HCA Signed NCO 5 Limiting Sources Just-P-C-BC 6.26.25-1_Redacted.pdf

Acquisition Plan Action ID: 36C245-25-AP-2631 SPS Trailor Rentals Washington, DC

VHAPG Part 808.405-6 Limiting Sources Page 1 of 6 Revision: 01 Effective Date: 09/01/2024 Acquisition ID#: 36C245-25-AP-2631

LIMITED SOURCES JUSTIFICATION

ORDER >SAT

FAR PART 8.405-6

Acquisition Plan Action ID:36C245-25-AP-2631

(1) Contracting Activity:

Department of Veterans Affairs, Network/Program Contracting Office 05, located at Martinsburg VA Medical Center (613), 510 Butler Avenue, Martinsburg, WV 25405, in support of VISN 05 VA Health Care System at Washington DC VA Medical Center (688), 50 Irving St. NW, Washington, DC 20422. Purchase request (i.e., 2237) number, 688-25-1-028-0002.

(2) Description of Action: This acquisition is conducted under the authority of the Multiple-Award Schedule Program (41 U.S.C. 152(3) and 40 U.S.C. 501).

The Washington, DC VAMC is seeking review and approval of a of a limited source for Sterile Processing System (SPS) Trailer rentals to ensure the hospital will stay up and functioning while repairs are finished at the hospital which includes the SPS in the hospital. This is a follow-on requirement to Federal Supply Schedule (FSS) GS-30F-0026Y 36C24524F0158 which is expiring at the end of June 2025. The new task order is a combination of a FAR Part 8 Limited Source and a FAR Part 13.5 Sole source for a base of 6 months, four 6-month options, and 52.217-8 is being used in the contract.

Order against: FSS Contract Number: GS-30F-0026Y Name of Proposed Contractor: Mobile Medical International Corporation

Street Address: 2176 Portland St. STE 4

City, State, Zip: St. Johnsbury, VT 05819

Phone: 802-748-2322 ext. 102

(3) Description of Supplies or Services:

The estimated value of the proposed action is $4,851,123.20

-Mobile Sterilizer Unit equipped with two Getinge 633HC Vacuum Gravity Sterilizers and one Getinge GSS 6713 Vacuum Gravity Sterilizer. (Overall US 36-Tray capacity per cycle). Two 72� x 36� Prep & Pack Tables. 12 Closed Case Carts.

- Mobile Decontamination Unit equipped with three Getinge 86-Series Washer/Disinfectors, two 72� x 36� Prep and Pack Tables; two Getinge 2460 Ultrasonic Cleaners, two workstations each with integral 3-bay sink.

- Unit De-Commissioning � includes unit de-installation, pick-up and delivery back to MMIC factory in St.

Johnsbury, VT. Pricing for De-commissioning from the original contract has been honored.

The estimated value of the proposed action is:

Base period 07/01/2025 through 12/31/2025 $970,224.64

VHAPG Part 808.405-6 Limiting Sources Page 2 of 6 Revision: 01 Effective Date: 09/01/2024 Acquisition ID#: 36C245-25-AP-2631

Op on period 1 01/01/2026 through 06/30/2026 $970,224.64 Op on period 2 07/01/2026 through 12/31/2026 $970,224.64 Op on period 3 01/01/2027 through 06/30/2027 $970,224.64 Op on period 4 07/01/2027 through 12/31/2027 $970,224.64 Es mated total $4,851,123.20

(4) Identify the Authority and Supporting Rationale (see below and if applicable, a demonstration of the proposed contractor�s unique qualifications to provide the required supply or service.

FAR 8.405-6(a)(1)(A): An urgent and compelling need exists and following the ordering procedures would result in unacceptable delays:

FAR 8.405-6(a)(1)(B): Only one source is capable of providing the supplies or services required at the level of quality required because the supplies or services are unique or highly specialized:

Due to time constraints and the additional costs of removing the existing trailers and installing new trailers, with a 6-month lead time for another trailer, it is recommended the contract be awarded to MMIC, a small business, under their GSA schedule contract. Only one source exists for this procurement and following the ordering procedures would result in unacceptable delays that would cause serious risks to veterans, their families, and staff health and safety at the hospital. Using any other contractor would cause serious damage to the Government. This would result in delay in treatment of patients and extra costs incurred to bring in a new rental unit and equipment for the Government to use for a maximum of 36 months. MMIC is the only vendor that can meet the time frame to have the functioning SPS trailer and equipment lease without a time lapse in services by June 30, 2025.

