer of OEM replacement parts. Parts and certified technicians for the specific brand Arjo are required to ensure that all patient ceiling lift systems currently being utilized throughout Pittsburgh VAMC operate to original equipment specifications.

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Acquisition ID#: 36C244-25-AP-0938

OEM steelwork rail and track systems installed on previous acquisition that maintain a lifetime warranty with ongoing certified maintenance. In 2023, utilizing contract , Pittsburgh VAMC upgraded 231 end of life lift systems with new Arjo lift models. Resoliciting a new requirement would result in significant duplication of costs that would not be recovered through competition.

Pittsburgh VAMC would need to replace all 238 ceiling lifts currently utilized throughout the medical center, remove and replace the steelwork rail and track systems, replace lift components such as slings spreader bars, and train 200+ nursing staff to operate new equipment. Resoliciting a new requirement would also cause interruption of services and closing of medical center spaces for the installation of different brand equipment.

The purchase and installation of the 231 lifts with needed components in 2023 cost the Government The cost of replacing hanger bars and motors would be over . This does not include the additional cost to replace steelwork and rail installations that are required for overhead ceiling lifts.

Switching brands would result in considerable duplication of costs to the Government and negatively impact patient care during transition period that would not be recovered or justified through competition for the system.

6. Description of Efforts Made to ensure that offers are solicited from as many potential sources as deemed practicable: Market research concluded that two sources are capable of providing requirement, Arjo Inc. and Emeritus Clinical Solutions Inc. Arjo Inc. provided information and market research quote. Emeritus Clinical Solutions Inc. was contacted but did not respond to requests for information from technical point of contact (POC), . To maximize competition and solicit from as many sources as possible, combined synopsis/solicitation will be posted to the GPE- SAM.gov as brand name requirement.

7. Determination by the CO that the Anticipated Cost to the Government will be Fair and Reasonable: If possible, price reasonableness will be based on competitive quotations amongst the OEM, Arjo, and the authorized third-party SDVOSB vendor, Emeritus Clinical Solutions, Inc.. If only one response is received, price analysis will be conducted using comparison of proposed price with prices found reasonable on previous purchases. A determination will be made by the Contracting Officer that the anticipated cost to the Government is fair and reasonable.

8. Description of the Market Research Conducted and the Results, or a Statement of the Reasons

Market Research Was Not Conducted: Sole source justification was provided by the original equipment manufacturer, Arjo Inc., who provides the hardware, software, support and certified technicians for their proprietary ceiling lifts. In their sole source letter, Arjo Inc. provided that they partner with Emeritus Clinical Solutions Inc., an SDVOSB, for certified maintenance services.

Emeritus was emailed on 12/12/24 and 12/16/24 by technical POC, with no response received.

Market research was also conducted utilizing VetCert, SBA Dynamic Small Business Search (DSBS), Master Catalog Arjo lift identified 315

Arjo lift Arjo lift the

VA Supply Chain Master Catalog Arjo lift for contracts with other VISNs.

NAC and GSA eLibrary were searched for available contracts to place an order under. No NAC

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Acquisition ID#: 36C244-25-AP-0938 contract is available to place an order. Arjo does have a GSA Schedule, but maintenance and repair services are not available from schedule. In conclusion, market research did not yield any additional

Any Other Facts Supporting the Use of Other than Full and Open Competition: It is in the to utilize a brand name requirement to procure needed maintenance and support services for the essential patient ceiling lift systems. The use of Arjo OEM parts and certified technicians ensures equipment performs to original manufacturer operational and safety specifications. This supports the VA mission to care for Veterans and the prevention of VA staff injuries.

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

Arjo Inc.

2349 W West LK Ste 250 Addison, IL 60101 Business Size: Large Business

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:

Competition is limited due to the proprietary nature of the equipment. The Government will continue to conduct market research to ascertain if there are changes in the market or requirement that would enable future actions to be solicited with increased competition.

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.

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

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

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Acquisition ID#: 36C244-25-AP-0938

b. One Level Above the Contracting Officer (Required over SAT but not exceeding $750K): I certify the justification meets requirements for other than full and open competition.