LSJ-Siemens.pdf

HHS Template and Instructions for a General Services Administration Federal Supply Schedule

Limited Source Justification

Completion Instructions: HHS has established a standard template for preparation of a Limited Source Justification (LSJ). For Federal Supply Schedule (FSS) acquisitions over the Simplified Acquisition threshold, Operating Divisions (OPDlvs) shall prepare the template in accordance with these completion instructions. (NOTE: Ihe Project Officer (PO) has responsibility for completing all of the information items included in the template, with any necessary assisfance from the cognizant Contracting Otficer (CO) and Contract Specia/ist (CS) - especially for ltems 3 (b), 4., 5., 6., and 8.(b) listed below.

The instructions for preparing an LSJ are specified in "red" and should be deleted prior to processing the document for review and approval. Also, do not include the completion instructions in the comoleted document.

A completed LSJ must contain all of the applicable bolded headings in the order specified. Place the required information directly next to, or under, the applicable heading. lf a heading does not apply to a specific LSJ, indicate "not applicable" (N/A) next to it. Reference and attach any additional information necessary to support the

LSJ

"Source Selection lnformation - see FAR 2.101 and 3.104"

1. ldentification ofthe agency and contracting activity. i

a. Federal agency and contracting activity. HHS.

Indian Health Service

b. Sponsoring organization.

Great Plains Area Office/Cheyenne River Health Center

c. Project Officer information.

. Project Officer name.

Woodrow Star, Laboratory Supervisor o Mailing address.

24276 166tn Street, PO Box1012

Eagle Butte, South Dakota 57625 o E-mail address.

Woodrow.star@ihs.gov

. Telephone number.

605-964-0638

2. Nature and/or description of the action being approved.

b.

Acquisition purpose and objectives, The purpose of this acquisition is to establish a new blanket purcnase agreement with Siemens for Laboratory supplies and consumables at a cost per reportable rate. Siemens has provided the supplies for our laboratory machines for the last 5 years, they are the current owner of the machines. The reagents ordered have expiration dates, so are ordered on an as needed basis.

Project background.

Siemens had the cunent contract for supplies for the facilities machines for the last 5 years under a previous Blanket purchase Agreement(BpA).

This will be a renewal of an ongoing order, since BpA's are renewed every 5 years. Previous blanket purchase agreement information:

contract number HHS12412011000258, pop Bh7t20j1 - 9t30t16, approximately $500,000.00. This was under FFS contract V797p-30.175.

Siemens are the owners of the machines and only source wno can provide the supplies need forthe machines. Continuation of this contract would eliminate the needs for crossover testing, method validation, and training; thus saving extensive amounts of labor for laboratorv technicians to bring a new vendor on-line.

Description of the supplies or seryices required to meet the agency's needs (including the estimated value).

a.

b.

Project title. Lab Supplies

Project description.

Blanket Purchase Agreement to provide supplies and consumabtes on a firm fixed price basis, for 1-Dimension EXL LM SO/6OHZ instrument with Millipore AFS Essen 8D WTR System & 1€ysmex CA-630 machines, on as needed basis for the Cheyenne River Health Center, Eagle Butte, SD. Supplies provided are attached. Funds will be obligated as individual BPA Calls are placed against this blanket purchase agreement monthly.

o Requirement type.

Support services (non-research & development) Supplies/equipment Information technology (lT) tr E tr tr Other (specify):

' TYPe of action.

E New requirement E Follow-on E Other (specify): renewal of on qoinq order o Proposed contracUorder type.

El Firm-fixed-orice tr Time and materials O Indefinite delivery (specify whether indefinite quantity, definite quantity, or requirements):

El Other (specify): blanket purchase aqreement o Acquisitionidentificationnumber.

N/A

c. Total estimated dollar value and performance/delivery period. period

Total estimated dollar value estimated at $S10,O0O.OO Period of performance is 05/01/2017 - 04t3012O22

4. ldentification of the justification rationate lsee 8.405-6(a) and (b)] and, if applicable, a demonstration of the proposed contractor's unique qualifications to provide the required supply or service.

a. Acquisition authority.

tr This acquisition is conducted under the authority of the Multiple Award Schedule Program. Consideration of schedule contractors will be restricted to fewer than the number required by Federal Acquisition Regulation (FAR) 8.a0S-6(aXf ) (i.e., fewer than three FSS contractors).

