JA Blood Products Redacted.pdf
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- Attached to
- Blood Products and Laboratory Reference Testing
- Solicitation number
- HT940626DE005
- Issued by
-
Defense Health Agency
About this file
This is a Justification and Approval (J&A) document for a sole source federal procurement under FAR 13.501(a)(1)(ii) for simplified procedures regarding certain commercial items.
The Defense Health Agency's Healthcare Contracting Division–Southeast seeks to award a firm-fixed-price IDIQ requirements contract to the American Red Cross (CAGE Code 7D348, located at 431 18th Street NW, Washington, DC 20006-5310) for blood products and reference laboratory services on a sole source basis. Naval Medical Center Camp Lejeune requires blood and blood products to support its Level 3 Trauma Center operations, including emergency department and critical care ward patients, as well as confirmatory and advanced laboratory testing that cannot be performed locally. Delivery requirements are stringent: one hour or STAT for emergency requests, four hours for ASAP requests, and 24-48 hours for routine requests. The contract is funded with FY26 DHP appropriations with a base period running October 1, 2025 through September 30, 2026, followed by four one-year option periods extending through September 30, 2030. The estimated total contract value is $950,000.00 for the base and four option years combined.
The justification establishes that the American Red Cross is the sole distributor of blood products within the surrounding area capable of meeting required delivery timelines, and that a Memorandum of Agreement between DHA and the Red Cross provides prescribed products and services on a credit basis in exchange for access to the military installation for blood drives. Market research conducted July 29 through August 20, 2025 identified no viable alternative sources through mandatory databases, Dynamic Small Business searches, or Federal Prison Industries. A sources sought notice yielded only ACCU Reference Medical Lab, which could provide laboratory testing but not the required blood and blood products constituting the preponderance of the contract requirement. A notice of intent to sole source will be published on SAM.gov for consideration of additional capability statements. Fair and reasonable pricing will be established through price analysis comparing previous pricing and an Independent Government Cost Estimate.
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Text version
CUI
Source Selection Information - See FAR 2.101 and 3.104-4
3 NOV 2024
find similar contracts in the North Carolina area, with two contracts meeting the criteria and both were awarded to American Red Cross. A sources sought notice returned one capability statement; however, that vendor did not demonstrate the ability to fulfill the requirement in its entirety. Local companies within the area were contacted but did not offer the blood products outside of the facility.
9. Other Facts:
a. Procurement History:
(1) Is this a new requirement? No
(2) If 9.a.(1) is No, was the action just prior to this one competed? No
(3) If 9.a.(2) is Yes, what has changed where this action cannot be competed? Not applicable
b. Additional Information: N/A
10. Interested Sources: As a result of the Sources Sought Notice one company, ACCU Reference Medical Lab, was the only company to submit a capability statement. While ACCU was able to provide the reference laboratory testing they did not offer the blood and blood products which make up the preponderance of the contract requirement. In addition, in accordance with FAR 5.201(b)(1)(i), a notice of intent to sole source will be published on SAM.gov and any applicable capability statements received will be considered.
4 NOV 2024
11. Technical Certification:
I certify the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.
12. Requirements Certification:
I certify the supporting data under my cognizance, which are included in the justification, are accurate and complete to the best of my knowledge and belief.
13. Fair and Reasonable Cost Determination:
I hereby determine the anticipated cost to the Government for this contract action will be fair and reasonable.
Basis for Determination: Fair and reasonable pricing will be determined using price analysis in comparison to previous pricing and pricing provided on the Independent Government Cost Estimate.
5 NOV 2024
14. Legal Review:
I have reviewed this justification and have found it to be legally sufficient.
15. Contracting Officer Certification:
I certify this justification is accurate and complete to the best of my knowledge and belief.
6 NOV 2024
Review
I have reviewed this justification and find it adequate to support the sole source acquisition.
Concurrence
7 NOV 2024
Approval Based on the foregoing justification, I hereby approve the procurement of blood products and reference laboratory services estimated at $950,000.00 on sole source basis pursuant to the authority of 41 U.S.C. 1901 as implemented in FAR 13.501 (a)(1)(ii), sole source (including brand name) under the authority of the simplified procedures for certain commercial items, subject to availability of funds, and provided that the supplies and/or services herein described have otherwise been authorized for acquisition.
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