FY22 Spacelabs JA_Redacted.pdf

VA-22-00018965

JUSTIFICATION FOR OTHER THAN FULL AND OPEN COMPETITION

1. Contracting Activity: Department of Veterans Affairs (VA) Office of Procurement, Acquisition, and Logistics

Technology Acquisition Center 23 Christopher Way Eatontown, NJ 07724

2. Description of Action: This proposed action is for a sole-source firm-fixed price (FFP) contract for Spacelabs Intesys Clinical Suite (ICS) software maintenance with SpaceLabs Healthcare, LLC, (SpaceLabs) 35301 SE Center Street, Snoqualmie, WA 98065.

3. Description of the Supplies or Services: The Richard L. Roudebush VA Medical Center has a requirement for Spacelabs ICS software maintenance. The proposed action is to provide technical and remote support for the Spacelabs ICS software currently installed on the Richard L. Roudebush VA Medical Center’s Telemetry system.

The contractor shall provide maintenance for all software licenses currently installed on VA’s hardwire and mobile telemetry units under this architecture established by the Original Equipment Manufacturer and Medical Facility. The contractor shall also provide any and all updates and upgrades for Spacelabs ICS software licenses. No hardware or software will be procured as a result of this action. This action is for software maintenance only. The period of performance shall include a base period of 12 months with three (3) 12-month option periods, if exercised. The total estimated value of the proposed action is , which is inclusive of all option periods.

4. Authority: The statutory authority permitting other than full and open competition is 41 U.S.C. 3304(a)(1) as implemented by the Federal Acquisition Regulation (FAR) 6.302-1 entitled “Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.”

5. Rationale Supporting Use of Authority Cited Above: Based on extensive market research, as described in section 8 of this document, it was determined that only SpaceLabs can provide the software maintenance support to meet the Government’s requirements. The current Richard L. Roudebush VA Medical Center Telemetry system is built on Spacelabs technology. Any other software maintenance is unable to support the currently fielded Spacelabs ICS software licenses. Any other vendor’s software maintenance cannot meet VA’s requirements as no other vendor has access to the proprietary source code necessary to provide software maintenance of the Spacelabs ICS software licenses nor be interoperable with current Spacelabs environment. If any other vendor’s software maintenance was procured, the entirety of the Spacelabs infrastructure would need to be replaced. The software inventory includes ownership of 353 Spacelabs ICS software licenses that support the current Telemetry environment, for which maintenance support is being sought. Therefore, VA is seeking to maintain rather than replace these licenses, as the costs for replacement are estimated to be approximately $9,000,000.00. These duplicative costs for implementation, testing, Spacelabs Telemetry Software Support Services VA-22-00018965 training and change to the environment for any alternative solution would not be recouped through competition.

In addition, Spacelabs ICS software must be maintained by Spacelabs because this ensures maintenance services from a qualified, certified Spacelabs representative and guarantees they are approved to work on brand name Spacelabs ICS software.

If someone non-Spacelabs certified works on the system and disrupts the operations of VA’s Telemetry environment, the warranty could be lost for the software being used. In addition, the only provider who currently can support, troubleshoot, and resolve Spacelabs software issues Spacelabs Healthcare.

Furthermore, if the required Spacelabs ICS software maintenance is not procured, that would result in loss of troubleshooting any software issues for the Spacelabs ICS software licenses. Without this required maintenance, the Richard L.

Roudebush VA Medical Center would not be able to monitor patients’ vitals, which could potentially cause harm to Veteran’s health as well as potential loss of lives.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort did not yield any additional sources that can meet the Government’s requirements. There is no competition anticipated for this acquisition. Additionally, the proposed action will be synopsized on the Federal Business Opportunities Page in accordance with FAR 5.201. Any proposals that are received shall be evaluated.

7. Actions to Increase Competition: The Government will continue to conduct market research to ascertain if there are changes in the marketplace that would enable future actions to be competed.

8. Market Research: The Government's technical experts conducted market research in October 2021 by reviewing other similar Telemetry software products to ascertain if these items could meet VA's requirements. Specifically, the Government’s technical experts conducted web-based research and discovered that while other telemetry software from alternative manufacturers such as Phillips and General Electric exist, those products do not meet VA’s requirements because only Spacelabs or a reseller has access to the proprietary database specific to the requirement to be interoperable with the current VA Telemetry environment. Therefore, there is no other software or maintenance support available in the marketplace that can meet this requirement. In addition, VA networking Subject Matter Experts regularly review industry trade publications and conduct internet research to ascertain if any other brand name software licenses and maintenance support is available. Based on these market research efforts, the Government’s technical experts have determined that only the aforementioned brand name Spacelabs ICS software maintenance support can meet all of VA’s needs.

Additionally, in November 2021, the Contract Specialist contacted Spacelabs to determine if there were additional Government distribution channels for the required software maintenance. Spacelabs responded with an email dated November 24, 2021 confirming that while Spacelabs Healthcare has three (3) resellers of Spacelabs equipment, of these three (3) resellers, two are Service-Disabled Veteran-Owned Small Businesses, and one (1) is a HUBZone Small Business, none of the Spacelabs resellers can currently provide the required brand name Spacelabs ICS software maintenance.

Based on this market research, it was determined that there are no other vendors capable of providing the Government with the required Spacelabs ICS software maintenance support. As a result, this effort will be solicited as a sole source to SpaceLabs, 35301 SE Center Street, Snoqualmie, WA 980651.

9. Other Facts: None.

10. Technical and Requirements Certification: I certify that the supporting data under my cognizance, which are included in this justification, are accurate and complete to the best of my knowledge and belief.

11. Determination of Best Value: I hereby determine that the anticipated price to the Government for this contract action will be fair and reasonable based on analysis of the proposal against the Independent Government Cost Estimate and past historical prices paid for the same and/or similar services.

12. Procuring Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief. As this contract action exceeds the simplified acquisition threshold, but does not exceed $750,000, the certification required by FAR 6.304(a)(1) serves as approval.