JA_Cognex_REDACTED.pdf

Cognex DataMan DM-CT2 Scanners Control Number: VA-21-00033258

JUSTIFICATION FOR AN EXCEPTION TO FAIR OPPORTUNITY

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: The proposed action is for a firm-fixed-price delivery order issued under the National Aeronautics and Space Administration (NASA) Governmentwide Acquisition Contract (GWAC), for the procurement of brand name Cognex DataMan (DM) CT2 Scanners and associated hardware.

3. Description of Supplies or Services: VA, Veterans Health Administration (VHA) has a requirement for 1,336 brand name Cognex DM CT2 Scanners. In 2010, VHA established the Real Time Location System (RTLS) Project Management Office (PMO) within the Program Office for Healthcare Technology Management. The RTLS PMO assists facilities and Veterans Integrated Service Networks with the selection, deployment, and management of RTLS technologies at VHA facilities. RTLS technologies are used to automatically identify and track the location of objects or people in real time. The scanners are incorporated into the existing Censis Technologies Inc. CensiTrac Instrument Tracking System (ITS) which provides medical centers and other VA facilities with the real-time capability to track medical instruments and sets. The CensiTrac ITS comes as a complete system, when installed. The Cognex scanner is a component part of the system. Currently, there are approximately 1336 Cognex 8500 and 8600 instrument scanners deployed across VA, for use within sterile processing services (SPS). The current scanners are at end of life and are being upgraded to a newer model. The RTLS PMO requires replacement of the current scanners with the brand name Cognex DM CT2 Scanner, so that SPS may continue to function without disruption of clinical processes. Delivery will be 30 days from the date of award. The total estimated value of the proposed action is $3,601,856.00.

4. Statutory Authority: Pursuant to Federal Acquisition Regulation (FAR) Subpart 16.505(a)(4), the following brand name requirement is being justified and approved as an exception to fair opportunity under the statutory authority of Section 41 U.S.C.

4106(c)(2) as implemented by FAR Subpart 16.505(b)(2)(i)(B), entitled “Only one awardee is capable of providing the supplies or services required at the level of quality required because the supplies or services ordered are unique or highly specialized”.

5. Rationale Supporting Use of Authority Cited Above: Based on market research, as described in paragraph 8 of this document, it was determined that limited competition is available among resellers for the required brand name hardware. The VA currently uses the CensiTrac ITS and requires replacement equipment that is interoperable and compatible with the existing CensiTrac ITS. The brand name Cognex scanners are the only scanner manufactured and coded for use with the CensiTrac ITS and therefore interoperable with CensiTrac ITS. Use of any other scanner would cause a delay with receiving hardware for use. Any other item would have to be configured for use with the ITS, it would have to go through the vendor’s validation testing and may not pass. This would lead to more delays, hindering the ability of Sterile Processing Services personnel, to perform their duties. Additionally, only the brand name Cognex DM CT2 Scanner is validated for use with CensiTrac and certified by Censis Technologies Inc. As such, only the Cognex DM CT2 Scanner can replace the current scanners and maintain optimal functionality of the CensiTrac ITS, in order for SPS to continue functions without disruption to clinical processes. Currently, there are 125 VA sites nationwide using the scanners in SPS alone. Without these scanners, VA will not be able to electronically inventory reusable medical instrumentation as needed; thus, eliminating the ability to track instruments back to patients. Failure to replace these scanners will have an adverse effect in productivity in the decontamination and assembly areas within the Sterile Processing Department, reducing the amount of reusable medical equipment available for Operating Room and clinical procedures. This will result in cancellation of appointments and delays/increased patient wait times. There will be an increased risk of patient safety if a patient needs a procedure immediately and there are no instruments available to perform the procedure.

6. Efforts to Obtain Competition: Market research was conducted, details of which are in the market research section of this document. This effort yielded limited sources that can meet the Government’s requirements. In accordance with FAR

5.301 and 16.505(b)(2)(ii)(D), the resultant delivery order will be synopsized, and the justification will be made publicly available on the Contracting Opportunities Page at beta.sam.gov within 14 days of award of the order. In addition, this Justification for an Exception to Fair Opportunity will be posted on the NASA SEWP V website with the solicitation.

7. Actions to Increase Competition: In order to remove or overcome barriers to competition in future acquisitions for the requirements described herein, the agency will continue to perform market research to ascertain if there are changes in the marketplace that would enable future actions to be competed.

8. Market Research: Market research was conducted by VA technical experts, reviewing previous government contracts, online searches, and querying the U.S.

General Services Administration in June 2020 through September 2020 to ascertain the ability of any other hardware products other than brand name Cognex DM CT2 Scanners that can meet the Government's requirements. VHA subject matter experts researched other brand name products including Apixia, Spa Track and SurgiScan Ultra. After a thorough review of these alternative products, the Government’s technical experts determined that the scanners offered by these brands do not meet the Government’s requirements as they are not compatible or interoperable with the existing CensiTrac ITS.

Additionally, the Government conducted market research in March 2021 by using the NASA SEWP V GWAC Research and Provider Lookup tools to determine that multiple Service Disabled Veteran Owned Small Business Vendors are capable of meeting this requirement and more than two are Vendor Information Page (VIP) verified service-disabled Veteran-owned small businesses.

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.

Cardell Bell Date: ______________________________

Management Analyst, RTLS PMO Signature:___________________________

11. Fair and Reasonable Cost Determination: I hereby determine that the anticipated price to the Government for this contract action will be fair and reasonable based on anticipated competition. Additionally, NASA SEWP V has already determined the prices on contract to be fair and reasonable. Finally, the successful quote will be compared with competitive quotes and/or the Independent Government Cost Estimate.

Juan Quinones Date: ______________________________

Procuring Contracting Officer Signature: __________________________

12. Procuring Contracting Officer Certification: I certify that this justification is accurate and complete to the best of my knowledge and belief.

Juan Quinones Date: _______________________________

Procuring Contracting Officer Signature: ___________________________

Approval

In my role as procuring activity Advocate for Competition, based on the foregoing justification, I hereby approve the acquisition of brand name Cognex DM CT2 Scanners on an other than full and open competition basis pursuant to the statutory authority cited in paragraph 4 above, subject to availability of funds, and provided that the property and services herein described have otherwise been authorized for acquisition.

Date: ____________ Signature: _________________________________ Philip Weckesser Advocate for Competition Technology Acquisition Center

Office of Acquisition Operations