J_A Redacted.pdf

RTLS Asset Tracking Expansion, VISN 21 Control Number: VA-20-00048301

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 1701 Directors Blvd

Austin, TX 78744

2. Description of Action: The proposed action is for a firm-fixed-price single award indefinite-delivery indefinite-quantity (IDIQ) contract to expand existing Real Time Location System (RTLS) Asset Tracking (AT) installation at medical centers in Veteran Integrated Service Networks (VISN) 21. The purpose of this procurement is to extend coverage areas, configure existing hardware that is not yet configured, and re-configure system software to meet facility needs.

3. Description of the Supplies or Services: The proposed action is to procure services and hardware to expand and install the RTLS AT system at VISN 21 facilities. While VISN 21 is comprised of seven Health Care Systems (San Francisco, Palo Alto, Northern California, Central California, Sierra Nevada, Southern Nevada, and Pacific Islands), there are nine designated RTLS Asset Tracking Sites:

1. San Francisco, CA

2. Palo Alto – Livermore Division, CA

3. Palo Alto – Palo Alto Division, CA

4. Palo Alto – Menlo Park Division, CA

5. Northern California – Martinez, CA

6. Northern California – Mather, CA

7. Central California – Fresno, CA

8. Sierra Nevada – Reno, CA

9. Southern Nevada – Las Vegas, CA

RTLS AT implementation was completed at seven out of nine designated facilities (bolded above). Since completion of implementation, facilities’ needs have changed, and expansion of current scope of coverage is needed at each health care system. In addition, RTLS AT must be expanded to cover the remaining sites (Palo Alto – Menlo Park Division, CA and Southern Nevada – Las Vegas, CA). Further, some corrections are required for RTLS AT software configurations. Currently, VISN 21 does not have implementation of RTLS Asset Tracking at Outpatient Clinics (OPC) and Community Based Outpatient Clinics (CBOCs). Expansion of RTLS AT in VISN 21 may include expansion to OPCs and CBOCs as needed. This system shall be integrated to provide a VISN-enterprise, RTLS AT solution.

VISN 21 sites require the supplementation or implementation of the RTLS AT System, providing real time location for facilities covered with clinical grade hardware and with Wi-Fi only areas. The Contractor will need to work directly with Original Equipment Manufacturers (OEMs), Centrak and Intelligent Insites, to expand the system and/or complete the installation. Sites may require the Contractor to perform tagging equipment per the national tagging standard and commissioning the asset into the

Intelligent Insites or simplified asset tracking user interface software. The contractor may need to fingerprint each facility. Fingerprinting technology captures signal strength from the Wireless access points using multiple RTLS Active Tags Data, which is collected throughout the facility using proprietary Centrak software application. The data collected is then used to determine the location of an asset through Centrak’s proprietary algorithm. The contractor will need to work with Intelligent Insites to complete configuration of the Intelligent Insites software, to create the approved business rules, update location fields (to include the AEMS/MERS space file) and ensure Centrak fingerprinting and location data has been integrated into Intelligent Insites. The estimated ceiling of the proposed action is $5,000,000.00, with a three-year ordering period.

4. Statutory 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) Subpart 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 market research, as described in paragraph 8 of this justification, it was determined that limited competition is available for this procurement. VA requires any source to use both Intelligent Insites and Centrak as subcontractors for this effort. Under the National RTLS ID/IQ VISN 21 Task Order, seven site installations were completed and approximately 50 percent of the installation has been completed at the two sites that were halted. VA purchased Intelligent Insites and Centrak hardware, software, and services for $5M under the original VISN 21 Task Order. To design and install RTLS for all VISN 21 sites, and if another RTLS solution was used, these costs would be duplicated. Hardware and multiple software applications are integrated to the core RTLS infrastructure to achieve benefits in locating assets and improving workflow. The use of Intelligent Insites and/or Centrak is critical in meeting the Government’s requirements, thereby precluding consideration of a different RTLS solution. Under the previous contract, VA purchased Centrak’s Clinical Grade readers, active asset tags, and location software package.

Centrak designed the layout of the readers which were installed, configured in the Centrak software, and validated. Additionally, VA purchased Intelligent Insites RTLS Software and received configuration services such as map rendering, in which Insites modified the floor plans so that end user has a graphical interface to view equipment, and regioning of space in Insites, which creates a location to identify which room the equipment is reporting in. This contract action requires the integration of Centrak location engine with Intelligent Insites software. Furthermore, several interfaces have been developed between the Intelligent InSites RTLS solution and the Veterans Integrated System Architecture (VISTA). Within the space that Insites regioned in its software, is a field that allows the VISTA AEMS/MERS Interface to update location and last inventory date in AEMS MERS with the location obtained from the RTLS. Because the configuration and integration of Centrak and Insites requires access to proprietary data, only Centrak and Intelligent Insites are capable of meeting VISN 21’s requirement to continue the installation as subcontractors. For example, in Wi-Fi areas, Centrak may perform Fingerprinting, which captures signal strength from the wireless access points using multiple RTLS Active tags. Data is collected throughout the facility using a proprietary Centrak software application. The data collected is then used to determine the location of an asset through Centrak’s proprietary algorithm. In addition, Centrak certified engineers are required to validate, test, and tune the Centrak infrastructure.

