SSJF FY27 IDHS BPCSS Pharmacy Automation ATP2 Extended Service Agreements - B-51540 SPO approved.pdf

Sole Source Justification Form

Version 7.01 Page 1 of 6

Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human Services

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

Department/Bureau/Section: IDHS/DPCSS/Pharmacy

Need Identified Date: Mar 1, 2026 Supply/Service Need By Date: Jul 1, 2026

Project Title: IDHS DPCSS Pharmacy Automation ATP2 Extended Service Agreements

Vendor: Parata BD

Provide a description of the supplies or services required:

Extended Service Agreements for ATP2 Machines. The machines packages medication in pouches to be distributed to clients under the care of IDHS at Packard Mental Health Center, Ludeman Developmental Center, Elgin Mental Health Center, Murray Developmental Center, Chester Mental Health Center, Madden Mental Health Center, Choate Mental Health and Developmental Center, Alton Mental Health Center, Chicago Read Mental Health Center.

Value: Actual Value of Initial Term, this Change Order or Amendment: 163,995

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 Source

Section II - Proposed Term

One-Time Purchase Term Contract

Estimated Contract Begin Date: 07/01/2026

Estimated Contract End Date: 06/30/2027

Number of Potential Renewals:

Length of Each Renewal in Months:

Total Value of All Renewals:

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)

Items are Copyrighted or Patented and the Items are Only Available from the Holder

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

Another justification that this purchase is only available from a sole source is because it is:

Software License/Upgrade/Maintenance

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Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human Services

Another justification that this purchase is only available from a sole source is because it is:

Compatibility of Equipment, Accessories, Replacement Parts or Service

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 May 7, 2025 4/15/2026 47,460 ATP2 Srvc Agrmnts E/M SP w EMRGY cond 4100213199 Small Purchase

2 Mar 1, 2026 Jun 30, 2026 52,117.04 SP w SS Cond- BPCSS ATP Service Agrmnts Extension Small Purchase

3 Mar 2, 2022 Jun 30, 2022 710,770.22 22-OCAPS ATP Machines-Sole Source 4100154285 Sole Source

4 Apr 28, 2025 Jun 30, 2025 414,328.65 25-BPCSS Chicago-Read ATP Machine- SS 4100213146 Sole Source

5 Jan 19, 2023 Jun 30, 2023 353,485.11 FY23 SS-OCAPS Shapiro ATP Machine 4100170096 Sole Source

6 Apr 15, 2020 Jun 30, 2020 2,120,376.46 20 SS Pharmacy Machines MIS00001037 Sole Source

7 Jun 3, 2019 Aug 30, 2019 709,474.02 IDHS Sole Source OCAPS med machines MIS0001002 Sole Source

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

This is a proprietary machine that is only sold by this vendor. All maintenance, repairs, and parts are covered under this service agreement and performed by this vendor. Any repairs or work done by other vendors would void the agreement and any remaining warranty.

There is a small purchase in place that will cover the service agreements until the sole source is executed. This sole source agreement will cover statewide ATP2 machines that are due to expire.

Section VI - Business Rationale

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

The equipment and software that run the ATP2 Machines are vital to the operations of the many of the Department of Human Services (DHS) pharmacies. The machines package daily medications for individuals under the care of the DHS and must be kept in good condition to maintain pharmacy operations. Equipment failure could result in a risk to the life, health, and safety of the individuals receiving care, and potentially subject the agency to costly lawsuits if medication isn't provided accurately and in a timely manner.

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Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human Services

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

This contract will cover the following:

9 different machines statewide will be covered. Each machine has a separate Lower Packaging unit and is why it is a separate coverage.

ATP2 Greater Than 192 (Vendor title for covered item, it is the entire machine) Annual Maintenance;

ATP Lower Packaging Unit (LPU) Annual Maintenance;

Annual Software and Licensing.

The following locations will be covered under this agreement: Packard Mental Health Center, Ludeman Developmental Center, Elgin Mental Health Center, Murray Developmental Center, Chester Mental Health Center, Madden Mental Health Center, Choate Mental Health and Developmental Center, Alton Mental Health Center and Chicago Read Mental Health Center.

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?

The annual software and licensing will be covered under this agreement for the all locations mentioned. This is a proprietary service for all components on the ATP2 machines.

All components of the ATP2 machines are only available and serviced by this vendor. If any other vendor or facility staff were to try to repair this equipment, the warranties would be voided and could not be repaired without purchasing a new service agreement from this vendor.