FAR 8.405-6(a)(1)(C): In the interest of economy and efficiency, the new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Federal Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures.

FAR 8.405-6(b): Items peculiar to one manufacturer:

A patent, copyright or proprietary data limits competition. The proprietary data is:

These are �direct replacements� parts/components for existing equipment.

The material/service must be compatible in all aspects (form, fit and function) with existing systems presently installed/performing.

Department of Veterans Affairs, VISN 05, VA Medical Center, Washington DC has an approved and funded project 688-14-003 to Renovate and Expand the Sterile Processing Service (SPS) to correct Functional Deficiencies at the Washington DC facility. The project began in September 2017 and is on-going. The renovation is occurring in the same footprint occupied by SPS.

The SPS department must be operational and fully functional during construction. The reprocessing of reusable medical equipment (RME) moved to another location to allow required work in the existing space to

VHAPG Part 808.405-6 Limiting Sources Page 3 of 6 Revision: 01 Effective Date: 09/01/2024 Acquisition ID#: 36C245-25-AP-2631 be completed. The original plan involved coordination of multiple phases that called for joint occupancy of the sterile processing areas to allow work to proceed during early phases of the construction and rental of a temporary mobile reprocessing unit (trailer) for a period of approximately 6 months while the existing sterile processing area is renovated and reconfigured in succeeding phases of work.

Chronic issues with work conditions in the SPS area that have been documented by the National Program Office for Sterilization (NPOS) coupled with the Office of Inspector General (OIG) findings during a site survey resulted in a decision to vacate the existing SPS immediately and remain vacated during the entire renovation project to preclude any of the identified issues in SPS being exacerbated by ongoing construction work, phasing, and joint occupancy of the existing space during construction. This decision extended the period during which mobile sterile processing trailers are required to approximately 2.5 years and a 6-month option to extends services. The original award was made to Mobile Medical International Corporation (MMIC), a small business. Since the first award, on May 16, 2017, options have been awarded and new sole-source contracts established.

The Government on February 18, 2025, has issued an indefinite delivery indefinite quantity contract (IDIQ) for the repair and replace of water lines at Washington, DC VAMC. Sterile Processing Services (SPS) Critical Water Systems Preventive Maintenance-Repair-Service Indefinite Delivery Indefinite Quantity (IDIQ) for 5 Years to Verda Medical Systems, LLC. This contract will repair and replace the old Critical Water Systems at the hospital.

The Government on September 24, 2025, has issued an indefinite delivery indefinite quantity contract (IDIQ) for the Washington DC VA Medical Center Critical Water sampling and Testing (AAMI ST108) to ensure proper water quality for the hospital under the Association for the Advancement of Medical Instrumentation (AAMI ST108) water for the processing of medical devices.

VA245-17-F-0752 � Awarded 5/16/2017 � POP (Base plus options) 5/16/17 through 1/31/20.

36C24520F0289 � Awarded 1/24/20 - POP (Base plus options) 2/1/20 through 1/31/21.

36C24521F0206 � Awarded 1/29/21 POP (Base plus options) 2/1/21 through 1/31/22.

36C24522F0181 � Awarded 1/27/22 POP (Base plus options) 2/1/22 through 3/31/22.

36C24522F0274 � Awarded 4/1/22 POP (Base plus options) 4/1/22 through 12/31/22.

36C24523F0181- Awarded 12/21/2022 POP (Base plus options) 1/1/23 through 12/31/23.

36C24524F0158- Awarded 12/29/2023 POP (Base plus options) 1/1/24 through 6/30/25.

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(5) Describe Why You Believe the Order Represents the Best Value consistent with FAR 8.404(d) to aid the contracting officer in making this best value determination:

The MMIC rentals are currently on site. Due to the nature of the requirement, it would not be expedient to replace the current units with the product of another company. In addition to the cost of MMIC dismantling and removing the existing equipment, there would be additional costs for a new vendor to deliver and install new SPS units. MMIC is still offering old contract pricing on its quotes; furthermore, the lead time of a new companies� units would take 6 months to be manufactured to meet our needs at Washington, D.C. If a new company were contracted, it would shut down SPS and the Surgical Department at the medical center until the new mobile sterilization trailer becomes operational, resulting in the added cost of sending surgical patients to Care in the Community.