The location data obtained from Fingerprinting and from the Centrak hardware is then integrated within Intelligent Insites’ asset tracking application. Intelligent Insites configuration utilizes proprietary software to process location data streamed from Centrak’s location server and to region space on floor maps. Any source would have to have access to both Intelligent Insites and Centrak proprietary data in order to provide the aforementioned services and ensure proper configuration. Failure to provide these services with Centrak and/or Intelligent Insites will result in delays and duplicated costs of products and services already procured. Specifically, if VA could not use Intelligent Insites and/or Centrak, VA would have to replace all the existing Intelligent Insites and/or Centrak brand name items resulting in extensive delivery delays and duplicated costs of over $5M that would not be recovered through competition. These estimates are based on previous efforts.

In addition to the sites that require expansion or completion of existing infrastructure, the scope of this contract may include implementation of new RTLS systems at various VISN 21 sites. New implementations will also require the use of Intelligent Insites and/or Centrak because both systems utilize a consolidated VISN infrastructure.

Implementing new RTLS systems on the existing consolidated infrastructure results in a streamlined design in which procurement cost savings, removal of duplicative maintenance tasks, and regional knowledge sharing will be achieved.

VA requires a single integrator to coordinate efforts with Centrak and Intelligent Insites for the configuration, integration, testing, and training of the RTLS AT system. The Contractor will need to work with Centrak and Intelligent Insites simultaneously as separating the work into two requirements would be inefficient and cause tremendous delays during the testing process. Centrak and Intelligent Insites’ engineers work very closely during the integration. Centrak hardware’s unique ID number is entered into the Insites database. Often, the hardware can be replaced during the setup process as they may fail, which requires an update in the Insites application. If the two subcontractors are not able to work on this effort jointly, the Intelligent Insites database would be compromised and result in inaccurate location information. Centrak location information is streamed to the Insites Connector server and then sent to the Insites platform server for visibility of the data on the RTLS user application. If the subcontractors are not able to work together during this process, it would cause significant delays and technical issues, such as not providing location updates to the end user. This would have a negative impact on patient care, as the care provider’s ability to locate medical equipment, such as infusion pumps or mobile ultrasound, in a timely manner, which will affect the quality of treatment Veterans receive.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in section 8 of this justification. This effort did not yield any additional sources that can meet the Government's requirements. However, the undersigned VA technical representative determined that limited competition is for the required Insites and Centrak products. In accordance with FAR 6.302-1(c)(1)(ii)(c) and 5.106(a)(6) this justification shall be posted with the solicitation. Furthermore, 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 learn if there are changes in the marketplace that would enable future actions to be competed, such as redesign due to hospital renovations or RTLS sustainment.

8. Market Research: VA technical and contracting personnel conducted market research from June 2019 through June 2020 by issuing Requests for Information (RFI) on Federal Business Opportunities (FBO), reviewing pervious contract history, communicating with contractors involved with previous RTLS contracts, and researching products comparable to the existing RTLS infrastructure.

A contract for similar services for VISN 19 was awarded in September 2019. As part of the market research for that requirement, a Request for Information was posted to Federal Business Opportunities on June 5, 2019 seeking information from industry regarding the installation of RTLS. The RFI included a summary of the Performance Work Statement, which stated that the contractor shall provide an RTLS solution using the existing hardware and software when available. The RFI directly informed industry that VA intends to issue a Request for Proposal on an Other Than Full and Open Competition in accordance with FAR 6.302-1, and provided additional information on the use of Centrak and Intelligent Insites. Six responses were received as follows:

Company

Perspecta (Large Business)

Standard Communications, Inc. (SDVOSB)

RJY Group (SBVOSB)

IBM (Large Business)

ShipCom (HUBzone)

Synchronized Logistics Solutions, Inc. (SLS)

(SDVOSB)

The contractors were requested to provide a summary of their technical capability to meet the requirements, including any specific experience with similar requirements.

Synchronized Logistics Solutions, Inc. (SLS) provided an alternative RTLS solution, but did not display its ability to integrate with the existing equipment. The Contracting Officer followed up with SLS via email on July 9, 2019 to confirm they understood VA’s intention to issue a solicitation on an Other Than Full and Open Competition basis, and to allow them to raise any additional concerns or questions. All other responses stated an intention to use Centrak and Insites. No objections were received on VA’s intent to award on an Other Than Full and Open Competition basis.

A second RFI was posted to Federal Business Opportunities on May 27, 2020 seeking information from industry regarding the installation of RTLS. The RFI included a summary of the Performance Work Statement, which stated that the contractor shall provide an RTLS solution using the existing hardware and software when available. The RFI directly informed industry that VA intends to issue a Request for Proposal on an Other Than Full and Open Competition in accordance with FAR 6.302-1. Four responses were received as follows:

Company

Trofholz Technoligies Inc. (SDVOSB)

Standard Communications, Inc. (SDVOSB)

ThunderYard Liberty (SBVOSB)

Infinite Leap (VOSB)

All four respondents stated an intention to use Centrak and Insites. No objections were received on VA’s intent to award on an Other Than Full and Open Competition basis.

Neither Centrak nor Intelligent Insites responded to the RFIs. Communication with both contractors in June 2020 also determined that they require a separate prime contractor for this requirement, as they were not interested in the being the prime contractor. As a result of the market research, the technical experts determined that although the other companies' products provide similar capabilities, no other product will support VA's existing infrastructure protocols, interoperability, and compatibility requirements, and that Centrak and Intelligent Insites are required to complete the requirement.

9. Other Facts: NA

Office of Procurement Acquisition and Logistics