CHA_Sole_Source_Justification_Form_FY27.pdf

SOLE SOURCE JUSTIFICATION FORM

CHA_Sole_Source_Justification_Form_051816

SOLE SOURCE JUSTIFICATION FORM:

This completed form is to be submitted to PCU via the Request website as the first step in the Sole Source Process.

Important! CDPHE staff must consult the document “Instructions: Sole Source Justification Form” for additional instructions.

TYPE OF CLEARLY PRINT ALL INFORMATION

Project Name: Hospital Discharge Data Set Vendor name: Colorado Hospital Association Vendor Address: 7335 E. Orchard Rd Suite 100 Green Wood Village, Colorado 80111

Select one: X Original Modification PO or Contract Number (if this is a modification):

Describe the products and/or services to be procured and how they meet your needs. (This space is limited – provide a scope of work or specs as additional documentation) CDPHE will purchase CHA’s Hospital Discharge Data Set, Emergency Department Data Set, and related products as needed. Data purchased from CHA informs analysis performed by multiple programs at CDPHE, and housed within various divisions.

List dates, agreement numbers and dollar amounts for any previously procured products or services from this vendor related to this project:

The sole source approved in FY12 went from 2011-2016. PO FAAA 2016*4111 is the only Purchase Order to originate in CHED. DCEED has the documentation for the PO and dollar amounts from 2011-2014. CDPHE has procured products, annually from this vendor, since 1989.

PO FAAA FHHA2015000000000035 $18,875.00

The following POs were issued under NPSS1 201700045:

PO FAAA 2016*4111 - $21,525.00

PO FAAA 201800002760 - $22,900.00

PO,FAAA,201900003233 - $23,592

PO,FAAA,202000004475 - $24,296.00

PO,FHIA,202100003783 - $30,000.00 (cost quote was $24,985)

The following POs were issued under SS# 34564:

PO FHIA 2022*4164 - $25,674.36 ($24,984.88 expended) PO FHIA 2023*3947 - $26,384.56 ($24,984.88 expended)

PO FHIA 2024*4046 - $43,616.00

PO FHIA 2025*4007 - $38,869.44

Current PO FHIA 2026*3734 - $44,645.44

Term of agreement:

(If multi-year, indicate the full term up to 5 years)

Start Date 08/01/2026 End Date 7/31/2031

If this is a modification, indicate the revised end date (if applicable). Revised End Date

Estimated dollar amount - life of the project (up to 5 years):

Dollar amount $225,000

If a modification, complete the following: Amount Increased Revised

Total

If a modification, state the reason(s):

A. Criteria: Answer both 1 and 2.

1. There is only one Good or Service that will meet the need of the State. Yes ☒ No ☐

2. There is only one Vendor that can supply that Good or Service. Yes ☒ No ☐

If “NO” to either 1 or 2, answer 3 and 4, below.

3. The compatibility of equipment, software, accessories, or replacement parts is the paramount consideration and the items are only available from one vendor.

Yes ☐ No ☐

a. Is this a software package or other IT system and the existing system now requires only ongoing maintenance and support? Yes ☐ No ☐

4. A sole supplier’s item is needed for trial use or testing. Yes ☐ No ☐

If “NO” to 1-4, above, this is not a sole source.

STOP

A formal solicitation is required. Complete a Purchasing Determination Form.

Submit all required documents via the PCU Request Site.

B. Explain in terms of 1 through 4, above, the basis for your identifying this as a sole source? A sole source is justified in the instance that this is the only vendor - not what the program may determine to be the best vendor. Is this the only vendor? Explain (See form instructions)…

The Colorado Hospital Association is the only vendor that compiles and maintains the hospital discharge and emergency department data sets for Colorado, on behalf of its member hospitals (all non-Federal, acute care hospitals in Colorado), and other related products and data sets that are specific to Colorado. CHA formulates this data to meet multiple federal and state data reporting requirements, including specific disease reporting requirements per respective health department programs.