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:

This software and equipment are proprietary to this vendor. No other vendor is allowed to perform maintenance, service, and software assistance without voiding the warranty or service agreement.

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

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

The agency has over a dozen of these machines but at this time, only 9 of them have service warranties that are expired or expiring in the next few months. The other machines are still under warranty at this time.

It is imperative to keep each machine under warranty as the cost to replace a machine is around $430,000.

6. Are there resellers or distributors?

Yes No N/A

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Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human Services

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?

The vendor was asked to give best available rate and offer any possible discounts and the vendor stated that due to the State of Illinois' Termination for Convenience clause, they cannot offer a discount. Due to the proprietary nature of the existing equipment, transitioning to an alternative vendor to purchase new machines would require substantial additional costs. It is in the best interest of the State to maintain the equipment that has already been invested in as each machine costs approximately $430,000.

Definitions: ATP2 is the automated dispensing machine, LPU is Lower Packaging Unit

Packard ATP2: $18,115 Packard LPU: $2,115

Ludeman ATP2: $18,115 Ludeman LPU: $2,115

Elgin ATP2: $18,115 Elgin LPU: $2,115

Murray ATP2: $18,115 Murray LPU: $2,115

Chester ATP2: $18,115 Chester LPU: $2,115

Madden ATP2: $18,115 Madden LPU: $2,115

Choate ATP2: $18,115 Choate LPU: $2,115

Alton ATP2: $18,115 Alton LPU: $2,115

Chicago Read LPU: $2,115

Total: $163,955

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

Yes No

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?

DHS will not be able to utilize these machines if they breakdown or malfunction. The patients under the care of DHS not to have access to their medications and would receive inadequate care. This could make DHS vulnerable for lawsuits.

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

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Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human 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 Mar 27, 2026

Printed Name Justin Weigler E-mail Address justin.weigler@illinois.gov

Phone Number 2175580955

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 jean.sandstrom@illinois.gov

Phone Number 217-725-5256 Date Mar 27, 2026

Printed Name Jean Sandstrom

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 217-836-6172 Date Mar 27, 2026

Printed Name Shea Firebaugh E-mail Address shea.firebaugh@illinois.gov

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Bulletin Reference Number 27-444DHS-MIS44-B-51540

Requesting Agency/University Illinois Department of Human Services

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

Project Title IDHS DPCSS Pharmacy Automation ATP2 Extended Service Agreements

Vendor Parata BD

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 217-558-2231

Printed Name Ellen H. Daley Date

CPO E-mail Ellen.H.Daley@illinois.gov

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 Ellen.H.Daley@illinois.gov

There is a small purchase in place that will cover the service agreements until the sole source is executed. This sole source agreement will cover statewide ATP2 machines that are due to expire.

9 different machines statewide will be covered. Each machine has a separate Lower Packaging unit and is why it is a separate coverage.

ATP2 Greater Than 192 (Vendor title for covered item, it is the entire machine) Annual Maintenance;

ATP Lower Packaging Unit (LPU) Annual Maintenance;

Annual Software and Licensing.

The following locations will be covered under this agreement: Packard Mental Health Center, Ludeman Developmental Center, Elgin Mental Health Center, Murray Developmental Center, Chester Mental Health Center, Madden Mental Health Center, Choate Mental Health and Developmental Center, Alton Mental Health Center and Chicago Read Mental Health Center.

Q3Answer: The annual software and licensing will be covered under this agreement for the all locations mentioned. This is a proprietary service for all components on the ATP2 machines.

All components of the ATP2 machines are only available and serviced by this vendor. If any other vendor or facility staff were to try to repair this equipment, the warranties would be voided and could not be repaired without purchasing a new service agreement from this vendor.

It is imperative to keep each machine under warranty as the cost to replace a machine is around $430,000.

Definitions: ATP2 is the automated dispensing machine, LPU is Lower Packaging Unit

Packard ATP2: $18,115 Packard LPU: $2,115

Ludeman ATP2: $18,115 Ludeman LPU: $2,115

Elgin ATP2: $18,115 Elgin LPU: $2,115

Murray ATP2: $18,115 Murray LPU: $2,115

Chester ATP2: $18,115 Chester LPU: $2,115

Madden ATP2: $18,115 Madden LPU: $2,115

Choate ATP2: $18,115 Choate LPU: $2,115

Alton ATP2: $18,115 Alton LPU: $2,115

Chicago Read LPU: $2,115

Total: $163,955