E This acquisition is conducted under the authority of the Multiple Award Schedule Program. Consideration of schedule contraciors will be restricted only to the item peculiar to one manufacturer as provided in FAR 8.405-6(a)(2) .

b. Demonstration ofthe proposed contractor(s) unique qualifications to provide the required supply or service.

o Name and address ofthe proposed contractor(s).

Siemens Healthcare Diagnostic, Inc.

115 Norwood Park S Norwood, MA 02062

5.

. Nature ofthe acquisition and proposed contractor(s) unique qualifications.

Siemens is the owner of the machines and sole proprietor of the supplies for the machine. Also, continuity of care is important, because the machine accuracy rate and/or ratio needs to be keep at 0 or low. Switching to a new machine and/or supply would disrupt the accuracy of the tests. The vendor has provided satisfactory service/supplies for the last 5 years and price is fair and reasonable. Terminating this relationship would negatively impact direct patient care due to time involved to install a new chemistry analyzer and patient crossover required for CLIA licensures.

Determination by the ordering activity Contracting Officer that the order represents the best value consistent with FAR 8.404(d).

Steps taken will be the quote obtained from the vendor to meet our need. The order is based on previous contracts cost and price analysis.

Since (a) GSA has already determined the prices of the supplies and services under FSS contracts, including rates for services offered at fixed hourly rates, to be fair and reasonable; and (b) by placing an order against a schedule contract using the procedures in FAR 8.405, the ordering activity CO has concluded that the order represents the best value (see FAR 2.'101) and results in the lowest overall cost alternative, the determination shall cite:

(i) There is no price reduction but rather the extension of a 5 year warranty on the machines, upgrade and replacement of out of date machines at no cost to the government. Ownership of current machines are Siemens and will remain with Siemens. (see FAR 8.405-4);

(ii) There are no additional discounts, price is per scheduled and quote obtained; and

(iii) Based on previous history and ordering with vendor, price is fair and reasonable. Quote was obtained for supplies that will be ordered under this BPA, total price is reasonable - see FAR 8.405-2(d).

Description of the market research conducted among schedule holders and the results, or a statement of the reasons market research was not conducted.

Due to requirements for reagent for analyzer already in use at Cheyenne River Health Center, the FSS schedule for Siemens was the only solicited requested as it is a sole source for reagent that provides this supply/equipment for use during the period of performance to purchase the reagent. Another vendor would require an entire methodology change over to different analyzers to be able to use other reagents.

6.

7. Any other facts supporting the justification,

(a) when the new work is a logical follow-on to an original FSS order [see FAR 8.405-6(bX2)], indicate whether there would be (i) unacceptabte delays as the analyzer provides for testing that will only be supported by Siemens Reagent and cannot be provided by another vendor without numerous crossover samples, quality control validation, and method justification from Pathologists prior to testing patient samples (process that takes1-2months).

8. Statement ofthe 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.

a. Removal of barriers to competition.

Chemistry systems are re-evaluated due to volume of testing, and new initiatives in chemistry testing that become available on a periodic basis at a minimum every 4-6 years. Open competition occurs at each of these evaluation cycles and does not circumvent competition. There are no new testing available at this time.

b. Listing of sources, if any, that expressed an interest, in writing, in the acquisition. No other sources have expressed an interest, in writing, in the proposed acquisition.

9. Program office certification.

This is to certify that the portions of this justification that have been developed by the undersigned program office personnel, including supporting information and/or data verifying the Government's minimum needs or requirements, or other rationale for limited sources, are accurate and complete.

Official Name & Title Signature Date

Project Officer Woodrow Star

Supervisory Medical Technoloqist lz-24 d

Project Officer's lmmediate Supervisor

Dr Julie Thorstenson

Clinical Services Administrator q'Ht#s i4""1,u

Head of the Sponsoring

Program Office

Charles Fischer

CEO Cheyenne River Health Center teb,/u

10. Contracting Officer certification.

This is to certify that the justification for the proposed acquisition has been reviewed and that to the best of my knowledge and belief the information and/or data provided to support the rationale and recommendation for approval is accurate and complete.

Official Name & Title Signature Date

,1

Contracting

Q,$sl'oan elle Chasing Hawlr /i

I signature(s).

Official Name & Title Signature Date

Chief of the Contracting

Office

^ tJ Head of the Contracting

Activity

1l , r;{( 4 :;:; , -( ()(

12. CompetitionAdvocatesignature, 13, HHS Senlor Procutrment Executlve slgnaturc.