Since 1989, CDPHE has annually purchased the CHA Discharge Data Set to meet the data reporting requirements of public health programs and disease reporting to CDPHE by hospitals (see 6 CCR 1009-7).

CDPHE has annually purchased the CHA Emergency Department Visit Data Set since 2014 to meet additional data reporting requirements and to support key CDPHE public health objectives in disease and injury prevention. As a result of funding received over time, CHA has also been asked to provide non-fatal emergency overdose and veteran suicide data to support specific programs.

C. What makes this good or service unique to meeting your needs?

Public health programs use the hospital discharge and emergency department visit data for several programmatic objectives, including disease reporting requirements from hospitals to CDPHE programs.CHA includes the patient identifier for a data record, based on specific disease reporting requirements per respective health department programs. CHA provides the birth defects monitoring program with a weekly transmission of patient identified records per inpatient and ambulatory surgery; and monthly transmissions of data for influenza, COVID-19, trauma-related events and cancer diagnoses.

D. Is the Good or Service Proprietary (product or technology entirely owned by the individual/company and usually protected by trademark or copyright)? Yes ☒ No ☐

E. What type of required, specific and exclusive experience, certifications, licenses etc. are possessed by this vendor that directly relate to the good or service to be procured?

None

F. What research has the program conducted to justify this sole source?

Ultimately, there is no other entity that can provide Colorado hospital data. The hospital discharge and emergency department visit data in question are uniquely derived from hospital-based, medical-coded data utilized for administrative insurance claims and to meet various federal and state reporting requirements.

Thus the data originate at hospitals; however, in prior discussions with hospitals, CDPHE has learned that individually, hospitals do not have the capacity or infrastructure to share these discharge data with all of the necessary organizations and agencies required. Hospitals elected instead to partner with the Colorado Hospital Association (CHA), with whom hospitals share their respective discharge data. In turn CHA is authorized by member hospitals to provide these data to approved users to satisfy various reporting requirements.

G. Do you have an actual or potential conflict of interest in this purchase require? (For example, is an individual from the Department or a family member affiliated with the vendor as an employee, board member, volunteer, etc.?)

Yes ☐ No ☒

If Yes: Please Explain. (This space is limited – please provide additional documentation if applicable.)

H. This Section is Required – You must answer “Yes” to at least one.

1. Did you compare prices/rates to established catalog prices or market prices? (If “Yes”, attach documentation) Yes ☐ No ☒

2. Did you compare prices/rates to historical prices or rates for similar items or services procured in the past? (If “Yes”, attach documentation) Yes ☐ No ☒

3. Did you conduct a cost/price analysis? (If “Yes”, attach documentation) Yes ☐ No ☒

If No to #3 above:

4. Do you know if the cost is "fair and reasonable"? Yes ☒ No ☐

Demonstrate how you determined fair and reasonable prices/rates: Attach additional pages if required.

It is difficult to answer the question about “fair and reasonable” rates. Since 1989, we believe the purchase price of the CHA Discharge Data Set has remained an efficient and reasonable cost for hundreds of thousands of hospital based discharge records (580,000) and over a million Emergency Department discharge records (>1,800,000). In fact, the purchase price of these and other specific data sets has remained consistent for several years.

We agree to consider modest annual increases to reflect increased costs. Comparing the cost of data from the first year to the last year of the current 5-year agreement period, the price increased by 11% (or by approximately $5,000 total), representing an industry standard increase of between 2-3% annually for goods and services.

Division: CHED Program: Health Statistics

Program Contact Name: Kirk Bol Phone: 303-692-2170

Program Manager: Kirk Bol

Procurement Use Only:

Comments:

Approved:

Agency Procurement Director or Authorized Representative Signature Date

Posted on VSS? Yes ☐ No ☐ If posted, original Intent to Sole Source VSS

If not posted or modified, Approved CDPHE Request #