The removal of the current trailers and equipment would take at least 3 months. The removal process would involve specialized equipment to remove the trailer from their current location and the Government�s property. The setup and testing of the new trailers and equipment would be between 1 and 2 months. This would have a downtime for the hospital between 3 to 5 months.

De-commissioning from the original contract has been honored even though MMIC received approval for a GSA price in increase on 7/15/19

GSA has determined prices to be fair and reasonable and has determined MMIC to be a responsible contractor. Based on historical rates with other VA Hospitals, the schedule rates that we will pay are fair and reasonable. The sole source is based on availability, ability to meet procurement timelines, availability during the performance period necessary, and the type of equipment utilized to minimize development of new staff competencies.

(6) Describe the Market Research Conducted among schedule holders and the results or a statement of the reason market research was not conducted.

A Sources Sought (S.S.) 36C24525Q0251 was placed on SAM.gov and GSA looking for possible companies for new SPS trailers and equipment. The Sources Sought showed interest from these companies: Advanced Mobile Solutions, LLC, BHPE LLC's, Jordan Sea Company, Kastel Enterprises, Mobile Medical International, Corp, STERIS Corporation, Zone B Solutions. The Government was looking to create a Blanket Purchase Agreement (BPA) for a base plus 4 option years.

A search on the Veteran Small Business Certification (VetCert) on the SBA website showed that there were 82 vendors under the NAICS code 336212Amended. Further research did not find any VOSB or SDVOSB companies that could provide the lease of trailers and equipment that will meet the hospital�s requirement.

Branch Chief of Services 1 was at the meeting and relayed that two IDIQ contract were being award to correct the ongoing water issues and a repair and replace contract for maintenance on the aging water pipes in the hospital which includes the ones in the newly renovated SPS at the hospital. The Branch Chief stated the repair and replacement of the pipes should only be about 12 to 18 months to get our SPS back to running condition.

The meeting concluded with the decision to do a base of six months with a few option periods of six months to the existing contractor in case more time was needed to finish repairs.

VHAPG Part 808.405-6 Limiting Sources Page 5 of 6 Revision: 01 Effective Date: 09/01/2024 Acquisition ID#: 36C245-25-AP-2631

Market research was conducted by reviewing past procurements (VA245-17-F-0752, 36C24520F0289, 36C24521F0206, 36C24522F0181, 36C24522F0274, 36C24523F0181, and 36C24524F0158), searching Veteran Small Business Certification (VetCert), FPDS-NG, SBA-Dynamic, Adds UP, NAC, ECMS, GSA Advantage, and the internet.

Market research has been conducted on GSA Schedule and Open Market and we have found five companies that provide Mobile SPS rentals: Three, Odulair, LLC, Mod Build, LLC, and Steelco-USA Inc are in the open market. Mod Build, LLC is not registered in SAM.gov. Two, Steris and MMIC hold GSA contracts. The average lead-time for a rental unit to be delivered is 6 months. All units are custom builds, reflecting the equipment needs of the hospital or facility using them.

There are no Veteran Owned Small Businesses that provide mobile SPS units. Steris, a large business, provides a mobile SPS rental which is equipped with Steris sterile processing equipment and MMIC, a small business, provides a mobile SPS rental which is equipped with Getinge sterile processing equipment. Getinge sterile processing equipment is what the hospital personnel are trained in this equipment. Both are on GSA Schedule.

(7) Any Other Facts Supporting the Justification:

The MMIC rentals are currently on site. Due to the urgent and compelling nature of the requirement, it would not be expedient to replace the current units with the product of another company. In addition to the cost of MMIC dismantling and removing the existing equipment, there would be additional costs for a new vendor to deliver and install new SPS units. MMIC is still offering old contract pricing on its quotes; furthermore, the lead time of a new companies� units would take 6 months to be manufactured to meet our needs at Washington, D.C

(8) A Statement of the 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:

The Contracting Officer will monitor market conditions for changes to overcome barriers to competition.

(9) 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. I understand that processing of this limited sources justification restricts consideration of Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4. (This signature is the requestor�s supervisor, fund control point official, chief of service or someone with responsibility and accountability.)

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(10) Approvals in accordance with the VHAPM Part 806.3 OFOC SOP:

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

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

HIGHER LEVEL APPROVAL (Required for orders over $750,000):

c. VHA RPO HCA Review and Approval (over $750,000 to $75 million): I have reviewed the foregoing justification and find it to be complete and accurate to the best of my knowledge and belief and approve for restricting consideration of the Federal Supply Schedule contractors to fewer than the number required by FAR Subpart 8.4.